Homeownership rates dropped to 65.2 percent in the U.S. for 2013s first quarter, the lowest rate in nearly 20 years, according to the U.S. Department of Commerce. RealtyTrac, a firm specializing in foreclosure data, said in its 2013 U.S. Home Equity & Underwater Report that 9.3 million Americans owe more on their mortgages than the house is worth. In other words, homeownership will continue to plummet for the foreseeable future.
Most of the predatory practices by lenders during the subprime boom that crashed the housing market in 2008 have been outlawed by regulatory reform. The Consumer Financial Protection Bureau was created as a result of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, and has since enacted several rules banks must follow. The no-brainer rule that went into effect at the beginning of this year, known as the Ability-to-Repay and Qualified Mortgage rule, now requires all lenders to Read More →