So this $300 Billion bailout is going to pass?

[RB TexLa]

Only the black caucus and blue dogs are standing up against it?


on edit
This $300B giveaway for irresponsibility.

http://www.reuters.com/article/politicsNews/idUSN2328043420080623

[anigbrowl]

1. You betcha. Nobody wants to say they're not dealing with it

But it's not all bad. It will cause more inflation, which will push up prices but reduce the real cost of a fixed-rate mortgage. Of course, if you don't own property you get little or no benefit either way.

[hughee99]

2. I did a little math

According to the article,
"The non-partisan Congressional Budget Office guesses the mortgage insurance fund would reach 400,000 home loans in the next three years or 18 percent of shaky mortgages headed towards foreclosure during that time."

So if I understand correctly, the 300 Billion bailout is only going to help 18% of the people who need it. This would mean that roughly 2.2 million homes are in danger.

Rather than pissing the money into into "counseling" centers, they could instead provide $136K to each of the lenders on behalf of the owners. This would cover mortgage payments for a couple of years for each and every one of the 2.2 million homes.

Instead they're helping only 400K homeowners at a cost of 300 Billion, or roughly spending 750K PER HOUSE (which I would guess would flat out pay off all those houses and then some), and only helping 18% of the homeowners.

[Lance_Boyle]

3. Bush will veto it,

and it'll be pretty much the only thing he's done right in 7.5 years.

It's a stupid giveaway to irresponsible lenders and irresponsible borrowers, which would serve to put off some of the mortgage meltdown pain for a couple of years until it magically becomes Obama's fault. No way in hell should this botched abortion of a bill clear Congress, much less be signed into law.