January 24, 2007 at 2:48 PM #8264lendingbubblecontinuesParticipant
Priceless statement uttered from the mouth of yet another FB, taken from today’s LA Times.January 24, 2007 at 3:09 PM #44118Cow_tippingParticipant
Yea who the F&*K buys a house in salinas for 800K.
Cow_tipping.January 24, 2007 at 3:28 PM #44121sdrebearParticipant
I love how they kind of glaze over the actual numbers making them seem not quite as surprising and horrible as they really are.
They mentioned that notices went up 145% (sounds bad, but not horrible), but then completely failed to translate the actual foreclosure numbers into a percentage which shows a 595% increase!! That might have actually frightened a few readers.
In the 4th quarter of 2005, actual defaults rates were only 5.8% of total notices issued.
In the 4th quarter of 2006, actual defaults rates were 16.3% of total notices issued. That means not only are default notices increasing, but a much larger percentage of those notices are ending in foreclosure.
Man, even in an article about the obvious problems with this home market, they can't quite bring themselves to fully illustrate the magnitude of events currently unfolding.
I also like how DataQuick isn't "scared" yet, because defaults are still under 1996 levels. Well hell… it's only been 6 months since the absolute bottom for foreclosure rates… how about giving it a little more time. It took over 5 years to build up to that "worst quarter" in 1996. We're over half way there in just the second quarter after foreclosure rates hit their lowest levels ever. If that quick of a turnaround doesn't signal something on your worry radar, then your's must be broken.January 24, 2007 at 3:41 PM #44123PerryChaseParticipant
"Three times a week, they call and say, 'Where's my money?' " he said. "If I hadn't survived, everything would have been fine."
I don’t understand how Brown’s life or death has anything to do with the value of his house. Had he died, his wife would’ve been stuck with the same mess alone. Maybe he’s got a big life insurance policy.January 25, 2007 at 5:37 AM #44147BikeRiderParticipant
FROM THE ARTICLE-
“Three times a week, they call and say, ‘Where’s my money?’ ” he said. “If I hadn’t survived, everything would have been fine.”
What the heck is he talking about? Fine for whom? I mean, his plan was to leave his wife with a mortgage that was going to sky rocket? So she had $100K, what good is that if the mortgage is going up to $4500, whether he is dead or alive, because he hadn’t read the fine print? Good going there fella. What was his initial mortgage on his home? The article states he was paying $2900, then it went to $4500. Now, if he was only paying on $100K, that isn’t $2900 a month. Here they are, retired, with a mortgage. NO THANK YOU! Our country seems headed towards a bad event.January 25, 2007 at 8:00 AM #44151Cow_tippingParticipant
So … death is an investment strategy … I guess it is, cos so many people committed suicide in the great depression.
Cow_tipping.January 25, 2007 at 8:47 AM #44156crParticipant
“It won’t crash the housing market,” she said. “There’s still a lot of people who will buy homes and keep them. As long as no life event comes along that pushes them over the edge, they’ll probably be OK.”
A life event like resetting interest rates? It’s already crashing the market, people are just still in denial.January 25, 2007 at 11:01 AM #44174CritterParticipant
This run-up-the-bills mentality really ticks me off. It reminds me of people who charge up their credit cards knowing they will be declaring bankruptcy and feeling they won’t have to pay the piper in a short time. Thankfully, the laws have changed so this is no longer so prevalent.
I also know a person who, when diagnosed with a life-threatening disease, ran out and bought a new car, plus indulged in a bunch of other luxuries charged onto his credit card. His attitude was, I’ll enjoy life now and someone else can clean up my financial mess after I’m gone.
Then he ended up on life-sustaining medication with his disease in remission and…. had to pay off all of his bills himself. Same thing is happening here with this Brown character. These kind of people deserve their albatross mortgages.January 25, 2007 at 1:22 PM #44186blackboxParticipant
Wow, this guy is really screwed! I bet he’d wish he was dead……
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