Hmmm…. maybe time for a wholesale principle reduction financed by the banks themselves? Yeah!…that’s it!… they can use all the money the taxpayers gave them to keep them in business while the country fell into the biggest recession and housing crash it has ever seen.
What is surprising though is the ongoing lack of serious attention given to housing finance reform, especially after the Fed’s repeated warnings that housing is a major headwind in the macroeconomic recovery outlook.
via Politicians Overlook Role of Housing in Economic Recovery.