FHA Takes $4.6 BILLION Hit Its Just Taxpayer Money »
Posted By dog7777 11 months, 2 weeks ago in NewsDue to unforeseen high default rates on home loans, the FHA expects to lose $4.6 billion. The causes of these losses are cited as the FHA; s seller-financed down payment mortgage program, which in particular has seen high delinquency and rates of foreclosure. In order to avoid the losses, the FHA will have to renew efforts to the end the seller-financed down payment program to which 35% of losses in 2007 can be attributed.; *Editor' s translation: Leave it to the government to come up with a home loan program where, if the buyer does not have the low 3% down payment normally required, the seller can pay that for them. So, from day one, the buyers have zero equity and zero incentive to continue monthly mortgage payments. Duh… wonder why the FHA is losing BILLIONS.
Read Full Story at brokerforyou.com »
70 Views Share Story 0 Comments Report
Add a Comment
Sign In With Your Propeller Account
Please keep your comments relevant to this story.
To create a live link, simply type the URL (including http://) or email address and we will make it a live link for you. You can put up to 3 URLs in your comments. Line breaks and paragraphs are automatically converted — no need to use <p> or <br /> tags.