It’s Time to Uproot the Real Cause of the Mortgage Crisis
Seeming to place the blame on the backs of the economically disadvantaged may seem tacky, but many posters here have pointed out that the practice intended for this group was expanded to all potential homebuyers. Also, the well-intended program to allow the “poor” to be able to buy homes was poorly conceived and fraught with problems.
At the root of the sub-prime/disadvantaged buyer concept is the pernicious philosophy that those who are working class or less should be entitled to the trappings of middle class life, even if they themselves don’t have the means to sustain it. Such practices drain us all as well as creating resentment from those others who actually earned their homes, cars, upscale apartments (Section 8 is that well-meaning but bone-headed program to provide subsidized rentals to those who would otherwise be living in public housing) and high-end consumer goods.
It makes a lot more sense to do what is necessary to expand the economy to provide more opportunities for the “disadvantaged” to earn incomes that enable them to afford better everything without any subsidies. If such groups must be targeted for preferential treatment within the context of a growth-oriented economic policy, it might make short-term sense.
