We can't afford their dreams today

By: The Editorial Board | GoDanRiver
Published: February 06, 2012

To the editor:

One of President Bill Clinton’s visions for America was the “National Homeowner’s Strategy.” In the 1995 ceremony announcing the plan, President Clinton told us “homes were more than brick and mortar. They were part of the intangible promise of America.”

The strategy addressed three sectors of the market:

» families paying high rents but could not save enough for a down payment;

» lower-income families that could not afford mortgage costs; and

» families historically excluded from homeownership.

A policy brief produced by the Department of Housing and Urban Development the same year foreshadowed the future:“… many external factors can affect whether and at what rate a home’s value increases or decreases” and “economic downturns can result in job lose and, eventually, foreclosure.”

Families that could not get conventional mortgages because they couldn’t save a down payment or afford loan costs had to turn elsewhere. In 1999, Ameriquest became the first sub-prime lender to have its loans financed by Fannie Mae.

Party lines had nothing to do with this dream. In 2002, President George W. Bush spoke of an “ownership society.” His goal was to create 5.5 million new minority homeowners by the end of the decade. President Bush’s program was the “American Dream Down Payment Initiative.” Fannie Mae and Freddie Mac committed more than $440 billion to minority homeowners.

Today, nearly a quarter of Americans owe more on their homes than they are worth. Fewer Americans own homes now than in 1998.

Many of our leaders believe they can mold our society and economy to their dreams by decree. Mr. Clinton and Mr. Bush, your dreams in 1995 and 2002 have today become America’s nightmare.

Please, Washington, we can’t afford any more of your dreams of grandeur.

JERRY GRUBB

Danville

We can't afford their dreams today

Share This:

More from this channel:

Reader Comments

Deal of the Day

Be the first to know!

More Ways to Connect

Top Videos

Most Popular