Page 21 - Housing Problem News Today

At the drop in housing prices, look at the spike of unemployment, look at the same numbers in california or new york, i look at that data and then i look at the cost of health care which is the underlying problem whether its medicaid, medicare, the pension system. i do not care. and i look at our health care system which costs double any other western nation that doesnt have competition, that does have a fee for service doctoring model that ratchets up the price. how is it that we can say were g...

How is it that we can have a budget debate where we deal in -- forgive my french -- fleas on a dogs behind when the problems are trillion dollar problems, housing problem, employment problem, our health care is twice what it should really cost. and were sitting here saying were going to cut your $24,000 pension. >> dylan, im not surprised. ive been in sacramento for 14 years and politicians have a tough time making tough decisions. theyre just afraid. right now they just pushed it down the road ...

Supported anymore. should the government been in there in the first place? housing prices would have fallen farther and faster and bigger shock to the system. that would have been a free market result. maybe the government should get out of there and let housing prices fall 30-40%. but we should also get rid of the mortgage tax -- the interest deduction for the middle class and have absolutely free market and let the housing markets fall 50%. >> david: mike, is the government helping or hurting ...

Have really flattened out in the last year. and while it is true that most economists expect a small dip from here largely as a consequence of the ending of the tax credit, the data doesnt show that at this particular stage. in home prices stay stable, then i think we will skirt the worst of the housing problem. but right under this current price level, maybe 5% to 8% below is a very large block of mortgages which are under water so to speak or could be under water. and that would induce a major...

Last year. and while it is true that most economists expect a small dip from here largely as a consequence of the ending of the tax credit, the data doesnt show that at this particular stage. in home prices stay stable, then i think we will skirt the worst of the housing problem. but right under this current price level, maybe 5% to 8% below is a very large block of mortgages which are under water so to speak or could be under water. and that would induce a major increase in foreclosures. forecl...

The average of those two is what we are looking at but they are fundamentally separate. >> if you add in the housing crisis, which remains a crisis, do you think its possible that we get this double-dip recession that a lot of people fear? >> it is possible if home prices go down. home prices, as best we can judge, have really flattened out in the last year. and while it is true that most economists expect a small dip from here, largely as a consequence of the ending of the tax credit, the data ...

Afloat. >> the homeowner gets to stay in their home. that is a great value for anybody. >> not that were just saving homes. were saying marriages and in some cases saying lives. its that personal. >> washingtons loan modification program has been criticized for not doing enough to help homeowners. treasury secretary timothy geithner admits its off to a slow start but says the administration is tackling the ongoing housing problem. >> we brought a measure of stability to housing prices, interest ...

Senator judd gregg of new hampshire is on the budget committee. gentlemen, im going to keep this real simple. the mess we got into when the prices went down. when the money they owed higher than the value of the house. they walked. a lot of the mortgages were created in or built into securitized securities, if you will, bundled together as value. they turned out to have no value because people were walking away from their mortgages. is this bill going to solve the problem, senator brown? the pro...

Debate about that. >> can he focus like a laser beam on the economy if he havent focused in on the housing problem. you have agencies that take on guarantee 90% of the mortgage debt and youre still not reforming them. >> again, theres a process thats under way to do that. understand in a fragile economy and certainly as you mentioned a fragile housing market, we cant do everything at the same time. we put in place a financial recovery plan that is growing the economy and adding jobs. were on the...

Well, were going to reform fannie mae and freddie mac. as you said, we have a very volatile housing market and we have to do that in the right way. thats not an excuse not to leave in place the rules that brought us this financial calamity. democratic and republican candidates will have a great debate about that. >> can he focus like a laser beam on the economy if he havent focused in on the housing problem? you have agencies that take on guarantee 90% of the mortgage debt and youre still not re...