The latest from our Oracle of Hypocrisy – the government wants to teach you how to budget – how to be responsible with your money. This from a president who has wasted millions upon millions of hard-earned taxpayer money on vacations, or on his “green energy” agenda, while the rest of us are surviving from paycheck to paycheck, if we are lucky enough to have a paycheck.
Obama proclaimed that his administration is “dedicated to helping people make sound decisions in the marketplace”. . .through government’s ladder of opportunity “from a fair minimum wage. . .to high quality preschool and early indoctrination education. . .Financial capability also means helping people avoid scams (unless government sponsored) and demand fair treatment when they take out a mortgage, use a credit card or apply for a student loan.”
No thanks – sound decisions in the marketplace for those of us “of sound mind” means not spending more than you earn. Obama’s concept that you can spend your way out of debt is such a ludicrous idea – an idea so absurd that no one with an ounce of common sense could swallow it. Spending your way out of debt is just as impossible as taxing your way out of a recession. Not even progressives believe it – to them it is a means to an end – the end of the U.S. economy – the end of freedom – the means to amass great wealth and power at the expense of “useful idiots.”
To prove my point – remember the housing bust brought on by the government’s coercion of mortgage lenders to expand credit to people who couldn’t afford it? Remember the bailouts that insured? Remember how much your net worth decreased as the value of your home collapsed?
Got bad credit – want to buy a home – well, are you ever in luck. Obama, hoping that the attention span of the “useful idiots” is short, is now pushing banks to once again make home loans to people with weak credit and in the case of purchases, with little or no down payment?
And, of course, lending money to people to buy a home they can’t afford is going to “fuel a [housing] recovery” and promote “fairness.” Obama is using the Department of Injustice and the Inspector General’s office of HUD to ‘nudge’ lenders into granting another housing bubble that will almost certainly kill what little value you have left in your home. Apparently the first housing bubble didn’t kill off enough of the country’s wealth.
There is no ‘traditional’ housing recovery under way because there is no real demand, new home starts are at historic lows and sane people don’t take out mortgages in uncertain economic times that they may not be able to pay back.
When you remove the seasonal adjustment, house prices nationally seem to be flat since the end of 2008 with some undulations. Mortgage purchase applications remain at relatively low levels following the government and Fed-induced housing and credit bubble despite mortgage rates being pushed to near historic lows. This is another indication that the housing recovery is being fueled by investors and not the traditional household owner-occupied borrowers.
Cash buyers, largely investors like U.S. corporations, hedge funds and REITS, along with foreign investment from Latin America, China, Russia and Canada, make up about 32% of sales nationally, according to the National Association of Realtors.
When this second mortgage lending scam collapses is Obama prepared to pull a Cyprus to bail out the banks?