Who's Paying Attention? Anyone?

I've been chewing on this thought for a while.

My wife and I purchased a new home in June. As we went through the mortgage process, we found out something interesting; we make too much collectively to have qualified for 100% financing.

Huh?

That's right, kids. Since she and I both hold steady jobs and make decent salaries, we had to come up with a down payment to secure our loan. Those who make less did not and obtained the 100% financing. So, in the long run, we had to show good faith for the debt prior to closing, the others just needed a pen.

Isn't this what popped the mortgage bubble before?

Forgive me for being ignorant, but I was under the impression that a down payment was intended to show good faith towards paying the debt you wished to incur. If you were willing to plop down a few hundred or grand, then you were serious about actually following through with the contract. But with immaculate credit and steady salaries (she and I have both been with our respective companies for over ten years each) we had to pony up cash. Why? We can afford it.

Okay, so the incentive is for people who may not be able to afford buying a house to be able to own one since they don't need a down payment. But aren't these the kind of risky borrowers than submarined the works not long ago? I can see the skewed logic of giving the zero down deal to someone with a lower income, but holy moly, why can't someone who PROVES they can afford the deal by virtue of their salary and credit rating get the zero down deal too?

We had to come up with around $6K to secure our mortgage. We did it, but it stopped us from being closer to our debt-free living goal (Thank you, Dave Ramsey!). We'll get there eventually, but the principle of the matter is that people who can obviously afford to pay the ticket price shouldn't have to make extra moves to get on the train.

When will we learn? Not everyone is to be a home owner. By lowering the standard we entered into the fabulous realm of the foreclosure.

125 loans? Are you serious? Didn't anyone else think that was a bad idea?

If you can afford it, you shouldn't need to pay money down unless you want to. If you're toeing the line of yes and now in the payment book, maybe you should wait a while and show up with some earnest money.

Maybe I'm dreaming.

Chip Grefski