Sunday, January 6, 2008

Prospective Homeowners Avoid Subprime Meltdown

"Homebuyers sidestep subprime trap
By Joanne Cleaver Milwaukee Journal Sentinel

MILWAUKEE — Keith and Vicky Newson appeared destined to become subprime-lending statistics.

Three years ago, at the height of the housing and lending boom, the longtime renters and parents of three children started house hunting in Milwaukee in earnest.

They quickly found real-estate and mortgage brokers intent on persuading them to take on more house and more debt than they thought they could afford."

I love this couple! They knew what they could afford, and despite temptation from all sides (real estate agents, mortgage brokers, and banks) they stuck to their budget and bought a house they could actually afford. They saved up money to cover at least the first three months of payments, so that if something happened (emergency repair etc.) they wouldn't be faced with financial disaster.

The real question is, why are people like the Newsons so rare?

Read the whole article here.

1 comment:

Anonymous said...

Because they are not delusional...
Too many of us get in a habit of living in financial denial. We don't want to see the truth. God Bless the Newson's for having the wisdom to do what is right!