The bad news, Sen. Dick Durbin’s (D-Ill.) attempt to keep people in their homes ran up against bAdmin’s Let Them Eat Cake policy (via The Washington Post):
The Senate on Thursday rejected a Democratic proposal that would have rewritten bankruptcy law to help struggling mortgage borrowers, while moving ahead with debate on a housing market rescue bill that includes a $6 billion tax break for home builders.
The Durbin amendment — which would have affected only mortgages already in place upon enactment — was opposed by the influential banking industry and Republicans, who were joined by 11 Democrats in voting to kill it.
Banking lobbyists and Republicans said the Durbin amendment would intrude on contracts and drive up interest rates.
After protecting the banks who haven’t done a single thing wrong and need lots of rest during the ordeal that may leave some CEOs with two houses, three apartments for mistress storage and five vacation homes to lay their weary heads, Durbin’s more obedient colleagues turned their attention to more acts of charity (via The Washington Post):
The $15 billion Foreclosure Prevention Act of 2008 … is drawing fire from critics who say it would do little to actually prevent foreclosures. The bill contains a $6 billion emergency tax break that would let companies use losses from 2008 and 2009 to offset profits earned over the previous four years, instead of the usual two-year time frame.
Phew! I was worried home builders would have to bear the brunt of difficult times like the rest of us.
Jerry Howard, chief executive of the National Association of Home Builders, said in an interview that the tax break is “very important to the building community.” It will keep many small homebuilders out of bankruptcy, he said, and will prevent large builders from having to liquidate assets.
Oh noes! Not teh liquidated assets! Those smell soooo bad! But the NAHMBL isn’t insensitive to the effect these tough economic times are having on the consumer. That’s why they’re working on a line of very affordable dwelling for the average buyer. Here is an exclusive preview: Continue reading