Housing Bailout: The Sleeper Issue of 2008?
I notice on the site of John Avarosis, my left-of-center sometimes-debating-partner on CNN, a recognition that the housing market is slowing, and that those who bought more than they could afford on credit (no money down, ARMs, etc.) are going to be facing really rough times. One blogger on the site writes that this happened “under the GOP,” while John puts more of the blame on people who bought into a “get rich quick” market.
I’m going to go out and make a prediction (and recognize that I have a blah record at best in this area). With so many presidential candidates looking for a way to stand out in a crowded field, somebody is going to latch onto the issue of a “Distressed Homeowner Bailout” for buyers at taxpayer expense. Expect a lot of rhetoric about its necessity to “save the American dream.”