Moving next door

[TheBreeze]

Oh boy. You guys are going to love this. Check out this post on Broker Outpost:

http://forum.brokeroutpost.com/loans/forum/2/192289.htm

So here we have the sleeze helping the sleeze. Some idiot takes out an $800K mortgage on a house during the bubble and now wants to move next door to a similar house that is selling for $500K. Once he moves next door, he plans to stop paying on the $800K mortgage. A mortgage broker is going to help him do it.

This totally disgusts me. I’m disgusted by the borrower, the mortgage broker, the lender, and the whole damn system. I wonder who the lender is? Probably Countrywide or some other crap bank that should already be out of businesss. Our lending system needs a massive overhaul.

[no_such_reality]

What’s the issue? The $800K loan and house is toast. The option ARM will expire and the borrower will need a new place to live.

Should he:
A) arrange for a place now while he still has options?
B) wait until he has no options, has exhausted his credit and the Sheriff shows up to force his butt out to the curb?

A, like it or not, is the right choice. If the mortgage allows the borrower to walk away, then they can walk away. Finding a new place whether a cheaper home they can afford or merely a more affordable rental is immaterial to the discussion about whether or not someone that is upside down $300,000 on an $800,000 loan should walk away.

[no_such_reality]

What’s the issue? The $800K loan and house is toast. The option ARM will expire and the borrower will need a new place to live.

Should he:
A) arrange for a place now while he still has options?
B) wait until he has no options, has exhausted his credit and the Sheriff shows up to force his butt out to the curb?

A, like it or not, is the right choice. If the mortgage allows the borrower to walk away, then they can walk away. Finding a new place whether a cheaper home they can afford or merely a more affordable rental is immaterial to the discussion about whether or not someone that is upside down $300,000 on an $800,000 loan should walk away.

[no_such_reality]

What’s the issue? The $800K loan and house is toast. The option ARM will expire and the borrower will need a new place to live.

Should he:
A) arrange for a place now while he still has options?
B) wait until he has no options, has exhausted his credit and the Sheriff shows up to force his butt out to the curb?

A, like it or not, is the right choice. If the mortgage allows the borrower to walk away, then they can walk away. Finding a new place whether a cheaper home they can afford or merely a more affordable rental is immaterial to the discussion about whether or not someone that is upside down $300,000 on an $800,000 loan should walk away.

[no_such_reality]

What’s the issue? The $800K loan and house is toast. The option ARM will expire and the borrower will need a new place to live.

Should he:
A) arrange for a place now while he still has options?
B) wait until he has no options, has exhausted his credit and the Sheriff shows up to force his butt out to the curb?

A, like it or not, is the right choice. If the mortgage allows the borrower to walk away, then they can walk away. Finding a new place whether a cheaper home they can afford or merely a more affordable rental is immaterial to the discussion about whether or not someone that is upside down $300,000 on an $800,000 loan should walk away.

[no_such_reality]

What’s the issue? The $800K loan and house is toast. The option ARM will expire and the borrower will need a new place to live.

Should he:
A) arrange for a place now while he still has options?
B) wait until he has no options, has exhausted his credit and the Sheriff shows up to force his butt out to the curb?

A, like it or not, is the right choice. If the mortgage allows the borrower to walk away, then they can walk away. Finding a new place whether a cheaper home they can afford or merely a more affordable rental is immaterial to the discussion about whether or not someone that is upside down $300,000 on an $800,000 loan should walk away.

[ucodegen]

It depends upon how the mortgage broker is going to get him the money/loan.

*If the guy is already has a house, the next purchase has to show as a Non-Occupied status (can’t be in both at the same time).

*Already having payments for one house (which will be more expensive than he can afford when it resets), it will be difficult to get another loan when he is already cash flow limited (irregardless of his FICO). He may be thinking stated income? In addition, while there aren’t any Foreclosures in his current situation, there is a planned one in his future (his current lender might like to know, and wonder how they feel). I would watch out for 18 USC Ch 47 violations here. Material misrepresentation of income related to obtaining, misrepresenting facts current or soon to be in evidence that are detrimental to obtaining loan

I would like to see some of the CDO holders start pursuing these… otherwise we just end up penalizing the honest and rewarding the dishonest.

[ucodegen]

It depends upon how the mortgage broker is going to get him the money/loan.

*If the guy is already has a house, the next purchase has to show as a Non-Occupied status (can’t be in both at the same time).

*Already having payments for one house (which will be more expensive than he can afford when it resets), it will be difficult to get another loan when he is already cash flow limited (irregardless of his FICO). He may be thinking stated income? In addition, while there aren’t any Foreclosures in his current situation, there is a planned one in his future (his current lender might like to know, and wonder how they feel). I would watch out for 18 USC Ch 47 violations here. Material misrepresentation of income related to obtaining, misrepresenting facts current or soon to be in evidence that are detrimental to obtaining loan

I would like to see some of the CDO holders start pursuing these… otherwise we just end up penalizing the honest and rewarding the dishonest.

[ucodegen]

It depends upon how the mortgage broker is going to get him the money/loan.

*If the guy is already has a house, the next purchase has to show as a Non-Occupied status (can’t be in both at the same time).

*Already having payments for one house (which will be more expensive than he can afford when it resets), it will be difficult to get another loan when he is already cash flow limited (irregardless of his FICO). He may be thinking stated income? In addition, while there aren’t any Foreclosures in his current situation, there is a planned one in his future (his current lender might like to know, and wonder how they feel). I would watch out for 18 USC Ch 47 violations here. Material misrepresentation of income related to obtaining, misrepresenting facts current or soon to be in evidence that are detrimental to obtaining loan

I would like to see some of the CDO holders start pursuing these… otherwise we just end up penalizing the honest and rewarding the dishonest.

[ucodegen]

It depends upon how the mortgage broker is going to get him the money/loan.

*If the guy is already has a house, the next purchase has to show as a Non-Occupied status (can’t be in both at the same time).

*Already having payments for one house (which will be more expensive than he can afford when it resets), it will be difficult to get another loan when he is already cash flow limited (irregardless of his FICO). He may be thinking stated income? In addition, while there aren’t any Foreclosures in his current situation, there is a planned one in his future (his current lender might like to know, and wonder how they feel). I would watch out for 18 USC Ch 47 violations here. Material misrepresentation of income related to obtaining, misrepresenting facts current or soon to be in evidence that are detrimental to obtaining loan

I would like to see some of the CDO holders start pursuing these… otherwise we just end up penalizing the honest and rewarding the dishonest.

[ucodegen]

It depends upon how the mortgage broker is going to get him the money/loan.

*If the guy is already has a house, the next purchase has to show as a Non-Occupied status (can’t be in both at the same time).

*Already having payments for one house (which will be more expensive than he can afford when it resets), it will be difficult to get another loan when he is already cash flow limited (irregardless of his FICO). He may be thinking stated income? In addition, while there aren’t any Foreclosures in his current situation, there is a planned one in his future (his current lender might like to know, and wonder how they feel). I would watch out for 18 USC Ch 47 violations here. Material misrepresentation of income related to obtaining, misrepresenting facts current or soon to be in evidence that are detrimental to obtaining loan

I would like to see some of the CDO holders start pursuing these… otherwise we just end up penalizing the honest and rewarding the dishonest.

[SD Realtor]

Breeze I have heard of alot of other people doing this, not just people in the industry. Hey no recourse loans, why not right?

SD Realtor

[SD Realtor]

Breeze I have heard of alot of other people doing this, not just people in the industry. Hey no recourse loans, why not right?

SD Realtor

[SD Realtor]

Breeze I have heard of alot of other people doing this, not just people in the industry. Hey no recourse loans, why not right?

SD Realtor

[SD Realtor]

Breeze I have heard of alot of other people doing this, not just people in the industry. Hey no recourse loans, why not right?

SD Realtor

[Author]

Posts