Skip to comments.Resentment Grows Over Paying for Others' Foreclosure Misery
Posted on 02/20/2009 2:51:38 PM PST by metmom
Michelle Fry is a suburban Atlanta homeowner who has seen the value of her modest one-family home drop by more than half in the past year. She now sees a national mortgage bailout plan that appears to reward people who bought more house than they could afford and can't pay their bills. And she has a simple question for President Obama:
"Why am I paying for them?"
"We are very frustrated and scared," said Fry, 32, a newly expectant mother who works as a creative director for a public relations firm. Her husband Sam, 38, is a truck driver for a local printing company. Their combined household income is less than $100,000.
(Excerpt) Read more at foxnews.com ...
That’s what I thought, but don’t know much about the details.
We’re having that problem where I live. Many bought condos here for investment purposes and now they’re going into foreclosure. They stopped paying HOA dues a long time ago. IT EFFECTS EVERYONE. We are in dire straits.
fightin bronco wrote:Well, one problem is that it hurts the economy. A lot of our "economic activity" for the last few years came from people refinancing and "pulling cash out" of their homes to pay for cars, big screen TV's, cruises, or whatever they wanted.
As long as people dont have to move, shouldnt they just continue to make payments. Its funny how no one in the press asked why homeowners having their home values fall (when they dont have to sell), is such a crisis.
Now, when they can't do that, demand for goods and services is down because they don't have the money to buy stuff.
Why are you in dire straits? Because the HOA isn’t getting their money? How does that affect you other than maybe the grass isn’t cut as often? I’m not trying to be a hardass, I am just trying to figure out exactly what you mean by your post.
Are you kidding me? Do you live in a condo? It’s not just grass..it’s INSURANCE..IT’S WATER..IT’S GARBAGE...IT’S DAILY MAINTANENCE. It’s property management. I live in a luxury condo...we pay $300 a month in HOA. And before you get all class envy on me...EVERYONE KNEW ABOUT IT WHEN THEY BOUGHT IN.
Whoa, ease up there big feller. Like I said, I was just asking a question. No I own a house and there is no HOA here so I don’t know how it works. Thanks for enlightening me, though. And I wasn’t going to go class envy on you.
Interesting though, that one could call this spend-your-way-out-of-it plan the Bush-Obama plan. Obama is continuing exactly what Bush started last fall, only with a big dose of fear mongering thrown in. Can the country stand 4 more years of Bush-Obama? Bush was always a big spender, and shame on us conservatives for going along with it.
But seriously, it’s a problem. People were getting loans for things they absolutely should not have. There’s a couple downstairs who bought three units here. He’s a fireman, she’s a part time worker. They bought 1.5 million worth of condos that are now worth alot less. So, do the math..mortgage, HOA fees...insurance.. they will be walking away, I’m sure of it. Out of 79 units, 15 are in foreclosure, about 10 for sale...
Are we supposed to help them out? Everyone’s a genius when the market is going up.
BTW, I ain’t a feller..I’m a gal!
For 5 years. Then the loans go back to what they are today...just like the ARM re-sets that caused the problem in the first place.
People get low terms in the beginning with higher terms later because they can afford the low teaser rate. They plan to sell or refinance before they have to pay the real rate. It was a gamble. They lost.
It's not just a question of banks not wanting to write down the value of their assets. The massive write-downs turn banks insolvent overnight. Under law, insolvent banks must close or merge. They are ALL insolvent because they have a mountain of assets that are now greatly devalued.
The entire banking system has been built upon predictable valuation of property securing loans. That valuation has collapsed.
You paraphrase Cicero here and are completely correct.
they get to buy all the goodies and still get bailed out....
it does not pay to be honest and hardworking and tax paying....
No, it's not - the press was told not to ask that question in the FAX from the White House. ;-)
Why? Who gets to decide what is "modest"? How long is "temporary"? How much "relief" should be considered? Does the manner in which the person lost their job have any bearing on your altruistic use of my money?
Any way you slice it, your proposed actions are the very definition of communism -- "from each according to his ability, to each according to his need", with the government elite deciding both the "ability" and the "need". If you forgot, this failed experiment was tried in the Soviet Union.
So many who would call themselves "conservative" don't even know the meaning of the word anymore.