We Need to Bring Back the Mortgage Program to Help Low Income People

[Juan Benavidez]

Back in 1977 or thereabouts, I recall that there used to be a mortgage program where the government would pay for either the principal on the mortgage or the interest, I forget which, for low income people, but it helped a lot of people to buy homes that otherwise could not afford to purchase one. Maybe if we still had that kind of program, we would not have the subprime mess today. Does anybody know why it was discontinued?

 

[Michigan CG]

Back in 1977 or thereabouts, I recall that there used to be a mortgage program where the government would pay for either the principal on the mortgage or the interest, I forget which, for low income people, but it helped a lot of people to buy homes that otherwise could not afford to purchase one. Maybe if we still had that kind of program, we would not have the subprime mess today. Does anybody know why it was discontinued?

I believe the subprime mess of 2002-2006 did that for people. It did exactly that, it let people buy homes they could not afford. Home ownership is not an inherent right, it is something that is earned by hard work and responsibility. It is not my responsibility to have my tax dollars pay for other people's homes.

 

[Couch Potato]

Back in 1977 or thereabouts, I recall that there used to be a mortgage program where the government would pay for either the principal on the mortgage or the interest, I forget which, for low income people, but it helped a lot of people to buy homes that otherwise could not afford to purchase one. Maybe if we still had that kind of program, we would not have the subprime mess today. Does anybody know why it was discontinued?

Probably discontinued out of an attack of good sense. There is absolutely nothing wrong with renting. In fact it has been the smarter financial move in most markets for a couple years now, and will likely remain that way for several more years. Talk to some of the people walking away from their houses do to being upside down on their mortgage. Bet they wish they had rented instead.

 

[MS Rebel]

It is not my responsibility to have my tax dollars pay for other people's homes.

Ditto

Or to feed them, clothe them and provide utilities. Can't work? Then you can't eat unless you're old or disabled. Too bad. Boo Hoo.

 

[TC]

Home ownership is not for everyone.

TC

 

[Karl]

Home ownership is not for everyone.

TC

Amen!!! Lets stop the handouts. So we'll have assistance available for those that do NEED it.

 

[Wayne Tomlinson]

In the intention of the FHA program was about that, the VA program was started like that for veterans, the former FmHA (now Rural Developement) program is like that. In RD there can be "interest subsidy" which essentially can make it as low as 1% interest.

All these programs became pushed in later years as they were pushing to get "market share"
I can see no sense in any government program fighting to get market share.

There is no competition in that area,
In competing, FHA, RD and the others pushed programs and contributed to the problem as other lenders wanted to get in to that poor credit, low income, high risk business.

Tha is a lot of what we are now looking at in most markets around the country.

Wayne Tomlinson

 

[Em Tee]

I believe the subprime mess of 2002-2006 did that for people. It did exactly that, it let people buy homes they could not afford. Home ownership is not an inherent right, it is something that is earned by hard work and responsibility. It is not my responsibility to have my tax dollars pay for other people's homes.

I couldn't agree more!!!!

 

[JT1974]

I have an idea..............

How about we bring back the "good 'ol days" of 20% down and we verify people's incomes.

 

[Karl]

I have an idea..............

How about we bring back the "good 'ol days" of 20% down and we verify people's incomes.

OH stop !!! You know it's my Government given right to have what I want when I want it!! In the event that I can't handle the pressure of recieving the "freebies" I am entilted to, it is also my goverment given right to have the government fix that too!!!

Geeze some of you think your so superior!!! We are all created equal & that means, we should all have any & everything we want!!! It even says that in the constitution!!

Some of you need some of the govermnment free medical attention cause your nuts!!!

You want people to work & support themselves. That is so OLD!!! Must been something you had back in the U.S.A.!!