Mortgage Meltdown Proves Importance of Illegal Immigrants
The current sub-prime mortgage meltdown and the bursting real estate property bubble was a predictable consequence of the current crackdown on illegal immigration. Over the past fifteen years, the extra 12 million illegal immigrants, who still need a place to live, have supported the real estate values in the central cities.
This enabled the older, more established ethnic Americans to sell their houses in the cities and use the money to make a down payment on the new McMansions in the suburban tract development, or to rent out the old homestead and use the income to support the new mortgage payment. Many of these poorer Americans were the holders of sub-prime, adjustable rate, and balloon payment mortgages. Of course, the fancy new financial instruments, derivatives, hedge funds has made the meltdown worse because these they are so highly leveraged; but the underlying root cause of the decline in housing demand is partially a consequence of the pressure on illegal immigration.
Illegal immigrants are an important part of the American economy. If immigration slows, the economy will suffer. The illegal immigrants are contributing more to the economy than they are taking.