U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 05-01-2008, 08:13 AM
 
Location: occupied east coast
824 posts, read 1,849,106 times
Reputation: 1621

Advertisements

Can anyone explain why mortgage companies are taking the brunt on this current crisis while taxes are getting a complete pass.

Note that if a mortgage co. raises its rates on an A.R.M, the public and the media raise a howl, Yet when property taxes go up, not even a whimper.

Note: I am in the occupied north east, in the last 10 years or so my property taxes have increased from approx. $4000 per year to over $8000.

Put in other words the service of my actual mortgage is approx. $900 per month, yet I pay approx. $700.00 in property taxes. To my mind my payments have nearly doubled, not because of a rate increase, simply taxes.

I think it's time we started to hold the governments feet to the fire, and DEMAND a Tax Payers bail out rather than a mortgage bail out.
Reply With Quote Quick reply to this message

 
Old 05-01-2008, 08:33 AM
 
Location: Pennsylvania, USA
5,217 posts, read 4,111,845 times
Reputation: 908
Quote:
Originally Posted by banger View Post
Can anyone explain why mortgage companies are taking the brunt on this current crisis while taxes are getting a complete pass.

Note that if a mortgage co. raises its rates on an A.R.M, the public and the media raise a howl, Yet when property taxes go up, not even a whimper.

Note: I am in the occupied north east, in the last 10 years or so my property taxes have increased from approx. $4000 per year to over $8000.

Put in other words the service of my actual mortgage is approx. $900 per month, yet I pay approx. $700.00 in property taxes. To my mind my payments have nearly doubled, not because of a rate increase, simply taxes.

I think it's time we started to hold the governments feet to the fire, and DEMAND a Tax Payers bail out rather than a mortgage bail out.
You must live on LI!! yeah.. they are getting slammed too.. by a lot of us.. althuogh.. if my mortgae was $900 / month I'd be in heaven!! But yea..taxes are out of control too .. especially on LI that pays 3x's the national average!! EEK!

As for the mortgage issue.. well when someone's payments jump up 3% and the percentage could end up double.. like mine.. my payment jumped up $800 more a month.. .. it's felt a lot harder and deeper than property tax increases are..

But I get your point. Youc an blame the Schools for that! (If you're on LI that is)..
Reply With Quote Quick reply to this message
 
Old 05-01-2008, 08:47 AM
 
Location: Broward County
2,518 posts, read 9,691,595 times
Reputation: 1333
In Florida, a major property tax reforandum just passed and there is another bill in the works that will be on Novembers ballot. The local governments are taking a big hit....so much so that there are major hiring freezes, layoff's and there is no relief in sight!
Reply With Quote Quick reply to this message
 
Old 05-01-2008, 08:48 AM
 
Location: Full time RV"er
2,403 posts, read 5,619,244 times
Reputation: 1459
Quote:
Originally Posted by banger View Post
Can anyone explain why mortgage companies are taking the brunt on this current crisis while taxes are getting a complete pass.

Note that if a mortgage co. raises its rates on an A.R.M, the public and the media raise a howl, Yet when property taxes go up, not even a whimper.

Note: I am in the occupied north east, in the last 10 years or so my property taxes have increased from approx. $4000 per year to over $8000.

Put in other words the service of my actual mortgage is approx. $900 per month, yet I pay approx. $700.00 in property taxes. To my mind my payments have nearly doubled, not because of a rate increase, simply taxes.

I think it's time we started to hold the governments feet to the fire, and DEMAND a Tax Payers bail out rather than a mortgage bail out.
Thats a whole other issue .Without being insulting ( which is not my intent) do you attend city, county or state meetings on their budgets? Stop some of their wasteful spending and you can slow down tax increases.
Reply With Quote Quick reply to this message
 
Old 05-02-2008, 12:21 PM
 
5,408 posts, read 4,658,268 times
Reputation: 1113
Why does the FED keep dropping rates for banks, yet the banks don't really pass the savings to those seeking loans? That is the real question.
Reply With Quote Quick reply to this message
 
Old 05-02-2008, 01:07 PM
 
Location: Pennsylvania, USA
5,217 posts, read 4,111,845 times
Reputation: 908
Quote:
Originally Posted by scgraham View Post
Why does the FED keep dropping rates for banks, yet the banks don't really pass the savings to those seeking loans? That is the real question.

The same reason they keep telling the public they are working with their borrowers.. total BS.

First.. the bankssay they are helping "borrowers" to prevent foreclosures.. when they are not.. BUT they have to BS the rest of us because they are taking gov't bail outs on one side . So.. they not only take the houses, BUT they also TAKE THE GOV'T money.. see.. they get money from both ends.

And hey..while they are at it.they get to get money cheap.. but do not pass it on to the rest of us..

It's called MAKING OBSCENE AMOUNTS OF MONEY at the rest of the free worlds expense.
Reply With Quote Quick reply to this message
 
Old 05-02-2008, 02:34 PM
 
3,698 posts, read 9,983,909 times
Reputation: 2593
Quote:
Originally Posted by scgraham View Post
Why does the FED keep dropping rates for banks, yet the banks don't really pass the savings to those seeking loans? That is the real question.
Mortgages are tied to the bond market, not the prime rate.
Reply With Quote Quick reply to this message
 
Old 05-02-2008, 02:35 PM
 
Location: Great State of Texas
86,093 posts, read 69,881,813 times
Reputation: 27519
The rate the Fed keeps dropping is for banks themselves, not consumers.

Understand that the Fed is NOT bailing homeowners out..they are helping banks and other financial businesses.
Reply With Quote Quick reply to this message
 
Old 05-05-2008, 07:59 AM
 
5,408 posts, read 4,658,268 times
Reputation: 1113
Quote:
Originally Posted by sean98125 View Post
Mortgages are tied to the bond market, not the prime rate.
Exactly. That is my point. The Feds are really hurting us and helping the banks. These savings are not really getting to the consumers.
Reply With Quote Quick reply to this message
 
Old 05-05-2008, 11:23 AM
 
3,698 posts, read 9,983,909 times
Reputation: 2593
There's not a whole lot the Fed can do to help individuals since the reason it exists is to keep as much macroeconomic stability as possible. Maintaining interest rates that encourage capital investment and the hiring of labor helps to keep inflation under control and the economy fairly stable, even if a million people lose their homes because of a real estate bubble and poor decisions on the kind of mortgage to get. Those million homeowners are still going to need jobs, after all, even if they lose their home.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
Similar Threads
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2018, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top