Tuesday, October 30, 2007

Bush Administration Wants to Eliminate Downpayment Assistance Programs

Hat Tip: Field Negro

I found this on the sidebar at Field Negro and thought it was of interest, because it points out AGAIN how this administration is against The Little Guy, and keeps on using his Uncle Toms to do the dirty work.

Dear *[field negro]*,

I'm coming to you as a big time reader (and troll, I never comment).

There's an issue on my radar that has been overwhelmingly disregardedby the mainstream media. The Bush administration, helped by Uncle TomAlphonso Jackson, is eliminating downpayment assistance programs that have helped hundreds of thousands of people gain first time homeownership.

This is about modern civil rights, wealth creation and asset ownership. To me, breaking the chains of poverty means gettingthe downpayment assistance necessary help working families and adultsmove into their own homes.

Eliminating downpayment assistance is just another way to put Blacks into a modern day sharecropping systemon the apartment renting plantation. Unfortunately, fake liberal Dem Prez candidate Chris Dodd is siding with the Bush admin to close this program... here's a little mini blog post I wrote below.

If you could help promote this issue or at least mention it, that'd be great. Keep doing what you're doing, Field...Presidential hopeful Chris Dodd, Chairman of Banking, Housing & UrbanAffairs Committee, is making the remarkable move of closing down a Federal program that has historically helped hundreds of thousands of disadvantaged groups and the poor achieve first time homeownership.

Dodd is siding with Senate Republicans (like Senator Richard Shelby,R-AL no less) to give a slap in the face to Blacks and minorities across the country. Dodd is supporting Bush's HUD Secretary AlphonsoJackson in his move to eliminate downpayment assistance programs.According to the GAO, the move to get rid of downpayment assistance programs will bar approximately 40% of African-American homebuyers from utilizing Federal Housing Administration insured loans. Also affected are potentially 30% of Latinos.

What Senator Dodd is doing will screw the poor, minorities, and many single parent mothers from ever owning a home. True progressives Rep.Maxine Waters and Rep. Barney Frank have showed their leadership insecuring a bill in the House to protect this program. In the Senate,Senator Dodd holds the keys.

Sign this petition and call Senator Doddnow. For more information on this issue, see below.[for blogs, often you may post the long portion of your text in a'below' or 'read more' section]Here's the lowdown. Downpayment assistance programs allow nonprofits to assist home buyers in providing the minimum down payment requiredfor Federal Housing Authority (FHA) loans. Shutting down this program will effectively destroy the nonprofits seeking to help first time home buyers achieve their dreams of home ownership. From 2000 through 2006, more than 650,000 buyers got their down payments through nonprofits.

HUD Secretary Alphonso Jackson believes with the recent foreclosures occurring because of subprime loans, an increased number of borrowers will seek downpayment assistance and place enormous fiscal stress on the FHA. However, Secretary Jackson is overlooking the fact that if downpayment assistance programs are shut out, even more borrowers will be FORCED into predatory loan agreements and subprime loans. The reality is, downpayment assistance programs are needed more than ever now, and to remove the program is to put families onto the street and to keep an entire segment of the population continually renting from landlords.

Write or Call Banking, Housing and Urban Affairs Committee Chairman Chris Dodd to tell him:"Please do not shut down the downpayment assistance program. This program helps hundreds of thousands of disadvantaged families acrossthe country achieve the American dream of homeownership."Banking Committee Contact:534 Dirksen Senate Office Building Washington, D.C. 20510 P: (202) 224-7391 F: (202) 224-5137 U.S. Senator Chris Dodd Contact:448 Russell Building Washington D.C., 20510 Tel: (202) 224-2823 Fax: (202) 224-1083


Anonymous said...

THANK YOU for covering this. I can't believe the MSM and so many other bloggers are ignoring this. Think the subprime crisis was bad? Shutting down this program will hurt people even more...

Anonymous said...

You fail to point out two very important things here. One, this program was also nearly eliminated during the Clinton Administration. Two, with the elimination of DPA programs will also come looser down payment guidelines for many buyers.

Anonymous said...

Down payment programs artificially inflate home prices. When buyers use this program, no money changes hands. They are actually being gifted 3% of the homes equity. Most sellers offset this by inflating the sales price of their home by 3%. That means that over time, we ALL pay more for our homes than we should.
Homes are listed according to recent sales in the area, and if all those recent sales have a 3% padding added on the top, it artificially raises all the home prices in the area.
Eliminating down payment assistance programs isn't intended to limit who can buy a home, it's meant to help us ALL pay fair prices for our homes.