Mortgage bailout RANT

  • Posted by a hidden member.
    Log in to view his profile

    Mar 26, 2010 5:36 PM GMT
    Do any other homeowners get secretly jaded by big government plans to pay down mortgage debt for people who can't pay? Obviously there are people out there who are truly struggling... and also true that foreclosures have swamped the housing market and driven our values down. But I feel like such a huge chunk of these people who are getting bailed out made really bad decisions about their mortgages and were unrealistic about their debt and their ability to make their payments.

    But for those of us who purchased houses that were in our budget, are working, making our mortgage payments on time, I sometimes feel like we're being punished for being smart and making payments. I'd love to have my mortgage payments reduced by a few hundred bucks a month, it would really help me out. But I don't qualify.

    I admit I feel a little guilty about feeling this way especially since, as I said, some people are in legit need of assistance. But I can't help it, there's a sense of unfairness about this. If I had gone for a much larger mortgage that was well beyond my means to pay it, the government would actually help me to pay it down. I could have had a nicer place!

  • Posted by a hidden member.
    Log in to view his profile

    Mar 26, 2010 5:47 PM GMT
    Yes!

    Imagine how us renters feel. Or for that matter anyone who stayed within their means during the bubble. Why shouldn't my rent be capped at a percentage of income? I couldn't even afford a house, and now my taxes go towards helping these people keep theirs...
  • Posted by a hidden member.
    Log in to view his profile

    Mar 26, 2010 5:56 PM GMT
    viveutvivas saidYes!

    Imagine how us renters feel. Or for that matter anyone who stayed within their means during the bubble. Why shouldn't my rent be capped at a percentage of income? I couldn't even afford a house, and now my taxes go towards helping these people keep theirs...



    Right... renters... similar issue of unfairness.

    Home owners are stuck making payments toward a mortgage that is below the current market value... and for me, the payments aren't easy. I mean... I get it done, but it ain't easy every month.
  • Posted by a hidden member.
    Log in to view his profile

    Mar 26, 2010 6:30 PM GMT
    I can see why it would be upsetting or viewed as unfair (renter, here, and we never get shit), but I think a lot of those underwater were on the receiving end of some really deceptive practices by mortgage brokers who had an incentive to sell these crazy no-down payment, option ARM, nutso mortgages.
  • Posted by a hidden member.
    Log in to view his profile

    Mar 26, 2010 7:01 PM GMT
    Christian73 saidI can see why it would be upsetting or viewed as unfair (renter, here, and we never get shit), but I think a lot of those underwater were on the receiving end of some really deceptive practices by mortgage brokers who had an incentive to sell these crazy no-down payment, option ARM, nutso mortgages.


    I know, I get that and you're 100% right. But even when people were signing on those crazy ARM and split mortgages I was thinking to myself "that just doesn't seem like a good idea to me." I'm not unsympathetic to people who are really in over their heads, because they were swindled, or unexpectedly lost their jobs, or whatever... but it's just one of those times when it seems like the people who did it right are getting the shaft.

  • Posted by a hidden member.
    Log in to view his profile

    Mar 26, 2010 7:23 PM GMT
    bullshit...
    If you earn $50k a year, you should be smart enough and responsible enough to know you can't afford (and won't any time soon) $350k home.

    When do you stop blaming the one who put you in the loan and start blaming yourself for signing up for what you can't afford? And while we're on the subject, you can blame lenders all you wish, but you can't ingore that congress of the past 20 years opened the gates -- and now they wanna fuck with the housing market again??? LOL, because they've gotten right so well thus far -- Dem and Repubs included and all associated Presidents, including this one -- yuo can't even run federal agencies and avoid banruptcy, I'm sure your plans are a win/win.

    The Plan:
    Your house is valued at $350k, your neighbor is about to or has defaulted on their loan, the house can't be sold in this market -- the best offer is $200k and congress decides that this is what the defaulter's New mortgage should be based on... Guess what just happend to the value of your property.
    Also, if you need "funding" to help cover the costs of "catching up" you will qualify for ferderal assistance - that will be paid back in taxes by your neighbor.

    Why don't I just by your house and rent it to you??
    ...wish I could
  • Posted by a hidden member.
    Log in to view his profile

    Mar 26, 2010 8:06 PM GMT
    BodyWork4 saidbullshit...
    If you earn $50k a year, you should be smart enough and responsible enough to know you can't afford (and won't any time soon) $350k home.

    When do you stop blaming the one who put you in the loan and start blaming yourself for signing up for what you can't afford? And while we're on the subject, you can blame lenders all you wish, but you can't ingore that congress of the past 20 years opened the gates -- and now they wanna fuck with the housing market again??? LOL, because they've gotten right so well thus far -- Dem and Repubs included and all associated Presidents, including this one -- yuo can't even run federal agencies and avoid banruptcy, I'm sure your plans are a win/win.

    The Plan:
    Your house is valued at $350k, your neighbor is about to or has defaulted on their loan, the house can't be sold in this market -- the best offer is $200k and congress decides that this is what the defaulter's New mortgage should be based on... Guess what just happend to the value of your property.
    Also, if you need "funding" to help cover the costs of "catching up" you will qualify for ferderal assistance - that will be paid back in taxes by your neighbor.

    Why don't I just by your house and rent it to you??
    ...wish I could


    I'm with you, it's exactly how I feel. What makes me feel guilty for being so jaded about that is the people who did get decent mortgages that were in their means five years ago but lost their jobs or took a massive pay cut or are underemployed and can no longer make the monthly payments that were affordable just six months ago. I'd love to see them get a break. But, unfortunately, they are probably a small portion of the problem and the only legit ones. The rest are getting bailed out for making bad financial decisions, piling on debt while things were going well, and are now counting on all the rest of us to get em out of it and "save the housing market from further collapse."