Our guest blogger is James Kvaal, Domestic Policy Advisor at the Center for American Progress Action Fund.
Inside the Beltway, the housing crisis is finally hitting home: the value of Ben Bernanke’s home has fallen by $250,000 in the last few years.
Maybe that’s why Bush officials are finally considering steps to rescue struggling homeowners. According to today’s Washington Post, their idea is to move families into new, more affordable mortgages backed by public funds, similar to proposals from Rep. Barney Frank and the Center for American Progress.
Details aren’t available for a week or longer, and the plan is expected to help far fewer families than the 2 million reached by the Frank plan. Still, it’s an encouraging sign the Bush officials are finally recognizing the need to get beyond conservative ideology.
So when will John McCain get on board? Last week Sen. McCain pleaded with lenders to voluntarily help homeowners – like Bush officials have tried unsuccessfully for more than six months. If he stays on his current schedule, we can expect him a real housing plan sometime around September.