From the New Deal, a Way Out of a Mess

There are varied reports of how many subprime loans and possible foreclosures are speculators vs. people who live in the homes. While people look to the market to 'care' for families who live in these homes, to protect them from losing their homes, this article gives a real solution. Home Owners Loan Corporation (HOLC), established in 1933, was a New Deal program to help families who were at risk of losing their homes during and after the Great Depression. Surprisingly, all the loans were eventually paid back and the office was closed in 1951, after the last loan was pai off. It is a potentially realistic program that could help the families that may become homeless as a result of the current situation.

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