I guess we’ll be kicking the can until it’s time for the newborns of today to be old enough buy.[/quote]
Great link, jpinpb. One of the comments from that link:
Comment by Dutch123
July 14th, 2010 at 4:34 pm
Is it safe to say that the deadbeat will rent the house out for $2500, take the $800 differential between the modified payment and rent collected and go rent an apartment. Basically living for free?
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This is exactly the problem, and we’ve heard of examples right here on this blog (someone sdr knows?) where people got mods on **rental homes** and are now getting positive cash flow thanks to taxpayers!
It is disgusting!
I know someone who got a HAMP modification and the terms were similar, exept that the amortized payment had a fixed rate after the initial period with a well “below market” rate. They had a 5 or 10 year period of interest-only at 3.5% (sorry, can’t remember how many years initially), then the loan converted to the “full” interest & principal at 5.XX% FIXED (don’t remember the exact rate) for the remaining 35-40 years.
I’m still waiting for a govt program that’s aimed at “keeping renters in their homes” by giving us an additional $1,000/month or so…you know, to “prevent the destruction of the financial system(!!!!)” or somesuch.
