As the Senate inches toward passage of a $300 billion bill to help homeowners facing foreclosure, a new Rasmussen Reports national survey shows that only 21% of voters think the federal government should provide such assistance.

Slightly more than half (51%) say the government should not help these troubled homeowners and 27% are undecided.

Forty-six percent (46%) blame the ongoing home foreclosure crisis on individuals who borrowed more than they could afford, while 42% say Wall Street investors and mortgage companies caused the problems.

The bill expands the FHA's refinancing program for homeowners facing foreclosure by $300 billion and calls for an overhaul of the government-backed mortgage companies Fannie Mae and Freddie Mac. The bill also allows troubled lenders like Countrywide to transfer their distressed loans to the federal government, funds a program for cities to buy foreclosed properties and increases federal support for consumer credit counseling programs.

The bill is very attractive to legislators in an election year, but the nonpartisan Congressional Budget Office found it would do little to ease the housing crisis. The White House is balking at key portions of the bill, but President Bush has indicated a willingness to compromise with Congress.

Democrats are more supportive of the measure than Republicans, with 31% favoring federal help for those facing foreclosure as opposed to 11% of Republicans. While a slight plurality of Democrats (37%) oppose such help, far more Republicans (65%) hold that view. Among unaffiliated voters, 50% oppose federal aid while 34% favor it.

Thirty percent (30%) of African-American voters support federal assistance to those facing foreclosure, with 27% against it. Only nineteen percent (19%) of white voters, by contrast, support such aid, while 55% oppose it.

Not surprisingly, income is a factor, with opposition to foreclosure assistance generally growing as the voter’s annual income level rises.

Democrats (57%) are more likely to blame Wall Street investors and mortgage companies for the foreclosure crisis than Republicans (29%). Sixty-two percent (62%) of GOP voters say individuals who borrowed more than they can afford are to blame, but only half as many Democrats (31%) agree. Half of unaffiliated voters (50%) put the onus on individuals, while 34% blame investors and mortgage firms.
Again, African-Americans disagree dramatically with white voters over who is to blame for the foreclosure crisis. Sixty-nine percent (69%) of blacks blame Wall Street and mortgage companies, but only 38% of whites agree.

When voters are broken down in employment categories (e.g., union family, private sector, retired), they are closely divided on where the blame should fall. But 60 percent (60%) of self-designated entrepreneurs say individuals who overborrowed are at fault, while only 28% of that group finger Wall Street and mortgage companies.

Sixty-three percent (63%) say they have been following Congress’ debate about the foreclosure bill. The majority of voters take issue with at least two specific proposals now under consideration. Over half (51%) say they do not think the government should buy, fix up and sell foreclosed properties, as opposed to 25% who like the idea. A similar number (52%) oppose taxpayer-financed programs to counsel citizens about their credit, although 28% support the plan.

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