Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

I was thinking of the Sonyma - the income limit is $64K in nassau/suffolk


Actually SONYMA income limit nassau/suffolk is $91,770 for 1-2 people in non target areas.

Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

sonyma low interest income limits long island

This is the link to the website where I got the information.

Target Area
An entire census tract or portion thereof which has been designated by the federal government as economically distressed. For borrowers who purchase in these areas, in accordance with federal law, SONYMA waives the First-Time Home Buyer requirement, applies higher income and purchase price limits, and will finance two-family homes that are less than 5 years old.

Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

the achieving the dream program is only $64K.

still, if you are making under $91K on LI, how are you affording a $365K house, unless you are putting $100K down

Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

Posted by Meaghan729

the achieving the dream program is only $64K.

still, if you are making under $91K on LI, how are you affording a $365K house, unless you are putting $100K down

Re: Great Article that sums up what has been going on in the Mortgage Biz in the last month

Okay...end of PSA.


I agree- but I think the larger problem came from people using their homes as ATM machines-




Beth, I agree with your statement. Non-conventional loans can work for many people - everyone' situation is different.
However, when your home is not some place to live, but a place to make money off of, thats where a lot of problems can come in. Either you (hypothetically speaking here) buy a piece of crap to "flip" it - and oops -now the market is going down and you can't sell your flip - plus you have a mortgage on your personal home - now what do you do?
Or you bought a house that was above your means thinking the market would just keep going up and up and figured everything would be ok because you could sell the house if you had to, or you could just keep taking out HELOC's on your home ATM.




I agree that some people took way too much out of theri houses thinking that the boom would never end. I disagree that if you can't get qualified for a conventional loan you shouldn't buy a house. What about people who lost jobs, had medical or family issues? They should rent and keep themselves in a hole, throwing money away because they don't have pristine credit. This is how the rich get richer and the poor stay the same in this country.

The BIGGESt issue I see is adjustable rate mortgages. I am sure MANY people were not aware of how much an adjustable mortgage goes up when it actually adjusts. I am also shocked my how little the gov't advertises homeowner assistance that is available.


adjustable rates go hand in hand with unconventional type mortgages . Conventional loans do not have adjustable rates.

And to respond to the comment about
people are "keeping" themselves in a hole when renting...I rented for two years which allowed us to save enough money to put down enough of a downpayment to get a conventional mortgage to buy a beautiful house in Smithtown. We have friends that did not want to "dig the hole" while renting and now they cannot afford their homes now that mortgage rates are adjusting.



Renting for 2 years, or a little bit more while you save is totally reasonable. I've had friends buy houses and a few months later they could not afford some home repairs that came up. That's scary. However, on the flip side, I have known people who have rented for 10 years, made good salaries but were just scared to buy.