There are a growing number of people whom are opposed to a mortgage industry bailout. Programs such as NACA, FHA Secure, and the new ARM Freeze introduced by Henry Paulson.
While these program are designed to help ditressed homeowners, critics of the programs are not as happy about it. The beef with these new programs is that they reward people whom should have never been a homeowner or lender in the first place. People all across america who paid a down payment and recieved a 30 year fixed loan. They feel that doing the right thing has now become the wrong thing.
Opponents of these plans also site the fact that none of these programs will address the real underlying problem for people who owe more than their house is worth. They cite that those people, whether they are excellent credit risks or less than perfect, will still have no choice but to walk away from their home as there is no real benefit for years.
Many experts predict that the current housing crisis is the worst the country has seen since the great depression, and therefore housing prices will not rebound anytime soon. This may convince many borrowers to walk away whether they can afford it or not. They can rent for much cheaper until the housing market picks up again, perhaps 5 years or more from now.
