On Friday, Nehemiah sent an email to fellow DPA Supporters announcing the launch of DPAGoundswell2 which coincided with the introduction of H.R. 600, FHA Seller-Financed Downpayment Reform Act of 2009, by Representative Al Green (D-TX). H.R. 600 is the 2009 version of last year’s bill (H.R. 6694) that would restore seller-funded downpayment assistance (DPA).

We would like to invite you to attend our first Virtual Town Hall of 2009.

Friday, January 23, 2009
12 Noon EST

As a previous DPA supporter you are on our VIP list and will receive a call from our automated dialer with a recording inviting you to join us. I you do not receive a call from us by 5 minutes after the hour, please use the dial in number and passcode below to join our Virtual Town Hall.

Dial in #: 877-269-7289
Passcode: 13908

During the Virtual Town Hall, our CEO, Scott Syphax will discuss several topics relating to the fight to restore DPA. The agenda includes a breakdown of the new bill (H.R. 600), a discussion of our current effort to have H.R. 600 included in the new stimulus bill, what you can do to support the DPAGoundswell2 campaign and answers to your live questions.

Recent developments in Washington, D.C. have provided us with a new opportunity. If we receive the same level of support in this campaign that we did during the original DPA Groundswell, we are confident that a well informed Congress will restore DPA.

Space is limited; if you receive a busy signal the meeting has reached capacity.

I support HR 600 and have already sent a letter to my elected officials! The Reformed DPA bill, should it pass, will stimulate the housing market and create jobs…something America needs desperately! I think everyone should contact their elected officials and let them know how valuable the Reformed DPA bill would be to the recovery of the American economy!

We need this to help stimulate the economy! Visit www.dpagroundswell.org to get more information on how you can help this bill get passed!

This is the Same Kind of Garbage that Created this Artifical Market Bubble to Begin With. What twits.

DPA had nothing to do with the artificial market bubble. What caused that were the sub prime loans such as “liar loans”, ARMs readjusting, interest only loans, the economy!

DPA is exactly what we need now, if you read the bill, you will see that only qualified people will receive DPA.

I’m glad that Congressman Green was written HR 600. He will have reformed DPA once this bill is passed and going forward it will insure responsible lending to families that deserve to get out of the rental planation. Please remember that all of this gifts are tied to the strictest guide lines in the lending industry. For those that opposed, please do your homework first. Responsible lending is safe lending.

I am in complete support of a bill that will cost the taxpayers nothing, according to the CBO, and will allow some of the more deserving and responsible people in purchasing a home. The language of the bill addresses all of the concerns of the past program.

If our Senators and Representatives would just read a report I found on the web by two respected economists, Dr.’s Robert Waste and Robert Fountain, they would have to agree as to the financial loss that the economy has endured since the program was ended. In the 12 months prior to the programs end, DPA created over $150 billion in home sales, $38 billion in economic output, 235,000 jobs and added 4.6 billion in tax revenues.

If you have not called you Senators, Representatives, local associations and industry groups to voice your opinion, my question to you is WHAT ARE YOU WAITING FOR??? Now is the time to pass common sense legislation that serves the public. Voice your opinion today and join one of the many various organizations that is working diligently to pass this legislation. THIS WILL NOT PASS UNLESS YOU MAKE IT HAPPEN!

Enough of this throwing money at the wrong things. Nothing happens in this economy until something is SOLD; like the old sales adage. Once the first home is sold, then it progresses up stream picking up momentum along the way: jobs, retail sales, more home sales, mortgage lending, and so on. Let’s tell our Congress people to get moving on this bill…NOW!

I don’t get it. How could this, something that will cost taxpayers nothing, sit in committee, while other bills are being pushed through…This is a no-brainer.

America is sick and tired of bailing out the Executives or the ignorant. If buyers can’t sacrifice and save up a minimal 3% down payment and some reserves THEY DON’T DESERVE A HOME!

SFDPA inflates home prices and makes them more expensive for everyone.

Home Ownership is NOT a right.

SFDPA is just another one of the reckless policies that got us in this crisis.

Study the facts.
http://www.gao.gov/new.items/d071033t.pdf

P.S. The difference between SFDPA and assistance from a family member is the sales price. Down payments from family members do NOT inflate prices and a borrower will be much more likely to maintain payments if their family put up some money.

In addition, the real estate market will continue to decline for many years in most markets. By not promoting reckless purchases we will be doing a favor to the unqualified with out a down payment.

I oppose HR 600. I’ve seen builders use these programs to sell houses to unqualified buyers. All the money laundering schemes in the world won’t fix the fact that housing prices are way out of line with incomes. Getting people into houses they can’t afford is not helping people achieve a dream, it’s just greedy, unethical, and unsound business and at times it’s illegal. The loan is sold and the builder or seller pockets the money, leaving the homeowner and the buyer of the loan, or HUD, to deal with the fallout. This is part of the business practices that led to the current meltdown. Congress needs to stand firm on it’s ban of these programs.

I support HR 600. What’s the difference bewteen someone who accepts the downpayment money from a family member? They didn’t save the money themselves either, but that’s allowed. Does that mean they cannot afford the home? No, it doesn’t. You cannot be an unqualified buyer. You must qualify for the loan, AND qualify for the DPA under the new guidlines set forth in this bill. I believe this bill is exactly what we need now to help fix the housing market, it will allow qualified people to become homeowners at no cost to the taxpayer.

OMG, “You cannot be an unqualified buyer?!” (comment above in support of bill) LOL! If that were true, we would not have people who make less than the median income being qualified by irresponsible lenders for houses of a quarter million, half million, and more. Now those homes are in foreclosure and worth less than is owed on them. Prices were inflated—they were not sustainable. Equally funny, the concept that this would fix the housing market…this is the kind of stuff that WRECKED it. The big, obvious difference between a money-laundering DPA, and a real gift, is the real gift does not get kicked back to the builder or seller, does not have to be repaid, and is not rolled into the price (artificial inflation) of the home. A true gift functions the same as if the buyer had in their savings account that same amount to apply to a down payment. A DPA is hardly a gift, that’s what the IRS meant when they said they were not charities but a scam. And HUD had to be eating big losses for it to be moved into action when they tried to ban them, likewise for congress to ban them. People need to get over the idea that homeownership is some golden path to happiness and wealth—when fraud enters the scene, it’s a path to credit damage, humiliation, stress, shame, poverty…and economic disaster when it’s magnified on the scale we have now.

It most certainly does cost the tax payers. All of this lending nonsense is costing us hundreds of billions of dollars. And, HUD either has or is considering asking congress for (tax payers’) money to cover the losses due to foreclosures. The buyers’ mortgage insurance no longer is enough to cover them, (FHA buyers have to pay mortgage insurance and when lending is done responsibly nationwide it is enough to cover losses. Or had been!)

You cannot be an unqualified buyer with the new requirements set forth in H.R. 600. Pay attention! And this bill most certainly will NOT cost the tax payers a dime. Do your homework!!

HR 600 should be stopped at all costs. It only inflates home prices and continues to de-stabilize the housing markets. There is NOTHING wrong with buyers sacrificing for a few years to save up a down-payment. In addition buyers should have 6 months of reserves so they are NOT wiped out after a job loss, leaky roof, etc.

We have too many other demands to meet other than providing homeownership to everyone.

http://ml-implode.com

I support H.R. 600 because my family and I, unfortunately, are currently stuck on a "rental plantation. We pay $1,265 monthly rent-excluding utilities and other costs… We’d like only to buy a home at or <$110K, as this price point would be so comfortable we’d seem almost “affluent” after ALL bills-including the PITI-are paid. It’s just that this catch-22 makes it extra challenging to save the down payment in addition to our reserves, inspections, closing, etc. No “handout” wanted here, just minimal assistance to kickstart things while home prices in our area are a “bargain” and overall accessible.

Well said above writer, it isn’t as if those using DPA don’t have to save anything. I still had to save $1,000 for the good faith payment, $400.00 for the inspection, $300.00 for the appraisal and $300.00 for movers, truck, etc, and I too, am stuck on the “rental plantation.” But hopefully not for too much longer.

I support HR 600, and it’s obvious that millions of underprivileged but qualified buyers do also. People with money always seem to think they know best, but the ill-informed are outnumbered on this issue. ML-implode is a sad little site that cons readers into making “donations,” (not tax-deductable, btw) to supposedly fund their meaningless propaganda, don’t fall for it. Their preaching is muffled by hardworking people who want and need downpayment assistance restored for their families. Expand affordable housing, and support HR 600!

This bill is so wrong and I’m a renter waiting to buy, and I’ll list off the reasons.

1) Artificial keeps prices high, house does not sell keep lowering the price till it does

2) Does not place the risk of ownership onto the buyer, simply “renting” from the bank.

3) If caught in a debt cycle; can afford monthly payments but can’t save money to make a down payment, then a future buyer should decrease overall debt (find cheaper rent, sell a car, …) These things hurt but will teach this society to once again feel what hard work and saving is all about

I have been doing these things and am finally ready to buy after 4 years of saving, I do not like how the government is trying to keep these prices artificially high by making a “fake” demand in housing at these prices.

Article – "You would think that poor people, those who can’t afford to make a down payment, would be the first to lose their homes in a housing crisis.

You’d be wrong.

Since 2006, nearly 1,000 very-low to moderate-income people have bought homes in 2 Florida counties with DPA.

Only 10 have lost their homes to foreclosure out of 62,112 forclosures filed.

Millions of Americans have lost or are in danger of losing their homes. Many bought houses that exceeded their income, financing the properties with arm’s that grew too costly or interest-only loans that prevented them from acquiring any equity.

Low-income, first-time homebuyers, however, aren’t allowed to buy more house than they can afford.

Down-payment assistance programs place strict requirements on buyers. And they require mandatory counseling and classes to teach buyers how to budget their finances, maintain their properties and not exceed their means."

I have sold numerous houses using the dpa method. I have kept track of all my customers that purchased thru dpa. Not one has been foreclosed. dpa is people helping people period. That is what AMERICA is all about.

I support the HR 600 Downpayment assistance bill because it enables middle income families like mine to be able to purchase a home. Especially when families like us that do not have family/friends with the funds to assist us. Some families were almost ready to buy a house last year when the government cancelled the program. The families had to either give up on being able to buy a home or look for other avenues if any. WHEN WILL THE BILL BE PASSED!

Sincerely,

R Bradley

This is the same kind of legislation that got us into the situation we are in now but the difference is now the federal government is actually going to bail the people out.
If your FICO score is 619 or less should you be considering buying a house or paying off your debt?

The CBO came out with a report indicating that not only does DPA not cost taxpayers a dollar, it could actually make money with the new provisions included. It is time to act. HR 600 must be passed and quickly. DPA money is the same as gift money from family members. FHA sets the underwriting standards, not DPA. If the borrowers are approved via FHA, they should be approved with DPA. Do not point fingers at DPA, point them at FHA. This bill will help stimulate the economy, put more people in homes and help drive property values up. I support this bill 1000%.