If they want to boost the economy, why don't they just give every working man, woman and child in the country $50,000.00?
Those with serious housing debt could pay off the 2nd and third mortages, and that would fix the real estate crisis. And the bank crisis.
The renters would all go out and buy homes, and those who didn't do either of these, would buy cars, thus fixing the auto industry. And it wouldn't take years, it would take less than a month. Instant boom!
And it might be cheaper to do this than what they have done, and are planning to do.
When a person buys a house with a 30 year fixed rate, everybody has got to know that at some point in that 30 years, they will not be able to make the payments. There ought to be provision made for this (almost certain) contingency. One that does not require the buyer to lose the home. But maybe allow a month of interest only payment for every year that the payments were made. Or half payment, or some other idea that I am not smart enough to think of. But to lose the home that they made payments on for 20 or 25 years is nothing but legalized theft. Sort of what W3C is doing to us.
