The man was asked why first time home buying was significantly down in recent years. His answer was that too much regulation on the banking industry was causing lenders to be more cautious with their lending practices. He indicated that if regulations were eased lenders would be more apt to lend to first time buyers.
I was absolutely flabbergasted by that answer. I wondered if that man was delusional or just plain lying through his teeth. I suspect the latter. The reason first time home buying is down is blatantly obvious.
- Crushing student loan debt that will take decades to pay off.
- Dim prospects for meaningful fulltime employment.
- Low wages.
How can a young people just starting out afford to buy a home when they begin their adult lives buried in debt due to the predatory lending practices of unscrupulous institutions? Their degrees fail to deliver on high paying jobs and if they do find employment, it’s usually freelance, part time, or contract work.
This arrogant CEO was advocating more of the same behavior that crashed the housing market in the first place. When you think about it though, why should he care about the effects of irresponsible lending on the poor and middle class? He knows that he and his kind will get bailed out while the American people suffer. He’ll walk away with his golden parachute funded by American tax dollars and the rest of us will be left to pick up the pieces of a broken economy and broken lives.
In the end what began as a depressing day got worse by listening to a money grubbing liar who would sell out his country in the name of corporate profits. The saddest part of the entire interview was that not a single so called “journalist” called him out on his BS.
Not a single one.