There’s a lot of talk nowadays about how much the government should be intervening with our economy and housing market. Many believe Washington is simply throwing money at a problem and will never solve it. Many also believe that without the government’s help, we would be in a far worse situation than we currently are.
I personally feel that it is time to let everything take its natural course. Let the foreclosures happen and stop of the bailout, tax credits and subsidized mortgages. Clearly, what our government has been doing is not working and spending more money on the same programs won’t work either.
I think the best way to get out of the mess we are in, at least in terms of the housing market is to get rid of the ridiculous lending qualifications to allow able home buyers to find a loan, but continue to keep strict guidelines in lending practices. Meaning, lenders need to be willing to accept applications from less than perfect borrowers, but do their due diligence to ensure the lowest risk.
What do you all think? Leave a comment and let me know.