HARM

Housing Solution: Crashing Home Prices or Cheaper Mortgages?

Peak-bubble housing prices must be protected at all costs! Remember, housing is unique, unlike any other commodity (where lower prices is generally viewed as a good thing for regular working people). And government is much better at setting the fair market value than Mr. Market, everyone knows that.

Sky-high housing costs at insane DTI levels --like we *still* have in CA-- encourages people to take on massive levels of debt they will never pay off, and to become captive to the banking and real estate industry. This "stimulates" the economy, when people must work 2-3 jobs apiece and spend every dime they have to service that hungry 'gator.

What do you people think would happen if people stopped getting mortgages at 10-11X HH incomes? Utter chaos, desolation... Max Max, that's what! Why... without monster mortgages people might begin... (*gasp*) SAVING again --the Horror! The absolute worst outcome for our economy is for housing along the bubble coasts to come down to a level truly affordable for working or middle-class family incomes. We must do *anything* to prevent this!

Please write your Congresscritter and demand that they man those ramparts!

MORE BAILOUT SCHEMES to protect high prices & executive bonuses!
MORE ARTIFICIALLY CHEAP MONEY from the Fed!
MORE COMPLICATED, DODGY LOANS to help prop up those prices!

Miracle: Bush To Part The Bankrupt Sea

<i>What will get hurt? Nothing that we can think of.</i>

Riiight. Just savers, taxpayers and people who DIDN'T participate in this enormous Ponzi scheme of a housing bubble. Other than that, it's totally cool.

Here's a nice thought to ponder:

<i>“Democracy is an upside-down homeowner, a mortgage investor, and a tax-paying renter, voting on what’s for dinner.”</i>