Increased Pressure on Fed to Assist Homeowners

The Fed is beginning to see increased pressure from congressional oversight committee to show how the bailout funds are being used to provide direct assistance to homeowners and not just banks. The veil has been lifted and the Fed appears to have been exposed for not providing any direct benefit to homeowners/consumers with the distribution of bailout funds. Expect to see a significant focus on homeowners and consumers as the incoming administration appears to recognize that our economy is driven by consumers, not institutions. I anticipate that in the coming months we will begin to see a relaxing of loan guidelines. My sincere hope is that the we first make it easier to borrow money for appreciating assets, rather than depreciation or convenience items like cars and credit cards.

Robin S. Reed
JMO-Just My Opinion
ProEquity Management, LLC
robin@proequitymanagement.com
480-242-1952