Democrats defeat GOP plan on mortgage rates (Schumer, Nevada, government)

[Kootr]

Democrats defeat GOP plan on mortgage rates

WASHINGTON (AP) — A plan by Republicans in the Senate aimed at pushing mortgage rates lower has gone down to defeat at the hands of Democrats.

The plan by Nevada Republican John Ensign would have encouraged banks to issue mortgages with interest rates of 4 to 4.5 percent. The government-controlled mortgage giants Fannie Mae and Freddie Mac would have bought the mortgages on the secondary market. Jumbo loans would have been ineligible.

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The Associated Press: Democrats defeat GOP plan on mortgage rates

[EinsteinsGhost]

Perfect... so now the republicans want to reinflate the housing bubble, by government intervention, dictating rates and such.

[ViewFromThePeak]

For once, the Democrats are either directly or indirectly supporting the free market by not allowing the overextended soccer moms and gadget geek hubbies to refinance courtesy of the taxpayer.

[delusianne]

"New York Democrat Charles Schumer said the plan was too expensive and would provide a windfall to banks charging fees to refinance mortgages."

[saganista]

There's already a thread about this...