One Guy's Opinion on the Political Scene By: Jim Herndon
Stupid Should Hurt
Our nanny government, confirming that it is remarkably easy to spend someone else’s money, is going to give away $300 billion in taxpayer money for new mortgages to bailout homeowners who, for one reason or another, agreed to irresponsible or unwise loans.
Financial Services Committee Chairman Democrat Barney Frank has proposed bill H.R. 3221 which actually pays homeowners to stay in their homes by giving them a 10 percent equity stake in their home. It takes a long time for a home buyer to build 10 percent worth of equity and a lot of money to pay someone for being stupid. How fair is this giveaway to the person who has been patiently saving up until he had enough for a sensible down payment and is insuring that he can satisfy the contract? Congress is rewarding borrowers who took out loans they hoped they could get lucky enough to pay back or got into a home beyond their means completely. Some buyers took out an unrealistic mortgage on a home they intended to resell at a profit in, what was at that time, a booming market. The free spending government has no business getting involved in this kind of bailout. Stupid should hurt; greed-inspired unrealistic gambles should hurt worse.