The other day I had an in-district meeting with San Fernando Valley Congressman Tony Cardenas (D-CA 29th District) with some of my associates from the Southland Regional Association of Realtors Government Affairs Committee.
Even though the congressman works on the federal elements of the government, we discussed the local affordable housing issues. On the federal level though we were able to discuss the GSE (Freddie Mac and Fannie Mae) conservatorships. Several agencies and politicians are pushing for the GSEs to be restructured. He conveyed he didn’t see any traction presently in privatizing them.
My issue is mainly with the Qualified Mortgage Patch that allows Freddie and Fannie to get around the Dodd Frank Ability to Repay parameter of 43% max debt to income ratio, while the GSEs remain in conservatorship. The patch is expiring January 2021. This is an issue as over 1/3 of the local mortgages funded through Freddie and Fannie are between 43% & 50%. This is a moving target, and we’ll have to stay in touch with this activity.
One area I’m in full agreement with the congressman is that our education system is not supplying graduates that fulfill skilled labor needs for the manufacturing sector based in his district. He hears a lot from the employers in his district having available jobs, but can’t fill them. Not all students will go, or need to go to college. The congressman equated coding to another language, that should be taught to students early in grammar school, when a child learns new languages easily.
I’ve been pushing for years that the antiquated 1950’s education system needs to be blown up, and a 21st Century system be put in place that interfaces more with private sector needs, utilizes more technology, trains for skilled labor positions, and gives student financial literacy. Imagine if kids getting out of school knew how credit scores were derived and how they affect their financial future, fundamentals of insurance policies and contracts, banking and personal accounting basics, etc. These are all basics of personal economic existence that everybody has to deal with, and seldom perpared for.
We live in interesting times…
If you are in the Los Angeles area, have any questions or real estate sales or financing needs, feel free in contacting me
Ron Henderson GRI, RECS, CIAS
President/Broker
Multi Real Estate Services, Inc.
Gov’t Affairs Chair – California Association of Mortgage Professionals (2017-2018)
Chairman – OutWest Marketing Meeting (Real Estate Education)
BRE #00905793 NMLS #310358
www.mres.com
ronh@mres.com
Specialist in the Art of Real Estate Sales and Finance
Real Estate market, mortgage rates, Los Angeles, San Fernando Valley, Conejo Valley, Simi Valley, Woodland Hills, West Hills, Calabasas, Chatsworth
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