Solution to the Housing and Foreclosure crisis

[recordsclerk]

I know of eight foreclosures/shortsales personally. All of them were able to make the payment but just decided that it was not worth it to stay or pay.
1. Bought equal type house for 40% discount from previously purchase, let previous home go into foreclosure.
2. Decided renting would be cheaper then paying mortgage. Lived rent free until kicked out. Did not save money while living for free.
3. Basically same as #2.
4. Currently living rent free and hasn’t paid property tax. 8 months and counting. Still getting housing allowance from Navy.
5. Currently living rent free (4 months), offering house as a short sale, has current offer. Has not paid 2008 prop tax. Bought new Lexus before credit gets ding.
6. Decided renting is cheaper then paying mortgage. Bought new SUV and moved into a rental.
7. Haven’t paid for 3 months, waiting to get kicked out. Trying to save money, but can’t resist shopping.
8. Haven’t paid for 10 months, hired a lawyer to stay in home longer. Have not paid 2008 taxes.
One common factor in all these foreclosures *little or no money down* and the anticipation of appreciation (AKA free money).

[cr]

You can’t stop foreclosures.

Unfortunately our Gov’t thinks they can and will waste every good $ finding out they’re wrong.

You write down the 2 million loans that entered foreclosure in 2008 and what? Those people stay in their homes?

Not if they work at one of the banks whose loans you just wrote down.

Foreclsoures will only stop when prices go back up. The only way prices will go back up is if people can afford homes again.

Foreclosures are now necessary to correct things. They’re not the cause, they’re the solution, forced upon us for reckless lending and borrowing.

[cr]

You can’t stop foreclosures.

Unfortunately our Gov’t thinks they can and will waste every good $ finding out they’re wrong.

You write down the 2 million loans that entered foreclosure in 2008 and what? Those people stay in their homes?

Not if they work at one of the banks whose loans you just wrote down.

Foreclsoures will only stop when prices go back up. The only way prices will go back up is if people can afford homes again.

Foreclosures are now necessary to correct things. They’re not the cause, they’re the solution, forced upon us for reckless lending and borrowing.

[cr]

You can’t stop foreclosures.

Unfortunately our Gov’t thinks they can and will waste every good $ finding out they’re wrong.

You write down the 2 million loans that entered foreclosure in 2008 and what? Those people stay in their homes?

Not if they work at one of the banks whose loans you just wrote down.

Foreclsoures will only stop when prices go back up. The only way prices will go back up is if people can afford homes again.

Foreclosures are now necessary to correct things. They’re not the cause, they’re the solution, forced upon us for reckless lending and borrowing.

[cr]

You can’t stop foreclosures.

Unfortunately our Gov’t thinks they can and will waste every good $ finding out they’re wrong.

You write down the 2 million loans that entered foreclosure in 2008 and what? Those people stay in their homes?

Not if they work at one of the banks whose loans you just wrote down.

Foreclsoures will only stop when prices go back up. The only way prices will go back up is if people can afford homes again.

Foreclosures are now necessary to correct things. They’re not the cause, they’re the solution, forced upon us for reckless lending and borrowing.

[cr]

You can’t stop foreclosures.

Unfortunately our Gov’t thinks they can and will waste every good $ finding out they’re wrong.

You write down the 2 million loans that entered foreclosure in 2008 and what? Those people stay in their homes?

Not if they work at one of the banks whose loans you just wrote down.

Foreclsoures will only stop when prices go back up. The only way prices will go back up is if people can afford homes again.

Foreclosures are now necessary to correct things. They’re not the cause, they’re the solution, forced upon us for reckless lending and borrowing.

[TheBreeze]

Weren’t Fannie Mae, and Freddie Mac, and Ginnie Mae, and FHA and all of the other government-sponsored housing-crisis-makers originally created so that Americans could have “affordable housing”?

And now that housing prices are actually going down and houses are actually on their way to affordability our government is doing everything it can to stop it. Crazy.

[TheBreeze]

Weren’t Fannie Mae, and Freddie Mac, and Ginnie Mae, and FHA and all of the other government-sponsored housing-crisis-makers originally created so that Americans could have “affordable housing”?

And now that housing prices are actually going down and houses are actually on their way to affordability our government is doing everything it can to stop it. Crazy.

[TheBreeze]

Weren’t Fannie Mae, and Freddie Mac, and Ginnie Mae, and FHA and all of the other government-sponsored housing-crisis-makers originally created so that Americans could have “affordable housing”?

And now that housing prices are actually going down and houses are actually on their way to affordability our government is doing everything it can to stop it. Crazy.

[TheBreeze]

Weren’t Fannie Mae, and Freddie Mac, and Ginnie Mae, and FHA and all of the other government-sponsored housing-crisis-makers originally created so that Americans could have “affordable housing”?

And now that housing prices are actually going down and houses are actually on their way to affordability our government is doing everything it can to stop it. Crazy.

[TheBreeze]

Weren’t Fannie Mae, and Freddie Mac, and Ginnie Mae, and FHA and all of the other government-sponsored housing-crisis-makers originally created so that Americans could have “affordable housing”?

And now that housing prices are actually going down and houses are actually on their way to affordability our government is doing everything it can to stop it. Crazy.

[DWCAP]

If the government really wanted to promote AFFORDABLE homeownership they could simply limit Fannie/Freddie/VA(and other GOV housing programs) to 1 loan per household.
You want to move up into a nicer house? Sell the old one. Don’t wanna? Fine, then you pay the nonsubsidized rates and fees and DP’s (ie it isnt conforming.) I thought the “American dream” was to own your own home, not every single one you could get your hands on.

It wasnt long ago the GSE’s limited you to 10 loans. 10! That is an awful lot of move up buying. Cept it isnt move up buying, it is mini- Donald Trump building. I believe it is currently 4 loans. Still to high IMO. I am not saying you shouldnt be able to own more than one home. If you want to own a rental great, do it. But dont expect taxpayer subsidies for your buisness, even if that is just a prefered interest rate and lower equity/DP requirments.

Now some would argue that this will limit the supply of rentals and there for drive up the cost of renting. I dont think that is true. It would force more houses onto the market, bringing down prices. If it was cheaper to buy then rent, people would buy and rentals would be SOL. LL’s would have to actually compete with the quality of housing around them.

Not saying this would ever happen. I think the NAR would start suicide bombing congress if they ever started reducing the house buying subsidies that keep prices high. But I do think it is rediculus that the American dream of giving your kids a better life than you had has now become the american dream of owning as much property as possible and F the kids if we have to deficit spend to do it.

[DWCAP]

If the government really wanted to promote AFFORDABLE homeownership they could simply limit Fannie/Freddie/VA(and other GOV housing programs) to 1 loan per household.
You want to move up into a nicer house? Sell the old one. Don’t wanna? Fine, then you pay the nonsubsidized rates and fees and DP’s (ie it isnt conforming.) I thought the “American dream” was to own your own home, not every single one you could get your hands on.

It wasnt long ago the GSE’s limited you to 10 loans. 10! That is an awful lot of move up buying. Cept it isnt move up buying, it is mini- Donald Trump building. I believe it is currently 4 loans. Still to high IMO. I am not saying you shouldnt be able to own more than one home. If you want to own a rental great, do it. But dont expect taxpayer subsidies for your buisness, even if that is just a prefered interest rate and lower equity/DP requirments.

Now some would argue that this will limit the supply of rentals and there for drive up the cost of renting. I dont think that is true. It would force more houses onto the market, bringing down prices. If it was cheaper to buy then rent, people would buy and rentals would be SOL. LL’s would have to actually compete with the quality of housing around them.

Not saying this would ever happen. I think the NAR would start suicide bombing congress if they ever started reducing the house buying subsidies that keep prices high. But I do think it is rediculus that the American dream of giving your kids a better life than you had has now become the american dream of owning as much property as possible and F the kids if we have to deficit spend to do it.

[DWCAP]

If the government really wanted to promote AFFORDABLE homeownership they could simply limit Fannie/Freddie/VA(and other GOV housing programs) to 1 loan per household.
You want to move up into a nicer house? Sell the old one. Don’t wanna? Fine, then you pay the nonsubsidized rates and fees and DP’s (ie it isnt conforming.) I thought the “American dream” was to own your own home, not every single one you could get your hands on.

It wasnt long ago the GSE’s limited you to 10 loans. 10! That is an awful lot of move up buying. Cept it isnt move up buying, it is mini- Donald Trump building. I believe it is currently 4 loans. Still to high IMO. I am not saying you shouldnt be able to own more than one home. If you want to own a rental great, do it. But dont expect taxpayer subsidies for your buisness, even if that is just a prefered interest rate and lower equity/DP requirments.

Now some would argue that this will limit the supply of rentals and there for drive up the cost of renting. I dont think that is true. It would force more houses onto the market, bringing down prices. If it was cheaper to buy then rent, people would buy and rentals would be SOL. LL’s would have to actually compete with the quality of housing around them.

Not saying this would ever happen. I think the NAR would start suicide bombing congress if they ever started reducing the house buying subsidies that keep prices high. But I do think it is rediculus that the American dream of giving your kids a better life than you had has now become the american dream of owning as much property as possible and F the kids if we have to deficit spend to do it.

[DWCAP]

If the government really wanted to promote AFFORDABLE homeownership they could simply limit Fannie/Freddie/VA(and other GOV housing programs) to 1 loan per household.
You want to move up into a nicer house? Sell the old one. Don’t wanna? Fine, then you pay the nonsubsidized rates and fees and DP’s (ie it isnt conforming.) I thought the “American dream” was to own your own home, not every single one you could get your hands on.

It wasnt long ago the GSE’s limited you to 10 loans. 10! That is an awful lot of move up buying. Cept it isnt move up buying, it is mini- Donald Trump building. I believe it is currently 4 loans. Still to high IMO. I am not saying you shouldnt be able to own more than one home. If you want to own a rental great, do it. But dont expect taxpayer subsidies for your buisness, even if that is just a prefered interest rate and lower equity/DP requirments.

Now some would argue that this will limit the supply of rentals and there for drive up the cost of renting. I dont think that is true. It would force more houses onto the market, bringing down prices. If it was cheaper to buy then rent, people would buy and rentals would be SOL. LL’s would have to actually compete with the quality of housing around them.

Not saying this would ever happen. I think the NAR would start suicide bombing congress if they ever started reducing the house buying subsidies that keep prices high. But I do think it is rediculus that the American dream of giving your kids a better life than you had has now become the american dream of owning as much property as possible and F the kids if we have to deficit spend to do it.

[Author]

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