We’ve reached another Monday without Congress making a deal on the debt ceiling. If you had a closing date on a house you were purchasing on August 2, you would certainly like more certainty than to wake up today and hear that the underwriters were fighting about whether to approve you. I refuse to venture into a political debate and choose sides on this one. I choose America. I choose stable markets and interest rates that bear a relationship to the fundamentals (unemployment is high and housing is moribund), not markets that are spooked by a partisan game of chicken. This is about the time that I expect polls to start showing that a majority of Americans want to vote the bums out. Maybe next week. It seems to me that both sides are engaged in a war of finger pointing they hope will remain in our minds when the 2012 elections roll around. Do they think that’s all we have time to do? I am pretty sure they will do something else to tar themselves between now and November 2012. And then, the debt ceiling debate will be just a memory, like snow trapped cars on Lake Shore Drive are now and the record temps of the last week will be by Thanksgiving. Unless . . .
Perhaps, the plan is to come up with a short term deal now, one that allows America to keep paying its bills (that would be good for markets), but that leaves a bigger fight just in time for the election. Marty, we have to get back, back to the future.
In the meantime, if you need help with a purchase or refinance, give me a call. 847-920-8030.