Save the Economy: Support Right to Rent

The real crime of the repug refusal to permit any kind of financial relief for people suffering from the Drecession is that the harm is not just to those lazy, undeserving, probably dusky folks unable to land jobs that don't exist, unable to afford overpriced health insurance, unable to stop the con artists who tricked them into booby-trapped mortgages from foreclosing their homes.

The harm is far greater. When people stop buying things because they are unemployed, sick and homeless, the entire economy suffers. Which brings us to the Right to Rent.

Down with Tyranny:

The Obama Administration's somewhat tepid HAMP program isn't working and millions of families are still facing foreclosures by avaricious bankers. Rep. Grijalva's bill would let foreclosed families stay in their homes as renters at a fair market rate set by a judge. If banks don't want to become landlords, they would have incentives to renegotiate the terms of the mortgage. The foreclosure crisis needs exactly this kind of creative, common-sense solution, and the Congressman has been out in front on this issue from the beginning. Dean Baker's Center for Economic and Policy Research called the bill "one of the most efficient and simple ways to help millions of families facing foreclosure remain in their homes."

It would increase the bargaining power and security of homeowners by temporarily changing the rules on foreclosure and allowing homeowners to remain in their homes as renters for a substantial period or time. During this time, homeowners would pay the market rent for the home as determined by an independent assessment.

"Right to Rent immediately gives the homeowner security in their home. They will be allowed to stay there for a substantial period of time, allowing their children to stay in their schools and families to prepare for and plan their future moves," said Baker in his testimony on Wednesday. "Right to Rent also would make foreclosure much less attractive to investors. This gives investors more incentive to modify loans on their own, without the involvement of the government."

David Dayen explains the longer-term harm of HAMP:

Simply put, HAMP is hurting liberalism. It’s putting a face of bureaucratic incompetence on a program designed to help people. It’s making the lives of its participants worse while promising to make it better. It’s adding to their indebtedness and failing to reduce their principal.

Read the whole thing.

Then Call or email your members of Congress and tell them to support the Right to Rent.