| Lenders' pitches aiming higher
Despite the mortgage meltdown, the blizzard of advertising for home loans continues.
With the subprime market in tatters in the wake of record defaults and foreclosures, fewer pitches scream "Bad credit? No problem!" Instead, lenders struggling to remain profitable are targeting people who have good credit and plenty of home equity.
With fewer homes being sold -- and, therefore, fewer loans taken out to finance purchases -- mortgage firms that have survived the subprime shakeout are focusing their marketing on persuading homeowners to refinance.
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Yes, there are affordable homes
In every case, buyers would actually be purchasing the home and building equity, so that someday they might be able to move into something bigger and better.No affordable homes? Let's put that myth away for another time. And let's talk about what should be a key point of discussion here: qualified buyers.It seems ironic that some of those we hear uttering the "no affordable homes" mantra most bitterly are those with bad credit, poor work history or other shortcomings that preclude them from qualifying for a home loan. Granted, it's much easier to blame one's housing woes on "the market," but the truth is, as in so many other aspects of life, the responsibility sometimes belongs on our own shoulders.We commend the hard-working citizens who are earning their way to homeownership, knowing that it is not an entitlement.
Genuine help eludes homeowners facing foreclosure
The rallying cry to help stem the foreclosure fallout from subprime and other bad loans is getting louder.
Last week, three of the country's biggest banks - Citigroup, JPMorgan Chase and Bank of America - announced plans for an investment vehicle that could help prevent problems in mortgage-backed securities from hurting other parts of the credit and stock markets.
Because of losses from bad loans, the credit markets have already tightened, making it tougher for some people to get mortgages or refinance. .
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