Foreclosures in America and the candidates

Author: Rosa Maria Young

I never thought I would agree with John McCain! In the United States this past Wednesday the Commerce Department reported that for the fourth straight month the sales of new homes fell showing that the slump in the housing market continues. This is not good news not only for the economy of the country which is obviously affected but for many families across the land. Families that are facing financial disaster with the ever present danger of foreclosure looming over them. There is no use in pointing fingers about who is at fault, the banks, the brokers, the borrowers. In reality, the blame can be apportioned among all of the above. What is needed now is action on the part of the government.

Last December the Bush administration unveiled a foreclosure relief plan which was too late and too little as it did not reach everyone in trouble. Sensible and well prepared plans are needed and not just plans presented with the possible voters in mind. The country has enough problems, starting with the lack of proper health care, not to squander money among those that for greed or carelessness have contributed to what the country now faces and therefore do not deserve it.

We are in the middle of the presidential campaign and the candidates know that they cannot ignore the situation. Both Clinton and Obama have proposed plans to help solve the crisis. Hillary Clinton has proposed a $30 billion housing stimulus package to allow cities and states to purchase foreclosed properties and improve neighborhoods blighted by foreclosures and Barack Obama has called for a $10 billion fund to help head off foreclosures. All that is great but unfortunately it could involuntarily attract many irresponsible borrowers, speculators, greedy bankers and unscrupulous realtors. That is not what is wanted or needed.
And this is the reason for my agreeing with John McCain and saying that I believe he was right when Tuesday he said “it is not the duty of government to bail out and reward those who act irresponsibly, whether they are big banks or small borrowers.”