Mortgage Monsters
Copyright © 2025 Prof. Dr. Dr. Dr. Tom Grooms
The Father of Market Intelligence … The Master of the Family Business …
Astrospace and Geopolitical Strategist and Forecaster …
World Classic Author of Distinguished Literature
TomGrooms.com: This article is the sole opinion of the author and nonadvisory and nonpolitical. The written content is based on research and contains opinions and ideas of the author. The author is not engaged in rendering advice. Quotation of passages for purposes of academic research, academic papers, criticism, education, review, and teaching are permitted with proper acknowledgment of the author. All rights reserved.
Caveat
This article may be hazardous to increasing your wealth.
No Mortgage Approval
This warning is about what’s happening in the entire mortgage and financial industry pitted against Americans.
If you have over an 800+ Credit Score, you will not be approved for a mortgage.
If you have $1,000,000 dollars in your savings account, you will not be approved for a mortgage.
If you have retirement income as a Senior, you will not be approved for a mortgage.
If you serve in the military, you will not be approved for a mortgage.
If you own a home with adequate equity, you will not be approved for a mortgage.
If you can walk on water, you will not be approved for a mortgage.
All of these outcomes were credited to the Federal Reserve, Members of Congress, Fannie Mae and Freddie Mac … They are your enemy, if you work for a living.
How to Beat the Mortgage Monster
Don’t waste your time, life, or money trying to get a mortgage, only to be turned down unless you do what is prescribed here …
The ONLY thing that can qualify for a Mortgage is Income…!
Let me explain with a couple of stories to begin.
The next two stories, you may be able to relate to with your experience. If not, you will if you apply for a mortgage.
Story No.1
Just recently, I applied for a mortgage on a new home. I’m not rich and have modest assets, but no debt except for a mortgage like many Seniors.
Our Credit Score is well over 800+. We pay our bills on time and usually ahead of time when we can, but always in full, never with interest or penalties with carryovers.
We applied with three mortgage companies for a new mortgage on downsizing to a smaller and less expensive home. With checking all the boxes, we were declined in all three instances.
The reason given was even though we had enough assets to qualify for another mortgage, they would only consider our retirement Social Security income, nothing else mattered, not even the cash in our savings account.
This is our government legislating by federal rules, laws and regulations attempting to transfer wealth from us who have worked numerous jobs at the same time all our lives to deadbeats who would take our equity by executive order. This is in my book anti-American, socialist, and Grand Theft political edict.
It makes no difference how much money you have. The past Presidential Administrations have orchestrated the ideal of Socialism or Communism, if you wish, under the guise of Equality.
Story No.2
Several years ago, a small business owner was buying a wonderful small home in an excellent neighborhood in Conroe. He owned three day-care centers, just sold all three, and was retiring.
He applied for a mortgage and was denied. The reason … he had no income.
It didn’t matter he held over $1,000,000 cash in savings and was buying a $350,000 house … it didn’t matter. This was exactly the same thing that just happened to me.
Solutions to Destroy the Mortgage Monster
There are a couple of things you should know first. We live in an unfair world and unless you are rich, you, me and many others will accept the world as it is and continue to be. Or do we have a Choice …?
The reason Mortgage Brokers, Banks, and Financial Institutions exist is to take all your cash to keep you among the working-poor. Ever wonder why Mortgage Brokers, Banks, and Financial Institutions always ask for a copy of all your bank accounts and your last mortgage statement …?
The Mortgage Brokers, Banks, and Financial Institutions will make sure you have no option except to give them all your cash to qualify you for a mortgage, this is the Big Squeeze. That’s why so many experience foreclosure or bankruptcy because they have no cash reserves in savings.
Caveat
This article reflects over 50-years of extensive reading, research, and teaching graduate and doctoral students’ marketing, international business, law, and economics.
Solution No.1
Pay 100% cash for your next home or stay where you presently reside. You may not like the place or location where you are at, but a move could put you and your family in jeopardy until you are ready whether you like it or not.
Solution No.2
Sell your homestead where you now live, take the equity away from the mortgage companies, and buy whatever home it will purchase. If you don’t have enough equity to buy another home, stay put until you do, but at all cost stay away from Mortgage Companies, Bridge Loans, and Banks.
Solution No.3
Move in with family till you have enough money when you can pay 100% for a home. This is smarter than renting and selling your home short. You may not particularly like living with your family, but in these times, it’s better than the alternative of debt.
Solution No.4
It is not uncommon for several families to share a large home with acreage owning a homestead, ranch, or farm.
Usually this provides several sources of income, so everyone is not dependent on one income for survival or two inadequate incomes.
Solution No.5
For young adults and families starting out, you don’t have any money to put down on a home.
You never will have enough money in the intermediate term renting or leasing, thus delaying your financial future. It’s okay to pay your parents rent, help buy groceries, and pay the utility bills while you save every penny for a possible downpayment of 50%-100% on a home.
The argument I’m making here, start acting like an American. Stop acting like you just got off the bus and know nothing.
There is more than one-way to skin a cat and in this case a tiger.
My Thoughts …
The Federal Reserve should be returned immediately without delay back to the Department of Treasury.
The Federal Reserve is a private company with private stockholders. They have no interest in the success of America or Americans … Only control of America, Americans and profit.
Grooms Rule of 5 on Mortgages is unless you have 50% or more downpayment to purchase a home, stay away from the Mortgage Brokers, Banks, and Financial Institutions sharks.
Fannie Mae and Freddie Mac should be immediately closed. The reason for this call is to support capitalist free-markets enterprises and not socialist and communist government programs.
Mortgage Brokers, Banks, and Financial Institutions by Congressional Legislation should mandate the consideration of all monetary and non-monetary assets when approving a mortgage.
It’s like in Texas; the Texas Real Estate Commission does the same thing as Washington. They will not permit a home Listed under MLS to include the garage square feet of a home in the price.
It doesn’t matter if it’s a one-three-four-six car garage, the garage sf passes to a new owner free not included in the total square footage. It’s misrepresentation and cheats the Seller.
Every academic college graduate and technical-vocational college graduate should not be required a downpayment of any nature to purchase their first home. This would encourage scholarship and reward to stay in school to learn a trade for the betterment of society.
After graduation, employed, and earning an income would determine their base qualification for their first home. This is a good thing.
It should be illegal for any federal, state, county, city government or financial institution to charge interest for any school loan. Presently, all federal school loans are usurious at the present interest rate.
The best thing that could happen to America is to reign in the use of debt and high interest payments issued by Mortgage Brokers, Banks, and Financial Institutions. This would encourage America to return back the sound money system prior to 1913.
Seniors can’t retire with a mortgage, unless they want to work till the day of their funeral. All those who have a mortgage or debt work for the Mortgage Brokers, Banks, and Financial Institutions; this is not the American way, the American life, or the purpose of an American.
Hopefully, all governments would need less taxes and fewer long-term bonds. The national debt on our capital balance sheet might benefit as well.
Life couldn’t get much better than this for America or the American people … so Be an American and start thinking and acting like an American. Be an individual. Be determined. Be resilient. Be tough. Be ornery. Be an American. Act like an American.
Live the simple stress-free life … the other costs aren’t worth it …!