Government considering renting out properties that they have foreclosed.

This question was posed today:

News came out yesterday that the Obama Administration is considering turning gov’t-owned foreclosures into rental properties. Definitely a touchy subject among some. What do you think about the idea?

My opinion and response:

A horrible idea. Will add to the housing crisis and further aberrate the housing industry by putting private folks in competition with a juggernaut government who can and does print money at will. It will further disturb the natural laws of economics and take additional steam  (we have less and less to spare) away from those who really produce products (never the government). This is the kind of program offered by a government that is becoming communist in its operations and mindset.  It will likely be applauded by the majority – most of whom do not understand the true nature of production and what makes an economy work and people free. Our Founders are turning in their graves. Those who keep this country working should be against and fight such ideas.

Further comments:

I own a pre-cshool in Tampa. We have found ourselves in competition with government schools who are offering, extra curricular to their traditional roles, additional services which have been traditionally provided by private parties. The problem is that our center,  as are other privately owned centers, is  routinely monitored by the government who increases requirements and restrictions upon us to continue to grant us license to operate. They, then, at the same time, are exempt from many of the same rules and regulations. On top of this they offer the services at less cost because they are using school and other government supplied buildings and ground. This is unfair competition. The ultimate outcome, is that government runs privately owned childcare facilities out of business.

Is this just? Does it promote business and private enterprise? What do you think?