Behind Bush's retreat on housing veto threat: Half a loaf is better...

President Bush's decision to drop his objections to the monster housing bill pending in Congress suggests that in the closing months of his administration, he is willing to compromise to accomplish some of his most important remaining goals.

In this case, a $4-billion plan pushed by Sen. Christopher Dodd (D-Conn.) was the sticking point. The White House complained it would only help banks get reimbursed for foreclosed properties with which they were stuck but would do little to encourage the lenders to negotiate with struggling homeowners --and thus help keep people in their homes.

White House Press Secretary Dana Perino said this morning here at the White House that the president would sign the bill at the recommendation of Treasury Secretary Henry Paulson -- to give Paulson measures needed to overhaul Fannie Mae and Freddie Mac.

But the calendar was the key element: Were Congress not so near the end of its term, Bush would have vetoed the measure and kept fighting, Perino suggested, complaining that the Hill "waited until the last minute."

Indeed, Bush put forward the housing proposals last August.

"It is very essential that we move now," Perino said.

-- James Gerstenzang

Photo: Treasury Secretary Henry Paulson has recommended that President Bush sign the housing bill pending in Congress. Credit: Martin H. Simon

Comments

[FreeMarketer]

That picture is hilarious.. I can think of few captions for it.

[Jason]

Private profits. Public debt. This is the new Republcian socialism. Whodathunkit?

Get these fools out of here, they are totally clueless.

[NeitherOr]

The Bush plan to leave America a legacy of dishonesty, greed, bloodshed and financial ruin is nearly complete. A preemptive strike on Iran is all that's needed to seal the Bush administration as the straw that broke America's back. And I just read that Obama believes Iran is a grave threat - take the corporate line and run with it, Barack. Democrat or Republican, both answerable only to self-interest and both dedicated to our destruction.

[Terryeo]

It is unwise for a government to shores up selected, private enterprise. The government might purchase from private enterprise. That's one situation. But to shore up the private sector in this manner is not the right thing to do. We want a broad, flat playing field where every private enterprise has equal opportunity. We don't want state selected, state supported private enterprise. This will degrade our US of A.

[Cash M]

Why not put the taxpayers money to use for the tax payer? Why can't we have a bill that will help troubled families with bad mortgages the money to keep their homes? Use this money to help people get back on their feet? Why in gods name should we bail out the lender who hooked the people up with loans they couldn't afford but not help the people who are striving for the American dream? Ludicrous, and a true testament to the absolutely corrupt 'the land of the free and home of the brave'

[troy]

so let me get this strait, Bush wanted to help the poeople that are lossing there houses, But the Democrats are only interested in getting their big morgage friends their money back, and screw the little guy. That Doesn't make sence, from all i read from most of you, is that Bush should be driving the moving van for the losser, to the poor house. And then Dick Cheney going through their pockets looking for loose change. Or, maybe since BO is the leader of the Libs the world wil be perfect.
LOL

[losthope]

The Republicans are indeed lost, the Democrats were already lost. Please forget the idea that the government can help. Barrak is going to save you? I'm tired of the American People being the horse that these idiots climb on to ride into "Insert Middle Eastern Country Name Here" to be a hero.

[ReVeLaTeD]

The only issue I have with the bill really, is the FHA nerfing. Effectively, they're turning FHA into yet another mortgage program, which is NOT the way to go.

The better way would be to tighten FHA lending credit standards. Keep DPA and grant programs for eligible borrowers, just make it harder to get approved.

[Chris Pepper]

My sources tell me that the $7500 credit for first time home buyers is actually an interest free loan that needs to be paid back over the next 15 years. They're calling it a refundable tax credit. Pete Viles, I hope you see this.......

[anonymous]

Just when you think you can't be any more disgusted with the Bush administration....

[Peter]

I think those of us loosing our homes should have a "bail out", why are the big boys getting a "get out of jail free" card?

[Joseph...The Real Estate Guy]

We are now seeing the explosion of the "Option-Arms"...next wave is coming from FHA...

I was talking to a friend who is making FHA loans on Monday, and he told me how people are qualifying for these loans.

Even if borrowers don't qualify, they can get a non-occupying co-signer. These co-signers are not helping the borrowers make the monthly payments.

Government is only good at creating disasters!!!

[Joseph...The Real Estate Guy]

We are now seeing the explosion of the "Option-Arms"...next wave is coming from FHA...

I was talking to a friend who is making FHA loans on Monday, and he told me how people are qualifying for these loans.

Even if borrowers don't qualify, they can get a non-occupying co-signer. These co-signers are not helping the borrowers make the monthly payments.

Government is only good at creating disasters!!!

[Ryan]

Sit back and enjoy the show...I suggest for anyone interested in finding more about why these things are happening to take a long hard look into THE MAYAN CALENDAR...as it is all there....

As much as we hate what these people are up to and believe me I do. I believe there is a natural cleansing of those with negative intent about to occur. We may have some difficult times to go thru but, a destruction of the corrupt ways of our government and those elite powers that rule our reality may be just what we need to occur to advance the so called civilization...

Stay positive and follow your intuition!!!

[Cash M]

Bah Myan shmyan. What we need is a revolution. Set a trail for every single congress person for treason (giving themselves raises while screwing over the people they serve) Since the conception of the federal reseve bank (which is privately owned mind you) this country has only serve for the benefit of the rich. We are the people, we are the government. If your sick of it get out and make some change happen, organize against the machine, fight it as best we can within the system and if that doesn't work then cast out the system.

232 Years ago a group of men gathered together and released themselves from a corrupt and oppressive system, where are those who would follow in our founding fathers footsteps?