Sunday, January 8, 2012

Will the government takeover of Freddie Mac and Fannie Mae help end the housing crisis sooner?

That's a good question. Since there is no shortage of housing it's not exactly a crisis. There are more units on the market than the market can absorb so, the the extent that it will help to keep money available to be lent to buyers, it may help. But it doesn't help to increase the national debt and cover the bad loans on the books. The economic future is not going to be easy contrary to what some folks are telling us.

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