Mortagage bail out?

Question

After I became disabled, my husband and I moved from a bigger, newer house in the suburbs, to a smaller, older, fixer in town to lower our monthly bills. It isn't perfect, but it is what we can afford. These days people are buying ridiculously large, new homes that they can't afford. Statistics show that the average family size is smaller, yet people are living in houses that are 150% larger than a few decades ago. And many of them have gas guzzling new vehicles in the driveway. And now congress wants to bail them out for accepting loans they can't pay? Does this p**s anyone else off? What happened to living within your means?

http://www.zillowblog.com/smaller-families-living-in-larger-homes/2007/02/

http://www.wral.com/news/local/story/2443194/

Answer 1

Too late.  The bailout was signed today.

Answer 2

That all went the way of the dodo bird.   We got spoiled as a nation, and spoiled our kids way too much.

Designer clothes, latest techno gadgets, cell phones, you name ity...

That and greed.... Lots of crooked folks out there, including a lot of banks, that wanted to sell, sell, sell to anyone.

For example, you could have a work history made up for you for $50.00 on the internet.

Crooked appraisers that did their part.

Folks who had no business buying a home like those offered to them grabbed at it..without the slightest understanding that with an adjustable their mortgage payment would go up in a few years.  This and no money down, etc, and other incentives brought folks out of the woodwork.

If they bought at the right time, before the market kept going up, they actually had some paper equity in it. So, many took what equity they could out of their homes and bought their toys...the Weekend Warrior RV trailers, Hummers, SeaDoos, power boats, motorcycles, etc....

Then when it all crashed and burned, they simply walked away...many still not quite understanding what happened to their 1,500 payment and why it went to $3,000 a month.

The folks it really hurt were those whose retirement was in the equity of their home. I bought a new home 18 years ago, barely missed the crash and now can't sell it. My neighbors homes similar to mine are selling for almost what we paid for ours 18 years ago...thanks to this debacle.

So after two heart attacks and a stroke, and early retirment, I've had to go back to work again at 66.  Who is going to hire a guy at 66?

We had a fixed loan for 30 years and now can't even sell the house.

That was our retirement funds, for the most part. We lived modestly, worked hard, seldom took a vacation...just normal, hard working folks....and now we are totally screwed.

That's what happened.......they should shoot those greedy people that created this mess.

Answer 3

I never saw any profit from the banks when they were giving out loans.  I sure as S**t don't want to pay to keep them afloat.

I can't explain how much it angers me,

Answer 4

In every facet of life, "not my fault" has become the rule.  Kids cannot do math, so test curves got lowered.  There are no "bad" kids, because they're just a result of a "failed society".  There is no-fault divorce so husbands and wives needn't honor marital commitments.  Bankruptcy court is no longer the exception, it's just another financial tool.

To accept Christ as your savior requires that you first acknowledge guilt of sin - as long as people are trained from infancy that nothing is their fault, they will have a hard time accepting that sin is their own doing.  You may think that "it's Satan's doing" is an oversimplification of things, but our society sure is playing into his favor.

Answer 5

Welcome to America.  Remember, it's our Government's responsibility to protect the irresponsible people. Three years ago I bought a crappy condo that was roughly a conservative 2.5-times my income.  I had a 7-year arm (very long) and put a fair amount down.  I lived next door to a s*x offender, and down the hall from section-8 housing studio condo and a family of 10 folks who don't care about them selves lest alone others.  I paid $600/month in condo fees.

But NO!  I could have been irresponsible... I could have got a townhome 4x my income, 100% financed with a 50-year interest only 1-year arm at 4.25% like these people in trouble.  

So what do I have now?  I have sold my condo, taking a chunk of cash at closing to pay off my mortgage (get out whilst you can), meanwhile,  all those people will get to stay in their huge homes at a fixed interest rate b/c the Feds will bail them out.

Answer 6

Reaganomics - the voodoo economics of Reagan, spend, spend and spend some more.

It actually works for some time, until it blows up, like every pyramid scheme.

The Government loves it (10 Trillion national debt)

Now they want consumers to spend some more, to kick start the economy

Answer 7

It is extremely annoying.  We are supposedly a capitalist country.  The government should stay out of it and let the matter work itself out.  Why should hardworking people who have made  intelligent decisions financially be required to bail out those who didn't?  What's the point of doing your homework and making a good decision then?  This encourages people to continue to make bad decisions.  Stupid.  And it looks like it'll only get worse after November.