Need some help with real estate, who is edumacated?

[Return of the Yarii]

Not really the governments fault, mortgage companies did not need to charge a variable rate! Fixed rate is all there should be. Also the government did believe in deregulation which might not have been the smartest thing and contributed but certainly not the cause. Mortgage companies have people that check risk of the loans and they new that those people would more than likely not be able to pay when there rates went up, but the only thing they saw were the dollar signs and there business swelling from all the loans they could get and exorbitant fees they charged. I must add that there were shareholders to keep happy also. Then came the huge bonuses and then rates went up and people could not afford and lost there home to foreclosure.

Then the assholes did not want to work with people to help fix the problem and the government rewarded the mortgage company and bailed them out but not the people who's houses were getting foreclosed on.

In my opinion those banks should have went belly up with no bail out help at all and the people in charge should get some prison time and have there assets seized and taken. Obviously the nation would be in a little bit worse shape at this point but there has been no lesson taught, the only thing they learned was that they can fuck the system and then get bought out by the government and then still get there millions in bonuses courteous of the taxpayers. Who I should mention are still not getting help with their mortgages.

This is only true to a point, yes I agree banks are partially to blame and the government less to blame but everyone is missing the one party that is most to blame....its the consumer. Too many people these days are "house poor" barely affording their mortgage on their home and living paycheck to paycheck. I dont buy for a minute that all the people out their w/1, 3 or even 5 year ARM's didnt know what they were getting into. They knew the possibilty that their mortgage might go up but didnt care and now that they cant pay their unfortunate situation needs to be visited on the 90% of people that can afford their house? Its like the car thing, I have many friends who have 50k+ cars, all leased and paying upwards of 500-700 per month to say they drive a nice car.....funny thing is they dont have anything to speak of other than the car which isnt even theirs to begin with.

The OP with no disrespect lends into this whole situation...here is a 21 year by his own admission lives w/parents, more than likely no credit history to speak of and no solid income stream and yet he/she thinks its wise to buy a multi family house? I also agree w/the person who said No Doc mortgages are gone but even though when they were around you needed to put down 30-40% as there was always an assumed higher risk since you cant verify your income. Finally I agree w/some of the others that its going to be near impossible to find a company to finance the OP so I would recommend less house shopping and start shopping for a mortgage. General rule of thumb in the mortgage industry is you can generally get approved for 3x your annual salary i.e. annual salary 50k = 150k loan amount.