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When I bought my home in 2003, I was taken to task for my home choice.
Because I had researched what I could afford. I researched the areas I wanted to live in. I also chose to take a loan only for the purchase price, not the value of the property (which was significantly higher). Additionally, I opted for a fixed rate loan.
I did a ton of research and knew exactly what I could afford and what I was willing to deal with.
For my trouble, I was called a fool by both my mortgage broker and my real estate agent.
They knew that I qualified for far more. They knew that my payment would be HALF of what my mortgage payment would be if I took the adjustable rate loan. They said I was throwing away money that the banks WANTED TO GIVE ME.
Most folks didn’t do the research I did. Most folks took their mortgage brokers’ and real estate agent’s advice and took what they qualified for.
So if you’re calling all those people who are losing their home irresponsible, greedy and self indulgent you need to think about the real problem. I think the real problem was that the foxes were in charge of the hen house and the hens trusted the foxes.