December 08, 2007

Denver Post editorial: "Bush bailout rewards the cheaters". Couldn't have said it better myself. But don't forget about our corrupted Congress


It's time to REALLY kick Bush when he's down folks. Hillary and Congress too. Politics is blood sport and Bush and Clinton and some in Congress have declared war on America by promoting government housing market intervention and Housing Gambler Bailouts.

The nation CLEARLY doesn't want Washington meddling in the free market and trying to prop up home prices which CLEARLY need to fall with a Mortgage Fraudster and Housing Gambler Bailout.

ANY politician who promotes something so stupid (in order to satisfy their investment bank masters) should be hounded out of office. Any politician who is against this should ride a wave of popular support.


Al Lewis - Denver Post: "The liars win"

That's how Glenn Mueller, a professor at the Burns School of Real Estate and Construction Management at the University of Denver, sees the Bush administration plan to clean up the subprime-mortgage mess.

"They were actually called 'liar loans,' " he said. "And now, the liars have won."

Foreclosures have so ravaged the nation that Treasury Secretary Henry Paulson pulled together the biggest players in the mortgage industry. He got them to extend their teaser rates on certain sub prime loans for up to five years.

"Just a few years ago, the government was encouraging lenders to make loans to borrowers with poor credit," said Wil Armstrong, an owner of Cherry Creek Mortgage and a Republican candidate for Colorado's open 6th Congressional District seat. "Now, they are saying we don't want you to make those kind of loans anymore? When the government intervenes, it typically makes matters worse."

Hillary Clinton wants to crack down even harder — putting a moratorium on foreclosures. A bunch of liars bought homes; now they can't pay their bills, so the solution is to protect them?

As brokers, appraisers, lenders and others committed blatant fraud
, Wall Street turned a blind eye. It bought the loans, packaged them in bundles and sold them to investors around the world.

Instead of bailing out borrowers and lenders, how about simply enforcing the laws? How about prosecuting everyone from the heads of Wall Street's banks down to the hustling brokers and appraisers
? Nah, that's too messy.

18 comments:

Anonymous said...

Crime does pay under Bush

Anonymous said...

Personal responsibility under the Repugnants and DemoRats? You must be kidding. They are like rival Mafia gangs

Anonymous said...

Not only are CongressMEN ugly, look at that sow Pelosi. Looks like a failed Frankenstein monster. What a PIG.

If you saw these people in a crosswalk, you would instinctively STEP ON the Gas...

Indict them all. If BUSH can rewrite contract law for Housing Gambler benefit, we, the people can turn 'innocent until proven guilty" into "GUILTY UNTIL PROVEN INNOCENT" for politicians.

GUILTY UNTIL PROVEN INNOCENT, a concept whose time has come. No more face lifts for ugly elderly grandmothers in Congress.

consultant said...

I've said before, we have become a banana republic. In the coming months, look for Canada to go before the UN and move to have the United States permanently banned from calling itself part of "North America".

Canada will argue that the current United States has become so much like their Central & South American neighbors, they should be called as such. Canada will say that being in North America use to mean something, and it still does to them.

The UN will probably agree to designate the US as part of Central America, with the US voting no, of course.

Anonymous said...

The fabric of America is greed.

Lovemybush said...

Why does everyone think the homedebtors are the ones being bailed out? The banks are the people the government is trying to save from their own stupidity.

k.w. - southern ca. said...

Although I'm entirely against it, perhaps this bail-out (on the tax payers backs again) is needed to really get people up in arms about the corrupt practices of our political leaders - where they spend all their time
protecting their own arses.

This may be the first year I decide to no longer vote for a political candidate, since none are worthy to represent the people of this country.

Anonymous said...

"This may be the first year I decide to no longer vote for a political candidate, since none are worthy to represent the people of this country."

Yeah, that'll teach them. Douche. What is really needed is for heads to roll- and I mean it in the sense of late 18th/early 19th century France.

Anonymous said...

I really don't think these people realize just how close they're pushing people to some kind of outright revolution in the streets. This is close to a final straw. Their secret's out, we know who's pulling the strings and we're on to them. 25% approval for a President, 15% for Congress? This is truly unreal. Bush and Pelosi, I quite literally feel queasy when I look at them.

roybean said...

the nation clearly DOES want Washington meddling in the free market; at least in some ways. What about mtg interest deductions?
And cap gain exclusions, and Fannie and Freddie? If all that meddling was supposed to help affordability, it didn't work too good!

Anonymous said...


What about mtg interest deductions?
And cap gain exclusions, and Fannie and Freddie?


Those are the reasons why housing is so expensive. People are suckered into buying because everyone is always bleeting about the tax deductions. You get a .28 deduction for every $1 spent. Think about it sheeple. OTOH, the government doesn't want you to think about it. They need high home prices that translate into high property taxes that translate into more government jobs.

Anonymous said...

Jeezus, thank you anonomous:

"You get a .28 deduction for every $1 spent. Think about it sheeple."

THE ONLY PEOPLE THAT WOULD TRY TO SELL THIS DOOMED STRATEGY WOULD BE AN AMORAL CORRUPT REALTOR (all of them).

I thought I was the ONLY person to realize how expensive it is to pay $1.00 and get .28...

Magnum Force. Pass the Bullets.

mtndjd said...

This is helping me to not be so pissed off with my government right now; (from http://calculatedrisk.blogspot.com/2007/12/ten-things-to-know-about-freeze.html

The plan targets homeowners with weak credit who owe more than their house is worth.

All this talk about LTV greater than 97% makes it sound like this plan is for homeowners with LTVs from 97% to 100%. Nah. This is plan is for homeowners with weak credit (maybe 1.2 to 1.8 million) that are underwater - or about to be underwater - on their homes. They can't sell. They can't refinance. And they probably can't make the new payment.

Imagine the headlines if they had set the level to 105% LTV or greater. The actual number of eligible homeowners wouldn't decrease much - most of these people are probably more than 5% underwater already and will be further underwater soon - but the headlines would blare: the government wants people to pay on mortgages that are for more than their collateral is worth!

And that is the goal.

Of course the level was set at 97% or greater LTV because the industry recognizes that anyone with less than 3% equity cannot refinance. For those with a 96% LTV mortgage - no worries - just wait a few months and the value will probably decline enough to put you in the plan.

Anonymous said...

The government has always supported home ownership by the tax deductions ,but now they are going to far in trying to bail out bad loans .


Borrowers and lenders have legal recourse and that's it because a loan is governed by contract law .
If the lenders want to re-write one of their bad loans than do it . If a borrower wants to sue a lender for something fraudulent or bad faith ,than do it . Don't make this the taxpayers problem . Fine the borrowers or the lenders if one of the foreclosures become a health and safety or eyesore concern .

Just keep my tax dollars out of this bail -out and the city better lower my property taxes because property values are crashing .

Anonymous said...

Politics is Show Business for Ugly People

Anonymous said...

""You get a .28 deduction for every $1 spent. Think about it sheeple.""

Not quite.

Say you spend $1000 in rent or you spend $1000 in mortgage. You get back $280 from a mortgage you get back $0 from rent.

You make it sound like if you didn't buy you'd live for free. You still have to pay to live somewhere.

And it is more than 28% when you add in state tax. Where I live my marginal tax rate is 34%. So my rent has to be 34% less than a mortgage - for a comparable house - to make renting a better deal.

It isn't, so I own. Pretty simple calculation really.

Anonymous said...


And it is more than 28% when you add in state tax. Where I live my marginal tax rate is 34%. So my rent has to be 34% less than a mortgage - for a comparable house - to make renting a better deal.

It isn't, so I own. Pretty simple calculation really.


Exactly. If you're paying for your mortgage what you would otherwise pay in rent you're coming out ahead. Of course there's really no way to come out ahead when you're paying 600,000k for a house.

For those of us with wage taxes in our cities -- our marginal tax rate is way above 20 or even 30% we need what we can get to keep costs down.

wtf said...

And it is more than 28% when you add in state tax. Where I live my marginal tax rate is 34%. So my rent has to be 34% less than a mortgage - for a comparable house - to make renting a better deal.

It isn't, so I own. Pretty simple calculation really.

Exactly. If you're paying for your mortgage what you would otherwise pay in rent you're coming out ahead. Of course there's really no way to come out ahead when you're paying 600,000k for a house.

For those of us with wage taxes in our cities -- our marginal tax rate is way above 20 or even 30% we need what we can get to keep costs down.

Hey tards:
The tax deduction is on mortgage interest, not the entire payment.
Of course if you were smart and took out an interest only...

Has anyone ever done an honest comparison of numbers on this blog?