60% of Renters in USA are Unable to Have Mortgage. Why?


Having a very own home is nothing less than a great and prodigious blessing of The GOD. One does not find it simple and straight to have his own home, therefore a high percentage of people in united states are not able to be an owner of a house.

They all somehow manage to live in rented houses where they have to pay high ratios of rents which ultimately effects their percentage of savings and still they have to minimize their limits and desires so that they can fulfill their house rents and many other expenses.

To have their own and personal homes, people usually go for mortgage loans and find themselves unable and ineligible for the loans to be issued to them.

After paying heavy amounts of rents still, they do not fulfill the criteria of being a responsible and dependable person, one who could be trusted.  Why?

There is no particular reason behind that impolite behavior from lenders, some foggiest of the arguments are illustrated in the passages down: –

Climbing prices of properties:

Day by day as the currency and oil prices are climbing up, and the country’s deficit is increasing, the prices of properties and houses are mounting as well. They are steadily and gradually creeping up which is not enabling a common to have his house or even have that on a mortgage.

Strict policies of lenders:

Every day, Big financial bodies are making their policies of mortgage and lending strict and very harsh to be availed. They are not considering demands of a common man and are not making such a criteria which can be feasible for a common man as well as for a rich person.

Lenders are asking for very high credit scores to award mortgage which is not compatible for deserving and low ranked people. This kind of system is just supporting luxuriant personalities and enriching them, whereas pushing a common man towards the point of no return, pushing him from being common to poor and poor towards poorest and needy.

So, there is a requirement to establish a more improve system.

High rents of houses:

Another affecting aspect which could be held responsible for the high percentage of people not affording the mortgage is very high rates of rents of houses.

According to recently concluded surveys in the states of America, it is found that about 35 to 40 percent of the incomes of people (living in rented houses) go for the payment of rents and utility bills. This is a very high percentage considering the income of a common man. This does not enable one to save bids and down payments.

Low savings and Debts:

Being a realtor, it is an argument that is too common to be heard is that people do not find era or space to save something big for near future.

The rising prices of household products, rents, property rise, fees etc. make it an invincible task to have something for future. And adding salt to wound is the rose of debts and interest rates.

Conclusions and solutions:

At last, it is concluded that the current circumstances leave no room for a common person to survive at all. We need to take some serious decisions and revise our rude and harsh policies in order to strengthen our common men.

Otherwise, it leads us to a very big disaster, where one would try to snatch one’s right instead of staying there watching and waiting for the system to deliver because a society or country only survives and progresses if its common and low trodden are delivering and making their presence count.