I say this almost every day, but this is getting a little ridiculous, folks. Now the Biden Administration wants low-risk homebuyers to pay a little extra in order to accommodate those whose loans carry more risk.

Nope, not joking.

Redistribution of wealth!!!

AWESOME!!!

Seriously though, why do this?

Why make the homebuying experience even more tedious than it already is?

Especially when interest rates have nearly doubled over the past year to above 6%.

Its' just confusing.

I'll turn it over to Zero Hedge:

A new rule from the Biden administration will force homebuyers with good credit scores to pay higher mortgage rates in order to subsidize loans to those with riskier borrowing profiles, the Washington Times reports.

The fee, which will apply to those buying or refinancing houses after May 1, will affect homebuyers with credit scores of 680 or higher, [amounting] to roughly $40 per month on a home loan of $400,000, or nearly $500 per year. Homebuyers who make down payments of 15% - 20% will be hit with the largest fees…

Biden appointed FHA Director Santra Thompson, meanwhile, said that the fee changes will "increase pricing support for purchase borrowers limited by income or by wealth," and the agency considers the fee changes "minimal."

Yeah, I've seen this movie before. And so have you.

It's all fun and games allowing people who can't afford to purchase a home to purchase a home. All fun and games until they inevitably default.

When that time comes we can meet right back here and talk about how we should've seen this coming and I'll link to this exact article with a big blue hyperlink reading "I TOLD YOU SO!"

Can't wait!

And I love how they call it a "minimal" fee change like it's no big deal that some homeowners will pay an extra $500 per year toward their mortgage while others pay less.

Here's a little bit of commentary from an expert since I am not one:

The new fees "will create extreme confusion as we enter the traditional spring home purchase season," said David Stevens, a former head of the Mortgage Bankers Association who served as commissioner of the Federal Housing Administration during the Obama administration.

"This confusing approach won't work and more importantly couldn't come at a worse time for an industry struggling to get back on its feet after these past 12 months," Mr. Stevens wrote in a recent social media post. "To do this at the onset of the spring market is almost offensive to the market, consumers, and lenders."

So yeah, this won't help at all. In fact, it'll likely make things much worse.

On top of that, there's no hiding the fact that this is a "progressive" policy, so you can go ahead and mark my words when I say that they won't stop at this "minimal" fee change.

Next time it'll be an extra $80 per month for the less risky $400,000 loan.

Heck, I think $100 sounds like a nice round number, let's go with that!

Just think of how many minorities we could pull out of poverty and into debt if we charge the middle class a little extra!

So dumb and so predictable.

This all sounds great on the surface, but honestly, it's just more of the same failed policies the Uniparty has been offering us for years. And it will only result in more poverty caused by the inevitable default of these risky loans.