Proposition 37 – Middle-Income Homeownership
Proposition 37 – Middle-Income Homeownership
Position: No Position
Authorizes up to $25 billion in bonds to finance second mortgages for eligible middle-income purchasers of qualifying new homes. The bonds would be repaid through homeowner mortgage payments rather than state General Fund revenues.
Link: More Information
Arguments in Support: House hunters can expect to face a down payment equal to 20% of the value of a home. In California, where $700,000 for a fixer-upper is considered a steal in much of the state, that is not feasible for most people. Supporters argue this loan program will put the dream of homeownership within reach of the middle class without costing taxpayers a dime.
Arguments in Opposition: Opponents argue that state government should not be involved in the mortgage lending market. While the initiative will move money around, they say it will not do much to address the underlying reasons housing in California is so expensive.
Support
· California Association of Realtors
· California Conference of Carpenters
Oppose