Is 0% financing for a house possible?
A bold idea? Do you think lender's and home builders won't do it?
Before you reject the idea, please read more here:
Remember how interest-only loans enticed people to buy houses that lead to the housing bubble?
Since a big chunk of mortgages today are guaranteed by the government and many too-big-too-fail banks are relying on taxpayer bailouts, why not offer principal-only loans instead?
Perhaps a 10-year principal-only mortgage will encourage more people to buy a house since they can build equity much faster. If we are giving tax credits, mortgage interest deductions and bank bailouts, why not explore this option?
Why should I keep my money in these banks when I earn nothing? I might as well buy a house and also enjoy what these banks enjoy, zero percent interest. Zero percent is available when buying cars. Why not have it when buying a home?
If you can own at zero interest, why rent?
If banks won't do it, Fannie and Freddie should probably consider being a direct lender and remove these TBTF middlemen. I heard this approach is now being applied on student loans, right?
Peter Schiff talks about the US economy and housing.
You can also watch the video here:
http://www.longbeachrealestateradar.com/long-beach-real-estate/2010/03/peter-schiff-will-you-guarantee-your-neighbors-mortgage-why-are-we-forcing-renters-to-cosign-the-loa.html
Do you agree or disagree with Peter?
Do you own a house in Long Beach, California?
Are you wondering whether you should sell or rent your house?
With so many people losing their homes these days through foreclosure, many are asking if they can easily move to a rental property.
If you're one of these renters or soon to be renters with a foreclosure or other credit problems, you may like to visit my blog post at www.longbeachrealestateradar.com
There is life after foreclosure.
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