U.S. housing prices are down 5-10% from their peak and many analysts predict prices will grind down another 20%. If this is the case, 10 million homeowners will have negative home equity and 2 million homeowners will be forced to foreclose on their homes.

Snapshot asks, should the Federal government bail out the housing market and if so, what bailout plan would be most beneficial to the U.S. economy?

Wall Street Journal - Home Resales, Prices Decline
Business Week – Bankruptcy Reform Bites Back
Lawrence Summers – Prevent US Foreclosures
Bloomberg – OTS Housing Proposal Gains Treasury, FDIC Interest
New York Times – A ‘Moral Hazard’ for a Housing Bailout: Sorting the Victims From Those Who Volunteered
New York Times – Rescues for Homeowners in Debt Weighed
CNN.com – Homeowners: Can’t Pay? Just walk away