The Orange County Register quoted Richard Green of the USC Lusk Center about whether the new federal tax code will impact home buying in California for those that can afford a mortgage more than $750,000. Richard Green, director of USC’s Lusk Center for Real Estate, predicted the tax overhaul will backfire, possibly triggering a recession…
In my last post, I talked about the predatory lending schemes that ensnared homeowners during the recent bubble, and I argued that we can prevent another financial disaster by giving borrowers access to affordable credit that won’t bankrupt them in their quest for the American dream. Baradaran’s story shows that it’s possible.
We live in a world where people who need credit the most have the least access to it—a world where “the less money you have, the more you pay to use it,” says Baradaran.
KPCC-FM’s “Take Two” quoted Richard Green on why Latinos are often denied mortgages despite large saving accounts.
Wall Street Journal highlighted research by USC Price Ph.D. student Arthur Acolin on the declining rate of homeownership in America. Acolin and colleagues predict the rate could dip to 58 percent or lower by 2050. This may in turn affect future spending when younger households lack home equity to pay for other milestone purchases.
While much of my academic career has been spent studying how families get credit to buy homes, the past few years have made me much more aware that simply getting credit isn’t a goal in itself. No, if the credit isn’t sensible and sustainable, the pain can be far worse than any gain that could have resulted. Consider these stories…
You would have never known, unless you were trained to look for the signs, that Clarence and Wendy Wincentsen were a good mark …