RUSH: I’ve got one, two, three, four. I’ve got five sound bites from President Obama’s mortgage speech, the housing bailout plan. At the top of the hour I was watching MSNBC, and they said that there are four million families that are going to be helped here by having their mortgages made ‘more affordable.’ Now, that was just a graphic on the screen. I don’t know if that’s in Group One or Group Two. Remember, now, there are two groups of people here being targeted by this $75 billion bailout, and we’ve run the numbers on this, and to take care of everybody that’s in a mess here would cost $2.7 trillion minimum, and the package is $75 billion. So even though there’s some help on the way, how much can it possibly be? Anyway, the two groups are people that never, ever had a chance to pay back their loan.
They never had a prayer of paying back the loan, which means they were given loans by people who knew they were never going to be paid back, which means that they were not ‘predatory lenders.’ They were told to make these loans. And don’t forget the recent story from Richard Davis, the CEO of US Bancorp in Minnesota. He made a speech recently to a group, and he said, ‘Look, the TARP money was never about credit. It was about making sure that big banks had enough money to go buy little banks and save ’em,’ and then when that happened, and there was no credit that was extended, remember Barney Frank and the guys on Capitol Hill going absolutely nutso bongo and calling these guys up here and talking about accountability and, ‘How dare we give you this money and you don’t make it available to consumers for loans and so forth!’
These guys are sitting there. I guess they’re sworn to secrecy. Richard Davis of US Bancorp has come out and let the cat out of the bag, essentially. So anyway, MSNBC said four million homeowners. Here’s what I think you ought to do. And, by the way, there’s another group of people that has not been mentioned here, and that is people who have already been foreclosed on and thus lost their homes. What did they do? What do they do? Are they just forgotten about here? You people that have been foreclosed on, there’s a plan now that’s going to help others like you who haven’t yet been foreclosed on to stay in their homes, even though they can’t pay the mortgage. Obama to the rescue! Well, what about you? And what about those of you in Group Two? Those of you in Group Two, as categorized by the administration, you’re called ‘underwater.’
You can make your mortgage payment, but your house is not worth what your payments are adding up to because of the plummeting value brought on by the bubble, the housing bubble bursting, and brought on by the economic decline in the first place. So, you can make your payments, but your house is worth less. They say they’re going to do something for you, but we’re not sure exactly what. Well, here’s what I think you ought to do. Obama has just said that we’re going to help people like you. You played by the rules and you’ve been responsible, but the value of your home has plummeted. You ought to call whoever your mortgage holder is, and you ought to tell ’em you want a lower mortgage rate. You want a lower monthly payment. You just heard the president’s speech, and you want a lower payment. He said he can help you out. Let’s listen to what he said. Every problem is a crisis unlike we’ve ever known, and so is the housing crisis.
OBAMA: I’m here today to talk about a crisis, uh, unlike we’ve ever known, the one that you know very well here at Mesa and throughout the valley. In Phoenix and its surrounding suburbs, the American dream is being tested by a home mortgage crisis that not only threatens the stability of our economy, but also the stability of families and neighborhoods.
RUSH: Here he is on the aforementioned Group One.
OBAMA: The plan I’m announcing focuses on rescuing families who played by the rules and acted responsibly, by refinancing loans for millions of families in traditional mortgages who are underwater or close to it, by modifying loans for families stuck in subprime mortgages they can’t afford as a result of skyrocketing interest rates or personal misfortune, and by taking broader steps to keep mortgage rates low so that families can secure loans with affordable monthly payments.
RUSH: Okay, so he talked about three groups in that bite. Group Two he mentioned first. Group Two: ‘The plan I’m announcing focuses on rescuing families who have played by the rules and acted responsibly, by refinancing loans for millions of families in traditional mortgages who are underwater or close to it…’ That’s Group Two. You’re underwater. You can still make the payment but your house isn’t worth anything. He is going to rescue you by reducing — or allowing you to refinance — your loan. Don’t wait! Call the bank today. Call your lender now. The president has spoken! If your lender is Citibank, you call them up and say, ‘Call the sheiks in Dubai and get some more money, or whatever it’s going to take, because the president just spoke.’ The federal government is going to redo your monthly payment and make it more affordable because you have been disadvantaged in the market.
You’re underwater. Your house is not worth what your payments are going to add up to, and you want a lower monthly payment. Call your lender! The federal government’s now made it possible. Call Chris Dodd. Call his office. He was able to do this with Countrywide. He got a VIP rate from Angelo Mozilo. Call Chris Dodd. He can tell you how to do this. Call Tony Rezko. Tony Rezko got this done for Obama. This is the Rezko Rescue. This mortgage bailout is the Rezko Rescue. You should call Chris Dodd, you call Tony Rezko, or call your bank. Call your lender. Call whoever has your mortgage, and you know what you should do? You tell ’em you want the original mortgage, not the repackaging mortgage that was sold along with all the other mortgages.
You want the original paper. You want to see that, and you want your monthly payment lowered. The president of the United States just announced a plan to do it. You call ’em up and say, ‘Hey, you know, I’m playing by the rules because I’m making my payments, but I also heard the president say my house isn’t worth anything anymore because of the predatory lending practices of you. You are a predatory lender! The president just called you a predatory lender. You lent me the money in a predatory fashion. You’ve destroyed the value of my house, and I want a lower monthly payment.’ Do it, folks, because while you’re doing that, the people in Group One are going to get totally bailed out. How? Here’s what he said: ‘By modifying loans for families stuck in subprime mortgages they can’t afford as a result of skyrocketing interest rates or personal misfortune.’
Personal misfortune? What in the name of Sam Hill is the ‘personal misfortune’ in getting a loan you were never, ever going to be able to repay? What’s the personal in that? That’s the group… That’s it. That’s the personal misfortune that you were screwed? You were screwed by getting a loan that you never had a chance to repay? That’s how they got screwed? That’s the ‘personal misfortune.’ You want to explain to me how that’s personal misfortune? How in the name of Sam Hill…? (interruption) Mmm-hmm. Oh, I see. Okay. All right. All right. All right, but that still doesn’t cover it. It is the oppression of society that made these people want houses in the first place. They saw all their neighbors, the achievers, able to afford houses they weren’t able to, and so by an act of Congress, the Community Reinvestment Act, and all these congressmen and Fannie Mae, Freddie Mac, Barney Frank and Chris Dodd.
People who had no hope of ever repaying a loan were given a loan, and that’s oppression. That’s oppression. That’s personal misfortune, to be given money you could never have to pay back, and then go buy a house with it. That’s personal misfortune? ‘Cause you didn’t know the period of time. That’s why it’s predatory. In other words, it’s not your fault, it’s not your fault that you took money on a loan knowing you couldn’t pay it back, not your fault. It’s the lender’s fault for giving you money you couldn’t pay back? Okay. All right, now I understand it. All right, so it’s the lender’s fault that people got subprime mortgages that they couldn’t pay back, for whatever reason. Remember, now, we’re not talking about ARMs here; we’re talking about people who, from the get-go, had no prayer repaying.
We’re not talking about adjustable rates. We’re not talking about market circumstances that occur after the fact. These are the people who shouldn’t have gotten a loan in the first place. They’re going to be bailed out, and then there is the third group. ‘We’re going to take broader steps to keep mortgage rates low so that families can secure loans with affordable monthly payments.’ Now, in a free market, you can’t do that. In a free market, not one individual can stand up and say with accuracy, ‘We’re going to take broad steps to keep mortgage rates low so that families can secure loans with affordable monthly payments.’ The only way that you can tell people you’re going to do that is if you own the bank, and we’re on the verge of Obama owning the banks.
We’re on the verge of nationalizing banks where Obama’s going to own ’em — and in that case, Obama can give money away at whatever interest rate he wants. And since it’s the US government, they can add up deficit after deficit after deficit. Unlike a bank, the government doesn’t have to show a profit, and so the government can be used, how? To make sure that people who otherwise couldn’t afford something will have it, while those of you who can afford things are going to be forced to buy them, and you’re going to get taxed out the wazoo. Once the economy comes back, at the first sign of economic recovery, you’re gonna face higher taxes in order to defray the costs of giving away things to people that can’t afford ’em. That’s just in the second sound bite. Let’s go to the third one.
OBAMA: And through this plan we will help between seven and nine million families restructure or refinance their mortgages so they can afford — uh, uh, uh — avoid foreclosure. And we’re not just helping homeowners at risk of falling over the edge; we’re preventing their neighbors from being pulled over that edge, too, as defaults and foreclosures contribute to sinking home values and failing local businesses and — and lost jobs.
RUSH: Well, that’s happening anyway, and I still… Okay, so now we’re back to seven to nine million. That’s the operative figure. We were right at the first place. MSNBC is out there saying four million, for whatever reason. They probably can’t listen, can’t hear, can’t read. Seven to nine million, and we’re going to do this with $75 billion. Okay. Brian, you seem to be the most accurate today with a calculator. I want you to divide $75 billion by nine million. There you go: $8,333.33. So basically we’re going to say $8,000. $8,000. If there are nine million families, and there’s $75 billion here, that’s $8,000 — $8,300 did you say? What’s the actual number? Yeah, $8,333 and infinity, 833 infinity. So you tell me how this is going to happen. Snerdley, you said earlier that you’re one of these underwater people. You bought at the top of the market, and the value of your home is now much less than the sum total of your mortgage payments.
Is 8,000 bucks going to help you here, buddy? Now, this is like the big tax credits of $8 or $13 a week. Would somebody explain to me how $8,000 per troubled homeowner here is gonna matter? See, this is the important thing, folks. See, I’m going four or five steps farther than the average Obamaite. The numbers don’t matter. These are facts. We’re not dealing with facts. We’re dealing with symbolism. We’re dealing with ‘Obama’s going to fix it.’ Remember, it’s not whether it works, it’s does he care, it’s are the intentions really great? Yes, they are. Is it gonna matter? Is it gonna solve anything? Doesn’t matter. Even the people who don’t get their mortgages fixed, they’re still going to be happy as hell, as pigs in slop, that somebody cared. Somebody helped ’em, whether there’s help or not, ‘At least he tried.’ If it now doesn’t work, it’s Bush’s fault! It’s Republicans in Congress’ fault, predatory bank lenders’ fault, somebody. I still say if you’re in the underwater group, you should call your mortgage lender today and demand a lower monthly payment. The president just said that’s the objective of the plan. Here’s the next sound bite.
OBAMA: Here’s what my plan does: establishes clear guidelines for the entire mortgage industry that will encourage lenders to modify mortgages on primary residences. Any institution that wishes to receive financial — eh, eh, eh — financial assistance from the government, from taxpayers, and to modify home mortgages, will have to do so according to these guidelines, which will be in place two weeks from today. (cheers and applause)
RUSH: Listen to that. Now, see, Snerdley was uncomfortable saying this is a guy operating from anger and a get-even-with-them mentality. But, folks, how else are we supposed to interpret this? ‘My plan establishes clear guidelines for the entire mortgage industry that will encourage lenders…’ Ha-ha! There’s a gun pointed at them. They’ll be ‘encouraged to modify mortgages on primary residences. Any institution that wishes to receive financial assistance from the government and to modify home mortgages will have to do so according to my guidelines.’ So Obama is running the mortgage industry now. Any of these banks, any of these places that have taken federal money, Obama is setting the mortgage rules. And listen to the cheers. Listen to the cheers that he’s getting. Here’s the final sound bite.
OBAMA: Solving this crisis will require more than resources. It will require all of us to step back and take responsibility.
RUSH: Right. Step up.
OBAMA: Government has to take responsibility for setting rules of the road that are fair and fairly enforced. Banks and lenders must be held accountable for ending the practices that got us into this crisis in the first place (applause) and each of us as individuals have to take responsibility for their own actions. (applause) That means all of us have to learn to live within our means again and not assume that housing prices are going to go up 20, 30, 40% every year.
RUSH: Those people applauding do not think he’s talking about them or to them. We’ll analyze this when we get back, but I gotta take a time-out here.
RUSH: Okay, let’s go back now and listen to audio sound bite number 27 again, our final sound bite from the Obama fascist home bailout proposal.
OBAMA: Solving this crisis will require more than resources. It will require all of us to step back and take responsibility.
OBAMA: Government has to take responsibility for setting rules of the road that are fair and fairly enforced.
RUSH: Stop the tape. That is not what government has to take responsibility for. Government’s responsibility is causing this. Government has to take the responsibility for causing this problem. Government caused the subprime mortgage problem. Government forced lenders to give loans to people that couldn’t pay them back. Fannie Mae, Freddie Mac, the fraud we found that was taking place in there, this was the bottom line. Government’s responsibility, they already set the rules. They already enforced the rules, and it got us where we are.
OBAMA: Banks and lenders must be held accountable for ending the practices that got us into this crisis in the first place.
RUSH: Stop the tape. What did they do? They listened to the government. They were forced to make these loans. And here’s the final part.
OBAMA: And each of us as individuals have to take responsibility for their own actions.
RUSH: No, we don’t.
OBAMA: It means all of us have to learn to live within our means again and not assume that housing prices are going to go up 20, 30, 40% every year.
RUSH: These people applauding do not think Obama’s talking to them or about them. They think he’s talking about other people taking responsibility. The people showing up to hear Obama are on the receiving end of all this. So let me analyze, let me translate what you just heard. This is Obama: ‘I’m giving you people who were irresponsible a pile of money. Now, be responsible. I’m giving all of you banks, who I forced to take government money, a chance to follow my orders, because you took the money. And I’m now going to be in charge of your mortgage rates. I’m going to be in charge of how you loan money ’cause you took money I forced you to take. And I’m giving you responsible people who are going to pay for all this the shaft. Bend over, grab the ankles, and enjoy it.’
RUSH: Barack Obama says the opposite of what he means. Ladies and gentlemen, we are in the middle of 1984. I’ve read the book 1984, George Orwell. I feel like we’re living it now. Not only is the government not taking responsibility for any of the mess that it caused, nor are the people who took out these loans owning up to them. People who took out the loans with no hope of repaying them are being given scot-free excuses, get outta jail cards. This $75 billion proposal does the opposite. It makes those not culpable responsible for those who caused it. It’s the polar opposite of accountability and responsibility. The very people that caused this get away scot-free with no accountability, no responsibility. Those of you who played by the rules did not take out loans you couldn’t afford, saw your house price plunge, you are the ones who are said to be culpable. Now, you’re responsible for making this good. It is the polar opposite of accountability and responsibility.
I’m going to tell you what this is. We are dangerously close here to the literal confiscation of wealth to make all of these bailouts, whatever you call them, the mortgage bailout, the stimulus plan, TARP 1, TARP 2, these are redistributionist schemes. Why worry about messing with the tax code? Why worry about raising rates, when Obama can just go after everybody’s accumulated wealth by forcing these massive redistributions that those who have assets are going to have to pay for? Folks, seriously. We have a bailout plan here. I can’t stress this enough. I’m sorry for being redundant. The prime beneficiaries of the plan are people who could not have ever repaid the loan. Now, that means they should never have been given the loan. We can argue about why, but we know, the government forced lenders to make these loans, Obama just admitted that’s what’s going to happen again. Well, now, if people who can’t afford to pay a loan are going to be allowed to keep the house, and somebody’s going to pay the loan, there’s going to be assistance, $75 billion here, who do you think’s paying that? Those of you who have assets. This is called redistribution.
Remember the conversation Obama had with Joe the Plumber? (doing Obama impression) ‘Well, we just want to even things out. We want to take from those who have a little bit more than they need, then give it away, you know, spread it around, a bit more equality out there.’ Whatever it was he said; it’s redistributionist. That’s what all these bailout plans are: a redistribution is born of anger. I’m telling you there is an anger behind all of this, a desire to get even with all the achievers, or however Obama looks at the people who have been successful in this country. I know you are filled with anger and rage, and it is effervescing all over the place and I’ll just tell you, there are some liberal commentators who are starting to worry. They know that it’s out there, and they are worried what it’s going to mean for 2010, whether the economy rebounds enough or not, they’re worried about what it means for 2012, because rich white liberals are attacking other successful people.
They are engaged in a redistribution program, the rich white liberals in Congress, led by Obama in the White House, and they are redistributing as fast as they can to the have-nots, the will-not-work-nots, the whoever it is, they’re buying votes with it is what they’re doing, and in the process they are destroying or trying to destroy the US capitalist system. If people don’t wake up to these latest assaults on the system, you’re going to wake up one day and find out that everything you’ve worked for is gone or worthless, ’cause it’s subject to being confiscated and redistributed to the people Obama thinks have been the victims of our unfair and unjust society.