Skip to comments.'Boomerang' Buyers Expected to Boost Recovery in the New Year
Posted on 01/15/2014 5:18:57 PM PST by Lorianne
Considering the importance of Boomerang buyers, the Federal Housing Administration recently implemented the Back to Work program. This program allows the purchase of a new property as soon as twelve months following a foreclosure or short sale provided that the borrower can prove that their prior default was the result of a financial hardship. Financial hardship is strictly defined as an employer-driven loss of at least 20 percent in income for six months or more. Although the program is definitely a step in the right direction, it leaves those who were self-employed out in the cold.
(Excerpt) Read more at dsnews.com ...
Keeping in mind that the American working household will be short about $1000/month due to mandated insurance purchases, leaving less for housing and other disbursements.
Can liar loans and NINAs be far behind?
Brilliant. Loan more money to people who recently walked away from their loans obligations.
Yep. Just reinflating the bubble.
Yikes! Thanks for that link.
Not to mention being cut to 29 hours/week to avoid Zerocare, that’s definitely “employer caused”.
Who was it that decided putting somebody that can’t afford a home in a home was a good idea? They shackle these people to a depressed area. Mobility is gone.
Exactly! So much for a consumer driven recovery. There is little if any discretionary income left for anything after the basics.
Someone better tell the FHA that the Consumer Protection Board is doing everything they can to eliminate mortgages and easy credit.
How so? Not that I doubt it. Government agencies frequently work at cross purposes to each other.
The CFPB has eliminated no doc, certain, ARMs, and other mortgage types that allowed unqualified poor people to get loans. Now the othe victimhood agencies are going out and attempting to force lenders to loan to the same people who can’t pay back loans.