Obama Administration to Spend to Spend 4.2 Billion to Build Housing Projects, I Mean Affordable Housing

I would support this measure ONLY if each member of Congress and President Obama allow at least one of these "affordable housing" units to be built directly next door to their own house.

“I’ve always said the American dream should be a home - not homeownership,’’ said Representative Barney Frank, chairman of the House Financial Services Committee and one of the earliest critics of the Bush administration’s push to put mortgages in the hands of low- and moderate-income people.

Amazing how Barney can say this with a straight face.

oh, and since this thread is critical of a govt. program, please don't forget to report me to the White House:

flag@whitehouse.gov

barney frank absolutely sucks

Well obviously Barney Frank sucks. Nothing new about that revelation.

NYC has a glut of inventory to make housing affordable why build more?

i think this is great. it might help to lower home prices to keep them in line with incomes, homeownership is overrated anyway.

admin, projects don't work. they create slums. The 80/20 buildings in NYC work better and maybe instead of building housing, society should just hand out checks for those it feels are deserving of subsidized housing instead of spending tax payer money on building the slums.

admin,

Well put.

sure riversider, blending different income groups works much better (like the 80/20).

you need to add supply of affordable housing, is where the unmet demand is. there's an excess of mcmansions and "luxury" condos, those are not what median income people living in the cities need nor can afford at current prices.

those checks you would prefer are just a transfer from the taxpayer to landlords/builders/current homeowners. keeping prices down is the key, not checks or subsidies that actually end up increasing prices. there's nothing wrong with people buying $1 million - $3 million condos if they want to, but there's a dire need for much cheaper decent housing. i'd also believe it's a plus to preserve worker's mobility at the early stages of a career. being a homeowner can get you stuck.

those checks you would prefer are just a transfer from the taxpayer to landlords/builders/current homeowners.

yes, but I would like to keep as many market forces in tact to ensure those dollars are spent wisely. It's more than ok for Society to help out those less fortunate but we should attempt to do so efficiently and without building a self serving bureaucracy.

admin,

You made valid points.

this article notes that at least a portion of the money would be used to purchase homes in foreclosure, i'm assuming at least partially to prevent neighborhood decay. there are plenty of decent neighborhoods where purchasing vacant homes and renting them to lower to middle-income tenants would be the equivalent of an 80/20 program. i'd prefer that to building new housing, as we obviously have an enormous overhang of housing inventory now. this could be a way to provide housing without projects and sustain neighborhoods.

if the gov't wanted to encourage the use of foreclosed housing to assist low income, they could provide some form of subsidy 20% of cost?

As much as I like this approach, too much of what I've seen recently tells me that Wall Street would find a way to game this...

I find it funny the author pinned this on Bush and not Clinton. I have to believe the author was a Democrat. Otherwise he'd remember this...
http://www.businessweek.com/the_thread/hotproperty/archives/2008/02/clintons_drive.html

Analysts say the approach takes a wrecking ball to Bush’s heavy emphasis on encouraging homeownership as a way to create national wealth and provide upward mobility for low- and working-class families, especially minorities. Housing and Urban Development Secretary Shaun Donovan’s recalibration of federal housing policy, they said, shows that the Obama White House has acknowledged that not everyone can or should own a home.

In addition to an ideological shift, the move is a practical response to skyrocketing foreclosure rates, tight credit, and the economic crisis.

“I’ve always said the American dream should be a home - not homeownership,’’ said Representative Barney Frank, chairman of the House Financial Services Committee and one of the earliest critics of the Bush administration’s push to put mortgages in the hands of low- and moderate-income people.

Riversider,

True, Clinton put that policy in place Bush perverted the policy to take people mind off all his BullShit.

mutubmonyc. No not really, he just gave the cops the day off.

Riversider,

"No not really,"???

Sorry, My experience with Bush screwing up are mostly with regards to OTS watch dogs(Gilleran) and the SEC who did not do their job(Cox). Happy to hear specific examples.

I can't wait to see what all the bleeding-heart liberals have to say when they throw up some affordable housing units in their neighborhood. I know you jumped at the chance to vote for a black man for president- just curious to see how you feel living next to one. Oh the delicious irony!

There's a big housing project along Amsterdam Avenue in the 60's.

I've got a few in my neighborhood. some people even say i live in one.

If you want to mix the folks, you don't subsidize the builders, you subsidize the renters!

nyc10022,

I like that.

"I think this is great. it might help to lower home prices to keep them in line with incomes, homeownership is overrated anyway."

I agree. Building projects that will destroy neighborhoods will do wonders in making them affordable.

and mutombonyc stop posting useless posts where all you do is agree with admin. What are you, his b*tch?

disclosure: i am not mutombonyc

> and mutombonyc stop posting useless posts where all you do is agree with admin.

Yes, better you should just post bad info and bad logic, like alpo here.