The House of Representatives voted last week to end HAMP, which is the Home Affordable Modification Program. It is scheduled to run nearly two more years.
In terms of cost, HAMP is far under the $30 billion estimate that the Treasury set aside, having spent only $1.2 billion so far. Guess that’s what happens when distressed homeowners can’t get banks to talk seriously about these government-sponsored loan modifications.
The bill now moves to the Democrat-controlled Senate, where it stands little chance of getting the votes needed to take HAMP off life-support. The bills will never make it out of the Senate and, even if they do, the President will veto. Can you say a HUGE and colossal waste of time? America, you’re paying for this Republican vs. Democrat chess match that should have ended in a stalemate a long, long time ago. The Republicans proposing these program closures know it’s a waste of time, they just want to CYA (cover their own asses) while still looking good to their constituency. That’s what American politics has become—CYA, clever sound bites, not doing anything to upset your voters and sticking with your party no matter what the issue.
Meanwhile, well over a million Realtors are somehow supposed to squeeze out a living, when first-time buyers are scared to death to commit to a 30-year loan, unemployment is high, mortgage approvals are extremely difficult to get, foreclosure rates are through the roof, property values refuse to stabilize with any certainty and an unknown amount of shadow inventory is lurking around the corner. And that doesn’t even take into account the negative affect on all the builders, construction workers, home inspectors, property appraisers and companies who make products for the home building industry.
So “thank you” to both Republicans and Democrats for doing essentially next to nothing of value to help America out of this recession. While you’re arguing and grand-standing, more Americans are losing their homes, their jobs, their medical insurance, and their belief in the American dream. You have done FAR more harm than good.
