I mean realistically, what would homeowners due if by 2045 (or whenever the last payment is due) all of a sudden they say it needs to get extended 5 more years… what recourse do homeowners have? If anyone knows that answer, please post. The legal paperwork for the CFD’s was so long and complex that I think even most lawyers would get confused by the technical jargon in it. It’s almost as if some lawyers sat around a room when drafting these CFD’s and said, “let’s make the wording so complex and difficult that no one will really be able to decipher the meaning…..”.
And I TOTALLY agree with you that it doesn’t make sense for everyone. Especially in a transitional town like San Diego where people seem to come and go all the time based on job losses, weak economy, etc. I’d only recommend it for people that know for sure they will stay in the area for the long-haul or at least for many many years.
In a hot housing market like now, I think you will ALWAYS be able to sell and get back all you prepaid and probably more. But in a recession or difficult housing market who is to say how difficult it might be to recover these pre payments. Especially from people that might not plan to stay in the house “forever”.
I already knew that this was our “forever” house. It’s plenty big even anticipating for having another child if we do.
But for people in a similar type situation, it seems like a no brainer to me to pay it off ahead of time and get rid of the obligation.[/quote]
Of course, very few people look at and plan for 2045, and how many of us will truly stay in the same home until 2045. This is what PUSD is banking on. They figure the great majority will just keep paying and not even realize the MR was suppose to stop.
