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Old 07-30-2008, 06:05 AM
 
25,351 posts, read 37,507,217 times
Reputation: 13270

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I'm sorry you had to find out the hard way...but hopefully you have learned a lesson. Most people could get an ARM but didn't want it because they did some research and knew that they would end up with higher rates. Also most people understand that if some one says you can refi in 2 years, you need to get that in writing or it means hot air. I'm an investor and look to buy more proerties and have looked into peoples history when I liked the property up for sale...and was shocked to see how many of these short sales home owners have had financial issues with previous mortgages and/or tax liens, HOA liens...so that proved to me they haven't learned a thing and are whining about things they are only to blame them self and that mad me "flip flop" about how I'm thinking about most home owners who are walking away or staying with tricks to stay as long as possible without paying anything, or than pay a little so the whole process has to be started over

If you learn now how it works , you should have do you work before signing and you obvious bought a house that was too expensive for you. Becaus you only could afford it when the rate was low and it was all to read in the mortgage papers before you signed it...not even in small print, because online you can read the mortgage papers and it is very clear even for me who wasn't born here and English is not my native language.

The longer people are blaming others the longer they are wasting time to spend on solving their situation and in all other situations exception is the first step to change their life. Also if people keep blaming others and tell their kids the same, what do you think the kids will do in the future...the same stupid thing...IMO people should tell their kids, we made a stupid mistake and learned our lesson and this is what happened, even if other were to blame too, and explain how the kids can prevent this when they want to buy, or do you want your kids end up with the same issues? That is similar to alcohol and drug issues.....people blame others and kids learn nothing than a bad habit and it starts all over again.
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Old 07-30-2008, 06:16 AM
 
Location: Southeast Georgia
65 posts, read 215,991 times
Reputation: 46
OK, I'm going to make a couple assumptions here, but I can't be that far off. With $3000 a month payments and a 6.95% interest rate that would put your mortgage around $450,000.

Now if the $3000/month payment is after the adjustment, that would put a mortgage at about $350000.

Either way, you signed a ARM and it adjusted between 700-1000 more a month. Now if you're buying a $350000/month house and can't account for $1000 more a month by tightening your budget, you are buying more than you can afford.

And you come here whining and complaining and blaming when those that bought 120K houses instead of 350k house because they knew they could afford it and did the right thing are suffering in the bad economy you helped to bring on.

Gas prices didn't kill the economy, subprime didn't kill the econemy. They hurt it some, but they didn't kill it. What killed the economy was people like you that the banks were counting on to make their payments. And as for taxes, yes you do affect our taxes when the government has to bail out banks because of people like you.
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Old 07-30-2008, 06:16 AM
 
Location: Florida
18,294 posts, read 18,556,035 times
Reputation: 20996
".......people blame others and kids learn nothing than a bad habit and it starts all over again."

The kids? I am finding it amazing that there are many people that appear to be asking for suggestions as to how they might buy into a troublesome situation all over again as well as many that seem determined to put themselves in this position for the first time despite all the press about how dangerous it might be.
Suppose if one reads some of the filler ads right here inbetween posts, it's understandable why they are so tempted.
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Old 07-30-2008, 08:00 AM
 
3,583 posts, read 10,251,996 times
Reputation: 5096
Quote:
Originally Posted by phantoms View Post
OK, I'm going to make a couple assumptions here, but I can't be that far off. With $3000 a month payments and a 6.95% interest rate that would put your mortgage around $450,000.

Now if the $3000/month payment is after the adjustment, that would put a mortgage at about $350000.

Either way, you signed a ARM and it adjusted between 700-1000 more a month. Now if you're buying a $350000/month house and can't account for $1000 more a month by tightening your budget, you are buying more than you can afford.

And you come here whining and complaining and blaming when those that bought 120K houses instead of 350k house because they knew they could afford it and did the right thing are suffering in the bad economy you helped to bring on.

Gas prices didn't kill the economy, subprime didn't kill the econemy. They hurt it some, but they didn't kill it. What killed the economy was people like you that the banks were counting on to make their payments. And as for taxes, yes you do affect our taxes when the government has to bail out banks because of people like you.
Sorry - but this is more than a little harsh. If I'm correct, the home in question was in Long Island NY. This is an area where STARTER 1300 sqft HOMES were going for $450,000. Thats for a starter home - not a 5-7 bedroom mansion. She has said that she understands the mistakes she has made and has also made some very valid points along the way in her posts. I don't fault anyone for having the dream of owning their own home. Unfortunately her timing was such that she is now caught with thousands of others with a home that is worth substancially less than it was a year ago. You say that gas prices didn't kill the economy, or subprime...well news flash - yes it did! Along with a lot of other factors that no one here has even mentioned. My point is that finger pointing and saying - its your fault or its the banks fault or its the mortgage brokers fault, or government or any SINGLE thing is unrealistic and over simplified. No one thing is at fault for the economy crash and no one solution will fix it. Its gonna take time and a lot of changes in a lot of areas. More importantly-stop kicking the bruise, we all can learn something from this mess. Unfortunately some are losing a lot more than others.
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Old 07-30-2008, 08:05 AM
 
Location: Pennsylvania, USA
5,217 posts, read 4,114,844 times
Reputation: 908
Quote:
Originally Posted by phantoms View Post
OK, I'm going to make a couple assumptions here, but I can't be that far off. With $3000 a month payments and a 6.95% interest rate that would put your mortgage around $450,000.

Now if the $3000/month payment is after the adjustment, that would put a mortgage at about $350000.

Either way, you signed a ARM and it adjusted between 700-1000 more a month. Now if you're buying a $350000/month house and can't account for $1000 more a month by tightening your budget, you are buying more than you can afford.

And you come here whining and complaining and blaming when those that bought 120K houses instead of 350k house because they knew they could afford it and did the right thing are suffering in the bad economy you helped to bring on.

Gas prices didn't kill the economy, subprime didn't kill the econemy. They hurt it some, but they didn't kill it. What killed the economy was people like you that the banks were counting on to make their payments. And as for taxes, yes you do affect our taxes when the government has to bail out banks because of people like you.

Your off..

I could tighten my budget.. by cutting out my health insurance.. which I pay for myself being self employed. I also pay double in taxes because I'm self employed! So maybe I can cut out paying my income taxes to the government so that I can live in my small overpriced home.

Your numbers are off.. that $3300/month includes $600 / month escrow payments for my super high property taxes because LI is ridiculous..

I'm not crying that I'm in this mess.. you are all missing my point.. my point is there are fixes to lessen the severity that thebanks are ignoring and then turning to the taxpayers to fix. THAT is my point..

Someone paying 6.95% is hardly a low interest rate.. considering I was on time for 2 years, I think I proved myself worthy of homeownership... some people can't be saved.. but my point is I could have an instead of them taking $100K less than I owe on the mortgage on the short sale.. they could have kept me as a positive in their books by fixing my rate and maybe even extending the maturity to make up for some of that..

I'm over caring that I'm loosing my home.. I'm ready to let go of it.. what I'm trying to get across to all of you is that the issue is not so black and white.. and that belittling the homeowners stuck in this situation is not really where all your anger and hostilities needs to be directed.. Banks are missing fixes that could lower the severity of the situation, but they are ignoring them.. that is my point. And in the end it's going to cost taxpayers.. which I am one too as are the rest of us in trouble.. .a lot more than it ever needed too!
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Old 07-30-2008, 08:07 AM
 
Location: Pennsylvania, USA
5,217 posts, read 4,114,844 times
Reputation: 908
Quote:
Originally Posted by Va-Cat View Post
Sorry - but this is more than a little harsh. If I'm correct, the home in question was in Long Island NY. This is an area where STARTER 1300 sqft HOMES were going for $450,000. Thats for a starter home - not a 5-7 bedroom mansion. She has said that she understands the mistakes she has made and has also made some very valid points along the way in her posts. I don't fault anyone for having the dream of owning their own home. Unfortunately her timing was such that she is now caught with thousands of others with a home that is worth substancially less than it was a year ago. You say that gas prices didn't kill the economy, or subprime...well news flash - yes it did! Along with a lot of other factors that no one here has even mentioned. My point is that finger pointing and saying - its your fault or its the banks fault or its the mortgage brokers fault, or government or any SINGLE thing is unrealistic and over simplified. No one thing is at fault for the economy crash and no one solution will fix it. Its gonna take time and a lot of changes in a lot of areas. More importantly-stop kicking the bruise, we all can learn something from this mess. Unfortunately some are losing a lot more than others.
Thank you. it is much appreciated. .you got the point of my posts.. unlike so many others..
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Old 07-30-2008, 08:19 AM
 
Location: Charlotte, NC
2,193 posts, read 4,450,017 times
Reputation: 1072
Quote:
Originally Posted by Va-Cat View Post
Sorry - but this is more than a little harsh. If I'm correct, the home in question was in Long Island NY. This is an area where STARTER 1300 sqft HOMES were going for $450,000. Thats for a starter home - not a 5-7 bedroom mansion. She has said that she understands the mistakes she has made and has also made some very valid points along the way in her posts. I don't fault anyone for having the dream of owning their own home. Unfortunately her timing was such that she is now caught with thousands of others with a home that is worth substancially less than it was a year ago. You say that gas prices didn't kill the economy, or subprime...well news flash - yes it did! Along with a lot of other factors that no one here has even mentioned. My point is that finger pointing and saying - its your fault or its the banks fault or its the mortgage brokers fault, or government or any SINGLE thing is unrealistic and over simplified. No one thing is at fault for the economy crash and no one solution will fix it. Its gonna take time and a lot of changes in a lot of areas. More importantly-stop kicking the bruise, we all can learn something from this mess. Unfortunately some are losing a lot more than others.

I agree w/ this post. I felt phantoms post was harsh to say she's the reason to blame for this mess. How can thousands of ppl all at the same time have the same exact problem and yet it's all their fault? It's not like just one or two ppl made a mistake, many did. So that shows that obviously something else went wrong.

I don't think I would have realized that I would not be able to refinance to a lower rate *if the house price didn't go up.* No one tells you that and I don't think that's common knowledge. Maybe for some ppl that's common sense, but not for everyone. I was born and raised here, college educated, etc and I don't know all the little details about refinancing, how mortgages work etc.

Also ppl in NY to afford a house, they *have* to stretch themselves. It's impossible to afford a house there. And as she mentioned, her home is 1100 sqft, so she didn't overextend herself. She just happened to buy at the wrong time and should have just waited to either get a fixed rate somehow or found a lender who would give one.

Experienced professionals such as lenders, mortgage brokers, etc should have known better as well. They should have known that eventually these ppl won't be able to afford the payment when it adjusts upwards. But they didn't care bc they were the ones making the money. THey are now gone and the ones who saved their money (and didnt blow it) still have their money in a account.

Also, Im wondering what are the rules into getting your mortgage refinanced? And if brokers/lenders themselves don't know then how are we as consumers supposed to know?
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Old 07-30-2008, 08:44 AM
 
Location: Richardson, TX
10,159 posts, read 16,735,602 times
Reputation: 24759
Quote:
Originally Posted by sheenie2000 View Post
Also ppl in NY to afford a house, they *have* to stretch themselves. It's impossible to afford a house there. And as she mentioned, her home is 1100 sqft, so she didn't overextend herself. She just happened to buy at the wrong time and should have just waited to either get a fixed rate somehow or found a lender who would give one.
The square footage of a house has no bearing on whether you are overextending yourself in buying it. I am 30. 5 years ago, I had a difficult choice to make. Be a renter in my very beloved, but EXTREMELY EXPENSIVE hometown of San Diego for many, many years, or find a more affordable place in the country to live and realize my American dream of homeownership.
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Old 07-30-2008, 09:06 AM
 
25,351 posts, read 37,507,217 times
Reputation: 13270
Quote:
Originally Posted by sheenie2000 View Post
I agree w/ this post. I felt phantoms post was harsh to say she's the reason to blame for this mess. How can thousands of ppl all at the same time have the same exact problem and yet it's all their fault? It's not like just one or two ppl made a mistake, many did. So that shows that obviously something else went wrong.

I don't think I would have realized that I would not be able to refinance to a lower rate *if the house price didn't go up.* No one tells you that and I don't think that's common knowledge. Maybe for some ppl that's common sense, but not for everyone. I was born and raised here, college educated, etc and I don't know all the little details about refinancing, how mortgages work etc.

Also ppl in NY to afford a house, they *have* to stretch themselves. It's impossible to afford a house there. And as she mentioned, her home is 1100 sqft, so she didn't overextend herself. She just happened to buy at the wrong time and should have just waited to either get a fixed rate somehow or found a lender who would give one.

Experienced professionals such as lenders, mortgage brokers, etc should have known better as well. They should have known that eventually these ppl won't be able to afford the payment when it adjusts upwards. But they didn't care bc they were the ones making the money. THey are now gone and the ones who saved their money (and didnt blow it) still have their money in a account.

Also, Im wondering what are the rules into getting your mortgage refinanced? And if brokers/lenders themselves don't know then how are we as consumers supposed to know?
Maybe because many of these people rather watched jerry Springer than other programs in which concerns were discussed about ARM's, and that was years ago...but if you rather not check on things your self and get bad advise which was given.....and these peoples should pay for the bad advise they gave...but why didn't more than 4% signed ARM's or bought cheaper homes. Specially when you are self employed as I have been for almost all my life, you have to calculate a bigger risk since you don't get paid for health care and other things....with risks comes more responsibility.
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Old 07-30-2008, 10:00 AM
 
Location: Pennsylvania, USA
5,217 posts, read 4,114,844 times
Reputation: 908
Quote:
Originally Posted by bentlebee View Post
Maybe because many of these people rather watched jerry Springer than other programs in which concerns were discussed about ARM's, and that was years ago...but if you rather not check on things your self and get bad advise which was given.....and these peoples should pay for the bad advise they gave...but why didn't more than 4% signed ARM's or bought cheaper homes. Specially when you are self employed as I have been for almost all my life, you have to calculate a bigger risk since you don't get paid for health care and other things....with risks comes more responsibility.

Your argument becomes ridiculous and pointless when you make stupid assumptions like I watch Jerry Springer Whatever.. you don't know me, so don't talk about me like you know I do.

Let's look at 4%.. not a large percentage.. but then look at the numbers in that 4% .. oh and btw.. it's growing.. !!! Thought I knew.. found I didn't know as much as I thought. .and so did a lot of other people..

Then again. . the ones who were suppoesd to know didn't either
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