Thread: Bair: 'Aggressive Intervention' Needed for Housing

Bair: 'Aggressive Intervention' Needed for Housing

MoneyNews
Friday, March 14, 2008

WASHINGTON -- The head of the Federal Deposit Insurance Corp. on Friday said "more aggressive intervention" might be needed to stem the flow of home foreclosures as part of fixing the U.S. housing market problems.
FDIC Chairman Sheila Bair said regulators are looking at various programs and proposals aimed at fixing the U.S. housing woes. "More aggressive intervention is probably going to be necessary," Bair said at the National Community Reinvestment Coalition housing conference.

Bair, who has been providing technical assistance to House Financial Services Committee Chairman Barney Frank's mortgage rescue plan, declined to specify what the intervention might entail.

http://moneynews.newsmax.com/money/arch ... .cfm?s=mnn

Here is my take on the whole housing thing. I will be honest, I have never owned a house, however I worked for one of the largest credit unions in Oregon for a bit and worked with people on their loans.

It seems to me that the feds are bailing people out when they got into a debt they simply could not pay for. I am not lacking in sympathy, but when I have applied for any loan, I find out the details before I sign and agree to it, and if it is too high, or the details look bad, I will not sign.

I think it almost seems that in order to cleanse our system of predator lenders and get restarted in a better way, we almost need to have some kind of economic collpase to happen. I know that sounds harsh, but it would force people and politicians to put things in a better perspective and also might have the dual effect of taking away jobs from illegal aliens.

Call me crazy, but this thought keeps coming up.

OK...story I heard from one of my co-workers......she has the BEST plan....she and her 3 sisters...(and their husbands) have bought a house with NO money down. and they all live in it....they have not made a single payment on it.....It will take the bank about 6 months to foreclose...then sister # 2 will buy a house with NO money down....live in it with no payments for 6 months....then sister #3 will do it....Isn't this a great plan???????? They will live rent free for 18 months..... I shut my mouth and walked away when she told me this plan....I was SICK
NO buyouts for these people!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

That is appalling. I cannot see that it is right to help people who have gotten themselves in over their heads, just because they simply "had to have" the house.

I would crawl all around my town on my knees to have a home of my own instead of renting in this run down, overcrowded illegal alien for neighbors complex, but with our income, we could barely qualify for an $80,000.00 loan from HUD, and we know we could not find a way to get the rest, so here we sit while others have irrespponsibly gotten themselves in over their heads, and get to keep their homes with a government sponsored, taxpayer paid bailout. NICE!