Originally Posted by saltwn

One thing that sticks with me is the fact not only did many go beyond their means on a mortgage. But the prices of the houses was so far out in left field compared to what they should have been. It was like a big Section 8 housing bubble. Only many of the buyers were middle income to even upper middle income.
What I mean is I'm thinking of the present situation across the river from me in Oregon. The rentals there over inflated. And if people on welfare move to the Boise area from out of state they usually end up moving to Oregon where the housing is better and there is more grant money. So a typical couple who could easily afford a 4 or 5 or even 6 hundred dollar a month house while saving up a down payment, have to pay at the minimum 800 for rent and usually upwards of 1200 to find anything decent. And we're talking that the average income for both sides of the river is 28 to 36 thousand a year.
I still believe in the old adage not to pay more a month for housing than you make per week. And I believe it should be based on ONE income of a couple NOT the combined incomes. Someone might get pregnant and have to take time off. Someone may become ill or have to care for another family member and cut back on work hours. But that old rule won't work where the mortgages are ALL geared to a two person income.