McCain Does About-Face On Housing Rescue Bill

Our guest blogger is James Kvaal, Domestic Policy Advisor at the Center for American Progress Action Fund.

mccainThat was fast.

Only days ago, McCain advisor Douglas Holtz-Eakin dismissed Sen. Chris Dodd and Rep. Barney Frank’s mortgage rescue plan – also endorsed by Sens. Clinton and Obama — as “throwing money at problems.” He said it had “the potential to do more harm than good.” Meanwhile, Sen. McCain gave a major housing speech in which he “more or less came out against aid for troubled homeowners” and his hands-off approach drew comparisons to Herbert Hoover.

That’s all changed. Yesterday, the Senate voted 94-1 to move ahead with a housing rescue bill, and now McCain’s for it too. Last night Holtz-Eakin called the Senate action “progress.” And today he said that the Dodd-Frank proposal reflected McCain’s principles and McCain may support it.

For homeowners, it’s a welcome about-face.