And while we believe that all Americans should have access to affordable, quality housing, our goal is not for every American to become a homeowner.
Those are the exact words of Treasury Secretary, Timothy Geithner, in his prepared testimony before the House Committee on Financial Services!
What does this mean?
In short, it means the current administration is shifting its “Housing Focus” from one of “Pro-Homeownership” to one of “Pro-Renter”. Mr. Geithner, and his peers, want to privatize the mortgage market, through the elimination of Fannie Mae and Freddie Mac, and subsidize the rental market through the FHA.
The Administration will explore ways to provide greater support for rental housing. One option would be to do so by expanding FHA’s capacity to support lending to the multifamily market.
What does that mean?
That means, if the current administration has its way, it will become almost impossible for people with low incomes, and more difficult for people with moderate incomes, to own homes. On the flip side; those wealthy enough to afford the new, privatized mortgages will benefit immensely by their new ability to purchase “multi-family” housing (subsidized by the FHA) and collect rent from those less fortunate. Now that’s the true definition of Redistributing Wealth!
Is there still hope of one day realizing the American Dream?
Of course there is. These things have not happened yet and they may not happen at all. But, to be on the safe side; if you are ready, willing and able…DON’T HESITATE! For the rest of us; we, as Americans, must decide which America we want. For a more thorough and informative post on this subject, please read Redistributing Wealth to the Rich?
What are your thoughts, beliefs and/or opinions?