@casinobonusguy 175084 wrote:
All these mortgages failing has mostly to do with people overextending themselves and not planning for rainy days.
It was clearly the banks, here’s why.
A seasoned computer software programmer can look at a chunk of code written by a novice and either debug it quickly or write it more efficiently. In another example drive a noisy a to mechanic and they have a generally idea where the problem might be.
When a mortage broker examines financial data they can tell right off the bat what the person can and cannot afford.
You proved it yourself in this statement.
I bought a $190,000 townhouse although my bank told me i can buy up to $347,000. If i go back to making $14 dollars an hour i can still afford it.
Perhaps in your case this may be true but generally:
A 347k mortage even at 5% for 30 years is about 1862.77 a month.
That would pretty hard to meet on $14 an hour and I doubt many would even qualify.