“How about just giving even more cheap credit to well qualified borrowers? We’ll clean up this mess by buying…”
Plain and simple.
If there were no loan mods, and all of the foreclosures could have happened in a normal manner, and cheap credit would have been available to those who were REALLY QUALIFIED then we would:
— Have a much healthier market.
— Seen all that distressed inventory get absorbed
— Let the housing market operate more freely.
— Rewarded those who have saved money and been prudent with fantastic real estate opportunities.
— Formed a much more solid foundation for the entire housing market.
This would have been a back to the basics policy where owning a home was not considered an entitlement but rather a reward that was earned.
