Posted on 04/19/2023 2:24:19 PM PDT by grundle
Homebuyers with good credit scores will soon encounter a costly surprise: a new federal rule forcing them to pay higher mortgage rates and fees to subsidize people with riskier credit ratings who are also in the market to buy houses.
Lenders and real estate agents say the changes will frustrate homebuyers with high credit scores and homeowners seeking to refinance because the rule punishes them for their relatively strong financial positions.
“The changes do not make sense. Penalizing borrowers with larger down payments and credit scores will not go over well,” Ian Wright, a senior loan officer at Bay Equity Home Loans in the San Francisco Bay Area, told The Washington Times in an email message.
(Excerpt) Read more at washingtontimes.com ...
It’s time.
This can’t be legal.
Please remember that the people that thought this up excuse looting because insurance pays for the damage and stolen goods.
Grateful to have a house that is paid off. They'll have to find another way (and they will!) to gouge us out of money for having our finances under control.
Well, that should eventually crash the real estate market.
Brings to mind the 130% real estate loans that lead up to the last real estate market crash.
When was the last time liberals did anything positive for responsible people?
They are building condos near me. I was stunned to find out the price was 195k for a two story 1500 sq ft unit. first, having half the unit on the second floor accessed by a very steep staircase was ridiculous. Secondly, the area won’t support that price. Then, I found out why they were so highly priced. Some unknown quantity of the units are “affordable housing.” Meaning, they will sell at significantly lower prices. After nearly a year on sale not one unit had been sold. Then they put up a for lease sign. After six months not one unit was leased. Now, they are still building but the entire complex of 100 units will be sold, likely to the government or Blackrock and the entire thing will be Section 8. I’ll be investing in a security system.
Socialism bump for later....
Marxism 101. Transfer of wealth.
Equity baby! They’re gonna take your equity and give it to someone else. Nothing really new about that come to think of it.
In 2007-2009 they had built or were in the stages of building many thousands of condos in Vegas. Some came on market just as the market crashed. People with signed deals either had to pay the deal price (even though it was worth some 30% less, or lower for other units that weren’t yet under contract) or lost their loans because the appraised values crumbled.
One of those project that had the beams up but not the inner walls had to be taken by a bank, who redesigned the interior and turned it into the Cosmopolitan Hotel & Resort. Took them a decade to turn a profit (by selling the property).
Second that statement.
The average seller will give just about any buyer a 10% consideration to get a property sold. 13.5% down payment is almost as likely to be paid as a 20% down payment the banks will think. Inflated sales prices and Inflated down payments put most of the FHA good credit risks very close to a conventional mortgage with some extortionate insurance rates until 20% or home values increase.
The federal government limits to good credit barrowers late 20s upper mobile and they will only have 2006 NINJa with a story applications. It crashes the market for homes even quicker, and for the rest of us, buyers needing a deal and property tax payers stop seeing inflation for no additional services.
Biden admin totaly fumbling this quickly is the best outcome, back to buying homestead real-estate because it is a roof over your head to hold all your stuff.
Under the new mortgage financing rules, homebuyers with riskier credit ratings and lower down payments will qualify for better mortgage rates and discounted fees.
Simply insane. I am so sick of this communist government destroying the USA
How the hell can Biden, the pResident, do that? He’s not king, this isn’t a monarchy.
This is an example why government employees need at least 15 years of work experience in the private sector prior to government employment and limited to no more than 10 years of employment in government. When people don’t build something real then they have no idea how the world works. They just see government and taxpayers as an endless money tree.
Why doesn’t this bass turd take the money out of “reparations” checks. Africans already get everything free. They don’t need all that money. They will be paying taxes on that “reparations” money, won’t they? WON’T THEY?
It isn’t. This ass thinks he is a dictator.
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