This above was just one part of the super fuel that was feeding the housing bubble fire. Very low interest rates, removal of the down payment requirement (Obama is keeping that one), cutting of capital gains tax for short term flippers, and GWB home-ownership programs for minorities with bad credit (plus CRA) all added together to a disaster. Remember, this was not a mild recession, we are talking the world economy.
This is a great example of the failure of compassionate conservatism. The thanks Republicans get is accusations of racism.
President Bush Mortgage Speech 2002(Helping those w bad credit buy houses)
President Bush Reiterates Goal on Homeownership, Remarks by the President on Homeownership, Department of Housing and Urban Development Washington, D.C. (2002)
Early in George W. Bush’s first administration, a home ownership initiative was introduced, sometimes referred to as the Blueprint for the American Dream, to close the homeownership gap by 5.5 million minority families. Along with this homeownership initiative, there were other policies implemented to dismantle barriers to homeownership in minority communities.” from :
The Great American Mortgage Scam & The Latino Community
George W. Bush, The White House.gov: Homeownership Continues to Increase in 2002 , HUD Statement on Record Homeownership Rates in 2002
George W. Bush, The White House.gov: National Homeownership Month, 2003, By the President of the United States of America A Proclamation