Re: Is this a sub-prime lender ?

On Sun, 30 Sep 2007 08:07:00 -0700, chatnoir
<wolfbat359a@xxxxxxxxxxxxxx> wrote:

On Sep 30, 8:49 am, Gary <n...@xxxxxxx> wrote:
On Sun, 30 Sep 2007 10:31:41 -0400, Gary <n...@xxxxxxx> wrote:

This is an ad I ran across and find it interesting because I can't
find one straight-forward word in it. The way I read this ad, I
would think a could with a $32,000 a year family income could afford a
$150,000 mortgage. I can see that a young person with little banking
experience would bite off more than they can chew. -- gj

I got that mangled, didn't I ? What I meant is this ---

"I would think a family with a $32,000 a year family income could
afford a $150,000 mortage "


Outside the slums - where are you going to get a $150,000 mortage?

I would hope there are a lot of them that are less than that
considering the median income is about $46,000.


"...The national median mortgage payment is $1,687 a month, nearly
twice the median rent payment of $868 a month...

.....For a family earning the U.S. median income of $46,913, for
example, owning the median-price home of $224,739 would eat up 51% of
their income. Renting would require just 25%...."

http://www.usatoday.com/money/perfi/housing/2006-08-09-rent-1a-usat_x.htm

It's my theory -- yet unproven -- that middle class Americans are
being swindled by the shylocks and other real estate profiteers.

If you figure a $150,000 mortgage for 30 years at 5.75%

Monthly payment: 30 Years
Interest rate: 5.750%
Loan amount: $ 150,000.00
$ 875.36 a month

http://www.mortgage-calc.com/mortgage/simple_results.php

Why is the median mortgage almost twice what should be a median loan ?
Somebody's getting screwed.

Even a $200,000 mortgage at the prevailing rate would still be less
than the median mortgage --


Monthly payment: 30 Years
Interest rate: 6.110%
Loan amount: $ 200,000.00
$ 1,213.28 a month

It's just something that arouses my curiosity.
.

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