Monday, August 08, 2005

Strangely, no lawsuit from the ACLU

Lars talked a little about this on Friday and I meant to check it out sooner but here it goes:

Understanding Fannie Mae
The FHA Administrator chartered Fannie Mae on February 10, 1938. The impetus for creation of Fannie Mae was twofold: the national commitment to housing and the inability or unwillingness of private lenders to ensure a reliable supply of mortgage credit throughout the country.

It stipulated that Fannie Mae be exempt from all local taxes except property taxes, and provided for the Federal Reserve Banks to perform various services for Fannie Mae.

Fannie Mae would be transformed into a "government-sponsored private corporation" responsible for the self-supporting secondary market operations. The reconstituted Fannie Mae was to be stockholder-owned and managed. Fannie Mae retired the last of its government stock on September 30, 1968, and transformation to a government-sponsored private corporation was completed in 1970.

OK, we have established that Fannie Mae is a governement sponsored lender with some serious perks. Then we have this:

News Release
Fannie Mae To Invest $10 Million In Unique Islamic Home Financing Model With American Finance House LARIBA; Islamic Mortgages Recognize Qur'aan's Restrictions Against Interest Payments

The amount of the monthly payments by homeowners under the LARIBA home financing model is made to be very comparable to a conventional, market-rate, fully amortizing mortgage.

Very comparable or exactly the same? Would I have a lower mortgage payment if I was Muslim?

"Fannie Mae recognizes the growing needs of observant American Muslims who want to achieve the dream of homeownership and the unique religious sensitivities that, in the past, have kept so many from being able to own a home of their own," said Julie Gould, vice president for community lending at Fannie Mae.

At what point did our public institutions start giving preferential treatment to Muslims? Oh yeah, right after 19 of them flew planes into our buildings.

I have no problem with LARIBA or some other private financial institution (although without looking into it I am going to say that it is probably financed by Saudi Arabia) offering Muslims a financial service that caters to their religion. If Muslims want to buy a house/car/whatever without paying interest then save up for it and purchase it outright.

What I have a problem with is a tax subsidized quasi-government agency bending the rules for the religion of Islam and the double standard that no media outlets complain, no ACLU lawsuit, no Americans United for the Separation of Church and State protests. Just silence.

I mean, I understant they are very busy trying to keep an idea, intelligent design, that a majority of Americans believe in, out of our government schools but you would think they could pay a little attention to this issue as well.


Al said...

The ACLU only concerns itself with the Separation of Church as it pertains to the Christian Religion.

All others including Fire Demon Worshipers are given a pass.

Diesel said...

This kind of stuff is almost too ridiculous to comment on. A religion that is against interest payments, and a taxpayer-subsidized government agency willing to cater to that. Incredible.

Hopefully, Fannie Mae will start realizing that poor people also have the dream of homeownership, but because "the man" is keeping them down, the government should just give them a home, free of charge.

Daniel said...

Perhaps you have had a chance to read THIS STORY in today's fishwrapper.

MAX Redline said...

Yes. Amazing, isn't it?

Let's see now...if I convert to Islam, I can get interest free home mortgages (I wonder if that applies to credit cards as well? Gee, I'll have to look.), OR, in Little Beruit, I can just say "to heck with it all" and Opie and his pals will give me a free place for life. And I won't even have to commit a crime.

It's one thing to give a free place for life to murderers and such (though I confess, I prefer the China solution: an immediate bullet through the brain, then charge the family for the bullet).

Quite another to provide free housing for life to drunks, addicts, and the chronically irresponsible.

Hey, Opie: can you spell "enabling"? Oh darn, I just gave him the answer.

Diesel said...

By 2015, the plan proposes to build 1,500 more units of permanent supportive housing, which will roughly cost as much as $282 million if all are new. Each unit will cost as much as $9,000 a year to operate, depending on a person's needs, for as long as he or she lives.

Wow! Now I really question why I put myself through college, when I could've gotten everything I wanted for free! S-O-C-I-A-L-I-S-M

jasmine said...

Very nice work on your blog, It was fun to read! I am still not done reading everything, but I bookmarked you! I really like reading about home loans and I even have an home loans secrets blog if you want some more content to discuss.

Anonymous said...

I love your information on home loans! I bookmarked your blog and will be back soon. If you want, check out my blog on home loans secrets, please come by!