 Can a person with an income of about 25,000 afford to buy a 200,000 dollar house? |
| I am having an argument with an individual and I am arguing that a person with an income of 25,000 and has five children cannot afford to purchase a 200,000 dollar house. He says that that person can.... |
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 What do you do if you owe more than your house is worth? |
| We bought our house 3 years ago for 849,000. Yes we did the zero down with two loans. Now with all the foreclosures and the market our house is worth about 620,000 and the house across the street ... |
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 Landlord trying to get over on us.? |
| about a month or so back, my landlord decided she wanted to name her ex-husband (who apparently "owns" the property) to be landlord, so she took our lease & whited out her name & ... |
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 My roommate forged my name on the leasing agreement at our apt, w/o my permission. Can I get out of the lease? |
| I began by subletting, w/o the apt management's knowledge in Sept. 07. In Dec. 07, it was time for lease renewal. I filled out the application, and signed the work history documents that were ... |
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 Im the sole name on the mortgage, if I add someone to the title, can I remove them without his/her permission? |
| My boyfriend of 3 years and I are purchasing our first house together, but due to his bad credit, just my name is going to be on the mortgage to get a better interest rate. I was told that I can add ... |
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 I just pass my real estate exam. How much commission % should I get for helping a seller or buyer? |
| How do I know which broker to sign up with, in order for me to practice my real estate? I want a broker which will pay me my fair share when I help a client buy or sell a property. What is the ... |
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 What to do when you buy a house in San Francisco and the renter does not move?I have that problem.? |
| My daughter bought a house in San Francisco with a renter living in it at the time, now she is facing a horrible dilema in trying to evict her out of the house, in the mean time she has to pay the ... |
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 We want to buy a duplex, live in one side, but both units are presently occupied...? |
| My husband and I want to buy a duplex and live in one side, rent the other. The one we are interested in has both units rented out right now. I am not sure when the leases expire and what the terms ... |
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 I gave my landlord 30days notice and paid the rent for the 30 days but do I need occupy it or can i move out? |
she got her money for the last 30 days does the law say i have to be there or can I move to my new place.
Additional Details
she makes it sound like i can't move out till she rents ... |
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 Just set up home and need free/very cheap stuff? |
hi
ive always rented furnished accomadation .but now ive got a house and i need basically everything.im on a tight budget.ive tried freecycle,does anybody know of any similar websites or ... |
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 Need info on rental question? |
| recently i rented out a hyome i own to a gal who had no money to pay the security deposit. the house was dirty from last tennant so we agreed that she would clean the house in lieu of paying the ... |
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 What can the landlord do if I leave the rented house on my own (the rent is too high) and rent somewhere else? |
| I made a bad rental deal when moving to a new area after I got hired with a new job. It's 1800 a month house and I cannot afford it. I have rented for 3 months now (my rental agreement is for 12 ... |
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 How much should I save for a downpayment for a home? |
| I am living in an apartment and would like to buy a home.... |
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attorneyinmichigan | Why not destroy empty and foreclosed houses? |
This will stop the housing glut, create a housing shortage and stabilize prices. |
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gregory_dittman
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That actually was a plan and it could happen in parts as houses are destroyed to make way for a stadium, school, mall, museum etc. There are other ways to destroy houses. Remember Katrina? Many people moved out of New Orleans and they had to go somewhere. Some people in Texas got hammered from a recent hurricane. Those people have to live somewhere. Remember the recent fires in California destroying hundred of homes? Those people have to live somewhere.
The bigger problem is houses have become too expensive. 75% of the U.S. households make less than $58,000. Now using the 2 1/2 year rule, the real price of homes that people can afford is $145,000 or less. Where I live the houses got up to $640,000 on average. There is no economist on Earth that can crunch a family making $58,000 into a home for $640,000. But there were people handing out loans to just such people and a lot of those types of loans were handed out. Even if you destroy these homes to stabilize the housing prices, you will not stabilize the market. The upper middle class and the rich could continue to buy those homes but then you run out of buyers real quick because you are looking at less than 25% of the America households being able to own more property than they already own.
What the government should do is two things. One, add home ownership to instead of government pensions. So a military trooper serving his country for 20 years+ gets a house. There would be less homeless vets that way. The government could start that now. The second thing the goverment could do is rent to buy with low or no interest rates. A family making $48,000 a year could be put in a $400,000 house making $1,000 a month payments for 45 years. If the house gets destroyed the insurance covers the cost and they are placed in a new home if they want to move. If they die or move out before they pay off the home, a poorer family is placed there to finish off the payments (with the rent spread out to meet their need). eventually homes will be destroyed or absobed into the market and this would create more home ownership. |
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A_Kansan
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You are an attorney and you ask that question?
It is private property, belonging to the bank, and it is worth some money if not what it originally sold for.
Selling it at a reduced price does two things.
(1) Limits the loss to the institution to a smaller percent of total loan. Selling for 75 cents on the dollar is better than 0 cents on the dollar.
(2) Brings the market back in line, allowing those who would otherwise not be able to afford to purchase a house, to do so.
All economic cycles swing between between the rails of boom and bust. In this case, Fannie May and Freddie Mac, took out the rails by pressuring banks to make loans to individuals who really couldn't afford to pay them back.
They promised the banks they would purchase those loans. Fannie and Freddie would then bundle them and sell bonds backed by those mortgages. This is how they'd replenish their money supply and continue purchasing mortgages from the banks.
When some of the loans began to fail, the market no longer wanted to purchase those bonds from Fannie and Freddie, and those bonds already owned by investors declined in value.
The banks continued to make bad loans backed by the promises of Freddie and Fannie to purchase them, except they couldn't sell the bonds and no longer had money to purchase those new loans.
Bank holding companies (banks are not allowed to purchase those bonds) and insurance companies which purchased those bonds were now in trouble as the balance of assets to liabilities were off.
In order to stop the bank holding companies from taking money of their banks, the government moved in to take them over or prop them up.
Banks and other institutions that were going to be helped by the bail out, stopped loaning money to pressure Congress to pass the bail out.
If there is any greater example of why we should keep government out of the market this is it.
Government entities, Fannie and Freddie, created the mess that otherwise would not have occurred.
Democrats stopped the Bush administration from regulating the type and number of loans Fannie and Freddie made, so they could claim they were helping make affordable housing. In a strange way they did. The market collapsed and housing became affordable. |
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Gem
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Wow. We really do live in a throwaway society don't we.
The environmental impact alone should be enough to keep nuts from thinking this way.
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PiggiePants
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because demoliton cost money, and who is going to pay for it? Empty lots would also decrease property values of other houses in the area, and may force other owners into bankruptcy and foreclosure. |
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Dan B
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The mortgage holder can recover some of their loss if they can resell the house. Also, mentioned is the environmental impact and decreased values of other homes in the area.
Buying a home is much like 'renting' the home from the bank. Only thing is, after 30 years, the bank gives you true ownership. Now, let's say you own a home and your 'renter' fails to pay rent to you. You evict them (foreclose?). Do you want some government agency to come in and destroy your home? You still have a vested interest in that home. So does the bank. |
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tie d
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Somebody owns those homes. I'm pretty sure its not in their best interest to destroy them.
Or are you proposing an arson spree?
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Frankenstein's Punguin
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Because the banks own them and don't want to lose everything that's in them.
The housing problems are largely due to Federal laws. So who are we asking to fix the problems? The people who caused them! I'm thinking of leaving the States. Taxes are actually lower in the Soviet Union!
Read "Atlas Shrugged." Who can blame businesses for leaving the States where they are punished with high taxes when they succeed?
Have the voters lost all rationality and the ability to think critically?
Are we becoming a nation of naive socialist "sheeple" who believe that they can live off the efforts of others? The host might decide to fumigate and get rid of the parasites. |
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mets fan
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theres a lot of money being spent in the foreclosure process. once the house is foreclosed, it now belongs to the bank. why would the bank want to then destroy the house? they lost money by the foreclosure process..why would they want to destroy their asset instead of trying to cut their loss's? |
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Ed Atun
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This is already happening in Detroit and upstate New York.. |
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C
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home prices are still high. Still need to go down way further. |
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almostfamous
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bc it shows your immaturity |
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