Little Talk of Housing Crisis on the Campaign Trail

So what’s the point of this? That government should pay these mortgages? The financial meltdown was cause by government policies that forced banks to lend to “risky” borrowers. The Community Reinvestment Act ultimately is responsible for the financial collapse of the United States. Helping folks buy homes they cannot afford is really bad policy.

@WB “The financial meltdown was caused by government policies that forced banks to lend to risky borrowers.” — Are you kidding me? Forced? More economists (a LOT more) say Wall Street is to blame and that greedy bankers knowingly manipulated things to take advantage of homeowners and mortgage investors. Who made all of the money? Certainly not the homeowners who, if they didn’t default, owe more than their homes are worth. Not the government either since it’s been found that that refers to Fannie Mae and Freddie Mac who have gone belly up. Wall Street made the money. They weren’t forced into anything. They did it gleefully.

No talk of the housing crisis on the campagin trail? Of course , GOP has no clue to what an idea is to help the country. They are too busy arguing with the next wingnut. Obama 2012. The only logical choice. If Obama gets elected again, the congress will HAVE TO work with him this time because their strategy of the last 4 years (let’s do nothing but make sure Obama is a 1 term president) is a childish one & they should be punished for wasting all our time & money & at a time when we need to pull together. Obama will do what he says , we will change, change is hard, especially with the GOP derailing anything good you’re trying to do. GOP stinks & I hope everyone takes note & votes them out because we don’t have time for that crap. Obama has more character & fortitude than any GOP candidate. Stop watching Fox News & Rush Limbaugh & you will stop being programmed with BS.

“The Community Reinvestment Act ultimately is responsible for the financial collapse of the United States” — WRONG! I wish people would stop repeating this lie and look into it. Every study of CRA loans shows that they were actually SAFER than the subprime loans the banks were giving out. CRA-qualified loans are the smallest percentage of the mortgages that have gone into foreclosure.

Well of course not. The housing crisis doesn’t impact any of them personally. Their houses are safe. Even the guys like Romney with multiple houses. They don’t talk about it because they really don’t care about it. They would rather attack the president and each other than actually debate important issues to Americans………..

Your home is only worth what someone else is willing to pay for it, everything else is just estimates and assumptions.

For those of you who think that the “FED” or the government was mainly responsible for this ‘housing crisis’ …all I can do is LOL. Because you have no clue of the ‘greed’ that went on with the ‘big banks, the investors, the mortgage brokers and the crooked realtors and appraisers’. And it can be catagorized in one word: GRRED. And the sad part is that there is still no ‘solid regulations’ in place to keep it from happeneing again. Why? The big ‘too big to fail banks and entrepenuers” are using the GOP to keep that from happening. You people really ought to do your ‘research’ better and more thorough….instead of listene ing to ‘right wing’ soundbites and the emotional demonization of politicians like ZBarney Frank and Chriss Dodd. Most of you really have: NO CLUE WHAT YOU ARE TALKING ABOUT!

CND FOX; Well, Barney Frank, the co-author of the sweeping financial regulatory reform bill signed into law last year, said in a recent interview with POLITICO that he didn’t see any conflict between supporting the OWS protests and taking financial services money. “If you take money from them, but you don’t vote for the things they want, how does that put you in conflict?” Frank questioned. Swell politician that Barney….burns the candle from both ends and doesn’t even have a problem with it.

SNEWSOME….I’ll repeat. You have ‘no clue’ what you are talking. You just have an ‘ideological opinion’. One third…SSNEWSOME …LET me reopeat that. 1/3′rd of our country is ‘underrwater’ on their mortgage today…as I speak. Now how do you ‘black and white blame’ two people for this mess when ‘anyone with a brain’ and who understands financing will tell you that the majority of our population NEEDS a home to establish any type of ‘net worth’ in their lifetime. You are IGNORING THE GREED FACTOR of those that took advantage of approximately 6-7% of poterntial homebuyers and RUINED IT (the housing market) and the financial system of the world. You have a myopic, naive belief if you think you can put the blame on two men…and the consumers who were LIED AND MISREPRESENTED to. This is PERFECT EXAMPLE of a need for a Consumer Protection Agency.i

CND FOX–”and who understands financing will tell you that the majority of our population NEEDS a home to establish any type of ‘net worth’ in their lifetime.”– And anyone who understands responsibility knows that you can’t “Create” net worth by approving a home loan for someone who can’t afford it.. yet this is what the banks did because they were told that it was their RESPONSIBILITY to do so under the CRA, and when they complained that it was an undue risk, they were told that the GSEs would protect them.. and YES probably not just two people, but the SCFC had a bout 30 members more than 20 of these were DEMOCRATS and THEY were responsible for the crisis..

And why would this crew of clowns discuss ANYTHING REAL or important while running for an office that NONE of them should hold except perhaps one. They AVOID the Real problems in our nation and those in Congress have worked very hard to make SURE they don’t ever address those problems in order to keep President Obama from winning a second term. I wish them ALL the worst for they are truly SCUM!

The Presidents solution to the housing crisis is open borders and allowing squatters rights. Giving the illegal immigrant immigrants a quick path to citizenship the President hopes to create a new dependant class of Democrats. The American people need to wake up and realize that over the past 20 years the “middle class” has been diluted by illegal immigrants. It is not the “Wealthy” which got richer it is the “middle class” who were left behind by cheap illegal labor!

Arkie Vet …. what you (and so many like you) DON’T understand is that banks (like the one I worked for) who were strenuously regulated by auditors under the auspices of the FDIC…made very few bad loans in the crisis.For example….I never made one 0% down loan or any ‘no doc’ loan even though I had a 3rd party entity that would have accepted them. Why? Because I was NOT comfortable with them at all. You have ‘no clue’ how long into the ‘problem’ that resulted that Fannie and Freddie finally started to accept these loans. And to my knowledge they never accepted any ‘sub prime’ loans….the real cause of the mess. And the ONLY reason the ‘sub prime crap’ existed was because the big banks, the investment banks and those that ‘sold’ to them were NOT REGULATED by any entity. It was pure GREED and NO REGULATION that was the main fault of this implosion, not 6% of this nation trying to own a home for the first time in their life to build some net worth. That latter entity is what Mr. Frank and Dodd stood for. And having looked at thousands of middle class and blue collar peoples ‘financial statements’ and ‘net worths’….I totally agree with what they were triyng to do. They NEVER promoted the SUB-PRIME products.

Loyal Opp….I will repeat. NONE of the 3rd Party entities that our institution sold through to Fannie and Freddie accepted those types of loans. And I would assume that other ‘mid-size and smaller Banks like ours experienced the same. In all my experience I have never heard anyone say that these two entities bought that crap. That was the work of investment banks and like institutions.

CND FOX–”And the ONLY reason the ‘sub prime crap’ existed was because the big banks, the investment banks and those that ‘sold’ to them were NOT REGULATED by any entity. It was pure GREED and NO REGULATION that was the main fault of this implosion, not 6% of this nation trying to own a home for the first time in their life to build some net worth. That latter entity is what Mr. Frank and Dodd stood for. And having looked at thousands of middle class and blue collar peoples ‘financial statements’ and ‘net worths’….I totally agree with what they were triyng to do. They NEVER promoted the SUB-PRIME products”— First, the big banks DID have a “Regulator entity” that was the JOB of the Senate Commerce and Finance committee Chaired by Waters and controlled by Frank and Dodd.. With the repeal of Glass/Steagal in 1998, the industry was greatly deregulated for the sole purpose of allowing smaller banks to compete with larger banks by relaxing the rules for loan approval..but the regulation of the industry did not go away, it was placed in the hands of the Senate Commerce and finance committee to monitor. If the BIG BANKS were not Regulated as you say, then THAT is the fault of the very people you are trying to commend because it was THEIR JOB to regulate the banks..They failed and not only did they fail, but when questioned about it, they denied that there was a problem…I have no problem with 6% of the nation trying to own a home for the first time, but the percentage of Sub primes that went into the bundles accounted for a far greater percentage of the mortgages than 6%.. My biggest complaint with laying this completely at the feet of the big banks is that even some of the big banks questioned the level of high risk loans that were being approved and the SCFC reassured them that what they were doing was okay and their interests (and profits) would be protected by the GSEs… I appreciate that you refrained from making zero down loans in your job.. seems that you were aware of the potential problem and worked to NOT contribute to it…I have a nephew who got out of the business for the same reason, but your statement that there was no regulation is wrong.. Frank, Dodd, and Waters WERE the regulators and they FAILED.. not only did they fail, but they reassured the banks and made the problem worse, then in session, denied that there was a problem and doubled down on their own mis management… the banks are NOT without fault, but they are far from the only one’s at fault.. the very peoplle you say did a great job, are the one’s who made the situation much worse… I know this is hard for you as a far left winger to accept, but DEMOCRATS deregualted the industry, then DEMOCRATS (Waters, Frank and Dodd) USED the deregulation to mis-manage the system and made the problem FAR worse..

arkie vet | October 20, 2011, 4:48 pm 4:48 pm …..While many of those to the right of left/progressive will admit the banks had some culpability, those on the left/progressives will fight tooth and nail supporting Waters, Frank and Dodd. The Dodd-Frank bill has done very little to regulate “too big to fail” while creating choas in the financial community.