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If there is a market for these types of mortgages, people will offer the product. It's simply a loan that's structured differently.
I'd like to see the numbers. That's a significant "up front" payment to avoid interest. Especially for people who, the article says, can't afford mortgages any other way. It's not adding up for me. Special privileges aside, is this another mortgage scam of some kind--because it seems unlikely that people with little money can pay that kind of interest up-front. If I'm wrong, please correct me.
I'm sorry, but I think this is ridiculous. We're now supposed to offer mortgage terms tailor-made to accommodate differing religious laws? This is not a Muslim country. Muslims who move here have either got to assimilate or move elsewhere. First, Muslim women in Florida want driver's license photos with their faces covered, and now this? What is it with this new wave of immigrants? Does this mean an Orthodox Jew, who accepts a job offer that includes a Friday evening or Saturday work schedule, can now turn around and sue the employer for making him work on Friday evening or Saturday? Enough is enough.
Its about making money, what don't you get. If they qualify for the loans and pay the same fees I don't understand the difference.
Exactly. The U.S. is a melting pot of many cultures--all assimilated into "American" SECULAR culture. That means that immigrant groups cannot ask for special privileges based on their cultural/religious beliefs.
What special privilege are they receiving exactly? Paying MORE for their house than what it's worth? Changing the terms so that technically they are not paying "interest," just an exorbitant amount of money? Is it really a "privilege" to do that?
Its about making money, what don't you get. If they qualify for the loans and pay the same fees I don't understand the difference.
I realize it's about making money. What seems odd to me is that they are mortgages for first-time home buyers who have little money. As a home buyer myself, I know that the "up-front interest" is a whopper. So how can they afford to pay for that interest up front? I realized it's rolled into the loan, but 30 years of interest rolled into one mortgage would make a mighty big mortgage payment. If anyone can explain how this works, I'd appreciate it.
I'd like to see the numbers. That's a significant "up front" payment to avoid interest. Especially for people who, the article says, can't afford mortgages any other way. It's not adding up for me. Special privileges aside, is this another mortgage scam of some kind--because it seems unlikely that people with little money can pay that kind of interest up-front. If I'm wrong, please correct me.
The way I read it - say I have a mortgage for $400k, my payment would be, say $3k, because I'm paying interest and principle. Their mortgage amount is adjusted, they'd have the same payment $3k, yet the principle amount would be higher. There is no upfront payment, the loan amount is simply higher.
I'd repay $700k over the course of my loan, their initial mortgage would be for $700k with no interest, see what I'm getting at?
I realize it's about making money. What seems odd to me is that they are mortgages for first-time home buyers who have little money. As a home buyer myself, I know that the "up-front interest" is a whopper. So how can they afford to pay for that interest up front? I realized it's rolled into the loan, but 30 years of interest rolled into one mortgage would make a mighty big mortgage payment. If anyone can explain how this works, I'd appreciate it.
I don't know the details but from that article I don't see anything outrageous. Until I do I assume they make enough money to make the payments and put the money down, however outrageous the amounts may be.
What special privilege are they receiving exactly? Paying MORE for their house than what it's worth? Changing the terms so that technically they are not paying "interest," just an exorbitant amount of money? Is it really a "privilege" to do that?
Look, before you get all bent out of shape: I'm a dreaded "liberal," I've volunteered my time--for years-- to teach English to immigrants (legal and illegal), I fight for the underdog; I have many friends (and family) who are immigrants--blah,blah,blah. I just, personally, do not believe in altering laws to accommodate religious beliefs--Christian or Muslim or otherwise. In this case, the religion is Muslim. Since we have just gone through a huge wave of immigration, there have been enormous pressures put on governmental, educational, and health systems to accommodate demands from these immigrants that we have never seen before (my mother was an immigrant). I believe--and it's perfectly within reason--that immigrants to any secular country--not just the U.S.--should adapt or should not immigrate. And they certainly should not be making demands on a secular government to accommodate unreasonable religious beliefs. Furthermore, the last thing the banking structure needs is a set of more complicated mortgage arrangements--especially in recent light of the fact that they appear unable to responsibly facilitate regular mortgages. Which brings me to my last point: these up-front mortgages appear to me to be flat-out usury. As I said, if I'm wrong, someone please correct me.
I realize it's about making money. What seems odd to me is that they are mortgages for first-time home buyers who have little money. As a home buyer myself, I know that the "up-front interest" is a whopper. So how can they afford to pay for that interest up front? I realized it's rolled into the loan, but 30 years of interest rolled into one mortgage would make a mighty big mortgage payment. If anyone can explain how this works, I'd appreciate it.
Well, either you can afford it, or you can't.
If you can't, then you rent a place instead of buying one.
Is that simple enough?
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