RE: "Mortgage crisis overwhelming credit counselors"

RE: "Mortgage crisis overwhelming credit counselors" (Full Version)

All Forums >> [Casual Banter] >> Off the Grid

Message

Griswold -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 3:08:52 PM)
quote: ORIGINAL: popeye1250 Susan, yeah, those adjustable rate mortgages are legal theivery but I guess that's the only way some people could afford to get into a house. I have 30 year "fixed" rate mortgages on both condos here of 7% and 7.25% for the rental condo so there won't be any "surprises." And 10 years down the road as inflation goes up as well as my COLA raises the payments on these places that are already very low compared to up North will be chump change! I wouldn't reccomend "adjustables" to anyone if you can avoid them at all. Why are you paying 7+% when the highest it's been in 6 years is 6.5%, and it's currently at 6.125%?

Sinergy -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 3:15:04 PM)
quote: ORIGINAL: popeye1250 quote: ORIGINAL: Sinergy quote: ORIGINAL: popeye1250 Oh prices will come down. In New England in the late 1980's prices started comming down and they kept going down until 1995. About 7 years of falling prices. But, like today, the prices just went too far too fast. That always seems to happen in the same three different areas of the country, the North East, Florida, and California. I keep getting frantic calls from a couple of realtor friends telling me to look at this great steal house. Im not in a hurry. They have difficulty comprehending my lack of being in a hurry. Sinergy Sinergy, and did you ever notice that they always say, "This is the best time to buy?" Probably is. For them, anyway. Sinergy

Sinergy -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 3:33:30 PM)
quote: ORIGINAL: Termyn8or In short, I stand behind my earlier assertion that banks WANT to foreclose, and that is because property is a much better asset than cash. I disagree with this, in a sense. The positive aspect is that the bank has a chunk of property, which, as you say, is a better asset to an individual. Except the bank doesnt want an asset. They want money flowing in so they can reinvest it and make money. This property they foreclosed on no longer has a homeowner paying them $500 a month. No longer has a homeowner paying insurance on it. It is no longer somebody elses problem to pay taxes on it. What the bank wants to do is foreclose on it, write off the money they lent as a business loss. Then turn around and sell it to somebody else as soon as possible so they dont have to pay insurance on the property, taxes, they have somebody paying them actual money, etc. What is happening now is the property they loaned somebody $500,000 to purchase, where $20,000 of it was paid back (not including interest) in the six years the person paid the mortgage, is something the bank wants to resell. Unfortunately, since there are 100s of other $500,000 houses that were foreclosed on, and 3 buyers, the bank has a choice. Choice A: sit on the property and lose money until housing prices go back up, or Choice B: Sell the house at a substantial loss and write off the business loss. Banks typically go with choice B, since a lower cost house sold to somebody paying the mortgage is a better investment then sitting on an expensive property waiting for a buyer. This drives the housing market even further down than it already was for property owners. I try to explain to people that there is an inverse relationship between interest rates and property values. Interest rates go down, property values skyrocket. Interest rates go up, property values plummet. Is it financially more intelligent to pay 10% interest on a $200,000 loan, or 6% interest on a $500,000 loan? Sinergy p.s. on a related note, when I had an $1100 a month mortgage, they got a check for $1250 every month.

servantforuse -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 3:42:34 PM)
In responce to ferryman...You are correct about the war. The war liberals are trying so hard to ignore. If we lose this war the housing market really won't matter. Back to the subject. It is not the Governments responsibilty to decide the interest rates for home loans. The market will take care of it. There is no crisis..

Griswold -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 3:44:43 PM)
quote: ORIGINAL: Sinergy quote: ORIGINAL: Termyn8or In short, I stand behind my earlier assertion that banks WANT to foreclose, and that is because property is a much better asset than cash. I disagree with this, in a sense. The positive aspect is that the bank has a chunk of property, which, as you say, is a better asset to an individual. Except the bank doesnt want an asset. They want money flowing in so they can reinvest it and make money. This property they foreclosed on no longer has a homeowner paying them $500 a month. No longer has a homeowner paying insurance on it. It is no longer somebody elses problem to pay taxes on it. What the bank wants to do is foreclose on it, write off the money they lent as a business loss. Then turn around and sell it to somebody else as soon as possible so they dont have to pay insurance on the property, taxes, they have somebody paying them actual money, etc. What is happening now is the property they loaned somebody $500,000 to purchase, where $20,000 of it was paid back (not including interest) in the six years the person paid the mortgage, is something the bank wants to resell. Unfortunately, since there are 100s of other $500,000 houses that were foreclosed on, and 3 buyers, the bank has a choice. Choice A: sit on the property and lose money until housing prices go back up, or Choice B: Sell the house at a substantial loss and write off the business loss. Banks typically go with choice B, since a lower cost house sold to somebody paying the mortgage is a better investment then sitting on an expensive property waiting for a buyer. This drives the housing market even further down than it already was for property owners. I try to explain to people that there is an inverse relationship between interest rates and property values. Interest rates go down, property values skyrocket. Interest rates go up, property values plummet. Is it financially more intelligent to pay 10% interest on a $200,000 loan, or 6% interest on a $500,000 loan? Sinergy p.s. on a related note, when I had an $1100 a month mortgage, they got a check for $1250 every month. Das riiiight. (Couldn't have said it better).

Sinergy -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 3:56:38 PM)
quote: ORIGINAL: servantforuse In responce to ferryman...You are correct about the war. The war liberals are trying so hard to ignore. If we lose this war the housing market really won't matter. Back to the subject. It is not the Governments responsibilty to decide the interest rates for home loans. The market will take care of it. There is no crisis.. Why wont the housing market really matter? We lose the war (whatever that means) and people wont need a place to live anymore? Sinergy

Vendaval -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 4:06:17 PM)
Please explain your logic to connect the idea that loosing the war will mean that housing prices will not be effected.

popeye1250 -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 4:07:57 PM)
quote: ORIGINAL: Sinergy quote: ORIGINAL: servantforuse In responce to ferryman...You are correct about the war. The war liberals are trying so hard to ignore. If we lose this war the housing market really won't matter. Back to the subject. It is not the Governments responsibilty to decide the interest rates for home loans. The market will take care of it. There is no crisis.. Why wont the housing market really matter? We lose the war (whatever that means) and people wont need a place to live anymore? Sinergy Sinergy, yeah, we'll need a roof over our heads at night after spending all day shooting the muslim hords, right? You know, the ones who'll come over here after we leave Iraq because they like to fight and die. I mean you shoot 300-400 people in one day that's a LOT of shooting! You get tired and need a place to flop right? "Hi Honey, how was work today?" Godamn, my trigger finger's killing me!"

Sinergy -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 4:10:17 PM)
quote: ORIGINAL: popeye1250 quote: ORIGINAL: Sinergy quote: ORIGINAL: servantforuse In responce to ferryman...You are correct about the war. The war liberals are trying so hard to ignore. If we lose this war the housing market really won't matter. Back to the subject. It is not the Governments responsibilty to decide the interest rates for home loans. The market will take care of it. There is no crisis.. Why wont the housing market really matter? We lose the war (whatever that means) and people wont need a place to live anymore? Sinergy Sinergy, yeah, we'll need a roof over our heads at night after spending all day shooting the muslim hords, right? You know, the ones who'll come over here after we leave Iraq because they like to fight and die. I mean you shoot 300-400 people in one day that's a LOT of shooting! You get tired and need a place to flop right? "Hi Honey, how was work today?" Godamn, my trigger finger's killing me!" The Muslims we defeated the United States are going to row over the Pond and invade Florida? Sinergy p.s. I need to point out that today's muslim invading hordes will be tomorrows Floridian housing market.

servantforuse -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 4:18:48 PM)
The attack on our Country, remember 911, has cost us hundreds of billions of dollars. The airline industry alone was close to being out of business. If these attacks were to occur again it would be even more costly. The entire economy would take years to recover. At all costs we have to kill these terrorists to keep another attack from happening..If this were to happen again interest rates would become a very minor detail.

servantforuse -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 4:23:44 PM)
To griswold and susan,,how can you say an ARM mortgage is thievery? You know what the rate is when you sign the papers and you know what the rate will be after a set period. If you can't read maybe you shouldn't be taking out a loan in the first place.

popeye1250 -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 4:31:52 PM)
quote: ORIGINAL: servantforuse The attack on our Country, remember 911, has cost us hundreds of billions of dollars. The airline industry alone was close to being out of business. If these attacks were to occur again it would be even more costly. The entire economy would take years to recover. At all costs we have to kill these terrorists to keep another attack from happening..If this were to happen again interest rates would become a very minor detail. Servant, but the ones we need to be killin' are in Pakistan! Bin Laden and that crew. Why aren't we going into Pakistan after them?

servantforuse -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 4:40:34 PM)
Hi popeye, The general running Pakistan is walking a fine line trying to stay in power. He is doing a lot over there but if he does to much he might get tossed out. (politics). We are better off with him doing what he can at this time rather risk having someone else replace him..

popeye1250 -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 4:47:41 PM)
quote: ORIGINAL: servantforuse Hi popeye, The general running Pakistan is walking a fine line trying to stay in power. He is doing a lot over there but if he does to much he might get tossed out. (politics). We are better off with him doing what he can at this time rather risk having someone else replace him.. That's what we have "Special Forces" for, to go right in and get those bastards! Also, we have those unmanned planes that if we know where the al qeada training camps are we could go in at 0200 and drop sarin nerve gas on all those camps and say "they" did it by accident. "Dumb MFers must have "misshandled it." lol I mean if they KNOW where those al qeada training camps are in Pakistan they need to hit them hard! No excuse not to! Screw that "walking a thin line" crap throw everything you have at them, first the nerve gas then artillary bombardment then bombs and napalm from the air then those C-130 gunships to rake the whole area.

servantforuse -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 5:01:14 PM)
I know they are walking a thin lineover there but I agree with you. We should be in Pakistan cleaning out the rats. Our way of life as we know it is at stake..

Griswold -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 6:48:48 PM)
quote: ORIGINAL: servantforuse To griswold and susan,,how can you say an ARM mortgage is thievery? I don't believe I did, however, an ARM is nothing more than a product. It is neither inherently evil or good.

Sinergy -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 7:01:16 PM)
quote: ORIGINAL: servantforuse The attack on our Country, remember 911, has cost us hundreds of billions of dollars. The airline industry alone was close to being out of business. If these attacks were to occur again it would be even more costly. The entire economy would take years to recover. At all costs we have to kill these terrorists to keep another attack from happening..If this were to happen again interest rates would become a very minor detail. That would be the attack by box-cutter wielding Saudis who flew planes into the mostly empty and unrentable World Trade Centers, that the owner could not afford to do asbestos abatement, which was used by Monkeyboy as a reason to invade Iraq (like they were planning to do when they got elected) with the Coalition of the Willing? Are you suggesting it wont take years to recover from wandering around in the desert because we listened to a bush? Sinergy

Sinergy -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 7:03:31 PM)
quote: ORIGINAL: Griswold quote: ORIGINAL: servantforuse To griswold and susan,,how can you say an ARM mortgage is thievery? I don't believe I did, however, an ARM is nothing more than a product. It is neither inherently evil or good. From my understanding, an ARM is a loan at a low interest rate, which is taken based on the idea that the person can: a) Refinance at a later date for a lower interest rate. b) Sell the property. What happened with our low interest rates and offshoring of all our jobs is people are locked in to mortgages they cannot refinance, on houses they purchased at top market value and cannot be sold for enough to pay the mortgage off. Sinergy

popeye1250 -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 7:03:41 PM)
quote: ORIGINAL: Griswold quote: ORIGINAL: popeye1250 Susan, yeah, those adjustable rate mortgages are legal theivery but I guess that's the only way some people could afford to get into a house. I have 30 year "fixed" rate mortgages on both condos here of 7% and 7.25% for the rental condo so there won't be any "surprises." And 10 years down the road as inflation goes up as well as my COLA raises the payments on these places that are already very low compared to up North will be chump change! I wouldn't reccomend "adjustables" to anyone if you can avoid them at all. Why are you paying 7+% when the highest it's been in 6 years is 6.5%, and it's currently at 6.125%? Griswold, those rates are for "Perfect" credit ratings. You know, 800-850, $200k yearly income that kind of thing. Now, the kind of interest rate that you and I and most everyone else pays is predicated on many different things like our credit ratings, jobs, incomes, outstanding debt, savings, where you live, if you own or rent etc. Of course Banks and Mortgage Companies are going to advertise their lowest rates!

Griswold -> RE: "Mortgage crisis overwhelming credit counselors" (3/24/2007 11:05:13 PM)
quote: ORIGINAL: popeye1250 quote: ORIGINAL: Griswold quote: ORIGINAL: popeye1250 Susan, yeah, those adjustable rate mortgages are legal theivery but I guess that's the only way some people could afford to get into a house. I have 30 year "fixed" rate mortgages on both condos here of 7% and 7.25% for the rental condo so there won't be any "surprises." And 10 years down the road as inflation goes up as well as my COLA raises the payments on these places that are already very low compared to up North will be chump change! I wouldn't reccomend "adjustables" to anyone if you can avoid them at all. Why are you paying 7+% when the highest it's been in 6 years is 6.5%, and it's currently at 6.125%? Griswold, those rates are for "Perfect" credit ratings. You know, 800-850, $200k yearly income that kind of thing. Now, the kind of interest rate that you and I and most everyone else pays is predicated on many different things like our credit ratings, jobs, incomes, outstanding debt, savings, where you live, if you own or rent etc. Of course Banks and Mortgage Companies are going to advertise their lowest rates! (Mine's at 5.75%, fixed, 30 yrs...got it 18 months ago).

Page: << < prev 1 2 [3] 4 next > >>

Collarchat.com © 2025

Terms of Service

0.03125