And the beat goes on

[arkcitynative]

We are getting an FHA loan at the moment and we have just about had to give everything but a DNA Sample.

It is not a subprime or no income verification loan. You can't just walk in from the street and get a home loan with FHA.

[DanInHSV]

Originally Posted by KCfromNC

It's a gamble that the net benefit of propping up house prices via taxpayer subsidies (low rates, low down payment requirements, tax refunds, and so on) is greater than the cost that falling house prices will have on banks' balance sheets. The hope is that the cost of letting more unqualified buyers get houses will be offset by the increased demand for housing that they generate. Keep your fingers crossed on that one...

Yeah, I understand the tradeoff well. I'm just one of those renters with a growing home "nut" that wants the market to deteriorate... badly. If trust totally breaks down in the securities market, my huge cash savings may be enough to buy my first home outright.

Unfortunately, the government keeps guaranteeing things so that people can buy with 3% down. It's kind of like using taxpayer money to keep the ponzi scheme going. As long as they do, I'm sitting out.

[middle-aged mom]

Originally Posted by DanInHSV

Yeah, I understand the tradeoff well. I'm just one of those renters with a growing home "nut" that wants the market to deteriorate... badly. If trust totally breaks down in the securities market, my huge cash savings may be enough to buy my first home outright.

Unfortunately, the government keeps guaranteeing things so that people can buy with 3% down. It's kind of like using taxpayer money to keep the ponzi scheme going. As long as they do, I'm sitting out.

If trust totally breaks down, your savings will likely be worth pennies on the dollar.