What they don't say, nor do the morons in the House of Representatives seem to realize, is the huge disruption in the housing market that mortgage approval delays will cause--check that, is already causing.
The first victims are the buyers themselves. Many of them made offers that sellers accepted, and in good faith, cancelled their leases or otherwise terminated their present living quarters, based on the closing dates of their offers. With a delay in mortgage approval, those closing dates have to be extended. With a lease cancelled and the new home not available, where are these people supposed to live? A hotel? With family? Tell their landlords they might need the place for an indeterminate number of days after all in the hottest rental market in years?
Likewise, many sellers have made offers on homes using the proceeds of an accepted offer on their present homes. A holdup in the closing the sale of their present home delays, and in some cases even terminates, the transaction on the new home.
In other words, a delay in mortgage approval for just one buyer can seriously disrupt the lives of three different families, and for no reason other than a small band of Rumpelstiltskins in Congress can't get their way.
|Speaker John Boehner leaves a press conference|