Price easing

Daily Real Estate News  |  March 27, 2008Paulson: Price Easing was 'Inevitable'
The U.S. government shouldn't interfere with a drop in housing prices, but should strive to minimize the impact on the economy, U.S. Treasury Secretary Henry Paulson told a meeting Wednesday of the U.S. Chamber of Commerce.

"A correction was inevitable and the sooner we work through it with a minimum of disorder, the sooner we will see home values stabilize, more buyers return to the housing market, and housing again contributing to economic growth," he said.

He was critical of those who walk away from mortgages that are under water. "Washington can not create any new mortgage program to induce these speculators to continue to own these homes, unless someone else foots the bill," Paulson said.

Source: Reuters News, Glenn Somerville (03/26/08)