Fixing the Housing Market

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To really be able to fix the housing market, we have to look at how it got so bad to begin with. Banks were giving loans out to people who couldn’t afford to repay them. That was, what I see, as the most detrimental situation regarding the housing market. Are the banks only to blame? Absolutely not. Those people who took those loans with little thought of repercussions also caused this mess. We shouldn’t be borrowing money so loosely and the banks should not have made it so easy.

Regardless of cause and effect, we are in this situation and must find ways to deal with it. Sure, the $8,000 credit to first time buyers and $4,500 credit for second time buyers is nice and it makes it easier for people to buy their first home, but what about the people who are not first time buyers? What about people moving to different areas and those people who have already lost their homes?

The government, as of now, has fallen into a bad routine: Throw some money at it and make it go away. These are short-term fixes to a long-term problem. By looking at this on a strictly monetary scale, we are not forced to look at our own accountability. We as Americans have developed this notion that the government should take care of us somewhere along the lines. More government is not the answer. To me, this is the easy way out. Besides, do we really want the government so involved in aspects of our lives they have no business being a part of?

My worry is where is this money coming from? It doesn’t appear out of thin air. How are they paying for all this? Our deficit is getting bigger and bigger and nothing is being done to fix this. Are we taxing big companies more than is deserved? The Democrat way of thinking is if someone makes more money, they should...

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...o I offer a second solution: auto pay programs. We can let the lights be shut off, we can get our car repossessed, but most importantly, we need a roof over our heads. Paying rent and mortgages should be top priority. We shouldn’t be allowed to get 6 months behind. The bank could set up accounts where each month, the rent/mortgage is taken directly from their checking/savings accounts and then a statement of their activity will be sent to them.

I know what you are thinking. What if there is not enough money in the account to cover the debit? I feel the bank should make the payment, or partial payment, and charge interest based on their payments. So what if someone never pays? Well this goes back to the bank’s accountability and making sure they don’t give out loans irresponsibly. Rule of thumb: Don’t make loans to people who have no money, no job, or no aspects.
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