KommonCents: Fishing for more voters: homeowners, teachers unions, along with illegals

Thursday, August 5, 2010

Fishing for more voters: homeowners, teachers unions, along with illegals

`AUGUST SURPRISE: OBAMA MULLING MORTGAGE RELIEF PLAN?...`

Main Street may be about to get its own gigantic bailout. Rumors are running wild from Washington to Wall Street that the Obama administration is about to order government-controlled lenders Fannie Mae and Freddie Mac to forgive a portion of the mortgage debt of millions of Americans who owe more than what their homes are worth. An estimated 15 million U.S. mortgages – one in five – are underwater with negative equity of some $800 billion. Recall that on Christmas Eve 2009, the Treasury Department waived a $400 billion limit on financial assistance to Fannie and Freddie, pledging unlimited help. The actual vehicle for the bailout could be the Bush-era Home Affordable Refinance Program, or HARP, a sister program to Obama’s loan modification effort. HARP was just extended through June 30, 2011.

The move, if it happens, would be a stunning political and economic bombshell less than 100 days before a midterm election in which Democrats are currently expected to suffer massive, if not historic losses. The key date to watch is August 17 when the Treasury Department holds a much-hyped meeting on the future of Fannie and Freddie. A few key points:

Pelosi Calls House Into Special Session Next Week

Making her announcement via Twitter, @SpeakerPelosi has announced that she will call the House into a special session next week. The purpose of the session is to vote on a $26.1 billion states bailout.

As we noted earlier today, the states bailout contains funding for teachers unions.

Please contact your Congressman and urge them to vote no:

Click here to contact your Congressman.

Click here for a list of vulnerable House Democrats.