Obama slams McCain on housing crisis
As John McCain hammers Barack Obama daily on foreign policy, the Democrat is returning the favor on domestic issues.
In a speech this afternoon in Las Vegas -- a fast-growing city hit particularly hard by the foreclosure crisis -- Obama seeks to link the presumptive Republican nominee to what he calls the "disastrous" economic policies of President Bush.
"Here in Nevada, the foreclosure rate is over three and a half times the national average. Here in Las Vegas, one out of every 44 households is facing foreclosure," Obama says, according to prepared remarks provided by his campaign. "As so many Americans walk away from their homes, millions more have seen their home values plunge, which only puts our economy into a deeper hole."
Obama says that President Bush offered a housing plan that was "too little, too late," and McCain's plan "amounts to little more than borrowing bad ideas from George Bush."
"We’ve had enough of the can’t-do, won’t do, won’t even try approach from George Bush and John McCain," Obama says.
Obama says besides a $10 billion fund to aid homeowners, he supports a plan offered by Senator Chris Dodd of Connecticut and Representative Barney Frank of Massachusetts to create a new Federal Housing Administration program to encourage lenders to buy or refinance existing mortgages, and to convert them into stable 30-year fixed mortgages.
"This is not a windfall for borrowers -- as they have to share any capital gain," Obama says in the prepared remarks. "It’s not a bailout for lenders or investors who gambled recklessly – as they will take losses. It asks both sides to sacrifice. It offers a responsible and fair way to help Americans who are facing foreclosure to keep their homes at rates they can afford."
Democratic rival Hillary Clinton issued a statement echoing Obama's criticisms of McCain and the president and lending her support to the Dodd-Frank legislation.
Clinton also pointed out that she has called for action for more than a year, including proposals for a voluntary moratorium on subprime foreclosures and a freeze on subprime mortgage interest rates for at least five years.
"And I believe we should immediately pass a second stimulus package with at least $30 billion in emergency funds to help states and localities fight foreclosures in their communities," she said in her statement. "As president, I will work to ensure that these provisions become law, and that our government is fighting just as hard to help struggling homeowners as we are to help struggling Wall Street banks."
UPDATE: Blair Latoff, a spokeswoman for the Republican National Committee, responded to the Democrats' criticism of McCain: “Barack Obama is quick to make big promises to homeowners and attack John McCain for not attempting to outbid him, but his pandering politics have been panned by critics and demonstrate a fundamental misunderstanding of the housing crisis. Unfortunately, Barack Obama’s attacks on John McCain are more focused on his short-term political gain than the long-term condition of the housing market.”
Voting for McCain.
See ya' Barack.
e man, were you ever planning to vote for Barack?
As much as some people, Democrats in particular, would like to blame President Bush for the housing crisis, I see little mention of the cyclic theory of economics. There is no possible way that housing could continue to grow as such a rapid clip under ANY administration. The market outpaced the rate of financial growth for the consumer, it's that simple.
Get off your high horse Sentar Obama. Free market capitalism grows through cycles, ups and downs are par for the course. Any presidential hopeful with any sense in his head knows this.
Voting for Barack
enjoy the rest of your "golden years" McCain--I hear Arizona is a wonderful place to retire to.
Ya e man, let's have more of the same - a record budget and trade deficit, Americans getting less and less competitive in the world, poorer, and a fading American middle class. On top of that, we spend $800 billion on a war for so-called "weapons of mass destruction", try to police the world by being the biggest meddler there is, and the most unpopular country on the face of the planet.
This sounds PERFECT! Bush for 3rd term... woohooo!!!!!! :-)
Obama is smoking Crack. The two people he talks about who are "victims" of predatory lenders are just stupid if they agreed to a loan they could not afford.
I'm happy to help pay for people who cannot help themselves, but why should I have to pay for people who are just stupid?
Let me get this right, when I bought my house in 2003 and didn't buy the house I REALLY wanted because I couldn't afford it, some other yahoo bought that house I couldn't afford. Now it turns out he can't afford it and I have to pay for mine and his?
If America is stupid enough to vote Obama into office, then I weep for our future.
Many of these distressed homeowners have already gotten the money out of their houses.
They refinanced the house and purchased their SUV or took a cruise , in any case they spent the proceeds as they saw fit.
Now, we are going to be asked to bailout these idiots?
You've got your grasshoppers and you've got your ants.
The way the story ends, the ant does not have to share
his stored up food with the grasshopper who played all summer.
Voting for Barack.
See ya' McCain.
voting for mccain. too many people bought mcmansions - why should i bail them out? i tried to live within my means. the bank approved us for over twice what we actually bought but i don't have to have all the 'status symbols'. they don't mean anything in a welfare line.
How is this McCain's fault any more than it's Obama's fault? Weird...
Barack should be the next President, we need fresh, new ideas.
Finally somebody who wants to do something that looks like it will work. Bush and McCain don't give a damn.
Good times, bad times, you know I've had my share....
Voting for Barack
See ya; McCain
voting for tigger
Cya Pooh
(who cares who you are voting for?)
If I had bought a home I could not afford, I'd vote for Barack. Since I'm smarter than that, I'm voting for McCain
It just more Demos Bunkum For The Masses...most all of us know BO is not qualified for the office...other that being elected Senator by the South side of Chicago the man brings "0" to the table...what does he offer other than being a "slick talker" ?? Just Glitz and no substance?? We really need McCain or we are in deep trouble...have a nice day.
Voting for Barack.
See ya' Grandpa.
So in other words, It is the fault of all the Amercian the taxpayers that a people in Las Vegas bought houses they cannot afford? We should pay to set up mortgages for people that have already proven that they have no ability to handle finances? His answer is one click away from nationalizing housing. My mind is now made up. Voting for Obama is a vote for socialism.
woot barack
goodbye mccain
I have a better idea, let's just turn over all property to this new Federal Housing Administration and let the government take care of it. The federal government has demonstrated how wonderful it is a running massive social programs -- just look at Social Security, picture perfect. Barring violent revolution, socialism tends creeps in slowly under the crimson banner of "helping the people" until one day you wake up in Oceana (1984) and its too late to turn back.
If this country elects a republican president again, then we deserve to be doomed to a third world status soon....
voting for Obama. See ya mini Bush.
It is a sad day when a war hero, and self proclaimed party maverick, sells his soul to devil by adopting the failed policies of Bush/Chaney just to raise campaign funds.
America does not need another Old, Senile Republican corporate sellout as our President !!!
It is time to vote for someone who isn't neck deep in lobbyists. People should also take a long hard look at Cindy McCain. She's an heiress who has vowed to NEVER release her tax returns. Do we really want a third term Bush?
Voting for Barack.
Wake up, John, time for oatmeal....
Then you are just an idiot e man. Or maybe you are some rich a-hole who can afford and prosper under the republican model that screws the other 80% of Americans - in which case you are just a jerk.
Why not start looking at all the "crises" we are having since the Dems took over the house and senate. They are the ones who have caused most of the doom and gloom in the US with their hand ringing and all of the standing with their hands out. Just sicking - Barrack has done nothing - absolutely nothing that he can hang his hat on to be President. He will cause more problems for the US if he is elected - besides he spouts the word "change" all the time but there is nothing behing the word. He is a fake.
I agree with the comment above -
Voting for McCain -
See ya' Barrack
I could have bought a bigger house and stretched my payments. I could have taken an attractive short term finance rate. I didn't do those things because I understood them for what they were - to good to be true and a risk that would bite me and my family in time.
I carefully read the details of my mortgage, and AFTER I fully understood the risks / benefits and the fact that I could pay for my house, even if the market went sideways, i signed on the dotted line.
For those that were irresponsible, or took a gamble and lost.. too bad, so sad, better luck next time. But I'll be damned if your poor decision making is going to be covered by my paychecks.
Although, I am a Obama backer, I still see this as a bailout for the vultures that caused this situation. I see no reason to give the so called financial institutions any opportunity to recoup their losses. They knew what they were doing and were driven by greed and incompetence, I think we should let them stew in their own vacant houses.
More like voting for Bush... Thanks "Voting for McCain" We can use 4 more years of war when our economy is tanking...
Where's the $10 billion for homeowner aid fund coming from?
Change you can believe in... as long as you don't think about it too hard or ask any questions...
McBush hurt the economy. Go Obama
Barack will lose because of the timid bigots....and they will blame it on Hillary supporters and Rush Limbaugh.
fact is America likes flirting with the idea of a black President but in the end will succumb to their own internal bigotrys.
McCain will be the next monster in chief....
God help the world.
E- man: Your comment is as brief as your thought process...No why or how there is there? My guess is that you another misguided fool voting against your economic interest because of some absurd social hot-button issue...Homo-phobe? Abortion? I suppose you are entitled to your delusions as the country sinks down the hole--and McSame will make sure it happens and perhaps deliver WW3. But there won't be Gay people getting married. Happy?
TYPICAL OBAMA FEAR TACTIC
"THE GOVERNMENT WILL COME TO YOUR RESCUE"
HE HAS NO REAL ANSWERS, EXPERIENCE OR ANYTHING ELSE. MCCAIN IS THE ONLY ONE.
OH YA PUT YOUR NAME ON YOUR POSTERS BARACK. NO ONE KNOWS WHO "CHANGE" IS, YOU PHONY LIBERAL NUT CASE.
I believe Barack should have taken a few more Econ classes and fewer Poli Sci. You should not blame the president for individual greed. When you purchase a home that you know you cannot afford and then want someone else to pay for it. So what if they lose their homes go rent an appartment and save the money for a new home, just like alot of us had to do. The housing industry will take a few lumps, but will work it out. Unless the government steps in and then we are screwed forever.
Why is it that a man who preaches responsible CONSERVATIVE fiscal policies is always slammed by McCain / Bush/ Clinton people? I haven't heard any of them declare where their funds come from when they propose grandiose sweeping reforms.
Where do we get the funds to fix this problem otherwise people? Voting for people who don't even want to try and fix the system only encourages voter discouragement.
I will NOT be voting for McSame McCain.
Obama should take a history lessor - he said there were 57 states (only 50) but there are 57 muslim states. Obama doesn't have a plan; just a lot of hot air. He should also learn the meaning of Memorial Day - it honors the fallen not those he sees sitting in front of him when he made his speach. Posted by HMS
Unfortunately, this "crisis" and ones that preceded it are the result of our unwillingness to accept the pain that results from the cleaning action of free markets. Those that try to ease our pain are inadvertently prolonging it. Let the banks handle their own mess. Las Vegas residents should get out those overpriced homes and sell their SUV's. Find a reasonably priced apartment to rent and buy a Honda.
Rich Lookin out for the Rich... Uck McCain.
voting for Barrack
'See ya mini Bush
The crises began with deregulation in the Reagan years. Credit card companies, consumer credit lenders and mortgage companies have been under the federal radar and do what they please -- and are supported by the real estate industry in over valuing and over selling in cahoots with mortgage brokers and supporting industries (e.g., title companies, appraisers, etc.) that have been making money hand over fist -- paid for by the working poor (or those who are barely middle class).
If banks, securities firms or officers of publicly-traded companies acted the same way as these rogue lenders, they'd all be prosecuted -- see: Enron, Tyco ad nauseum.
We've promised people the American Dream -- but it is no longer within reach of most people in this country. Now that the bad times are having an effect on the rich, we're suddenly finding that we're "in a recession" -- many of us could have told you that it started no less than 5 years ago.
Another Big Bush? America deserves better than that. Obama promises more.
Its not the cycle of the realestate market that is the major problem. Its the un-regulated packaging of bad loans which were sold as commodities on the market. You can blame the Bush administration for that, as they are "kings" of deregulation, and could have taken action to stop the practices. Anyone could see that we were in a bubble and it would burst. It was the responsiblity of thoses in charge at the time to mininize the damages... they failed. Its time for change.
It's hilarious how some people really believe that Barack Obama brings "fresh" ideas to the political spectrum. He's playing the oldest game in the book by spouting this whole "change" mantra and people are actually buying it. To watch his speeches, you'd think he was a faith healer the way people swallow his pitch hook, line, and sinker. But for the people who actually listen to what he's saying, it's obvious that there's zero substance there. All he does is preach to people about mythical "change" and try to convince you that McCain and Bush are the same. This latest speech is a perfect example--play on peoples emmotions, support some other democrats idea, stick it to the taxpayer, try to compare McCain to Bush, and tell us that is good "change." Everyone hold onto your wallets....
I think Barack needs a small lesson in the cyclic theory of economics. The current administration had little to do with the regulatory failure. This is a free market. I think we should allow the housing market to crash, so that the failing mortgage banks (you reap what you sow) can suffer the consenquences and go back to a regulated lender system. As for the people who thought they could afford ridiculous loans (which caused the dramatic rice in housing costs)...that shouldn't be my problem. You've already caused a ridiculous increase in housing costs and a high demand for living...why should I have to pay for your sorry butt's loan? I'm looking forward to a balance in the housing market, and will only sign a loan that I can afford and with a 20% down payment. I don't want to use my tax money to bail out both sides who thought they could cheat the market. Tough cookies.
Also - Barack Obama's lame gaffe at political division to explain the housing crisis is pathetic at best. Using the misfortunes of others for you political gain is also lame.
Voting whole-heartedly for McCain.
Voice of Reason,
A $10 billion new fund on top of the Federal Housing Administration program to secure the debt is a "conservative" fiscal policy?
A pair of commonly accepted definitions for "Conservative":
1. disposed to preserve existing conditions, institutions, etc., or to restore traditional ones, and to limit change.
2. cautiously moderate or purposefully low: a conservative estimate.
Capslock doesn't change the definition of a word, no matter how hard you try.
Wall Street owns the Republicans (or the other way around). The housing crisis is just another example of capitalist greed running amok. There needs to be restrictions, penalties, and follow-through, and only the government can do it.
The Democrats aren't much better, and no way Barack can deliver on even 10% of his promises (US is broke, folks), but I'll take whatever I can get. At least Barack is talking the talk. Hopefully, we'll see if he walks the walk.
I disagree with a bailout. It should be my right to swoop in and buy up the low cost property. Interfere with that and you interfere with the free market. That said I'm sticking with the candidate who voted against the murder of 1 million Iraqis. Obama is my pick.
Obama lost me as a Democrat a long time ago when he allowed his "people" to carelessly and falsely paint Hillary and Bill as racists. I would vote for Nader or McCain any day now before I would vote Obama.
ps - MORE than HALF the Americans who voted in this primary voted for HILLARY, NOT Obama, whether Obama and his people want to count them all or not..
I just love to read these comments and see how the people of this great nation is so scared for somoene to change the crap we are used to. My god people are you a bunch of idots, or are you all eleetest who can afforde this crap Bush and company has got us into. I think the real reason is the color of his skin, who gives a rats ass about who has the most experiences. Bush had all that and look what a mess his experiences has got us into. we need someone who is mre intune with the average americans who knows what its like to be born in a poor struggling home who will go to bat for the little guy. This is scareing the rich to death cause they may have to pay a few more dollars in taxes. well who cares you rich guys waste more on your next meal than most of us earn in a month. So i am for the person who is more likely to help me than the very wealthy like hillary and mccain who is used to living their who live with a silver spoon in their mouth.
Voting for BOB BARR... and all other candidates that support The FairTax!
See ya Hil-Bama and Juan McCain!
For all the people who voted for Presient Bush, voting for John Wayne Mcain I hope you enjoy 4.00 dollar, high food prices, low living wages, endless war in iraq I hope you all are just as happy as can be, because everything thats going on across the board and here in America is because of what your President has set the tone for, if you think Mcain will a good President you are just a delusional as the People who support Bush. I hope you enjoy your life of high price of everything and the losing of the American dream, as you can read my support is Sen Obama. Now I'm off my soap Box. thank you and have a nice life.
I just graduated college and am real glad that when I work hard to build a life for myself more money will be taken out of my paycheck to pay for the stupid mistakes of others. Excuse my language but, F*ck that. Is it my or the rest of America's fault that these idiots decided to live beyond their means or try and make a quick buck. Where will our country be in 10-15 years when my generation is still paying off loans because we struggle to live with exuberant taxes. I do not believe in many of McCain's policies but he is the lesser of all evils. I have an idea Let's screw the democracy our country was built on and become socialists. We are on that track any way. If we bail these people out where are the consequences that they and future generations learn from? Bailing out idiotic homeowners teachers future generations that
I don't suppose deregulation of the lending industry had anything to do with this crisis?
generations that it is ok to take stupid risks and live beyond their means because everyone else in the country will bail you out. Again, do not think about the here and now. Yes, our country will struggle with the inevitable recession; we will get through it. Think about how this will affect our country for future generations. Anyone who believes in this bill is probably an idiot who did live beyond their means. Sorry I'm not paying for your A$$. If Obama becomes president I am moving to Europe or Dubai. I refuse to live in a society slowly transforming into a socialist regime. And please if anyone can name any real policies or anything of importance that Obama has accomplished please please list them because I would like a nice laugh. He is a face and a smooth talker. Good Luck. HAHA
11% of the population think B. Hussein is a Muslim. The other 89% know he is a communist.
"eleetest " are you an idiot? you think that's the real reason, his skin color? what a cop out. just because he is half black or whatever is not the reason some of us dislike him. Lack of inexperience is scary as well as a pure bread socialist. Paychecks are for WORKERS.
Obama has begun to believe all that shuck and Jive he has been passing on as a replacement for the truth. Hopefully the rest of the country will soon be able to see through him before he can do some real damage.
More war is the answer ladies and gentlemen. I say earn that college money kids! Fight bravely for the Iraq people. Those people just love us over there. They hold our flag up high and salute our troops everytime they can. McCain is on the right track following the wisdom and vision of the greatest president we have had since Abe Lincoln.
Go Republicans in 2008!
Dear tim,
Does it strike you odd that uneducated people like yourself choose to vote for Obama. Your response is riddled with spelling and grammatical errors. "how the people of this great nation is so scared" the correct word is are. I bet you have no understanding of either candidates economic policies. ELITETESTS (check your spelling you were way off) are not the only ones affected by his tax plans. Middle income America will be severely hurt by his rise in taxes to help who the lazy uneducated part of America? Who lives beyond their means...the uneducated..."hmm screw my mortgage payments I want to buy me some rims for my new hummer" (good thinking there) or was it this "Wow I saw these people on tv flip houses and they made a good amount of money doing it. I can do that too" (you missed the housing boom because those shows were taped a year before) Tim your opinions are welcomed but please think before you speak. I just graduated college last week (Yes, somehow in our terrible economy I have a great job) but I come from a single parent household where my mother never asked nor wanted anything from the government. She worked 2 jobs to support and raise my brother and I. If this situation was going on when I was younger these new taxes to bail out everyone else would devastate our lives. Not everyone was born with a silver spoon in their mouth as you may perceive. They go to school work hard in order to make a better life for themselves and their family. Why should those type of people have to pay for your mistakes?
I can not for the life of me believe McCaine supporters. they all talk about bail out of home owners is crazy but if you notice they never say anything about bear Stearn and they were bailed out and that was a major co.on wall street but when it comes to American people let die????????I say let those brain washed comatose bush McCaine supporters go and take all their little sticky hands attach them to their mouths and shut up please!!!!!!!!!!!!!!!!!!!!!!!
Well said Tim. I think that we need a CHANGE. We cannot keep asking for respect if we do not provide respect as well for other citizens and our own citizens. The strength of a nation resides in the respect to its neighbor nations and the citizens of those nations. By the way, the entire world of nations are our neighbors, not only a few affluent ones. Mr. Obama's strength resides in that basic respect of human rights at home and abroad. We cannot ask other nations to clean their homes while we have a huge mess in our home.
Obama is a big LIAR. Americans, beware! Just don't be fooled by his false charm and sweet words. They are empty, and in the end are nothing but empty air and fickle wind.
Yeesh! You people are dumb, and dumb people vote for dumb politicians.
Yay! lets give stupid people our money through taxes to let them stay in their lavish homes that they could not afford even before they signed on the dotted line.
The problem with this country is the "give me" attitude. Pretty soon ol' Che Obama will sit in his thrown and laugh at all of us imbeciles as we burn our constitution and watch our liberties desolve increasingly worse than the last trecherous 8 years.
Rather you have a Republican Corporate lap dog, or a Democratic Socialist regime niether will provide the philisophical wisdom needed to turn this country back around. Obama and McCain are hacks. And democrats are dip$^%#. You want a true democratic outlook as to how this country will turn out if we keep giving these people power? Just take a gander a Cuba.
I want niether corporate control (McCain) or government control (Obama/Hilbot)
I will be voting "None of the Above" come November. If this is the best minds Washington can give us we're all doomed.
Out with the old and in with the new. I'm sick and tired of people sticking to and wanting to uphold these Bush policies that do not work. What America needs is change. Barack Obama can provide this change that America so desperately needs.
Needless to say voting for Obama
How did this county disintegrate to the point where people can make any dumb decision they want and somehow it is the presidents responsibility to get them out of it.
Be responsible for your own actions. What a concept.
What is funny is that many democrats and republicans both stress a need for change. What exactly has either party actually proposed to change? The only candidate willing to actually change things and make America the great power it once was unfortunately didn't win his party's nomination. Ron Paul is a man who is truly ready for change. He wants to give the power back to the people and the States, where the great founders of this country intended it to be, rather than in the hands of a bunch of ivy league lawyers/clones. Furthermore, he wants to radically change our foreign policy back to the way it used to be which seems to be of utmost importance to most liberals. Please provide me to a link that details the changes Obama intends to make to our foreign policy outside of his statement "We must bring the troops home." I challenge any and all people to pick up Ron Paul's book (The Revolution) or read through his thoughts on his web page. If you want a true candidate willing to bring REAL change to this country you'll write in his name like I am.
Rudy Wesley Sr.......Bear Stearns was not saved by the government they were bought out by JP Morgan Chase. Please if you are going to try and make a conceivable point please get your facts straight, its just shows ignorance on your part.
By the way, I have not seen one strong point made by anyone on this board about why this bailout is the right decision. All of you state "screw the rich, give to the poor, save us, blah blah blah." The taxes are not coming from the uber wealthy but the high to middle class. Just because someone lives in a nice home, drives a nice car, and lives a life of luxury should we punish them? They have mortgages and expenses and families to support as well. The difference between most of them (not speaking on behalf of trust fund babies) and others is that they worked their A$$ off to get where they are. You want to punish them because they took loans out for a college education, studied hard in school, and made something of themselves? Will you all listen to yourselves? Basically I hear this, "these people were smarter than me and worked harder throughout their lives not for themselves but to support me." Don't get me wrong, I do believe we should help SOME people who live in poverty. SOME people do work their asses off, SOME people have fallen on hard times and should be helped. I am not for those who use welfare and other government programs as a cop out to working and making a life for themselves. Do you want to send the message to future generations that it is ok not to work hard or study? That we live in a society that will bail people out who do stupid things with their money and can't handle the consequences? Some of you would be singing a different tune if you had entered the market at the right time and made some money. I have yet to experience either of those factors of the stress of dealing with a mortgage but I do know that bailouts are unfair to younger generations and should not be done. No offense, but how much more are the older generations going to screw the 20 some year olds of our country? You 1. destroyed the environment and it is now up to us to fix it, 2. Social Security...(YAYYY!! I pay into a fund of which I will never see one cent of)...the housing markets sucks because you can not control your money wisely...and now you all want bailouts to yet again screw future generations for your own self gratification. THANKS......I'm ranting and raving but all you Obama supporters sit there and say this and that....let me ask you. What has he done? He is a face and a talker. How much more ignorant to the ways of the world must you be?
to "Nora" @ #39: YOU need some lessons: Senator Obama said there were 57 CONTESTS, not "states"...when you count TWO elections (primary and caucus) in Texas, all of the U.S. Territories, AND the Dems Abroad Primary, it does add up to 57!
You closed-minded people are the ones with the problems!
Too bad for you!!
To those who said they were "smart enough" to read "the fine print", good for you! Unfortunately, not everyone escapes getting scammed by predatory lenders...and while YOUR house may be OK, what about all of the empty homes in your neighborhood? What happens to YOUR property values then?!?!?
All your holier-than-thou platitudes won't save your "smart" investment!!
McCain for years cries, "Deregulate!"
Now, financial crisis...
McCain cries, "Regulate!"
Obama, more than a year ago sent letter to Bernanke and Paulson predicting this current crisis.
If you want wisdom and foresight in your president, VOTE OBAMA as I surely will!
One thing is for sure. It will soon turn out, what is more important for Americans: to be self reliant and keep government as small as possible or to be helped by a "bigger" government in times of need.
And one I don't get: if it is the lenders who are in greater trouble, why the companies get the awful amount of money?
This blogger might want to review your comment before posting it.
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