Welcome to the Hardcore Husky Forums. Folks who are well-known in Cyberland and not that dumb.
Rinse, Lather and Repeat
WestlinnDuck
Member Posts: 15,683 
in Tug Tavern
So, we have a housing bubble with almost record low interest rates. What we need is the feds to intervene to provide mortgages to those who can't afford them. What could go wrong.
https://pjmedia.com/vodkapundit/2021/07/06/whos-ready-for-another-subprime-real-estate-crash-joe-biden-thats-who-n1459670
Biden’s new dilemma: How to slash housing costs for low-income borrowers
Remember the early part of the 21st century, when Washington “helped” poor people by encouraging reckless lending to buy houses?
And remember how the reckless loaning practices made their way up through the middle class?
Remember how we ended up with a massive bubble of bad loans and overpriced housing?
Then remember how millions of people ended up losing everything or at best having their finances ruined for years?
“Wasn’t that awesome?” said no one ever.
When the bubble popped — all bubbles pop — we ended up with the Great Recession and everyone with a lick of sense said, “Let’s never do that again!”
Democrats have not a lick of sense.
To wit:
A long-awaited Supreme Court decision last month gave Biden the ability to remove the Trump-era leader of the Federal Housing Finance Agency, and he wasted no time. The president installed as interim director an agency veteran who says she’ll make affordable housing and combating discrimination a top priority
But even that’s not enough:
Top Democrats are calling on Biden to quickly name a permanent leader — a position that Senate Banking Chair Sherrod Brown’s spokesperson said is “vital to the administration’s goals of building an equitable economy and must be filled quickly.”
Even POLITICO feels it necessary to admit that “making mortgages cheaper and more accessible could also raise the risks of defaults and increase the odds that the companies would need another bailout in the future.”
Also, the housing prices are already artificially inflated by a combination of near-zero real interest rates and regulatory restrictions on increasing supply. Adding another go at massive subprime lending would make matters even worse — and riskier.
https://pjmedia.com/vodkapundit/2021/07/06/whos-ready-for-another-subprime-real-estate-crash-joe-biden-thats-who-n1459670
Biden’s new dilemma: How to slash housing costs for low-income borrowers
Remember the early part of the 21st century, when Washington “helped” poor people by encouraging reckless lending to buy houses?
And remember how the reckless loaning practices made their way up through the middle class?
Remember how we ended up with a massive bubble of bad loans and overpriced housing?
Then remember how millions of people ended up losing everything or at best having their finances ruined for years?
“Wasn’t that awesome?” said no one ever.
When the bubble popped — all bubbles pop — we ended up with the Great Recession and everyone with a lick of sense said, “Let’s never do that again!”
Democrats have not a lick of sense.
To wit:
A long-awaited Supreme Court decision last month gave Biden the ability to remove the Trump-era leader of the Federal Housing Finance Agency, and he wasted no time. The president installed as interim director an agency veteran who says she’ll make affordable housing and combating discrimination a top priority
But even that’s not enough:
Top Democrats are calling on Biden to quickly name a permanent leader — a position that Senate Banking Chair Sherrod Brown’s spokesperson said is “vital to the administration’s goals of building an equitable economy and must be filled quickly.”
Even POLITICO feels it necessary to admit that “making mortgages cheaper and more accessible could also raise the risks of defaults and increase the odds that the companies would need another bailout in the future.”
Also, the housing prices are already artificially inflated by a combination of near-zero real interest rates and regulatory restrictions on increasing supply. Adding another go at massive subprime lending would make matters even worse — and riskier.
Comments