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May 11, 2008 at 12:02 AM in reply to: In mortgage market, ‘walkaway’ homeowners may be urban myth #202421May 11, 2008 at 12:02 AM in reply to: In mortgage market, ‘walkaway’ homeowners may be urban myth #202456
HLS
ParticipantDepends on your definition of “walking away”
It’s not a huge % yet (although it might be next year)“Generally” speaking is what got lots of people into this mess.
Last 30 days 6 month libor is up 7.50% FFR is down 11%
May 10, 2008 at 10:32 PM in reply to: In mortgage market, ‘walkaway’ homeowners may be urban myth #202268ParticipantARM rates are not tied to FFR.
Many subprime borrowers have margins of up to 5.00% above their index. Prime ARM’s have lower margins. Never assume anything. Many people with high credit scores got screwed into a subprime ARM by a mortgage predator.
Most people with ARM’s have no clue what their margin or index is or what it’s based on or tied to.
Even if a borrower’s rate was to stay the same, their payment will go up in most cases as most must start paying P&I on an shorter amortization period.
If someone had a 3YR ARM interest only, upon adjusting, many will have a P&I payment due with a 27 YR amortization based on their new rate, which in most cases will adjust again in 6 or 12 months.
I believe that most of the talk of “walkers” and “jingle mail” is just urban legend BS.
People are foolish if they walk early or send in keys.
They are getting foreclosed on, most aren’t just “walking away”Foreclosure is a legal process. It takes time. Leaving a house sit empty while you could be living there for free is pretty dumb, although there are a lot of dumb people involved.
I have read of cases where people have been in their houses for 12-16 months without paying before actually being foreclosed on.
Wait and see what’s lurking around the corner. To keep people from walking, they are talking about refinancing people into new loans for 120% of the value of the home today…
AND cutting the principal balances for others to reality today.Think stock market crash with the govt trying to figure out how to keep people paying for the stocks that they bought with borrowed money at inflated levels, so they don’t dump them on the market to depress the market further.
Try ANYTHING to keep people from walking away…The few in govt that really understand what is happening are crapping their pants. Others are just overpaid idiots.
Jenna Bush is consummating her marriage tonight, I wouldn’t be surprised if her daddy had a few extra drinks today. It was a perfect excuse so he can get one good nights sleep.
His headache isn’t going to be gone in the morning.
May 10, 2008 at 10:32 PM in reply to: In mortgage market, ‘walkaway’ homeowners may be urban myth #202314ParticipantARM rates are not tied to FFR.
Many subprime borrowers have margins of up to 5.00% above their index. Prime ARM’s have lower margins. Never assume anything. Many people with high credit scores got screwed into a subprime ARM by a mortgage predator.
Most people with ARM’s have no clue what their margin or index is or what it’s based on or tied to.
Even if a borrower’s rate was to stay the same, their payment will go up in most cases as most must start paying P&I on an shorter amortization period.
If someone had a 3YR ARM interest only, upon adjusting, many will have a P&I payment due with a 27 YR amortization based on their new rate, which in most cases will adjust again in 6 or 12 months.
I believe that most of the talk of “walkers” and “jingle mail” is just urban legend BS.
People are foolish if they walk early or send in keys.
They are getting foreclosed on, most aren’t just “walking away”Foreclosure is a legal process. It takes time. Leaving a house sit empty while you could be living there for free is pretty dumb, although there are a lot of dumb people involved.
I have read of cases where people have been in their houses for 12-16 months without paying before actually being foreclosed on.
Wait and see what’s lurking around the corner. To keep people from walking, they are talking about refinancing people into new loans for 120% of the value of the home today…
AND cutting the principal balances for others to reality today.Think stock market crash with the govt trying to figure out how to keep people paying for the stocks that they bought with borrowed money at inflated levels, so they don’t dump them on the market to depress the market further.
Try ANYTHING to keep people from walking away…The few in govt that really understand what is happening are crapping their pants. Others are just overpaid idiots.
Jenna Bush is consummating her marriage tonight, I wouldn’t be surprised if her daddy had a few extra drinks today. It was a perfect excuse so he can get one good nights sleep.
His headache isn’t going to be gone in the morning.
May 10, 2008 at 10:32 PM in reply to: In mortgage market, ‘walkaway’ homeowners may be urban myth #202341ParticipantARM rates are not tied to FFR.
Many subprime borrowers have margins of up to 5.00% above their index. Prime ARM’s have lower margins. Never assume anything. Many people with high credit scores got screwed into a subprime ARM by a mortgage predator.
Most people with ARM’s have no clue what their margin or index is or what it’s based on or tied to.
Even if a borrower’s rate was to stay the same, their payment will go up in most cases as most must start paying P&I on an shorter amortization period.
If someone had a 3YR ARM interest only, upon adjusting, many will have a P&I payment due with a 27 YR amortization based on their new rate, which in most cases will adjust again in 6 or 12 months.
I believe that most of the talk of “walkers” and “jingle mail” is just urban legend BS.
People are foolish if they walk early or send in keys.
They are getting foreclosed on, most aren’t just “walking away”Foreclosure is a legal process. It takes time. Leaving a house sit empty while you could be living there for free is pretty dumb, although there are a lot of dumb people involved.
I have read of cases where people have been in their houses for 12-16 months without paying before actually being foreclosed on.
Wait and see what’s lurking around the corner. To keep people from walking, they are talking about refinancing people into new loans for 120% of the value of the home today…
AND cutting the principal balances for others to reality today.Think stock market crash with the govt trying to figure out how to keep people paying for the stocks that they bought with borrowed money at inflated levels, so they don’t dump them on the market to depress the market further.
Try ANYTHING to keep people from walking away…The few in govt that really understand what is happening are crapping their pants. Others are just overpaid idiots.
Jenna Bush is consummating her marriage tonight, I wouldn’t be surprised if her daddy had a few extra drinks today. It was a perfect excuse so he can get one good nights sleep.
His headache isn’t going to be gone in the morning.
May 10, 2008 at 10:32 PM in reply to: In mortgage market, ‘walkaway’ homeowners may be urban myth #202367ParticipantARM rates are not tied to FFR.
Many subprime borrowers have margins of up to 5.00% above their index. Prime ARM’s have lower margins. Never assume anything. Many people with high credit scores got screwed into a subprime ARM by a mortgage predator.
Most people with ARM’s have no clue what their margin or index is or what it’s based on or tied to.
Even if a borrower’s rate was to stay the same, their payment will go up in most cases as most must start paying P&I on an shorter amortization period.
If someone had a 3YR ARM interest only, upon adjusting, many will have a P&I payment due with a 27 YR amortization based on their new rate, which in most cases will adjust again in 6 or 12 months.
I believe that most of the talk of “walkers” and “jingle mail” is just urban legend BS.
People are foolish if they walk early or send in keys.
They are getting foreclosed on, most aren’t just “walking away”Foreclosure is a legal process. It takes time. Leaving a house sit empty while you could be living there for free is pretty dumb, although there are a lot of dumb people involved.
I have read of cases where people have been in their houses for 12-16 months without paying before actually being foreclosed on.
Wait and see what’s lurking around the corner. To keep people from walking, they are talking about refinancing people into new loans for 120% of the value of the home today…
AND cutting the principal balances for others to reality today.Think stock market crash with the govt trying to figure out how to keep people paying for the stocks that they bought with borrowed money at inflated levels, so they don’t dump them on the market to depress the market further.
Try ANYTHING to keep people from walking away…The few in govt that really understand what is happening are crapping their pants. Others are just overpaid idiots.
Jenna Bush is consummating her marriage tonight, I wouldn’t be surprised if her daddy had a few extra drinks today. It was a perfect excuse so he can get one good nights sleep.
His headache isn’t going to be gone in the morning.
May 10, 2008 at 10:32 PM in reply to: In mortgage market, ‘walkaway’ homeowners may be urban myth #202401ParticipantARM rates are not tied to FFR.
Many subprime borrowers have margins of up to 5.00% above their index. Prime ARM’s have lower margins. Never assume anything. Many people with high credit scores got screwed into a subprime ARM by a mortgage predator.
Most people with ARM’s have no clue what their margin or index is or what it’s based on or tied to.
Even if a borrower’s rate was to stay the same, their payment will go up in most cases as most must start paying P&I on an shorter amortization period.
If someone had a 3YR ARM interest only, upon adjusting, many will have a P&I payment due with a 27 YR amortization based on their new rate, which in most cases will adjust again in 6 or 12 months.
I believe that most of the talk of “walkers” and “jingle mail” is just urban legend BS.
People are foolish if they walk early or send in keys.
They are getting foreclosed on, most aren’t just “walking away”Foreclosure is a legal process. It takes time. Leaving a house sit empty while you could be living there for free is pretty dumb, although there are a lot of dumb people involved.
I have read of cases where people have been in their houses for 12-16 months without paying before actually being foreclosed on.
Wait and see what’s lurking around the corner. To keep people from walking, they are talking about refinancing people into new loans for 120% of the value of the home today…
AND cutting the principal balances for others to reality today.Think stock market crash with the govt trying to figure out how to keep people paying for the stocks that they bought with borrowed money at inflated levels, so they don’t dump them on the market to depress the market further.
Try ANYTHING to keep people from walking away…The few in govt that really understand what is happening are crapping their pants. Others are just overpaid idiots.
Jenna Bush is consummating her marriage tonight, I wouldn’t be surprised if her daddy had a few extra drinks today. It was a perfect excuse so he can get one good nights sleep.
His headache isn’t going to be gone in the morning.
ParticipantFSBO…
I believe that you are misunderstanding some part of their offer to you.
You are saying that they are offering you a fixed 2nd at 4.50%? Fixed for how long ?I could understand if it was a HELOC offer, but those are adjustable, not fixed. There are HELOC’s today that have adjusted to below 4%, but I don’t know of any new lenders offering them that low for new origination.
If it is true, take out the maximum amount that you can and pay down as much as possible on your 1st.
Something doesn’t make sense. Care to elaborate ?
ParticipantFSBO…
I believe that you are misunderstanding some part of their offer to you.
You are saying that they are offering you a fixed 2nd at 4.50%? Fixed for how long ?I could understand if it was a HELOC offer, but those are adjustable, not fixed. There are HELOC’s today that have adjusted to below 4%, but I don’t know of any new lenders offering them that low for new origination.
If it is true, take out the maximum amount that you can and pay down as much as possible on your 1st.
Something doesn’t make sense. Care to elaborate ?
ParticipantFSBO…
I believe that you are misunderstanding some part of their offer to you.
You are saying that they are offering you a fixed 2nd at 4.50%? Fixed for how long ?I could understand if it was a HELOC offer, but those are adjustable, not fixed. There are HELOC’s today that have adjusted to below 4%, but I don’t know of any new lenders offering them that low for new origination.
If it is true, take out the maximum amount that you can and pay down as much as possible on your 1st.
Something doesn’t make sense. Care to elaborate ?
ParticipantFSBO…
I believe that you are misunderstanding some part of their offer to you.
You are saying that they are offering you a fixed 2nd at 4.50%? Fixed for how long ?I could understand if it was a HELOC offer, but those are adjustable, not fixed. There are HELOC’s today that have adjusted to below 4%, but I don’t know of any new lenders offering them that low for new origination.
If it is true, take out the maximum amount that you can and pay down as much as possible on your 1st.
Something doesn’t make sense. Care to elaborate ?
ParticipantFSBO…
I believe that you are misunderstanding some part of their offer to you.
You are saying that they are offering you a fixed 2nd at 4.50%? Fixed for how long ?I could understand if it was a HELOC offer, but those are adjustable, not fixed. There are HELOC’s today that have adjusted to below 4%, but I don’t know of any new lenders offering them that low for new origination.
If it is true, take out the maximum amount that you can and pay down as much as possible on your 1st.
Something doesn’t make sense. Care to elaborate ?
ParticipantDid he also mention how well the govt handled Katrina with Bush’s buddy Brownie ?
Did he mention that the growth without pause for 6 years could be followed by devstating pause of the next 10-15 years for the next admin to clean up.
Did he mention how much money has been printed since 2001 or how much oil/gas has increased ?
and how much his personal wealth has increased…And thanks to the current admin. how safe we are because we cannot take toothpaste and more than 3 ounces of shampoo on an airplane and we must take our shoes off at “security”
And how many lives have been lost in Iraq,,,
And how many people have lost homes….How millions spend money on credit on stuff that they cannot afford….
This is all envious stuff for sure!~!
Bush, you’re doin’ a helluva job, EXACTLY like the helluva job that Brownie did after Katrina.
He can’t do a press conference without pre arranged questions.
It’s a good thing that he has an MBA.
That’s what must have saved us.ParticipantDid he also mention how well the govt handled Katrina with Bush’s buddy Brownie ?
Did he mention that the growth without pause for 6 years could be followed by devstating pause of the next 10-15 years for the next admin to clean up.
Did he mention how much money has been printed since 2001 or how much oil/gas has increased ?
and how much his personal wealth has increased…And thanks to the current admin. how safe we are because we cannot take toothpaste and more than 3 ounces of shampoo on an airplane and we must take our shoes off at “security”
And how many lives have been lost in Iraq,,,
And how many people have lost homes….How millions spend money on credit on stuff that they cannot afford….
This is all envious stuff for sure!~!
Bush, you’re doin’ a helluva job, EXACTLY like the helluva job that Brownie did after Katrina.
He can’t do a press conference without pre arranged questions.
It’s a good thing that he has an MBA.
That’s what must have saved us.ParticipantDid he also mention how well the govt handled Katrina with Bush’s buddy Brownie ?
Did he mention that the growth without pause for 6 years could be followed by devstating pause of the next 10-15 years for the next admin to clean up.
Did he mention how much money has been printed since 2001 or how much oil/gas has increased ?
and how much his personal wealth has increased…And thanks to the current admin. how safe we are because we cannot take toothpaste and more than 3 ounces of shampoo on an airplane and we must take our shoes off at “security”
And how many lives have been lost in Iraq,,,
And how many people have lost homes….How millions spend money on credit on stuff that they cannot afford….
This is all envious stuff for sure!~!
Bush, you’re doin’ a helluva job, EXACTLY like the helluva job that Brownie did after Katrina.
He can’t do a press conference without pre arranged questions.
It’s a good thing that he has an MBA.
That’s what must have saved us. -
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