Obama Administration Sings New Tune on Foreclosures

The Obama administration is singing a different tune about foreclosures.

A year ago, officials focused on stemming the foreclosure tide. Now they are touting the need for foreclosures to rebuild the housing market.

Last week Phyllis Caldwell, head of the Treasury Department's Homeownership Preservation Office, told a congressional panel that "an important part of ensuring longer-term stability in the market is to enable properties to be resold to families who can afford to purchase them".'

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Comment by Mike Rivero

So, in order to justify NOT hanging the bankers whose over-subscribed mortgage-backed securities wrecked this nation, Obama is trying to sell you the idea that throwing people out of their homes on dubious paperwork, wrecking their credit, leaving the properties empty and subject to vandalism, leading to their eventual condemnation are REMOVAL from the housing market, not to mention the loss in property tax revenues to local communities, is going to "save" the housing market?

Of course what he really means is that allowing homes to be destroyed increases demand driving prices and mortgage debt back up, which protects the banks that have homes and home mortgages on their balance sheets, saving them from insolvency, with a few million homeless Americans a small price to pay for the greater good of Wall Street!