Bush: Congress shouldn’t overreact to mortgage market woes – MarketWatch 8/8/07:

President Bush said that Congress shouldn’t overreact to the turmoil in the mortgage sector. “I think the government tends to overreact at times with laws that are counter-productive,” Bush said Wednesday in a television interview on Fox News. “What we ought to be doing is encouraging markets and taking care of those who can’t help themselves. Markets tends to adjust and if government throws up special laws that will prevent it from adjusting in an orderly way, it will be counter-productive,” he said.
[...]
“I’m a glass-half-full person,” Mr Bush said of his optimism. “I believe that if markets are given a chance, they will adjust.”

Bush to step in to help hamstrung homeowners – WaPo 8/31/07:

The Bush administration today will propose a set of policies meant to help ease the wave of mortgage defaults, according to senior administration officials. It is the administration’s first broad effort to deal with rising levels of home foreclosures, which are widely forecast to increase further in the coming year.

The best part of the mortgage meltdown has been watching all of the Wall Street players and CNBC talking heads whine like bitches for government intervention. Now the free market cult leader is set to help. Worst market fundamentalist ever.

…adding…in case this wasn’t clear, the proposal would effectively use tax (your) dollars to guarantee mortgages. I don’t have a problem in principle with using tax dollars to help people, even people who screw up all by themselves like drug addicts. But this money is going to people who should never have been able to buy houses to keep them in houses that they probably still can’t afford, under the excuse that they may have been tricked into a bad mortgage. Look, if you don’t understand the paperwork, bring a lawyer or a friend who does. If you can’t afford a lawyer or don’t have a friend who is financially literate, chances are you shouldn’t be buying a house.

For a more detailed take on why all of this is a terrible idea, read this.