I think the potentially greatest flaw in your proposal is the huge discrepancy between what most people are actually able to afford, using traditional lending guidelines, compared to what they bought. During the bubble borrowing 10x or more of your actual income was common. I know of many people making a combined family income of $100,000 that bought million+ dollar homes. I don’t think the banks are going to be willing to sell those houses for $300,001. If so, sign me right up!
This is why I can’t stand the current political rhetoric going around about stopping home depreciation. We NEED affordability back, and dammit we’re going to get it!
