Main > Everything Else
Bloodbath only a few hours away
koolmoecraig:
Man I wish I could afford a house out here so I could worry about mortgage problems.
ChadTower:
--- Quote from: shardian on January 22, 2008, 02:23:20 pm ---I went my states first time home buyers program.
--- End quote ---
Wish I could have done that... not a whole lot of that here in MA. I probably wouldn't have qualified had there been one anyway.
--- Quote ---The brokers that strong-armed people into ARM's are definitely part of the current economic problem. They pushed those things like crazy so they got a bigger immediate payday.
--- End quote ---
Can't really blame the brokers more than you do the borrowers - no one forced these people to speculate that their property would keep increasing. Most of the ARM borrowers here were banking on the fact that they'd be able to refi before the balloon was due - then the property value stopped increasing and they couldn't do it, sticking them with a mortgage payment they couldn't make on a house with only 2% equity in a market where the selling price wouldn't match their mortgage balance. They took a gamble with their home and lost.
It annoys the ---fudgesicle--- out of me that those people are victims for buying $600,000 2500 sqft houses they knew they couldn't afford. Meanwhile people like us that bought small/old houses within our means are somehow "the lucky ones".
Sorry, not ranting at you specifically, this whole thing hits me deep in the "personal accountability" sore spot.
shardian:
Oh I definitely agree that people should definitely be held accountable for their own finances. Still, many brokers were actually talking borrowers out of going with a fixed mortgage. Yeah I feel sorry for people who lost their homes, but that isn't who the broker screwed. It is the lending industry collapse that is screwing the economy. They are the ones out tons of money. Their brokers are the ones who screwed them. The lenders are the ones who should have taken a step back and said "Whoah, things are getting out of control here". This whole mess could have been averted if lenders would have been responsible about lending money. Maybe they were afraid of the ACLU, NAACP, etc, etc as being labeled as discriminating ---daisies---, who knows? The fact is they were lending out THEIR money to high risk borrowers they had no business lending these huge loans to.
ChadTower:
--- Quote from: shardian on January 22, 2008, 02:44:12 pm ---Their brokers are the ones who screwed them.
This whole mess could have been averted if lenders would have been responsible about lending money.
--- End quote ---
If I'm reading this correctly, those two are almost mutually exclusive, in terms of who is mostly to blame. Are you blaming the brokers for doing what they were trained to do ("write profitable loans for your employer") or the lenders' lack of oversight on their own risk levels?
patrickl:
Aren't "lenders" and "brokers" the same thing?
Navigation
[0] Message Index
[#] Next page
[*] Previous page
Go to full version