Pam Marron Home Lending

“Outnumbered”

Comment: Stephanie Sad, people buying things they can’t afford. If you can’t pay cash for what you have, with the exception of a mortgage, then you can’t afford it. Dave Ramsey says that your mortgage should only be 20% of your take home pay each month. But even with the crack down from the mortgage companies, people are still buying homes then getting credit cards and new cars on top of that. Living beyond your means is simply a stupid thing to do. The borrower is slave to the lender and no government official is in charge of your own personal purchasing decisions. Although their story is sad, they made the choice to buy what they did. No one put a gun to their heads. When we bought our first home in 1997, the mortgage company approved us for twice what we spent. Just because you CAN doesn’t mean you HAVE to.

 

Reply: from Camille Triebel @ Stephanie – true, no one put a gun to our heads to buy a home. however, we bought our home well within the means of our income, in fact or mortgage was <20% of our net income.When we bought our home, the economy was good and both of our industries were rock solid. There was no foreseeable housing market crash on the horizon and we were starting our lives together as a couple. several years after buying our first home, a place we thought we would live for a long time, it was sold for less than 50% of what we bought it for. In the future, please don’t make assumptions about why people are put in the position they are. If we could have kept our house, we would have. It was a devastating event in our lives and has made us leery of owning again in the future. Circumstances change. Lives change. The economy changes. Not everyone who has bought and subsequently short-sold or foreclosed on a home had to do so because they bought something they couldn’t afford.