Obama Mentions the Real Estate Market on the Daily Show

by on General

Obama Speech

Throughout the presidential elections, both candidates have steered clear of discussing the real estate market for various reasons including the fact that there is not a simple solution to the issue. Furthermore, real estate market progress is underway and honestly a single policy would not necessarily speed up real estate market recovery – or would it?

Obama and the Real Estate Market

Many people who have faced foreclosure, or who have underwater mortgages, have cried out to President Obama to help alleviate some of their struggles. However, many of these same people complain that Obama has failed to adequately address the issue, citing the failures of Obama's HARP program.

Although HARP has helped some struggling homeowners, it has failed to reach as many people as the program was designed to assist.

Obama Bring up the Topic of the Housing Market

Last night on the Daily Show, President Obama actually brought up the real estate market in the interview without being prompted. Specifically, Obama said that he has tried to implement a policy that would provide individuals with underwater mortgages an opportunity to refinance, putting approximately $3,000 back into their pockets at the same time.

According to Obama, this $3,000 would either be put back into the housing market or into the overall economy – basically, he was saying that if these homeowners were provided with a $3,000 check that the money would be spent and act as a stimulus for the overall economy.

However, Obama was clear to say that despite this plan that would alleviate the burden for many struggling homeowners, the policy has not been implanted due to the Republicans in Congress.

At the end of the day, Obama has plans to help the housing market and overall United States economy make progress; however, the inability to obtain bipartisan agreements on the Congress level has essentially halted many of these plans from being put into effect.

HARP vs. Proposed Policies

Many people claim that Obama already had the opportunity to make refinancing easier for struggling homeowners with HARP, so why would Congress support another similar plan? It is essential to understand that HARP only provides assistance to individuals with mortgages owned by Fannie Mae and Freddie Mac. Although Obama supports making HARP available to those with loans that are not secured by Fannie Mae and Freddie Mac, this initiative requires congressional approval, which is nearly impossible to achieve with the upcoming Election Day and Congress's refusal to pass bills that would give either party an edge over the other.

In conclusion, Obama claims to have policies that would help alleviate the stress of struggling homeowners by providing a refinancing opportunity that would not only reduce their mortgages but also put money back into the economy. However, these plans are essentially at a standstill due to Congress's inability to get on the same page long enough to pass essential bills and policies that would help struggling Americans.