Mitt Romney’s State of the Union Challenge on the Mortgage Crisis
Mitt Romney’s State of the Union Challenge on the Mortgage Crisis
by Eliot Spitzer and Dylan Ratigan
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Finally, a presidential candidate came out and honestly addressed the biggest problem in our economy, the enormous debt overhang in our mortgage market. A few days ago, Mitt Romney was at a forum in Florida talking about foreclosures, and his comments were actually refreshingly honest about our housing and banking situation and the need for a debt write-down.
We’re just so overleveraged, so much debt in our society, and some of the institutions that hold it aren’t willing to write it off and say they made a mistake, they loaned too much, we’re overextended, write those down and start over. They keep on trying to harangue and pretend what they have on their books is still what it’s worth.
Mitt Romney was pointing out that the banks are carrying debt on their books at inflated values. When was the last serious politician to make that point, openly? There’s more.
In some cases, if the debt is not in something you can service, it’s like you have to move on and start over away from those debts. It’s helpful if you get an institution that’s willing to work with you, but if you don’t you have no other option.
http://www.ritholtz.com/blog/2012/01/mitt-romneys-state-of-the-union-challenge-on-the-mortgage-crisis/
= new reply since forum marked as read
