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Reid hits Romney on foreclosures
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STEPHENS WASHINGTON BUREAU
Updated: Oct. 19, 2011 | 7:48 a.m.
WASHINGTON -- In a state where the loss of a family home perhaps has been the most painful outcome of the stressed economy, Mitt Romney took hits Tuesday from Nevada leaders of both parties after commenting that the government should let the foreclosure process "run its course and hit the bottom."
The comments from the former Massachusetts governor came as all eyes were on Las Vegas, where the Republican presidential candidates gathered to debate. They gave Democrats fresh fodder against the presumed GOP front-runner in the battleground state.
Senate Majority Leader Harry Reid said Romney's comments were insensitive at best and illustrated the differences between Democrats and Republicans.
"Nevada has the highest foreclosure rate in America, and it has for almost three years," Reid said . "And here's what Mitt Romney said. He would just let them hit rock bottom. I don't know what's more graphic than that in how we have different views of what the world should be like than our Republican friends."
Reid later said the former Massachusetts governor should apologize to "the thousands of Nevada families struggling to keep a roof over their heads."
"With the highest foreclosure rate in the nation, Nevadans can't afford someone in the White House whose response to this crisis is 'tough luck,' " Reid said in a statement put out by the state Democratic Party.
Sen. Dean Heller, R-Nev., distanced himself from the Republican presidential contender.
"Senator Heller does not agree with Mitt Romney," spokesman Stewart Bybee said. "His plan could take up to six to eight years for recovery, and that is time that Nevada just does not have."
Likewise, Gov. Brian Sandoval "respectfully disagrees" with Romney, senior adviser Dale Erquiaga said. Sandoval was at the debate with Texas Gov. Rick Perry, whom he has endorsed.
Sandoval remains supportive of mortgage mediations and other efforts to avert foreclosures.
"Even if it is a state by state solution, we need a solution that keeps people in their homes," Erquiaga said.
In Nevada, 9,622 properties were in foreclosure in September, a nation-worst rate of one for every 118 housing units, according to RealtyTrac, a foreclosure tracking service. About two-thirds of homeowners are "underwater," meaning they owe more than their home is worth.
Rep. Joe Heck, R-Nev., has endorsed Romney. Heck thinks the housing market "does need to reach bottom," a spokesman said, but supports "a soft landing rather than a hard crash" by having the government continue to offer refinancing help .
Romney made his comments during a meeting Monday with the editorial board of the Las Vegas Review-Journal.
Asked what he would do specifically to address the mortgage crisis in Nevada and elsewhere, Romney said, "Don't try and stop the foreclosure process; let it run its course and hit the bottom."
"Allow investors to buy homes, put renters in them, fix the homes up and let it turn around and come back up," Romney said. "The Obama administration has slow-walked the foreclosure processes that have long existed, and as a result, we still have a foreclosure overhang."
Romney said offering tax credits to first-time home buyers, a practice that originated in the Bush administration, "was an ineffective idea."
"It was inadequate to turn around the housing market," he said comparing it to the "Cash for Clunkers" program that subsidized auto purchases for people who traded in older cars .
The $8,000 credit for first-time buyers was "throwing government money at something that was not market-oriented," Romney said. "It did not stanch the decline in home values any more than it encouraged the auto industry to take off."
Romney said he would consider expanding efforts to help people rescue their homes through refinancing, "but I am not signing on until I find out who is going to pay and who is going to get bailed out. That's not something to which we know the answers to yet."
A spokesman for President Barack Obama's re-election campaign said Romney's message to Nevadans "is simple: You're on your own, so step aside."
Contact Stephens Washington Bureau Chief Steve Tetreault at stetreault@stephensmedia.com or 202-783-1760.
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Senator Reid and his minions are idiots. Romney was spot on about what he said. If Reid and buddies would not have tampered with the real estate market so much the foreclosure fiasco would be behind us by now....
Instead... the housing market is still dragging in mud at an enormous cost to the U.S. Taxpayer.
Thanks Harry Reid!
Stay classy pandering to people for votes.
"Harry Reid hits Romney on forclosures"? Are you kidding me, isn't that an oxy moron?
"Harry Reid’s curious claim this week that “private sector jobs are doing just fine”
lol...oh well...382 more days.
Dingy Harry is such a jerk! All he has done is to take the union money laundered campaign dollars and gone to the Ritz in DC! In addition to being senile he needs to resign. Nevaduh needs new leadership to get out of the mess Dingy Harry put us in!
Liberal government policy put mandatory quotas forcing banks to make bad loans. When people said this was a bad idea they were called racist. Now the same liberal policy makers are tring to blame someone/anyone else for a problem they created. And almost every single democrat believes that garbage excuse.
This is choice, Reid lecturing on foreclosure. Reid, as Senate Majority leader has done nothing concrete to stop foreclosures. Now he lectures us on how bad he feels for those foreclosed on. Still no actions to help homeowners.
Thank you Senator Reid. Unfortunately I bought MGM stock when it was up in the 60's. Now I am way under water. I will be at your office in the next few days asking for a bailout of the difference. There is no way we should let this stock bump along the bottom or hit bottom. The GOP candidates are all idiots when they say we should let the free market set prices. They know nothing about buying real estate or stocks. Please make the check out to:
Dirty Harry has to be the one looking at Mitt. Could not clean up your state. Shame on Dirty Harry. Mitt explained it how it is. He has not said that the Thousands of Dirty Harry's state should suffer. Mitt is not for raising taxes. Spending raises taxes. Any thing that Dirty Harry does raises taxes. Why couldn't Harry have put some more stimulas to his state? Quit crying!
Clinton is to blame for this whole damn mess. He "forced" banks to make home loans to a TOTALLY unqualified group of people. Then the banks sold these stupid loans to get rid of them. They tried to screw each other and the country got screwed by the banks.
to the people in nevada ..do your self a favor never vote for anyone in office ever again ...