Saturday, February 4, 2012

Another Obama Scam?

Top US Scam Artists.  (c)
We previously disclosed the abject failure of Obama's last plan to help homeowners in 
mortgage trouble, where Freddie Mac squandered $3.5 Billion and homowners got screwed. 
Now, Obama is following the same template and wants to deposit another $10 billion into the 
same black hole, announcing it could SAVE home-owners $3,000 per year on their mortgage bill.

Click here for related story
 [Huffington Post]
Your real estate tax will go down.  (c) Toles
Once again, it SOUNDS like a good idea, but then, so did TARP and Solyndra and the billions Obama pumped into Green programs -- the only success of which was the financial aggrandizement of the scam artists running those programs.

So now, Congress is supposed to jump on the bandwagon and authorize another $10 Billion to funnel into the pockets of his favorite campaign contributors?   Freddie burned through the first $3.5 Billion in a heartbeat, and screwed the very people it was supposed to be assisting by blocking their refinancing opportunities, while it invested in enterprises by which it could profit.

The requirements for refinanced loans under this program include
1)  The homeowner can't be behind on payments
[those in primary need of assistance]
Active White House Virus; Congress Beware (c) cllrandrewjames
2)  Minimum FICO score of 580 [most home-owners in trouble are weathering bad finances]
3)  The homeowner must be employed [eliminating retirees and job-hunters  -- those most in need.

So, essentially, if you have a job, a good FICO score, and you've never missed or been late on a mortgage payment, you can qualify for this program -- and you'll qualify for this program, if Freddie doesn't spend the money on something else first.

The probability, though, is that if you meet all these criteria, you've already refinanced your mortgage to a lower rate, and your monthly mortgage bill is about as low as it's ever going to get.  For the homeowners this proposal is SUPPOSED to help, they won't qualify, and $10 Billion will be available to Freddie Mac to once again "invest" [read: squander].

TRUST ME!                   (c)
Now, to make taxpayers feel better, Obama proposes to pay for this program by levying a fee on banks.  Using history as a reference, such fees are ALWAYS passed along to the consumers in one form or another -- usually as an indecipherable fee included in the Closing Costs appearing on HUD Form 1.  Rest assured, this will become a PERMANENT fee which will apply to ALL home purchases, by ALL home-buyers.  It won't ever go away.

So, who will get this $10 Billion largesse?  Freddie Mac, Fannie Mae, and more Friends of Obama.  In the process,  banks will have to pay more fees to Freddie Mac and Fannie Mae, and new fees will be federally authorized to add on to HUD Form 1 -- raising the cost to homeowners, once again.

Once again, we hope Congress can see through still another expensive Obama scam.
 [Naah!  Never Happen!]