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Subprime loan and Bush
chumchum
Member Posts: 847 ✭✭
Well if I understand it. Bush want to help the people out with low interest loans thanks to tax dollars. That really makes me mad. These people took the risk to buy homes they couldn't afford and it didn't work out. I'm sorry but that is what caused the prices to rise so high. Let the homes forclose so the next group of buyers can afford a home. Maybe then I can afford the vacation home I've been saving for instead of just going out and buying and say things will work out.
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Well if I understand it. Bush want to help the people out with low interest loans thanks to tax dollars. That really makes me mad. These people took the risk to buy homes they couldn't afford and it didn't work out. I'm sorry but that is what caused the prices to rise so high. Let the homes forclose so the next group of buyers can afford a home. Maybe then I can afford the vacation home I've been saving for instead of just going out and buying and say things will work out.
Are you able to intelligently describe how you attribute the blame for this to the President? Please present facts with sources rather than anecdotal internet conspiracy theories.
Some were apartment dwellers, with less than desirable credit, and they bought a house with no money down, and often "interest only" payments.
They lived above their means for a few years, and now will simply dump off the mortgages, and go back to renting.
The rest, were "stupid investors", that couldn't see the end to their house flipping.
They used the same financing methods, and are simply walking away from the mortgages.
Their credit will be hurt,.....but you can be sure they have a nice place to live that is "protected". I know one of these folks!
Let the banks, and finance companies that allowed this to happen, pay the price, as I certainly don't want to, with my tax dollars.[}:)]
The way I understood it, he would receive no $$'s from Uncle Sam but might be elligle for a conventional loan at a low rate (Backed by the Gov't).
The big downfall that I see with this is that these are sub-prime borrowers so their odds of default are many times more than prime borrowers. But if they make their payments, there is no loss to the gov't.
Where we may disagree is,.....I feel the buyer, is the one that is ultimately responsible for what they are getting into.
If the bank offers them a "too good to be true" loan, they should have asked themselves if they would be able to pay,.........same for the realtors "pimping" property.
Ultimately, stupid mistakes that a person makes, can only be blamed on the person that signed their name on the dotted line.
May sound cold, but it is all about "responsibility", and if one is not informed enough to make these kinds of decisions,.......you should not be doing it, and passing off the blame to someone else.
quote:Originally posted by chumchum
Well if I understand it. Bush want to help the people out with low interest loans thanks to tax dollars. That really makes me mad. These people took the risk to buy homes they couldn't afford and it didn't work out. I'm sorry but that is what caused the prices to rise so high. Let the homes forclose so the next group of buyers can afford a home. Maybe then I can afford the vacation home I've been saving for instead of just going out and buying and say things will work out.
Are you able to intelligently describe how you attribute the blame for this to the President?
Yeah, right, haven't you heard that Bush Jr. is personally responsible for Global Warming (tm) by means of cow flatulence? He also has planned the asteroid disaster that's going to hit us in 30 years. Evil evil (deleted)!
Nobody will be rebuilding my home if it ever gets hit, except for the insurance company.
I am not in favor of the FEMA bailouts, for folks that have no homeowners insurance either.
Why don't we all drop our homeowners insurance,...........oh, I know why I won't, I accept personal responsibility.
What a concept!
Difference is,.......I pay $2,200.00 a year for homeowners insurance.
Nobody will be rebuilding my home if it ever gets hit, except for the insurance company.
I am not in favor of the FEMA bailouts, for folks that have no homeowners insurance either.
Why don't we all drop our homeowners insurance,...........oh, I know why I won't, I accept personal responsibility.
What a concept!
You really think homeowners insurance is rebuilding New Orleans and most of the Gulf Coast?
And there are some houses along the coast that have been hit and rebuilt several times in the past, all at the cost of insurance, which drives up the premiums for everyone else. If the owners are dumb enough to keep rebuilding in the same place, they should not get insurance after the first time.
he was going to TRY and work
with the lending institutions
to hopefully re-write the loans for some
credit worthy borowers?
Not the people who should have known
they couldn't afford to pay back
what they borrowed if the SHTF
If they were a credit worthy borrower the first time around they would have got a fixed interest loan on a house they could afford. Not an ARM for a house more than they couldn't afford in most cases. I know a guy who bought a house interest only loan for 2 years. Thinking the prices would rise and he would sell make a profit and move on to the next house. Then instead of saving the money that he saved. He goes out and buys two new cars. Now he is to far in debt to get a new loan and crying the blues and having a heck of a time selling his house. The sad part is, this guy is not stupid and makes pretty good money. I think he watched one to many shows of flip this house.
The greed of some people is unbelieveable. People like this just need to sink.
These loans were made possible by predatory lenders that understood the risk.
Their only risk is that someone won't ever again pay $500,000 for that house they just repo'd.
Interest rates are set for financial risks of a loan. These ARM's are high risk.
If Bush bails them out........call me a Democrat.
quote:Originally posted by Marc1301
Difference is,.......I pay $2,200.00 a year for homeowners insurance.
Nobody will be rebuilding my home if it ever gets hit, except for the insurance company.
I am not in favor of the FEMA bailouts, for folks that have no homeowners insurance either.
Why don't we all drop our homeowners insurance,...........oh, I know why I won't, I accept personal responsibility.
What a concept!
You really think homeowners insurance is rebuilding New Orleans and most of the Gulf Coast?
And there are some houses along the coast that have been hit and rebuilt several times in the past, all at the cost of insurance, which drives up the premiums for everyone else. If the owners are dumb enough to keep rebuilding in the same place, they should not get insurance after the first time.
I guess you didn't understand the part of my statement that said, "I am not in favor of the FEMA bailouts".
That is what is largely rebuilding New Orleans. I can't remember the figures, but the number of people with homes that had no homeowners insurance, or FLOOD insurance, was tremendous,.............this is in a city, surrounded by levees, and seriously, below sea level.
I also agree with not rebuilding in "disaster prone" areas,........I am not in one BTW, but my insurance is sky high, because they are spreading the risk to me for the folks on the coast, and S. Florida.
The folks in other states, that live in river basins, are no better.
Every 10 to 20 years, their house gets washed away, or flooded out, and they rebuild in exactly the same spot.
California,........houses on the sides of brush covered mountains, that burn, or experience mudslides every 5 years or so. Same thing, build a multi-million dollar house, right back in the same spot.
I don't get it!