The problem has been the utopian hysteria mindset that home prices are on an infinite year over year increase at the ridiculous rates we saw from 2002-2005. We all know that. Both parties are to blame buying into this propaganda; the lender for lending money to people who are in collections with Domino’s pizza, and the buyer for thinking they could afford a McMansion on a McDonald’s salary.
You can thank the Democrats for bailout talks in an effort to secure the White House in 2008, but as the reality of this mess sets in, I really think there simply won’t be enough money to cover it. The war in Iraq has cost what, 400 billion? Resetting Loans are 5 times that just for 2006-2007.
