President Obama Recycles Old McCain Housing Slam as he Returns to Campaign Mode for Stimulus

Feb 9, 2009 3:56pm

Just as the president has recently been using some of the language he used to assail the ideas of his erstwhile campaign opponent, 72-years-young Sen. John McCain, R-Ariz. — deriding opponents’ ideas as "old" and "worn out," as he did during the campaign — he today in Elkhart, Ind., slipped comfortably back into his criticism of the multi-aboded McCain.

"Let me talk to you about the housing foreclosure issue," the president said. "Now, one potential provision that has been discussed that I’m supportive of, but is not in this package — it will be on a separate package — is the idea that, right now, if you have a second home or a third home or a fourth home or a fifth home, and — and you go bankrupt, then the judge can modify the terms of your mortgage on your second, third, fourth, fifth home."

Continued Mr. Obama, "so if you’re worth $100 billion, you bought all these houses, and suddenly you went bankrupt, you would still be able to protect your second, third, fourth, fifth home. But, if you are like most people, including me, and you’ve got one house — "

He was interrupted by applause. Then he seemed to realize that his circumstances have changed since he last went down this path.

"Now, keep in mind, the house that I’m in, in D.C., I’m just borrowing that," he said. "That’s the people’s house. …. My house is on the south side of Chicago that I own."

More applause.

"But if you just have one house, it turns out that, under current law, you can’t modify that mortgage if you are in bankruptcy," the president said. "If you just can’t make the payments, the judge is not authorized to modify that loan. … Now, that makes no sense. What that’s doing is it’s forcing a lot of people into foreclosure who potentially would be better off, and the bank would be better off, and the community would be better off if they’re at least making some payments, but they’re not able to make all the payments necessary."

– jpt

You are using an outdated version of Internet Explorer. Please click here to upgrade your browser in order to comment.
blog comments powered by Disqus