FACT SHEET: A Better Bargain for the Middle Class: Housing

[Xyzse]

35. Thanks for finally adding a few links that mention

First one deals with consumer financial protection which relates by focusing on the agents and companies that are incentivized towards making variable and higher rate loans. Which does not in any way guarantee that rates remain this low.
The second one is in regards to Richard Cordray being confirmed, which is also part of the first link.

I agree those are important, however as mentioned it still does not answer the three bolded questions.
Just because they are finally doing some consumer protection, it is still dealing with the smaller agents.

It mentions loan officers with higher rates, but they are not the ones that sets the rates. It is the aggregators. Loan officers merely pick whatever rates are given to a particular product. It is still based on banks and how they formulate it through risk and the secondary market. This however is not completely transparent either.
http://money.howstuffworks.com/personal-finance/financial-planning/mortgage-rates-determined.htm

So no, that doesn't quite answer the three major bolded parts.

There is no guarantee that the Tax Payers will not bail out the banks out again. I agree however that it is good to create a that Private Capital pool to defray the cost. However, again that can be lobbied to be used for other things instead. I think this may be a decent idea, if only to be some extra padding before the US tax payers are hit, even if it becomes massively defunded.

They are also creating a new agency in regards to Government backed loans, which is another layer of administration.

I sure hope that Mortgage rates don't sky rocket, or that they would include new processing fees, particularly to say that they have new administrative costs. I don't see that becoming illegal.

Lastly, they still tied this to immigration. All it says in the proposal is "•Fix our broken immigration system to increase home values". Even if that is true, it should not be included in the proposal, as it should be separate and confuses the issue.

Any how, it is worth looking at. There are things like the first one that is definitely worth doing as long as it does not get used for consolidation when the time comes.

There are too many things up to chance in this, particularly "Congress needs to pass a bipartisan budget".

Don't get me wrong. I may support this in the end if it is done well. However, after the bank bail out and how they are now even bigger than before... makes me pretty skeptical.