Setting ourselves up for another bank bailout? - Granite Grok

Setting ourselves up for another bank bailout?

From the Houston Chronicle is this story about illegal immigrants buying houses:

Despite being in the U.S. illegally, undocumented immigrants can legally buy a house.

OK, I can live with this without a problem at all. 

Certain lenders don’t ask for immigration papers. And buyers using a special tax ID often don’t need a lengthy credit history.

Now I’m getting concerned – is it because of the special tax ID (wink, wink), or a tie in between the "certain lenders" being shown this ID, therefore not asking about immigration or status papers?

If a buyer does provide a Social Security number, real estate agencies and lenders may request proof of legal status, according to Myers. But that is usually not the case with an ITIN.

Well, there IS a tie-in.  How come I get to be discriminated against, as I, being a legal resident / citizen, have an SS number?

For illegal immigrants, however, buying a home can carry risks.

The biggest, said Houston real estate consultant Óscar González, of González Group, is deportation. If homeowners are forced to leave the country, they might be unable to afford payments and, therefore, could lose their home, Myers said.

They could lose their house.  Sorry, boo-hoo from me (but only a teeny tiny one).  I have no problem with anyone from anwhere buying property here.  I have no sympathy if they lose their house, however, if they are here illegally taking jobs from legal residents and citizens and they are deported for mis-representing themselves and their status.

My problem?  My tax money has already participated in a situation like this – remember the Savings & Loan bailout fiasco?  Are we setting ourselves up for round two?  Am I going to have to shell out my tax money to bail out the banks again to cover defaulted mortgages for people who shouldn’t be here at all and got tossed out?