Is it right to call this thing bailout or is it really as some would prefer, a rescue?   Is it prudent to surrender $700 b of taxpayer money at gunpoint under the imminent threat of a global economic collapse?  Is it wise to give the checkbook–no strings attached–to an out-going Treasury Secretary with short-timers attitude and a pile of Goldman Sachs stock still in his portfolio?  Are there better ways to solve the issue than just buying the toxic waste of the sub-prime meltdown at a discount in the hopes of selling it to investors for a profit?  And if we agree to the deal, is this the end of it or are there yet waves of Alt-A and option-arm defaults still forming at sea?

The opinions range from the scornful to the apocalyptic.  It’s the only non-partisan slug fest in evidence during this election season.  One thing seems true at the heart of it all:  $700 b is no small amount of money to throw at the problem without at least a little discussion.  I for one am thankful for the bickering and balking that has carved out a few days to deliberate on a matter of such importance.

Judging by the level of pain and worry I encounter in my day to day conversations, something must be done fairly soon.  A tough-love stance will not see us through the credit freeze, much as I believe in personal responsibility, the value of experiencing consequences, and the moral hazard of confirming for Wall Street CEOs that their over-leveraged, profit-crazed gamble fest was a party too big for the cops to bust.   So let’s get on with it, but in the process let’s not forget the lessons that are all too obvious:  deregulation and self-interest will not create free markets.

As for mortgage rates, after yesterday’s stock market free fall and today’s rally, 30 yr fixed rate are back around 6%.  The markets are extremely volatile, and lenders are changing rates in both direction throughout the day.  If you have time and feel lucky, float your rate in hopes of more delays on the bailout– excuse me, the “rescue”–otherwise lock with a lender who has a lock renegotiation policy and will let you float down if things get better.

Wow, that was a long time-out!  After writing consistently for a year and a half, the market meltdown and the ever increasing effort of getting loans closed on time finally gobbled up all my blogging time.

That said, there is more than ever to write about, more change coming faster all the time, more information to get out, tightening lending rules, and more broken glass to side step on the path to home ownership.

But blogging has been therapy,  and I’ve missed it, a chance to pause and process the news that hurls by daily and ponder for a few moments what it means to me, to consumers and Realtors, and to the business.  

So I’m back.