For the Uninformed...

Anyone that thinks the housing crisis was not a product of policies from the previous administration, is just plain uninformed. Here is a clip from an article written in 1999.

From New York Times, Sept. 30, 1999

Fannie Mae, the nation's biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits.

In moving, even tentatively, into this new area of lending, Fannie Mae is taking on significantly more risk, which may not pose any difficulties during flush economic times. But the government-subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980's.

Full Article

So to all those that think this current economic strain was not foreseen many, many years ago. please get your facts straight before you come to the table.

It is unfortunate, that the Democrats and Liberals in Congress blocked any legislation that would have increased the oversight into this government backed financial sieve.

The Bush administration today recommended the most significant regulatory overhaul in the housing finance industry since the savings and loan crisis a decade ago.

September 11, 2003