Inherent in the Problem is the Solution

by Michael Douglas Carlin
Originally posted 9/2008

Housing is a basic right!

We desperately need more affordable housing. Housing the poor or homeless is actually less costly than dealing with the issues of homelessness when we turn a blind eye to the issue. Offering shelters with services that rehabilitate people when they have hit a bump in the road, makes much more sense than ignoring them. Home ownership is part of the American Dream and yet it is becoming far too difficult for the average man or woman to achieve that dream.

Now we have Fannie Mae and Freddie Mac with an estimated 5.3 Trillion Dollars in Mortgages. What could all of the real estate in America be worth? 50 trillion? 500 trillion? I don’t really know the answer to that question but just the number of homes in America must be in the 50 trillion range. Our National Debt is now about 10 trillion.

With the problems we have in America right now doesn’t it make sense to take some bold steps to fix what is wrong with America.

Step #1. Take over Fannie Mae and Freddie Mac – ALREADY DONE

Step #2. Print currency and ship it to debt holders. Pay off the National Debt by increasing the money supply. This would free up 30%+ of our existing budgets in Government.

Step #3. Switch currency from being backed by the full faith and credit of the United States Government to being backed by the Real Estate of the Country.

Step #4. Offer loans to any citizen (regardless of credit history) on any property providing that citizen comes up with 30% down payment for properties without Solar Panels on the roof or 20% if the property has solar panels. The government would back the properties with 80% loans on any property with Solar and 70% if the property doesn’t have Solar. In essence the currency would then be backed with by the mortgages on the Real Estate of America. Create a revenue share deal with the bank or financial institution that originated the loan so that they would receive an override on the loan when it was performing. They would also intercede if the loan defaulted. They would foreclose on the property and keep 80% of anything the property sold for over the amount of the loan and if the property sold for less they would absorb up to 20% of the loss as a fee to continue as a preferred lender and able to originate loans.

Step #5. Let’s not spend our resources tracking down illegal aliens any more…it is a waste of our resources. It is time for another amnesty program where we invite anyone here that has managed to keep out of trouble to become a citizen. The process would be a six month window to surface and provide proof that you have means of subsistence, followed by a five year waiting period that includes an education process and a vetting process to achieve citizenship.
Step #6. We know that Hurricanes, Tornados, Floods, Earthquakes, and Forrest Fires are part of the landscape of being American. Yet we have no provisions for thwarting their impacts. It is time that we prepare for the occurrence of these events by having our Army Corp. of Engineers develop permanent structures to minimize their effects. Every waterway in America needs to be prepared for taking on more water than usual. We need to develop a water grid in America where water can be moved from areas of high concentration to areas of low concentration. The Army Corp. of Engineers could develop a series of locks and canals to move water throughout the Country. When a drought leaves one area dry we could move water to mitigate the effects. In areas where housing is in the path of Tornados or Hurricanes any new housing would have to comply with building standards to withstand Category 5 winds. One structure that comes to mind is the geodesic dome house that seems to withstand the most extreme conditions. Places with Earthquakes must have structures built to withstand a 9 point Earthquake.

Now is the time for us to begin planning for the next thousand years. The five years plans of Capitalism are meaningless.

We went off the gold standard in 1971. Since then our currency has been backed by the full faith and credit of the United States Government. Now with the failing of Freddie Mac and Fannie Mae we need to establish United States Real Estate as the asset that backs our currency. With the new “Real Estate Standard” we will stabilize our economy and provide a solid asset to back our currency. The standard should be similar to banking where the consumer is able to borrow up to 90% of the value of the Real Estate based upon current market conditions.

Michael Douglas Carlin is a filmmaker, author, and journalist. American Federale is available on iTunes, Amazon, and GooglePlay. Rise a Knight is available on Amazon. Peaceful Protests and A Prescription For Peace is available on iTunes.