Taxpayers may pay legal bills for Mortgage Executives?
Another twist to whole mortgage mess, taxpayers may be paying for legal bills for mortgage executives who were partly responsible for the housing market collapse! According to an article on Yahoo News, because the Government bailed out Fannie Mae and Freddie Mac, the Government also inherited Fannie Mae and Freddie Mac’s contracts that stipulated they would cover the legal bills for mortgage executives.
So you have the Justice Department investigating companies that were involved in the mortgage and financial meltdown. Those mortgage executives that are under investigation have hired attorneys to represent them. But guess who gets to cover the bill? Taxpayers! So not only is taxpayer’s money being use to investigate mortgage executives who are allegedly responsible but we as taxpayers are also footing the bill for their defense! How about that injustice!
You would have thought the Government would have known about this before they bailed out Fannie Mae and Freddie Mac and would have made conditions on the bailout like we won’t be paying legal bills for mortgage executives!
Is the Loss of DPA Affecting Your Business?
I have personally noticed a drop in business from monitoring our closing from my team of agents because of the loss of Down Payment Assistance. We began to notice the effects in September and they are continuing into October. Many of our leads that we generate from our websites are buyers looking to purchase a home in the Las Vegas Valley for under $200K and are in need of some type of down payment assistance. Prices on Las Vegas homes have dropped considerably over the last two years and it’s creating a tremendous amount of interest from potential buyers but the loss of DPA is causing some buyers to not move forward.
With all the press that the Down Payment Assistance got a few months ago, I thought those that were interested in purchasing a home would know that the DPA was no longer available. But that’s not the case. We still get numerous inquiries a day about what type of Down Payment Assistance we have available for them. Many potential clients are completely shocked after we explain that they cannot purchase a home without a down payment.
Is the loss of DPA affecting your business?