Obama’s Palestinian Mortgages Feed a Massive Housing Bubble

Daniel Greenfield, a Shillman Journalism Fellow at the Freedom Center, is a New York writer focusing on radical Islam. He is completing a book on the international challenges America faces in the 21st century.


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Lots of cheap mortgages worked out great here. So they’re bound to work out in the Palestinian Authority. Or maybe not?

The U.S. government will soon award nearly half a billion dollars in aid to Palestinians oughtn’t to have been news.

As Americans recently learned only too well themselves, mortgages, when divorced from a robust economy in which people are able to make enough money to pay them back, have a tendency to make the ground tremble. Seemingly oblivious to the searing lessons of America’s costly flirtation with unaffordable mortgages, Palestinians have been gobbling up the stuff: Personal debt has more than doubled between 2008 and 2011 and spiked another 40 percent in 2012, with most of the increase due to home loans.

There’s no reason for them not to gobble up all that money because we’re talking about the world’s most ridiculously violent welfare state with all the sense of personal responsibility of a crack addict.

The story is a familiar one.

In recent years, the increased availability of mortgages and consumer loans instead of cash for the middle class has caused personal debt to balloon in the Palestinian territories. It more than doubled, to about $750 million, from 2008 to the end of 2011 and rose 40% over the last year alone, according to figures from the Palestinian Authority.

Nidal Barghouti, general manager of Palestine Islamic Bank, where mortgage lending has risen to $40 million from nothing five years ago, said he worries because some banks are being aggressive about attracting customers to their retail business and many people are not used to debt.

“Borrowers don’t care as much when it’s easy money,” he said.

Foreclosures and evictions are virtually nonexistent in the West Bank because cultural pressure makes it difficult for lenders to repossess property in the close-knit Palestinian society. Large extended families support one another in times of financial need and lenders would be criticized for tossing borrowers out on the street, particularly if the default was caused by unpaid salaries during a Palestinian Authority crisis.

Last year, the authority, with U.S. help, launched a $500-million mortgage-guarantee program in the West Bank that is expected to double the number of families who can qualify for home loans.

That was back in 2012. And Obama is doubling down on a fake economic rise in the Palestinian Authority using the same rigged game as in the United States.

The United States is guaranteeing loans that won’t be paid back. It’s more wealth redistribution. This time to terrorists.

  • Ei Saa Peitaa

    these money should be used to help out people in the US.

    • hankazoid01

      As in lowering their taxes.

  • Naresh Krishnamoorti

    Is Obama guaranteeing zero-interest loans? Aren’t Muslims forbidden to charge interest?

    • 21Palms

      They’ve come up a with cute pretzelization of the loan wherein the word ‘interest’ isn’t used. They just tack on a ‘service fee’ which is equal to the interest over the life of the loan.

      • objectivefactsmatter

        “They just tack on a ‘service fee’ which is equal to the interest over the life of the loan.”

        It’s equal in theory, but not usually equal mathematically to what a free market would require. And it’s also sharia, so not only are we funding terrorists homes, but at least part of the “fee” will be funneled back in to paying for terror operations as well.

        It’s a huge scam. This has got to be the single worst economic policy ever. For crying out loud, why doesn’t 0′Bama just declare the caliphate in the Whitehouse and save us some time?

        He’d love to, but he knows we’re still stronger than they are. He needs to keep his followers duped.

        • 21Palms

          “He’d love to, but he knows we’re still stronger than they are. He needs to keep his followers duped.”

          I’m not so sure. He’s in the White House with three years to go and we’re out here looking in. If he want’s to k!ll the goose he’s got the power to do it.

          Breaking things is a lot easier than putting them back together.

    • objectivefactsmatter

      I noticed that too and I would not be surprised if they don’t pay interest at all. Perhaps trivial fees to present to the accountants so that the US taxpayers won’t see the scam, but they probably get free money. They already get it for their corrupt elites, why not bribe even more people to love the infidel?

      It could work. In John McCain’s dreams, it could really work.

    • kikorikid

      YES, It is Shariah Compliant financing, just like Muslims
      get here in the U.S..

  • Strangerinastangeland

    Insanity. The man is insane.

    • 21Palms

      Wrong, Oh so wrong again…

      He’s a wrecking crew and he knows exactly what he’s doing. He could be classified as insane if you agree that hating America for its virtues and doing everything in your power to destroy it is insane.

      • objectivefactsmatter

        He’s both. A lot of his actions are malicious, but he’s also a deranged lunatic that has adopted ideas based on delusion.

        He’s malicious and deranged.

    • ConservativeJoe

      Strangerinastrangeland, no, Obama is not insane.

      He is merely following his campaign promise made in 2008 when he was talking to Joe the Plumber. ” I will work to spread the wealth.”
      He never said that his efforts to spread our wealth would be limited to the United States.

      After four and a half years it is obvious that Obama is obsessed with bringing about his idea of a “new world order”. He intends to “transform America” into just another country in the world community of countries where all of the citizens of those countries share and share alike.

      This is the dream of Obama Senior that Obama Junior wrote about in his book, “Dreams of my Father”. If it sounds familiar, it should. It is the basis for Karl Marx’s book “The Communist Manifesto”.

      When some people call Obama a Marxist, they are not trying to insult him, they are simply describing his political beliefs. In Obama’s mind, we are all members of the world community and none of us should have more wealth than our brothers and sisters in other countries.

      This is also the reason that Obama hates American traditions and scorns the Constitution. This should not surprise anyone who understands that the foreigner in the Oval Office does not share an American ethos with actual American citizens.

      Obama is the enemy of liberty and he always has been.

      • objectivefactsmatter

        “He is merely following his campaign promise made in 2008 when he was talking to Joe the Plumber. ” I will work to spread the wealth.” He never said that his efforts to spread our wealth would be limited to the United States.”

        Bingo. He was happy with Indonesia’s standard of living and so you should be able to live with that too, after he’s made things fair globally. Such a simple plan. His mentors are guiding the way to Utopia with their “suggestions.”

        We were so stupid to accept that a kid from a developing nation like that would not have radical ideas about “global social justice.”

        Twice! What has become of America?

        PS – I don’t really mean we, I mean you that voted for him.

      • hankazoid01

        “When some people call Obama a Marxist, they are not trying to insult him, . . . “

        You are correct. Actually, being called a Marxist gives him thrills up his leg.

  • objectivefactsmatter

    I’m sure this will lead to world peace. The Palestinians will finally realize that we embrace them as equals in the world community and the love will spread around the world. People will choose to convert weapons in to garden tools.

    0′Bama is our savior. It’s never been more clear.

    “The United States is guaranteeing loans that won’t be paid back. It’s more wealth redistribution. This time to terrorists.”

    We can’t call them terrorists any more because we helped them. They’re our friends. Our love will melt their hate and we’ll all be hugging soon.

  • objectivefactsmatter

    “Love your enemy, feed your enemy, house your enemy and fund his terror operations.”

    Which commandment was that?

  • Mad Mmaxxx

    So we learned nothing from the last this was done. Isn’t there some thing about insanity is doind the same over and over and expecting a different result,
    If i remember correctly OWEBUMMER blasted Romney for wanting to repeat the same mistakes that got us into this mess in the first. Which was an absolute lie.
    What I want to know, is why are people so ready to follow this sorry a=s=s=e-d. excuse of a president we have.
    We are in worse shape than when he took office, His only claim to fame is a train wreck that everybody is bailing from fast as he can hand out waivers. Hope and Change turned out to be hopelessness and dissilusionment.
    To make things even worse he is going to waste a few hundred million in ordinance to accomplish nothing but possibly killing more innocents in Syria.
    You kinow that thig Assad ill have innocents trapped in the places we attack so if we do he can brand us as killers of innocent women, men, and children. Thereby giving the radical muslims even more reason to hate us.
    How can we let him this?

    • ConservativeJoe

      Mad Mmaxxx, you asked a reasonable question about why why some Americans follow the foreigner in the Oval Office.

      You also listed just some of the failures that obama orchestrated during his tenure.

      Let me suggest two possible reasons that obama continues to attract followers.

      A) The mentally defective liberals love the socialistic legislation that obama and his minions in the Congress have passed. One such example is the Obama Care train-wreck that you alluded to.

      B) The tax-suckers, (everyone that receives some sort of tax payer support from the government), love their government checks and believe that the Democrats will increase the current levels of government benefit spending.

      I would list the illegal voters and the dead voters but the liberal trolls would jump in and deny such voters even exist. Besides, I have already been accused of being a racist today for talking about obama in a less than reverential way. Whatever you do, don’t mention obama’s simian-like ears!

      If you think that any of the obama voters care about the concerns of the Americans, that still believe in American traditions, you are tragically mistaken.

      Wasting treasure and lives in Syria? Careful now, you are being judgmental about the same Al Qaeda organization that killed thousands of Americans on September 11, 2001. Who would have thought that an American president would be aiding the efforts of Al Qaeda in Syria?

      Mad Mmaxxx, you must be mad to risk the wrath of the jack-booted I.R.S. agents when you criticize the Muslims brothers of the Liar-In-Chief.

  • Gamal

    Didn’t Saudi Arabia just give the Palestinian Arabs vast sums of money so they can bid on homes so that Jews can’t buy them?

  • hankazoid01

    Meanwhile millions of Americans had 35%-55% of their wealth stolen from them as their home values plummeted because of failed liberal social engineering.

    That’s right, I said “stolen”.

    We are surely a patient and long-suffering people. I would fully expect that kind of theft to outrage beyond pitchforks and torches. TEA anyone?