An article in Investor’s Business Daily recently pointed out the the FHA issue is likely to get a lot more national attention as the ’08 presidential campaigns ramp up:
The meltdown in subprime loans is a made-for-TV political extravaganza debuting just in time for election season — especially as more Americans keep losing their homes.
At least, that’s the way economist David Shulman sees it. He expects “show trials” before Democratic congressional committees to begin this winter, replete with testimony from distressed homeowners.
But so far the gloves have largely stayed on as regulators and lawmakers grapple with ways to help an estimated 2 million U.S. homeowners who have lost or are about to lose their homes — not to mention fix mortgage lending excesses that led to today’s debacle.
“A lot of it will be bipartisan, at least initially,” said Shulman, senior economist with the UCLA Anderson Forecast. “Both parties will try to show how sensitive they are to homeowners.”