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Planned cuts in the size of a mortgage that can be backed by the federal government may hurt...

Planned cuts in the size of a mortgage that can be backed by the federal government may hurt upscale housing markets, NYT's David Streitfeld reports. One of the few points of agreement between Democrats and Republicans seems to be that taxpayers should no longer provide support for mortgages as large as $729,750.
Comments (7)
  • Capitalist1
    , contributor
    Comments (54) | Send Message
     
    Wildly overpriced California real estate heading for a high speed head on collision with reality. Not gonna be pretty.
    11 May 2011, 10:04 AM Reply Like
  • Duude
    , contributor
    Comments (3382) | Send Message
     
    Additionally, California state lawmakers will be whining over the loss of property tax revenues.
    11 May 2011, 10:38 AM Reply Like
  • WMARKW
    , contributor
    Comments (10454) | Send Message
     
    And yet...they will still do nothing politically to bring their budget under control....because they are "losers" with a capital L.
    11 May 2011, 02:12 PM Reply Like
  • Ford Pinto
    , contributor
    Comments (49) | Send Message
     
    Raising the mortgage limit was always the wrong solution, as was making 40 or 50 year mortgages. Remember the media trumpets saying they were a good counter to rising home prices?

     

    The government shouldn't guarantee anything over 175-200k, which is the range in which the average family ($60k income) can afford using the maximum traditional affordability numbers. The government should not be in the business of subsidizing overconsumption of housing.
    11 May 2011, 10:31 AM Reply Like
  • Poor Texan
    , contributor
    Comments (3531) | Send Message
     
    Good guidelines
    11 May 2011, 11:27 AM Reply Like
  • davidbdc
    , contributor
    Comments (3165) | Send Message
     
    How about we let the market determine the value of a house?

     

    Lets get the government out of almost all markets and leave people to take care of themselves.
    11 May 2011, 10:47 AM Reply Like
  • WMARKW
    , contributor
    Comments (10454) | Send Message
     
    I am still looking for some information on PMI and how all the people who had purchsed homes during the "bubble" that were subject to PMI fared.

     

    Did PMI pay off the mortgages to the lenders. Did the PMI providers go bust, etc.

     

    No one seems to ever have done much reporting on that.
    11 May 2011, 02:14 PM Reply Like
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