I've been on the fence for a while about whether the proposed mortgage "bailout" is the right thing to do.
I believe very much in the free market economy and that what we do with our money is each individual's responsibility. The thought of using taxpayers' money to subsidize bad investments is horrifying to me, and only encourages unscrupulous behavior.
There is a large contingent of the general public that believes the same as my initial reaction, and some of them have gone public on a site called Angry Renter. There is a petition that you can sign that will be presented to Congress in opposition to what they are describing as, "
Congress is getting ready to pass a multi-billion dollar bailout of homeowners and their banks. That's right, Congress is going to use your tax dollars to bail out big banks and keep housing prices too high!"
A post on the Inman Blog echoed my doubts pretty much exactly:
No doubt, on the surface it does appear as if irresponsible investing
will be subsidized by taxpayers. But what angry renters may not realize
is that they will pay for these mistakes whether there is a government
bailout or not — in the form of depreciating home values, loss of city
revenues, and a dragging economy.
While I'm still on the fence, a little too able to see both sides, I'm curious to hear what you all think of the situation. Is this a tax on the responsible, to bail out the irresponsible? Or is it a necessary part of stabilizing our economy?