As a republican, it was disappointing to see Sarah Palin push the blame of the sub prime crises onto Wall Street. This was strictly political posturing to feed the American public what they want to believe. Sub prime lending began under President Clinton in the mid 1990’s when he endorsed a mandate to increase home ownership to the economically disenfranchised. Ironically enough, this included mainly minorities. Under this new democratic mandate, loan approval to Black Americans went up 229% while loan approval to Hispanic Americans went up 244%, while non minority loan approval to those economically disadvantaged increased 62%. Standard loans requirements of requiring a home buyer to have at least a 3% down payment were removed, and the allowable debt to income ratios were increased. Simply, just like affirmative action, the government set these home buyers up for failure. The historical loan qualification standards were in place for a reason. They were barometers and indicators for affordability. To legislate the softening of loan requirements, as the Democrats have done, was imply committing financial genocide for the sake of buying votes and standing up for the little guy. The record in unequivocal in its assignment who is responsible. We need not listen to political bantering and interpretations of what actually transpired. These fools are on video, with their words and their votes. Unfortunately, those home buyers who got something for nothing are now clamoring for more of the same and following the pied piper who is luring down another rabbit hole of false illusions. Americans need to stand up and understand that when someone gives you something, there is always a price to be paid- Nothing is free and be wary of the politician who tells you it is. Run as far and as fast as you can from the politician who begs you to believe that it is okay to take from the rich and give to the middle class. When people get equality in this way, they will only demand more when they spend their spoils. And what will happen when the government goes back to the golden goose and there are no more golden eggs.
W Daniel Tate
Phelan
760-964-4976.