Real estate expert and Madison Ventures+ managing director Mitch Roschelle bashes Biden’s new mortgage plan.

GALLAGHER: Here is this montage expert on with Stuart Varney yesterday on Fox Business talking about the insanity. I am telling you what. This mortgage plan. Biden is hiking the payments for good credit homebuyers in order to subsidize bad credit homebuyers. Equity you know. Check this out.

ROSCHELLE: It is bizarro world. That fee that is charged. PMI which is personal mortgage insurance. That fee they charge is intended to punish those with lower credit scores and riskier loans to basically level the playing field from a risk perspective. Well, what are we doing? We’re doing the opposite. If you have a high credit score, you have to pay more. We are talking about real money. This could be $100 a month more depending on the size of your loan so it makes no sense. By the way, this isn’t about first time homebuyers. There is nothing in this rule that says it applies to first time homebuyers. It applies to anybody borrowing money that is insured by FHA. It is madness.

GALLAGHER: They defend it by saying well there is such a gap between wealthy people and homebuyers. This is what got the whole banking crisis going was that banks were handing out mortgages like tic tacos. They were handing them out like candy to people who have no business buying a home.