Comments on: Down Payment Assistance: Get It Now Before It’s Gone http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/ Expert Advice & News on Bad Credit Mortgage, Mortgage Refinancing & Home Loans Sat, 07 Nov 2009 22:10:34 +0000 http://wordpress.org/?v=2.3.2 By: Gina Pogol http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-50 Gina Pogol Tue, 01 Jul 2008 23:42:30 +0000 http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-50 Down payment assistance or community homebuyer programs are locally administered generally (although the USDA does oversee some in rural areas). I would check first with my county or city housing authority. A good real estate agent will also know about local assistance options. Lenders that do FHA loans can walk you through the whole FHA loan process. You can compare rates and programs online, speak to loan agents, etc. When you find one who knows FHA and can answer your questions you can get started. Down payment assistance or community homebuyer programs are locally administered generally (although the USDA does oversee some in rural areas). I would check first with my county or city housing authority. A good real estate agent will also know about local assistance options. Lenders that do FHA loans can walk you through the whole FHA loan process. You can compare rates and programs online, speak to loan agents, etc. When you find one who knows FHA and can answer your questions you can get started.

]]> By: Mary http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-47 Mary Tue, 01 Jul 2008 23:03:27 +0000 http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-47 How do you start the procedure to get an FHA? Where do you go for down payment assistance? Is it broken down by county? How do you start the procedure to get an FHA? Where do you go for down payment assistance? Is it broken down by county?

]]> By: Donald http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-46 Donald Mon, 30 Jun 2008 21:33:50 +0000 http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-46 It is too bad that they are ruining it for others. You would think there would be some pride in ownership. Gotta wonder. It is too bad that they are ruining it for others. You would think there would be some pride in ownership. Gotta wonder.

]]> By: Gina Pogol http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-45 Gina Pogol Mon, 30 Jun 2008 21:28:43 +0000 http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-45 According to HUD these people weren't qualified under easier guidelines than other borrowers. They don't appear to be any less qualified except that they may have been less motivated or disciplined -- hence the lack of down payment. As an analyst for TRW (now Experian) I remember that the key determinent of creditworthiness was the borrower's demonstrated WILLINGNESS to pay, not the ABILITY to pay. Some rich people blow off their creditors,some poor people take second jobs and honor their obligations. It does seem as though people get a lot less "willing" to pay though when they lose nothing by refusing to do so. In some states it can take a lender a year to throw out a non-paying borrower. So buy a home with nothing down, live there for free for a year, then walk away. A cool deal for those who already have nothing to lose. Too bad they are messing it up for others who deserve the help and would make good use of it. According to HUD these people weren’t qualified under easier guidelines than other borrowers. They don’t appear to be any less qualified except that they may have been less motivated or disciplined — hence the lack of down payment. As an analyst for TRW (now Experian) I remember that the key determinent of creditworthiness was the borrower’s demonstrated WILLINGNESS to pay, not the ABILITY to pay. Some rich people blow off their creditors,some poor people take second jobs and honor their obligations. It does seem as though people get a lot less “willing” to pay though when they lose nothing by refusing to do so. In some states it can take a lender a year to throw out a non-paying borrower. So buy a home with nothing down, live there for free for a year, then walk away. A cool deal for those who already have nothing to lose. Too bad they are messing it up for others who deserve the help and would make good use of it.

]]> By: Donald http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-44 Donald Mon, 30 Jun 2008 21:20:34 +0000 http://www.mortgagecreditproblems.com/blog/down-payment-assistance-get-it-now-before-its-gone/#comment-44 I have to ask myself if the reason for the higher number of defaults from people who didn't invest anything in their homes could possible be due to the fact that they probably couldn't afford to buy a house in the first place. First off, if they couldn't save anything toward the down, can they afford a mortgage payment? Secondly, there are several costs home buyers forget about when buying a home. When you live in an apartment and you buy a home, you forget that now you have to pay water, sewer, garbage, maintenance... on top of the utilities and the mortgage payment you may not have been able to afford in the first place. When looking at these studies, we have to consider all the variables. I have to ask myself if the reason for the higher number of defaults from people who didn’t invest anything in their homes could possible be due to the fact that they probably couldn’t afford to buy a house in the first place.

First off, if they couldn’t save anything toward the down, can they afford a mortgage payment?

Secondly, there are several costs home buyers forget about when buying a home. When you live in an apartment and you buy a home, you forget that now you have to pay water, sewer, garbage, maintenance… on top of the utilities and the mortgage payment you may not have been able to afford in the first place.

When looking at these studies, we have to consider all the variables.

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