None. Zero. Absolutely not. There is no reason the federal government need be involved with approving home mortgages, yet for some reason we’re now dependent on the federal government for what used to be a simple individual voluntary arrangement and a transaction between that specific individual and their bank.
From the Hartford Courant.
A lot of things got in the way of Mary Brady’s refinancing her mortgage: being a busy single mom to two teenagers, working full time as a nurse, keeping up with home repairs.
But she never expected the federal government to be on that list.
Mary… don’t you know just about everything we do must be approved or regulated by politicians in Washington, D.C.?
Her mortgage broker told her the transaction couldn’t go forward because the shutdown prevented authorities from verifying her Social Security number.
You see, only the federal government has the skills to verify someone’s identity.
An inability to verify Social Security numbers is one problem. Trouble obtaining income verification from the Internal Revenue Service is another. Both requirements were added for some mortgages as a result of regulatory reform in the aftermath of the recent mortgage and foreclosure crisis.
Yeah, that would be the Democrat-demanded Dodd/Frank banking regulation legislation. And again, instead of the bank picking up the phone and verifying employment and taking a look at the employee W-2 statements, they are now dependent on some federal bureaucracy to confirm income.