You clearly suffer from (in addition to liberalism) a touch of confirmatory bias and a huge case of denialism. No matter how you spin it none of Bush's policies, writings, or opinions, advocated giving mortgages to people that couldn't afford to keep up with the payments. At worst more people were able to get a mortgage with little or no down payment. I was one of them. So i can speak from personal experience and tell ya that little or no down payment has very little to no bearing on the ability AND the responsibility to keep up with payments.
Whether or not the banks were "forced" to give out those loans is debatable (they were at least pressured to) but what is not is the fact that the people that signed up for them are 100% responsible for their own actions. But...... in typical liberal fashion people like you blame OTHERS instead of the ACTUAL people that signed the dotted lines.
Bush isn't responsible for the irresponsibility of those that signed up for mortgages that they couldn't afford. They are. Those that could afford them and were responsible had no trouble. He also didn't pressure the banks to offer them to unqualified borrowers. The Clinton adminstration did. You just refuse to accept it because it doesn't fit your narrative of hating the right. Particularly white gun owners. Stop foaming at the mouth out of jealousy towards others and live your life right.
Again, you missed the key to this whole argument..
In the video near the end, BUSH in his own words says (when talking about people with bad credit being able to buy homes UNDER HIS PROGRAMS) "a first time home buyer can have just as good as home as everyone else"
Buyers during the BUSH administration bought homes on skeptical buying, the bubble had been created, the values were rising fast, and getting into interest only loans for short periods was the creation of the administration for flipping homes. Some people benefitted and most got wiped out in the scam.
No money down, 80/20 interest only loans were the majority of loans written under the bush administration ( not clintons) these speculative loans were doing wel until 2005 when the first 3 year interest only loans became due. When the payments readjusted, home owners could not afford them and the values of the homes stalled because the economy was taking a dump.
This started the decline of the housing industry. Then, the 5 year, 7 year and 10 year loans were coming due. MILLIONS OF HOMES collapsed and went into foreclosure as the housing market declined in a full collapse.
BUSH's idea of stimulating the economy with new home building and fast turn arounds for people who couldnt afford them was put in place to help the nation recover after 9/11.
In the short run, many people were employed, many businesses on the perifery benefitted from the expansion, but at some point, it was all going to blow up and it did.
This had nothing to do with BILL CLINTON.
More homes were built than could be sold at the end of the day. Low income buyers who BUSH targeted, were the first to go belly up, and those homes were in the MILLIONS.
Fannie mae and Freddie mac could not and did not have the resources to back all those loans, but what made it worse, was the types of homes that were being built and sold and then mortgaged was way OVER what was set aside by both entities.
BUSH called for new single family homes to be built ranging from 80K to 150K, but both the builders and mortgage writers wanted more money from the EASE of getting loans from the banks who were also in the deal to write as many mortgages as possible then reselling them for a profit.
This entire Home Ownership society program was a scam from the start.
EVERYBODY was involved, from realtors selling homes to buyers who couldnt afford them, by convincing them to buy 80/20 interest only loans with hopes of flipping them in less than 5 years, to appraisers who kept raising the value of homes without justification.
Here in california, builders were building 4 and 5 thousand square foot homes in communities like mine and selling them for 999,999 interest only and people were stupid enough to buy them. You could get one of these monsters for about 3600.00 a month interest only, but when the loan came due, the payment would shoot to over $8000.00 a month. That would be okay if the property value exceeded 1 million, but when the market collapsed those same homes were only worth 500K.
These home owners then have NO OPTIONS but to foreclose.
Now multiply that by tens of millions of homes. San Diego california has the highest rate of foreclosures and not because they are poor, but because they all bought into new communities that built ginormous homes for outrageous money and now none of them can afford them. But better yet, Neither fannie mae nor freddie mac had the cash to back these loans.
This was the flaw in BUSH's home ownershp society. He placed NO CONTROLS on anybody in the housing market and they exploited it until the created bubble burst.
All the homes bush asked to be built were built, all the homes he wanted sold were sold, all the low income to no income buyers were able to get homes and thousands got them after a taxpayer supplied downpayment, but at the end of the day, tens of millions of these homes sold under the BUSH Home Ownership Society FAILED and were foreclosed upon, leaving Fannie Mae and Freddie Mac holding the bag.
Look at all the mortgage companies that had to be investigated and prosecuted. Countrywide mortgage for example.
Yes, the people that bought these BUSH homes should have used better judgement, but the process was so easy and NOBODY in the housing industry was giving proper advice it made it all that much easier to make a mistake and buy something they would have never considered before BUSH made it possible.
Bill Clinton had nothing to do with the BUSH bubble and all the blame you assign to him is foolish at best given the facts of Bush Home Ownership Society.
TOS.
