[quote=Russell][quote=CA renter]With every one of these new programs, they are sending a clear message:
Those who are prudent will be forced to pay for the least responsible people in our country. If you make a huge financial mistake (like gambling on housing prices), you will be bailed out as long as everyone else makes the same stupid mistake.
Every time they discuss principal reductions (at taxpayers’ expense), I can’t help but think we should all go out and buy $1MM homes, then demand that they reduce our balances to whatever we decide we should pay.
They are treading on thin ice here, and I wonder if they are thinking about the probable consequences of these actions.[/quote]
There is no thin ice. Who is going to run out in the streets exposing people who are working the sytem, blowing the whistle on their neighbors,clients and the rest? What is going to happen if they do? Nothing good, and maybe they get themselves hurt one way or another. Nothing is going to happen. People who wouldn’t cheat before won’t cheat anymore now. Some are going to collect some trophies by what you or I consider cheating and life will go on.[/quote]
We’ll have to agree to disagree on that one. I know a number of people who are very decent, law-abiding types who are growing angrier and angrier by the day as the govt bails out all the reckless idiots at the expense of those who try to do things the right way.
If they begin reducing principal balances, for instance, expect nearly every mortgage debtor to stop paying their mortgage so they can demand a cramdown. It’s what the govt is conditioning people to do, and if playing by the rules gets you in trouble while the scammers are making out like bandits, expect everyone to become bandits. It’s just human nature.
