The USA Today tells MHProNews.com an op-ed piece by Congressman Spencer Bachus, R-AL, Chairman of the House Financial Services Committee, says we need more private investment that create jobs, not more failed government programs. Saying Pres. Obama’s policies have failed to help struggling homeowners and the programs are too expensive, he adds the president’s newest plan will shift the burden of underwater mortgages from the banks to the taxpayer. Noting the Federal Housing Administration (FHA) is holding $1 trillion in loans with only $2.6 billion in reserves, Rep. Bachus suggests FHA may need a bailout, much like what the government did for Fannie Mae and Freddie Mac. Job loss is the root cause of most foreclosures, he says, and the House has passed and sent to the Senate 27 bipartisan bills that the Democrat-controlled Senate has not brought to a vote. He also says the president needs to support more private participation in the mortgage market.
(Photo credit: Rep. Spencer Bachus)