At some point we need to understand what is proper Real Estate lending practice and what is not.
Ok Fannie Mae has asked for more money to make more Real Estate Loans. Great, on one condition! I have seen angry lawmakers scold these officials, however I have not seen a permanent solution to the beginning of the problem. I have seen a temporary change in the guard, however I have not seen permanent laws and regulations to keep another disaster from coming down later.
I am all for keeping these institutions. I think they are vital to our economic stablity. The only thing I am saying against this is never should business the old way be tolerated, ever again. It appears we used the real estate bubble to hide more severe economic problems. These problems could have been dealt with in 2002, 2003, 2004 or now on top of the real estate bubble breaking and higher oil and energy prices.
I hope Washington has learned from this mistake.