Tuesday, January 29, 2008

Am I Starting to Sound Like A Republican?

Ok, to be clear about the title, it comes at a time when Republicans start to sound like Democrats.

Maybe I'm just pissed that I won't be getting a tax refund and no, it's not because I didn't work or that I didn't pay taxes either but what's up with our government treating us like we are 6 years old??

Let me get this straight:

-Because of a booming housing market, Wall Street and the big banks tell the mortgage lenders that they will buy the loans generated for sub-prime lenders.

-Mortgage companies decide to give loans to homeless people with no credit, insufficient income and by making this easier than applying for an Office Depot credit card. They don't even require them to have down payments, have any assets and give them a loan that is only somewhat affordable for the next 5 years assuming the value of their home continues to rise.

-The Federal Government does nothing about low rate teasers, predatory lending or the interest rates at all and let the lending rates fall allowing people who, at no other time in history would have legitimately been able to afford a house, buy more than they can afford.

-Dumb ass consumers (and people who were victims of predatory lending who really didn't know what they were getting into) think that home prices will continue to rise at the same rate forever, they will be able to take cash out of their houses annually, pay interest only on their loans, build no equity in the property and assume that when their ARM expires, there's no way their interest rates would change.

-Home builders also think there would be no end to the housing boom and that by building more houses and putting more homes on the market, that couldn't possibly affect the value of future homes they would build, new homes for sell, or homes for resell.

-The U.S. is in the middle of its biggest budget deficit ever.

-Bush and Congress decide they need to wipe everyone's ass for them and bail out the banks, bail out the lenders, bail out the homeowners and thus somehow bailing out the economy by giving someone $600 so they can go buy some shit they don't need made in China?? That's the House plan anyway.

Is that about the gist of it? Is that what's happening?

What ever happened to live and learn, free market economy, fiscal responsibility,survival of the fittest?

Because I was fiscally responsible and didn't buy a house in an area that wouldn't increase in value, didn't buy a house I couldn't afford, took into account that interest rates could change, I don't get a check?? WTF?

As far as the big banks are concerned, cry me a river. If you thought giving loans to the homeless was a good idea, then you deserve to be bankrupt. They shouldn't get a dime or even a break in loan rates from the government. They should put that money into education or pay off dept. If you thin the herd, you make the herd stronger. Why does Bush need to play big brother and bail out bad businesses? What, does he think they will learn their lesson? Remember Junk Bonds, Pyramid schemes, etc.?? Same idea.

As far as consumers are concerned, I understand that predatory lending played a big role in this. I realize that most of the people losing their homes either are not educated, don't speak English or are simply not attorneys and that looking at a closing statement is like trying to read Aramaic. That being said, for those who, on their own accord, decided they wanted a big house like mommy and daddy and didn't do their homework or thought life was a fairytale, wake up and smell the $3.50 coffee that you shouldn't be buying! DON"T BUY A HOUSE YOU CAN'T AFFORD! DON'T BUY A HOUSE WITHOUT LETTING IT BUILD EQUITY!

I like how Republican's, who are supposed to be about personal responsibility and the free market, are now saying we need to hold everyone's hand except for poor people. And the Democrats want to give tax refunds to people who never paid taxes. How is that a tax refund?

I would probably shut up if they would just send me a check, I need a bluray player.

Let me know if I am missing something here. I don't pretend to be an expert on this issue.