Better Housing Plan

I have a better plan, Well we all know that those bad loans on the bankers books are due to fraud. Now I’m not saying it’s all the bankers and investment houses fault, but I do know they played a big part in it. It’s like gambling when your winning every thing is great. But once the losses start coming in it’s a different story.

But thus far, all that has been done is they have been rewarded for their lack of ethics and integrity. Now the big question is how do they sell the bad debt and get it off of their books.

My answer is pick a number between zero and One- thousand -two- hundred and fifty dollars. Now most people would think, that is two low for a mortgage. Well the way I see it, the banks are going to write it off as a lose anyway, one hundred percent. Then they are going to try and collect on the debt, one hundred percent. That which they can’t collect, they will sale to some collection agency for pennies on the dollar. So to me it makes better since for the taxpayer, via the government to buy all these bad mortgages from the banks and stop all the unnecessary bull..

The Government can then sell these houses for which they own, to people at a reasonable cost. Let say from five thousand dollars on up, But no higher then fifty thousand dollars. This way the 50 billion that we are about to waste can buy all the bad debt, and the micro sales of the houses will make housing available for everyone who really want a house. The house sale can have an investor clause that all investors in order to participate, will have to self finance the houses they buy, when hey make a sale, and disclose what they are selling a property for, plus they can only buy a maximum of 10 properties in any area, and that they must pay cash, and that individual home owners get the first crack at all properties..

Now the individuals can get financing from the government since no money would have to change hands because the government would own the property tied to the bad debt anyway. Since they own Fannie Mae and Freddy Mac now anyway, their system could control the properties and payments. If not they can create more jobs by creating a new agency to control and sale the houses, and collection of payments. Wild more government jobs. And since the government would own the mortgages, and properties, they could get rid of all that closing cost mess, and just let people pay taxes on the sale price, and then register the purchase at the court house.

Now what this would do is stimulate the secondary home market, it would give the banks the money they need, it would get the bad debt off of the banks books so maybe they would start lending again. It would create millions of new jobs, it would allow all levels of income people to afford, and by these homes, and it would get the tax payers money back. Can it really be that simple, I think it can be, when you get rid of the every day genius and let the common man use common sense to solve a common issue. But then again it’s just my opinion.