[quote author="tmare" date=1235013635]Somebody please tell me who in the hell in California who bought in the past few years, is in trouble with their mortgage and will be able to benefit from this ridiculous 105% of value rule? If the government is trying to solve a problem, this definitely won't do it. Being underwater and having a 105% value loan save you is more like a professional swimmer who is treading water, most people in trouble ,in CA at least, are people who are at the bottom of the pool and need CPR. Maybe this isn't designed to help California foreclosures. I guess the 105% might save some but it's likely these people already would be able to work out their problems on their own without government help. Will this help out in the rest of the country, are there really that many people in trouble but only underwater by such a small amount? I can think of a few people I know in trouble and they would probably need a 150%-200% loan for this stupid idea to work for them.</blockquote>
Let me be blunt here: Obama is not worried about California, or the economic crisis, or the personal plight of your average homeowner. He is worried about voting blocs, gaining seats in the House and Senate, and re-election in 2012. In order to accomplish his goals, he will say whatever he needs to in order to sell the bill he's pushing. What he will not do is waste money or time in a solidly Democratic state like California, as evidenced by the HUGE disparity among states and the amount of benefit from the "stimulus" package. He will not try to help homeowners who were responsible yet are suffering from others irresponsibility, as evidenced by the program announced in Mesa, AZ. His programs are designed to benefit voting blocs that might swing unless they are rewarded or enticed with his brand of help, hope, and change.