The deficit is going down

[Charles]

Originally Posted by Oerets

One of the problems is those of us who were smart with our money and did not cause the problems are now paying for the ones who made the mess.
How can regulations that prevented calamities up to the point of removal be blamed for the fall that occurred?
The reason the loans were made was for the fees the banks were making period. As long as home prices were going up the system worked for the banks it was smooth sailing. The banks knew exactly what they were doing. Knowing all the time when it hit the fan the government would foot the bill.

Barney

I was going to point out that I'm not so sure who actually caused it, but I damn well know who's going to pay for it.

But you beat me to the draw.

And as a thought, whenever I rolled an IRA last year I was offered 1% on 30 months and .75% on five years...so it looks like the smart money boys are figuring on us picking up the tab for some time into the future.

Chas

[piece-itpete]

How can anyone making 3K a month expect to pay a $2k a month mortgage?

I'm not saying the brokers had nothing to do with it, but come on.

Pete

[d-ray657]

Originally Posted by piece-itpete

How can anyone making 3K a month expect to pay a $2k a month mortgage?

I'm not saying the brokers had nothing to do with it, but come on.

Pete

I know when we were getting into the market for a house, the message we got from several sources was buy as much house as you possibly can, because you fix your costs, and you expect income to go up relative to what you are spending on the house. Fortunately, we didn't, but I'm cautious by nature. That's not to say those who took such advice were fools, though. And they were advised by people who allegedly knew more about the market than they did.

Regards,

D-Ray

[BlueStreak]

Originally Posted by piece-itpete

How can anyone making 3K a month expect to pay a $2k a month mortgage?

I'm not saying the brokers had nothing to do with it, but come on.

Pete

When it's $1,500 for the first five years and then, your assuming, you can sell it off before the payments go up.........But, the market tanks in the meanwhile.

I know. I saw it coming too. That's why I sold off the last one on '05 and got out. What got me was the fact that all I saw being built was McMansions. No one was interested in the 1,200 sq.ft. Rancher. The normal progression from "starter" to McMansion had been upended. And when the loan officer and real estate agent started pressuring me to buy something way over my head, I smelled a rat.

Dave

[Wasillaguy]

Originally Posted by Bigerik

I know I have said this before, but how is a little guy, who maybe takes out one mortgage in his whole life, supposed to understand a mortgage document pages long, that has been poured over by an army of the banks lawyers, and written in a way that makes it nigh onto indecipherable to that same little guy?

You don't have to understand the entire document. All you have to understand is that bankers are crooked and don't give a shit about you, and if it sounds too good to be true it probably is, and life is tough and you gotta work your way up. This is something everyone should know by the time they're 18. Those who still don't get it should pay dearly to learn the lesson. Unfortunately, we get to pay and they learn no lesson.

[piece-itpete]

Live and don't learn, that's us!

Pete

[bobabode]

Originally Posted by piece-itpete

How can anyone making 3K a month expect to pay a $2k a month mortgage?

I'm not saying the brokers had nothing to do with it, but come on.

Pete

A.R.M. and having well schooled smoke blowers talkin' incessantly about how they could simply convert to a fixed rate - funny how when things took a swift downturn ala the musical chair game the unschooled never had a chance for a chair as the band was playin' the bankers score. What's really amazing to me is that the bail out hasn't changed a thing. Legislation needed to revive Glass Steagall is being rendered impotent and too big to fail is worse than it ever was.
I'm just a underachieving idjit in the housing repair game but I certainly saw the shitstorm coming when our little stucco crackerbox doubled it's value in the space of five years. I was chicken littleing it in 2005-6. I guess a simple handyman has a gift of prescience as I shreaded every bank offer of easy cash in their home equity shell game. It wasn't just the newbs to the homeowner game that got bent over. I guess my cynical bent saved me the first time around but I'm not so sure I'll survive this next go round that's coming. Wall St. ain't done bending everyone over.
Heh, if I can still afford to be payin' my ISP, I'll be able to claim prophecy once again. Something to look forward in my gloomy golden years. Sorry for the shitassed rant, but things aren't lookin' so fuckin' rosy for me through no fault of my own.
Don't bother tryin' to convince me that I backed the wrong horse in the last election cycle 'cause it was an easy decision to vote against McCain because of Palin and her supporters.

[piece-itpete]

Well, McCain IS still alive...



And derivatives still aren't regulated!

So you're saying, I should seek economic advice from the trades? I like it! 'truth in the working man'.

They tried to get me to spend twice as much as I wanted, I wasn't buying it. Very fortunate I didn't or I would've lost it sure. Came very close as it was. Good on you though for seeing it. I didn't, I was just being a miserly pollack, and I fully expected to have yearly appreciation, or at least some in 7 years.

I hope your situation gets better.

Pete

[merrylander]

What gets me is here we have this mortgage system that was designed by thieves for thievs, yet nobody seems to want to change it.

How many of you ever re-negotiated to get a better interest rate/ Each time you do you must buy more Title Insurance at $400 a pop. Are you aware that the commission rate is 80%, so the title company takes $320 right off the top.

[bobabode]

Originally Posted by piece-itpete

Well, McCain IS still alive...



And derivatives still aren't regulated!

So you're saying, I should seek economic advice from the trades? I like it! 'truth in the working man'.

They tried to get me to spend twice as much as I wanted, I wasn't buying it. Very fortunate I didn't or I would've lost it sure. Came very close as it was. Good on you though for seeing it. I didn't, I was just being a miserly pollack, and I fully expected to have yearly appreciation, or at least some in 7 years.

I hope your situation gets better.

Pete

Thanks Pete, Bob. ps Once my shoulder is better it's back to the grind. I've always underpriced the competition so never have really lacked for work. Some might say I lacked business acumen but they're renters once again. Miserly, hah. I've got so much kraut flowin' thru my veins that I hoard copper pennies. Lack of vision, I guess. Maybe nickles are where I should concentrate my holdings.

Yeah, equity ain't worth the sand it's built on, although it was strange how many Jags and Mercedes we're showing up in the middle class neighborhoods round these parts. I'm of the mind to drive anything I own until it's a wheezing dented up wreck before trading up to someones castoff.