Can't afford CFC to fail

Quote from codedeep007:

only to see million of Americans to lose their home because a few billion dollars?
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Even if the fed adjusts rates leading to lower mortgage rates, I don't think will help the subprime homeowners who maxed out their mortgages and can't manage it now and also can't get a bank to consider lending to them at a workable rate at a loan-to-value ration that covers the payoff of the old mortgage, since housing values have dropped and their credit is not so good. I just think plenty of folks too too big of a risk on their house -- buying to much in some cases, buying at all in other cases. I'm not sure these folks should be bailed out. Not that I don't feel bad about the situation, but really, investing in something (including your primary house) involves risk management and accountability. Rising rates and lower values were always realistic possibilities, and if the worst case scenario was too bad, the alternative was to buy a cheaper house or wait to buy until one fixed up ones credentials and could get a better rate. Sounds cold, but like I said, I do feel bad, especially when children are involved, but I guess I also feel like we all must not just grab for what we want without looking at the consequences.

Bailing out CFC will not help these folks.


Kris
 
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