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Originally Posted by Detector  ....Thats the point I'm trying to make. I'm just saying if people are going to point fingers at the cause of the "mortgage crisis" let's get it right. It's not just the buyer, but the seller as well..... |
Keep in mind that the realtor and the mortgage broker both work on commission based on the selling price of the home. The paper shuffle they do is about the same on a $50K house as it is on a $500K house. They are both more than happy to sell you a more expensive home. The mortgage company tacks on 1% to the payment for mortgage insurance that covers their loss if you default.
I don’t see much incentive to sell folks affordable homes.