Well Joe Biden was turned loose this week after the Obama campaign sent him to the doghouse over the weekend and speaking from Renaissance High School in Detroit, Michigan, he demanded that the Republicans “get out of the way” of the Obama administration and it’s policies on mortgages.
The Vice-President said that Democrats in Washington could help 12 million additional families refinance mortgages if they were allowed to and it “won’t cost the government a penny.”
“We helped millions of families modify their mortgages so they can stay in their homes and we helped more than a million refinance their homes saving $3,000 bucks a year, but guess what?” Biden asked.
“We can do it for another 12 million if the Republicans would just get out of the way, just get out of the way. Right? Just get out of the way and it won’t cost the government a penny.”
The problem is that many people are still upside down in their mortgages and many have lost their homes while the Obama team did a victory dance in the end zone in which they basically helped no one. Bankers got the money, but it was homeowners that got the shaft.
While Obama promised that things would change if the Congress would just follow his plan, the man does not understand economics. He said “If you’ve got a $250,000 mortgage at six percent interest rates, but the value of your home has fallen below $200,000, right now you can’t refinance. You’re ineligible. But that’s going to change. If you meet certain requirements, you will have the chance to refinance at lower rates, which could save you hundreds of dollars a month, and thousands of dollars a year on mortgage payments.”
He does not understand the impact of what he has done that has brought things to the point where people have lost their jobs and are losing their homes. What good does it do to refinance your home if you are out of a job? And why are people out of a job? Obama threw nearly a trillion dollars of stimulus money at companies that have gone belly up. No significant amount of jobs have been produced and unemployment is far greater than the 8.3% reported.
The issue of mortgages will not be fixed with a refinance. Economic policy must be changed and then businesses will be started and allowed to be prosperous again.
And Biden in completely wrong when it comes to costs. Everything the government does costs and usually it costs well beyond what they project it to.