Foreclosures on the rise

[waiting hawk]

http://abcnews.go.com/Video/playerIndex?id=2825544

Owned it free and clear till the helocs.. Good job!

[lindismith]

We’re going to see this over and over again. Sad.

Everything that we’ve predicted is starting to come true.

What’s next?

[BuyerWillEPB]

Correction – only a very few cases, maybe 2%, are actually “sad.” The vast majority of the foreclosures will be people who never had any business being in those homes to begin with. They could never afford to “buy” the places they did. Truth is, they never bought anything. They signed a toxic mortgage which they knew would one day explode. They took the gamble believing the next greater fool would bail them out and pay off their vacations, credit card shopping, and yellow Hummers too.

It’s because of all these greedy people, driving up prices, that my family is now homeless and priced out. We chose to do the responsible thing and not sign a toxic loan that we could never repay.

[lonestar2000]

What’s next, is that it’s going to get much worse before it gets better, even as the general media touts a turnaround.

The NAR would have you believe that now is the best time to buy, just to keep themselves in business. The truth is, now is the best time to wait and save as we watch the housing bubble implode.

[hipmatt]

BuyerWillEPB

I agree 100% and its hilarious.. yellow hummers, so true!!!!

[BuyerWillEPB]

Yesterday’s North County Times article sums up my point nicely.

Here’s the Link to NCTimes ARM loans article

My favorite line,

“These borrowers are allowed to get into homes they can’t afford,” Morrison said. “It’s a crime, in my opinion.”

I agree. It’s a crime against all the responsible people who did not sign these fraudulent documents. The “Loanowners” will cry and say “I didn’t know.”

Horse sh!t, they knew. They just hoped a greater fool would bail them out.

[mixxalot]

Greed and foolishness

Abound here in San Diego people spending and not saving. By the way, the ONLY car that even looks decent or would catch me dead in yellow is a Ferrari, Porsche or Lamborghini. All others look stupid.

[DaisyDuke]

You go BuyerWillEPB!! Don’t follow the masses!

[DaisyDuke]

Hmmm, how about a “Thing”?

[avidsaver]

How did she go from owning the home “free and clear” to losing it? She must have made NO lifestyle changes after the divorce. Pity.

[no_such_reality]

How did she go from owning the home “free and clear” to losing it? She must have made NO lifestyle changes after the divorce. Pity.

I would guess that *they* owned it free and clear. *She* then wanted to keep the house and had to pay him half at the overinflated Dallas market pricess. She then errored in taking an HELOC to pay for it.

[avidsaver]

Whatever. Even in an inflated market, she should have been able to afford the 50% of the inflated value (which in the worst case could have been 100% of the then-current value) and if she couldn’t afford it, she should have walked and paid rent somewhere. I understand the idea of wanting to hold onto the house, but gimme a break. Talk about trying to keep up with the Joneses…

yeah, I know I sound bitter. My story? Divorced and couldn’t keep the house (in 2005). Had to sell. Made a modest gain. Can’t afford anything else. But in retrospect, divorce is the best thing that ever happened me. I am far more conscious of my spending and just waiting for the “entry point” to become obvious. It was obvious the first time I bought (in 1996 – not the “marital residence”) and I think it will be the next time…

[avidsaver]

Whatever. Even in an inflated market, she should have been able to afford the 50% of the inflated value (which in the worst case could have been 100% of the then-current value) and if she couldn’t afford it, she should have walked and paid rent somewhere. I understand the idea of wanting to hold onto the house, but gimme a break. Talk about trying to keep up with the Joneses…

yeah, I know I sound bitter. My story? Divorced and couldn’t keep the house (in 2005). Had to sell. Made a modest gain. Can’t afford anything else. But in retrospect, divorce is the best thing that ever happened me. I am far more conscious of my spending and just waiting for the home-buying “entry point” to become obvious. It was obvious the first time I bought (in 1996 – not the “marital residence”) and I think it will be the next time…

[cr]

The thing that sickens me is there are generally probably two scenarios, and both involve lying:

1. Uninformed people were led to believe they could refinance with an IO or ARM, and just sell it in 3 years when their payment doubles and equity has tripled again.

2. Deceptive people mis-state their incomes and equity to afford more house than they could pay for.

I really don’t feel that sorry for these people. They should take the time to learn what they are getting into. Our society has this growing “it’s not my fault attitude” and assumes less and less responsibilty for their actions. Sure, there are some people who legitimately just lost it, but most saw their equity as a “free” ride into high society where yellow hummers abound.

[hipmatt]

I agree with the above 100%. Responsibility has gotten thrown out the window for a long time here now.

you are lazy=just get welfare
you are a slut=just get an abortion
you are financially dumb=just go bankrupt
can’t save a dime=take out a really bad loan for a house you can’t afford, then walk away, blaming everyone but yourself

Matter of fact, its had to do something wrong anymore, and have it be from your fault. Its always someone else’s.

[Author]

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