"The heart of the wise inclines to the right, but the heart of the fool to the left." Ecclesiastes 10:2
President Barack Obama was a pioneering contributor to the national subprime real estate bubble, and roughly half of the 186 African-American clients in his landmark 1995 mortgage discrimination lawsuit against Citibank have since gone bankrupt or received foreclosure notices.
As few as 19 of those 186 clients still own homes with clean credit ratings, following a decade in which Obama and other progressives pushed banks to provide mortgages to poor African Americans.
The startling failure rate among Obama’s private sector clients was discovered during The Daily Caller’s review of previously unpublished court information ( here) from the lawsuit that a young Obama helmed as the lead plaintiff’s attorney..
Since the mortgage bubble burst, some of his former clients are calling for a policy reversal.
“If you see some people don’t make enough money to afford the mortgage, why would you give them a loan?” asked Obama client John Buchanan. “There should be some type of regulation against giving people loans they can’t afford.”
Progressive activists’ ambition instead contributed greatly to a housing bubble that burst in 2007, crashed the nation’s economy in 2008, wiped out at least $4 trillion in equity, kept unemployment above 8 percent for four years, and damaged the intended beneficiaries of looser mortgage lending standards.” read the full story: here
And there is crux of the problem: Democrat policies. These are the policies behind Fannie Mae and Freddy Mac, both government controlled entities. Those who run them, ran both into the ground as they themselves (Democrats) became rich at our expense. This is the same problem which caused the housing market to finally crash the past few years: Democrat policies.
Under Clinton, the idea was to gain more black votes, by giving mortgages to people who couldn’t afford to pay them back — the whole idea behind a mortgage or loan, is ‘paying it back’. But Democrats, in usual form, played racial based politics with people’s desire to own a home.
These mortgage were literally forced on banks by Clinton’s Janet Reno, who threatened banks with government investigation if these policies weren’t followed through.
When it finally all began to fall apart, Barack Obama conveniently blamed George W Bush.
Democrats used failed polices of the past, over and over again. When they head south into the proverbial political toilet, the Democrats always point to Republicans.