The new smart financial move is walking away

[davelj]

As a “business decision” everyone’s gotta do what they gotta do. If walking away makes economic sense after taking all the various factors into consideration, then one should do it. But… the only thing that bothers me about a lot of these folks is the blame and “anger” (from the article). The buyer is the Prime Mover in every real estate transaction. Without the buyer finding the home s/he wants to buy and THEN going to the lender to get it funded there is no transaction. Which is why I assign roughly 65% of the blame in this whole fiasco to Reckless Buyers and the other 35% to Reckless Lenders. The buyers aren’t victims here – they’re just financial retards. So, if they want to walk away – ok, do it. But don’t try to feed me some bullshit line about how it’s ALL the bank’s fault, NONE of the buyer’s fault, and you’re so ANGRY at the banks. If you want to be angry, be angry at yourself for being a complete idiot.

Now, the folks who either haven’t bought or did buy but aren’t walking away… they have the right to be ANGRY at both parties.

[briansd1]

[quote=mydogsarelazy]I read the article this morning and found it well done. One thing that is pointed out is that some observers are surprised that more underwater homeowners haven’t yet walked away.

In the coming years mortgage fatigue will wear down many more people. What this article describes is a trend that is really the beginning of a slow melt.

JS[/quote]

I agree. I said the same thing before when it was sacrilegious to even mention it.

Bankers thought that people would sacrifice everything just to keep the house. It turn out that it’s the opposite. People will pay for their cars, dinners out, movies, cable TV, clothing, etc.. before they pay the house.

It’s a new cultural phenomenon; and I’m sure that sociologists and economists will be studying the implications of mortgage walkaways for years.

[briansd1]

[quote=mydogsarelazy]I read the article this morning and found it well done. One thing that is pointed out is that some observers are surprised that more underwater homeowners haven’t yet walked away.

In the coming years mortgage fatigue will wear down many more people. What this article describes is a trend that is really the beginning of a slow melt.

JS[/quote]

I agree. I said the same thing before when it was sacrilegious to even mention it.

Bankers thought that people would sacrifice everything just to keep the house. It turn out that it’s the opposite. People will pay for their cars, dinners out, movies, cable TV, clothing, etc.. before they pay the house.

It’s a new cultural phenomenon; and I’m sure that sociologists and economists will be studying the implications of mortgage walkaways for years.

[briansd1]

[quote=mydogsarelazy]I read the article this morning and found it well done. One thing that is pointed out is that some observers are surprised that more underwater homeowners haven’t yet walked away.

In the coming years mortgage fatigue will wear down many more people. What this article describes is a trend that is really the beginning of a slow melt.

JS[/quote]

I agree. I said the same thing before when it was sacrilegious to even mention it.

Bankers thought that people would sacrifice everything just to keep the house. It turn out that it’s the opposite. People will pay for their cars, dinners out, movies, cable TV, clothing, etc.. before they pay the house.

It’s a new cultural phenomenon; and I’m sure that sociologists and economists will be studying the implications of mortgage walkaways for years.

[briansd1]

[quote=mydogsarelazy]I read the article this morning and found it well done. One thing that is pointed out is that some observers are surprised that more underwater homeowners haven’t yet walked away.

In the coming years mortgage fatigue will wear down many more people. What this article describes is a trend that is really the beginning of a slow melt.

JS[/quote]

I agree. I said the same thing before when it was sacrilegious to even mention it.

Bankers thought that people would sacrifice everything just to keep the house. It turn out that it’s the opposite. People will pay for their cars, dinners out, movies, cable TV, clothing, etc.. before they pay the house.

It’s a new cultural phenomenon; and I’m sure that sociologists and economists will be studying the implications of mortgage walkaways for years.

[briansd1]

[quote=mydogsarelazy]I read the article this morning and found it well done. One thing that is pointed out is that some observers are surprised that more underwater homeowners haven’t yet walked away.

In the coming years mortgage fatigue will wear down many more people. What this article describes is a trend that is really the beginning of a slow melt.

JS[/quote]

I agree. I said the same thing before when it was sacrilegious to even mention it.

Bankers thought that people would sacrifice everything just to keep the house. It turn out that it’s the opposite. People will pay for their cars, dinners out, movies, cable TV, clothing, etc.. before they pay the house.

It’s a new cultural phenomenon; and I’m sure that sociologists and economists will be studying the implications of mortgage walkaways for years.

[4plexowner]

“duped into an expensive loan”

I second everything davelj said – walk away, don’t walk away, that’s your decision

but don’t insult my intelligence by trying to pretend that someone else is responsible for your stupid financial decisions

[4plexowner]

“duped into an expensive loan”

I second everything davelj said – walk away, don’t walk away, that’s your decision

but don’t insult my intelligence by trying to pretend that someone else is responsible for your stupid financial decisions

[4plexowner]

“duped into an expensive loan”

I second everything davelj said – walk away, don’t walk away, that’s your decision

but don’t insult my intelligence by trying to pretend that someone else is responsible for your stupid financial decisions

[4plexowner]

“duped into an expensive loan”

I second everything davelj said – walk away, don’t walk away, that’s your decision

but don’t insult my intelligence by trying to pretend that someone else is responsible for your stupid financial decisions

[4plexowner]

“duped into an expensive loan”

I second everything davelj said – walk away, don’t walk away, that’s your decision

but don’t insult my intelligence by trying to pretend that someone else is responsible for your stupid financial decisions

[UCGal]

Dave pretty much nailed it for me.

Lots of blame to go around. The strategic defaulters aren’t victims. The folks who took out loans more than they could afford are responsible for their bad decisions. As is the bank that loaned them more than they could afford.

Banks should pay a price for bad underwriting. Folks who walk away (strategically or not) should pay the price of lost down payments, credit score hits, social stigma… Share the blame, share the pain.

[UCGal]

Dave pretty much nailed it for me.

Lots of blame to go around. The strategic defaulters aren’t victims. The folks who took out loans more than they could afford are responsible for their bad decisions. As is the bank that loaned them more than they could afford.

Banks should pay a price for bad underwriting. Folks who walk away (strategically or not) should pay the price of lost down payments, credit score hits, social stigma… Share the blame, share the pain.

[UCGal]

Dave pretty much nailed it for me.

Lots of blame to go around. The strategic defaulters aren’t victims. The folks who took out loans more than they could afford are responsible for their bad decisions. As is the bank that loaned them more than they could afford.

Banks should pay a price for bad underwriting. Folks who walk away (strategically or not) should pay the price of lost down payments, credit score hits, social stigma… Share the blame, share the pain.

[UCGal]

Dave pretty much nailed it for me.

Lots of blame to go around. The strategic defaulters aren’t victims. The folks who took out loans more than they could afford are responsible for their bad decisions. As is the bank that loaned them more than they could afford.

Banks should pay a price for bad underwriting. Folks who walk away (strategically or not) should pay the price of lost down payments, credit score hits, social stigma… Share the blame, share the pain.

[Author]

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