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Biden Now Punishing Americans With High Credit Scores To Subsidize Certain Homebuyers
The Daily Wire ^ | April 19, 2023 | Tim Meads

Posted on 04/20/2023 12:33:16 PM PDT by Twotone

Just when you think the Biden administration can’t possibly have any more awful ideas, his team rolls out a plan to punish Americans with high credit scores to subsidize high-risk homebuyers.

On Wednesday, The Washington Times reported that starting May 1, Americans purchasing a new home or refinancing their existing mortgage can expect to pay higher mortgage rates and monthly fees if they have a higher credit score. Americans with lower credit scores and smaller down payments will be given better rates. In other words, Biden is essentially stealing from the rich to give to the needy by adjusting the fees on loan-level price adjustments.

“The changes do not make sense,” senior loan officer at Bay Equity Home Loans Ian Wright told the Times. “Penalizing borrowers with larger down payments and credit scores will not go over well. It overcomplicates things for consumers during a process that can already feel overwhelming with the amount of paperwork, jargon, etc. Confusing the borrower is never a good thing.”

It makes sense if you are a member of the Biden administration. In the name of equity, the Biden administration seeks to close the racial gap in homeownership. To do this, they are enacting numerous changes to the housing market that will benefit those at the lower end of the spectrum — which tend to be minorities for a variety of reasons.

So, according to The New York Post, industry experts say that its going to wind up backfiring.

“It’s going to be a challenge trying to explain to somebody that says, ‘I worked my whole life for high credit and I’ve put a lot of money down and you’re telling me that’s a negative now?’ That’s a hard conversation to have,” one expert told the Post.

Even former Obama officials are sounding the alarm.

“It’s unprecedented,” David Stevens, Federal Housing Administration commissioner under President Barack Obama, told the Post. “My email is full from mortgage companies and CEOs [telling] me how unbelievably shocked they are by this move.”

The push to put “riskier mortgages” in the hands of those who couldn’t otherwise afford homes also could cause disruption should a recession hit — which the Federal Reserve is predicting.

None of this matters to President Joe Biden and his ilk. They never let a bad idea get in the way of equity.


TOPICS: Business/Economy; Crime/Corruption; Front Page News; Government; News/Current Events
KEYWORDS: biden; bidenadm; bidenadministration; bidenvoters; credit; creditscores; dementiajoe; democrats; homebuyers; homosexualagenda; housing; letsgobrandon; mortgage; obama; obozo; poopypantsbiden; worthlessjoe
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To: Twotone

Washington state recently decided, through its Insurance Commissioner, that insurance companies couldn’t consider credit scores to set rates, because people with higher scores are safer risks and get lower rates. Responsible folks get screwed again.


21 posted on 04/20/2023 12:57:38 PM PDT by Spok
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To: Twotone

I wonder if the evening news will tell people that your reward for paying your bills on time is a higher rate.

It’s obvious that biden isn’t behind all this. There is a large crowd of radicals who are setting all this up, and he is signing whatever they shove in front of his nose.


22 posted on 04/20/2023 12:58:14 PM PDT by I want the USA back (No one is assigned sex at birth. One's sex is noted and recorded. My pronouns Haha, hehe, hoho, hoo )
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To: Alberta's Child
Washington Times has details According to an article from The Washington Times, homebuyers with good credit scores will soon encounter a costly surprise: a new federal rule forcing them to pay higher mortgage rates and fees to subsidize people with riskier credit ratings who are also in the market to buy houses. This rule change will take effect on May 1st and will impact Americans when federally backed mortgage outfits such as Fannie Mae and Freddie Mac sock buyers with what are called loan-level price adjustments.

During a conversation with a fellow Sailing Club member who works in the mortgage industry, he mentioned that he anticipates an increased demand in May. This must be what he is referring too.
23 posted on 04/20/2023 12:58:38 PM PDT by DEPcom (DC is not my Capitol after Jan 6th lock downs.)
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To: V_TWIN

Where is this found in the Constitution???
What a Dictitorial SOB...


24 posted on 04/20/2023 12:59:37 PM PDT by CMailBag
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To: Twotone

This is liar loans all over again.
Remember no proof of income required back around 2006 & 2007? Then came the financial crash of 2008 caused by bad loans for houses. Get ready for another crash coming hard and fast!


25 posted on 04/20/2023 1:00:12 PM PDT by 9422WMR (45 1. Lie, cheat, steal. It’s how the democRATS operate. )
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To: Twotone
"The inherent vice of Capitalism is the unequal sharing of blessings; the inherent virtue of Socialism is the equal sharing of misery" - Winston Churchill
26 posted on 04/20/2023 1:01:55 PM PDT by PrinceOfCups ("...the inherent virtue of Socialism is the equal sharing of misery" - Winston Churchill)
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To: Alberta's Child

Executive Order 12631, signed on March 18, 1988.

Taxpayers Backstop no matter the paper MBSs.


27 posted on 04/20/2023 1:02:31 PM PDT by Varsity Flight ( "War by🙏🙏 the prophesies set before you." I Timothy 1:18. Nazarite prayer warriors. 10.5.6.5)
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To: 9422WMR

Biden is trying to stall the crash until after a Democrat gets elected in 2024. If the crash happens before 2024 we will see a Republican in office.


28 posted on 04/20/2023 1:03:37 PM PDT by DEPcom (DC is not my Capitol after Jan 6th lock downs.)
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To: 9422WMR

Executive Order 12631, signed on March 18, 1988.

Taxpayers Backstop no matter the paper MBSs.


29 posted on 04/20/2023 1:04:10 PM PDT by Varsity Flight ( "War by🙏🙏 the prophesies set before you." I Timothy 1:18. Nazarite prayer warriors. 10.5.6.5)
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To: Twotone

Combined with higher interest rates, stuff like this gives me less reason to want to sell my house and move. It’s a nice one-story ranch style in a nice area and I’m over 50 so I’ll just stay put.


30 posted on 04/20/2023 1:07:01 PM PDT by olivia3boys (t )
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To: 1Old Pro

Just wait until Biden “wins” re-election.


31 posted on 04/20/2023 1:09:28 PM PDT by Organic Panic (Democrats. Memories as short as Joe Biden's eyes)
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To: Organic Panic
Just wait until Biden “wins” re-election.

He ain't running IMHO

32 posted on 04/20/2023 1:10:25 PM PDT by 1Old Pro
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To: oldasrocks

I found that you can get a car for half the price of its worth by buying at an auction, if you shop carefully. You’ll still save money even if it needs some work.


33 posted on 04/20/2023 1:10:29 PM PDT by Jonty30 (Black widow spiders aren't the only species that eats their mate after finishing with them. )
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To: Twotone
Hood rats with bad credit and felony convictions need a place to live too ya know?

Murderers among us.

34 posted on 04/20/2023 1:11:15 PM PDT by blackdog ((Z28.310) We're all Women now.)
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To: V_TWIN

This is obama taking his anger out on our country.

From those according to their ability.....


35 posted on 04/20/2023 1:11:51 PM PDT by Texas resident (We are living through Barak's fundamental transformation)
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To: Twotone

How to crash the housing market in three easy steps…


36 posted on 04/20/2023 1:17:20 PM PDT by gov_bean_ counter (Eccl 10:2 - The heart of the wise inclines to the right, but the heart of the fool to the left.)
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To: Twotone

Red Lining in reverse!


37 posted on 04/20/2023 1:17:33 PM PDT by immadashell (Save Innocent Lives: Ban Gun Free Zones)
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To: Twotone

This is just another twist of financing homes to those who can not afford them along with negative payment history. It is basically the same scheme that crashed the housing market in 2008. We will again see a glut of foreclosed homes.


38 posted on 04/20/2023 1:25:07 PM PDT by Toespi
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To: z3n

Yep.


39 posted on 04/20/2023 1:25:29 PM PDT by Eagles6 (Welcome to the Matrix . Orwell's "1984" was a warning, not an instruction manual.)
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To: Eagles6

What’s funny is.... it’s not that hard to lower your credit score. LOL


40 posted on 04/20/2023 1:27:26 PM PDT by z3n (Kakistocracy)
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