The housing industry in America is now based on a failed business model. The banks making home loans participated in predatory lending, in an attempt to double-dip on their financial products. As we now know this greatly contributed to the recession we are currently in. Ironically the banksters are now too afraid to make new home loans, and as a consequence many foreclosed homes have remained vacant for years. Many financial institutions are finding themselves facing dereliction, not unlike the tenements they leave to rot. Instead of receiving partial mortgage payments the banks find themselves holding an empty bag. This is obviously a failed business model if I have ever seen one. I don’t know about you,but I would rather get a little bit of something than a whole lot of nothing.
I say no more golden parachutes, and no more bail outs. In a free market economy these failed businesses should be allowed to go bankrupt. Let the chips fall where they may. If the banksters want to put hard working Americans out on the streets, then they can suffer the same fate. Instead of attempting to salvage these colossal failures, our government should invest in it’s greatest resource we the people.