Mortgage Aid Still Needs To Be Offered To The Middle Class
The American Dream …. Many people come to the United States for many reasons, usually because of the freedom and opportunity our country offers to many people of all cultures and religions. One of the most valued goals for many Americans is home ownership. A place to call our own, our home and where we go to relax and unwind from the busy day.
With the financial crisis behind us, and as we work our way back to some sort of normal in the housing market, many questions have been raised on how we approve, assist and lend mortgages in this country. At the height of the real estate market many people took out mortgages for homes that they could not really afford, this is one of the many reasons why we are in a foreclosure crisis now. Lenders, investors blindly gave mortgages to high risk consumers with not so perfect credit. We all got caught up in the good times of a strong economy and hopping real estate market.
Flash forward to today and the fall out of everything that has happened in the past few years. The federal government wants to pull out almost completely of the mortgage industry. No longer do they want to risk taxpayers' money on backing mortgage securities, hence the end of Fannie Mae and Freddie Mac.
A former investment banker Douglas J. Elliot of the Brookings Institution suggests that the federal government not end all support for mortgages. Many homeowners would not be homeowners without the federal sponsored programs for first time home buyers. Why punish Americans for a faulty system that went crazy because of loose guidelines and greedy investors.
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