Democrats vote down 5% rule


Democrats Vote Down 5 Percent Rule
In a bid to stem taxpayer losses for bad loans guaranteed by federal housing agencies Fanny Mae and Freddy Mac, Senator Bob Corker (R-Tenn) proposed that borrowers be required to make a 5% down payment in order to qualify. His proposal was rejected 57-42 on a party-line vote because, as Senator Chris Dodd (D-Conn) explained, “passage of such a requirement would restrict home ownership to only those who can afford it.”
In most cases I would not comment on something so far from reality but this time I couldn’t pass up the opportunity.
Now I wonder when Chris Dodd had the time to make this comment, either before or after the silver spoon was removed from his mouth.
Yes the mortgage industry has taken a beating, Wall Street has and will continue to take a beating and the housing market will continue to improve at a snail’s pace but for a Democrat to say the above, is the reason we are in this predicament in the first place.
Way back when home ownership was made easier and everyone should be able to have a piece of the pie didn’t exactly mean everyone.
If you cannot afford to buy something don’t buy it.  Simple as that.  But when you can afford something put some of your own cash in it so it means something.
Please don’t confuse me for pulling for one party or the other here.  I am just pulling for the smart group that proposed the 5% down payment and wonder why Chris Dodd (D) made such a stupid comment.
Currently FHA loan down payment requirement is 3.5%.  We are talking another 1.5% down payment of your own money.  That is $2250 more for a $150,000 home.
Maybe 8 years of  Bush wasn’t the greatest, but 4 years of stupidity, ignorance, foreclosures, short sales and lack of jobs and oil spilling in the Gulf is worse.
I am a REALTOR and proud of it and if folks can’t afford I am more than happy to work with folks that can.  There are lots of them out there. Including me.
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