Quote:
Originally Posted by greenberetTFS
If this does develop as you've recently read,our country may not be able to recover from such a blow............ 
Big Teddy |
Big Teddy,
It has to happen. It’s “creative destruction”, and will re-set the housing market to its true value. It is going to be
VERY painful, and not all the players are the “bad guys”.
I know a local banker, who successfully resisted the Barney Frank / Chris Dodd pressure tactics to approve
NINJA (No income, no job or assets) loans – He required 20% down payment to obtain a house loan.-- yet he still has bad loans in his portfolio. As TR said,
“There are also people who are so far upside down that they have no hope of ever recouping their investments who just want to walk away.”
It is not only the mortgage payers or Banks that get hurt. So do those who hold a title free and clear. I am OLD – so my current house has been paid for a long time ago (actually it’s house #5 – should be #6 - but I haven’t talked my wife into moving to Tennessee yet.) – Over the years I have remodeled, added, and “fixed” the whole place, adding a lot of cost / value – yet today it is worth less than I paid for it 17 years ago.
I can take the “hit” if we can get to the actual value of Real Estate,
so that families can dream of buying house #1.
In the meantime – as the article says - Get the Government the hell out of Real Estate.
SnT