In a bid to stem taxpayer losses for bad loans guaranteed by federal housing agencies Fannie Mae and Freddie Mac, Senator Bob Corker (R-Tenn) proposed that borrowers be required to make a minimum 5% down payment in order to qualify.
His proposal was rejected 57-42 on a party-line vote because, as Senator Chris Dodd(D-Conn) explained, “passage of such a requirement would restrict home ownership to only those who can afford it.”
Think “NINJA” loans. For those who may not be familiar with all the acronyms, NINJA means No Income, No Job and no Assets. Quick refresher course: The banks were required to make these NINJA loans to people who couldn’t afford them as a result of a lawsuit filed against the Clinton administration. Believe it or not, Bill Clinton was hesitant to just sign off on it because even he, way back then, could see where that would put our economy. But the plaintiff in the suit prevailed. Anyone care to field a guess who the attorney for the plaintiff was? None other than his royal majesty Barack Hussein Obama, the first Kenyan president of the United States of America.
The prevailing Republican sentiment is to hold that thought until November, but if the Republicans don’t get their act together, one of two things will happen: Either they’ll screw it up and *not* regain control of both houses, or they’ll regain control with the misguided belief that Americans support their “BSiness as usual” policies. (That BS was no typo. The Republicans are still full of crap, they’re just not socialist)
Props to SGM for the thought starter.
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