Cash-strapped occupants far from being ‘homeowners’

The lead in an Associated Press “U.S. expands mortgage help” story in newspapers and radio/TV broadcasts Thursday reported, “The Bush administration announced new steps to help more homeowners head off foreclosure…”

From news writers to members of Congress, the word being used to describe financially-distressed people residing in properties and facing foreclosures is homeowners.

Use of “homeowners” is premature.

In the current wave of foreclosures, Grumpy Editor maintains one cannot be labeled a true homeowner when that person moves into a dwelling with no or little cash down payment and makes interest-only or other small monthly payments.  The occupant of a house is not officially owner of that property until the purchase price is satisfied --- either cash plunked down all at once when escrow closes or over time via a fully-paid mortgage.  When that happens, a deed is filed with the county recorder.

That’s when a home buyer, as a full-fledged homeowner, can break out the champagne.

Same thing with buying a vehicle.  That snazzy, gadget-loaded red car doesn’t fully belong to its buyer until full payment is made.  At that point --- and with certificate of title or “pink slip” in hand --- the driver becomes the real owner.

Grumpy Editor’s end-of-week leftover notes:

The much-in-the-news-MD-80 aircraft has been identified in some stories as a Boeing MD-80.  To be technically correct, the passenger jets --- entering service in 1980 --- were manufactured by McDonnell Douglas Corp. (thus, the MD identification), which merged with The Boeing Co. in 1997… In the tough PR-assignment department:  Chinese officials are searching for a public relations firm to bolster its reputation prior to this year’s Olympic games…Los Angeles Daily Journal, a legal newspaper, this week started operating without an editorial copy desk, a neat trick when it comes to writing headlines and reading copy to spot an out-of-place comma…The Newseum today opens in a new $450 million building in Washington, D.C.  It occupies 250,000 square feet in seven levels and contains 15 theaters, 14 galleries, two TV studios --- and a Wolfgang Puck restaurant.  But some folks already are complaining about the stiff admission fee:  $20 for adults, $13 for children ages 7 to 12…While weather predictions are still fuzzy two or three days out, William Gray, a leading hurricane forecaster, expects eight Atlantic hurricanes, including four major ones, during the upcoming hurricane season…An Alan Greenspan-type line in a major PR firm's news release that makes an editor re-read it a few times:  “Homewood Suites offers developers a competitive edge in the typically low-amenity focused, low-service oriented airport market through brand-wide initiatives to better the product”…Hard to believe, but  a British radio broadcaster, during a breakfast show this week and apparently the only person in the studio, forgot to press the button that turns on the microphone.  So he talked to himself for an hour.