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Old 09-05-2008, 01:15 PM
 
Location: Coachella Valley, California
15,535 posts, read 35,657,884 times
Reputation: 13131

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Quote:
Originally Posted by NYLATINQT View Post
Oh I need to get in on this thread. I was going to start a new one just to vent about the mortgage "crisis" going on. I work as a counselor who deals with people who are going into foreclosure. Let me just say that my empathy, sympathy or whatever has run dry. I am so sick and tired of dealing with broke, irresponsible homeowners who got in over their heads and now want the banks to lower the debt that they owe. Give me a break. If you knew you couldn't afford a $500K house on a $10 per hour job, then you should have not signed for an interest only or negative amortization loan. The American entitlement mentality has gotten ridiculous. I have people calling me who can barely rub two pennies together and they were investing in multiple properties trying to flip them. Now shame on the banks too for being greedy idiots in the first place and giving out no documentation loans. Now everybody has to pay the piper. Freddie Mac, for example, is scrambling and is giving out mass loan modifications--without income verification!! Isn't that what created the problem in the first place? I personally feel that there should be no bail out. Let the prices drop back down to reality and those that should never have been in a home in the first place, go rent an apartment, get your credit straight and save some money.
I think it's a joke that I have to go home with a headache because people don't want to take responsibility for their own stupid decisions. People, wake up! Get out of debt. Save some money. Get your lives in order. Work hard and stop trying to get rich quick. And if by chance you legitimately can't pay your mortgage because you lost a job, then sometimes in life, things don't always go as planned, cut your losses and move on. Just don't expect your mortgage company to let you live in the house for free.
Nobody wants you to go home with a headache every day. You need a new job in a completely different field.
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Old 09-07-2008, 01:20 AM
cob cob started this thread
 
22 posts, read 59,737 times
Reputation: 18
Default I thought this was a forum to help out each other not put people down.

Ok since I started the tread all I wanted to know was what are the reprocution that would happen if you stop paying your mortgage. can the bank go after you for the amount that they lost when doin a short sale or auction.
this is the way I look at this the banks are in a business, and we all know that in business sometimes you make money and sometimes you lose money. so why should the banks be the one only making money and not loosing.
first off if put youself in the banks shoes someone comes to you and asks for a loan of say 500,000 would you lend some one that kind of money with out checking them pretty good. because thats what banks did they were lending loans left and right to people that could not afford these types of loans and also those NO DOC loans they did nt even check you out on those type of loans, but as long as you pay a higher interest rate the bank would loan you the money, so it was fine for the banks to go ahead and get you for what they can as long as they were getting there money.
but guess what the housing market just took a downfall and know all those loans that banks gave out with no money down, no doc, and ect. are defaulting and guess what those that are defaulting are driving people like me who gave 50,000 dollars down on a home are driving my home value down know I am 100,000 upsidedown than what I paid for my home.
so know I asked myself my loan is going to come up and I know banks are not going to refinace my home because it is worth less that what I paid for it. (and no I did nt take any money out) so my next plan was just since I know my payment will jump about 1000 more there will be no way I am going to afford that. thats why people like me would just walk away.
and mind you this I have tried talking to the bank and they just will not buge on any kind of help unless you are late.
so will just see what happens.
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Old 09-07-2008, 01:19 PM
 
Location: Fort Myers, FL
1,286 posts, read 2,595,258 times
Reputation: 249
Quote:
Originally Posted by cob View Post
Ok since I started the tread all I wanted to know was what are the reprocution that would happen if you stop paying your mortgage. can the bank go after you for the amount that they lost when doin a short sale or auction.

YES, they can place a judgment on you and any other property you own to recuperate expenses lost during the foreclosure. This includes; title fee's, attorneys fee's, court fee's, mortgage balance and anything else that is a direct cost to them, because YOU defaulted.

this is the way I look at this the banks are in a business, and we all know that in business sometimes you make money and sometimes you lose money. so why should the banks be the one only making money and not loosing.

How is the bank making money? They are trying to break EVEN.

first off if put youself in the banks shoes someone comes to you and asks for a loan of say 500,000 would you lend some one that kind of money with out checking them pretty good. because thats what banks did they were lending loans left and right to people that could not afford these types of loans and also those NO DOC loans they did nt even check you out on those type of loans, but as long as you pay a higher interest rate the bank would loan you the money, so it was fine for the banks to go ahead and get you for what they can as long as they were getting there money.

First of all, banks weren't lending to people who couldn't afford the loans. They are not in the business to lose money. They are in the business to make money.
They were allowing the financing because it was the job of the broker/banker or bank representative to screen the client. People knew exactly what they can/could afford. The NO DOC, NO RATIO and STATED INCOME loans were intended to help streamline the loan process. Not give out easy money.

For example; Self-employed people typically have to provided 2-4 years business tax returns and personal returns. That is a lot of paperwork. Returns for self employed person could be hundreds of pages long. This all takes a lot of processing time, to review and cross-check and make sure the numbers add up. Also to show a stable income.

If you have great credit, showed you could make your payments on time and have never had a late payment, why cant they simplify the process by eliminating that requirement? The bank can finance more loans at a much more efficient pace.

For a couple of years 90% of my loans were processed as No Doc and No Ratio loans. But I still had to pre-qualify them and look through these documents and bank statements to make sure they were in line. Not 1 of my clients has yet to make a late payment. Because they could AFFORD the payments.

STATED INCOME loans were designed for people who dont always claim there money. For example, waiters/waitress', bartenders, strippers, etc. Tip money. A lot of the time these types of jobs can net a quite a bit of money while the person may only cliam $10k, $20k or $30k but make twice that if not more. Most people try to hide there money from the IRS, this is known.

If you can not afford a payment why would you sign documents claiming you can? This is the banks fault? Are you a child and need special attention to pay your bills or to help you spend your money?

but guess what the housing market just took a downfall and know all those loans that banks gave out with no money down, no doc, and ect. are defaulting and guess what those that are defaulting are driving people like me who gave 50,000 dollars down on a home are driving my home value down know I am 100,000 upsidedown than what I paid for my home.

Its the banks fault that you didnt speculate your local economy? Its there fault that your builders built too many vacancys to flood the market and eliminate demand? YOU signed papers to make payments for that loan amount. The value has NOTHING to do with it.

Would a law allowing you to only get 1 loan per 10 years make your obligations more serious?

so know I asked myself my loan is going to come up and I know banks are not going to refinace my home because it is worth less that what I paid for it. (and no I did nt take any money out) so my next plan was just since I know my payment will jump about 1000 more there will be no way I am going to afford that. thats why people like me would just walk away.
and mind you this I have tried talking to the bank and they just will not buge on any kind of help unless you are late.
so will just see what happens.

Yes you are correct. The banks are offering shortsales to HELP you. They dont want this to happen. But if you are making payments on time, then they dont see you in need of help. Their departments are already flooded with people who are BEHIND. Those people need more help then you. That is all.



I am not saying I am not sympathetic. But why is your irresponsiblity have to be everyone else's debt?
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Old 09-09-2008, 12:08 AM
 
1 posts, read 3,501 times
Reputation: 10
It can show up on your credit report as a forclosier and a bankruptcy will be there too... So get some legal council right now... Your lawyer can stop him if the house is in your name too....Also call the mortgage lender and find out what they can do... They would rather you assume the mortgage than have it go in to foreclose........


[url=http://www.verified-trading.com] www.verified-trading.com [/url]
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Old 09-13-2008, 12:27 PM
 
370 posts, read 885,124 times
Reputation: 659
Default It is important to learn from your own and others mistakes

It is very easy for anybody to judge people when you have not walked in their shoes. It is extremely easy to speculate and often these speculations are incorrect. Because a persons house forecloses and/or they declare bankruptcy does not mean they were financially irresponsible or gluttonous in some way. Sometime situations just happen. I had great credit for 20 years (700s). Had my first house when I was 23 and a great job. Married and had children. Went back to school got another degree. Made more money and upgraded house. Meantime spouse stayed in the good time partying mode as I was working my ass off. Long story short. There comes a time when a person realizes you only get one time around with this life and it is too short to spend miserable. Being taken advantage of and treated like crap. Then you get divorced and because of our wonderful, individualized, fair, non-profit legal system (sarcasm there of course). The lazier end of the union in divorce still gets the advantage of your hard work. You get left with a huge house you do not even want. You try to sell it but it will not sell. A year goes by it still does not sell. You have two children who you get no child support for because the ex feels he is entitled to alimony for golf money and to live the same life style he lived before. I worked while he played. So you agree to no child support in exchange for no alimony to the ex( third child really-- though a rather large one). I just wanted it to be over with and be free from this person. Still the house isn't selling. You also had to pay off the exes vehicle and buy him out of the equity in the house to get name off deed. Scenario is I have huge mortgage and debt from the divorce, bills etc and he is debt free with paid off vehicle. You'd be amazed at things you'd agree too when you are emotionally stressed. So a few years go buy and now the house actually depreciates because of the market so you owe more than it is worth. You are still trying to pay all the bills and barely are but my credit is still excellent and all is well except I'm exhausted. The roof leaks so more goes on the credit card. There is a family crisis and you have to fly to another state several times, more expense. In the meantime I am not: getting my finger-nails done, I do not get my hair done and I do not wear make-up or waste money on that crap, I do not buying fricking designer bags, going to trendy bistros or to the movies. I do not watch TV.. what is TV... who could possible find the time to watch TV??? Doesn't everyones head hit the pillow in total exhaustion??? I am working all week and the weekend is spent taking care of the property or picking up extra hours at work or running the kids. I am exhausted. The house still will not sell. The economy sucks. The stress is mounting. The secretary (part-time) at work gets free charter school for her kids and free lunches for them. She gets subsidized housing in a new house and her kids get medical benefits provided from state program. She is taking a trip to Las Vegas!! I've paid a ****load of taxes for years. I paid over 4000 year in property taxes for at least 6 years. I am sick of being f**ked in the rear and pulling all this weight while so many others get a free ride--for years. Then one day I said UNCLE to this society. I give up. Done. Over with. I quit paying on the house. Found a much better job out of state. Rented a house for a quarter of what my mortgage was and left town. As far as I'm concerned that bank can have the house back and any of the credit card companies can wipe the slate clean. With all of the interest and taxes I've already paid over the years. I've still paid far more than what I may currently owe and that's far more than countless freeloaders in our society have ever paid. Im going to declare bankruptcy next month and I found out I easily qualify for chapter 7. I am getting back on my feet as I work my ass off and have a great job still. I will never buy a house again unless I pay CASH (which I should be able to do in 7 years) and then it would be the smallest house in the neighborhood so I will never deal with the depreciating crap again. Really owning a home is so overrated. When you rent you are not throwing your money away, you are paying money for the use of the house you are renting. Yoo Hoo, no more property taxes being raised on me to support people getting a free ride!!! No more worrying about the roof leaking. No more worrying about not being able to sell the house. I'm not worried about having bad credit because I really do not want to use credit. Credit cards anyway, when I did I paid them off each month or shortly thereafter. They were only ran up when crisis stuck. As far as renting, my current landlord loves me and I pay the rent two week early all the time and I keep the place spotless. I have steady income in a job field that has a huge shortage and my income will probably go up about 15,000 in the next two years. I will never use another credit card despite how it is glorified by our society. My point is just that sometimes a person gets in a bad situation by taking on burdens from many avenues and it doesn't mean they are lazy or irresponsible. But you can only take so much abuse by golddiggers ( I admit it was my fault I was naive), the economy and other unfortunate situations until you say F***k It. I will never be in this situation again. EVER. I will always live way below by means and by that I mean rent about 5% of monthly income. Save 1/4 of income. Not buy anything I do not need unless it appreciates or it helps me make more money. Keep my finances separate- no joint financial endeavors with others. Do not finance anything...EVER. Buy used cars outright, Buy furniture from garage sales. A vacation would be a local weekend camping trip. A restaurant treat is Subway or Quiznos not some expensive place. I am totally relieved this will all be over soon.
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Old 09-16-2008, 10:08 PM
cob cob started this thread
 
22 posts, read 59,737 times
Reputation: 18
Quote:
Originally Posted by runrgirl View Post
It is very easy for anybody to judge people when you have not walked in their shoes. It is extremely easy to speculate and often these speculations are incorrect. Because a persons house forecloses and/or they declare bankruptcy does not mean they were financially irresponsible or gluttonous in some way. Sometime situations just happen. I had great credit for 20 years (700s). Had my first house when I was 23 and a great job. Married and had children. Went back to school got another degree. Made more money and upgraded house. Meantime spouse stayed in the good time partying mode as I was working my ass off. Long story short. There comes a time when a person realizes you only get one time around with this life and it is too short to spend miserable. Being taken advantage of and treated like crap. Then you get divorced and because of our wonderful, individualized, fair, non-profit legal system (sarcasm there of course). The lazier end of the union in divorce still gets the advantage of your hard work. You get left with a huge house you do not even want. You try to sell it but it will not sell. A year goes by it still does not sell. You have two children who you get no child support for because the ex feels he is entitled to alimony for golf money and to live the same life style he lived before. I worked while he played. So you agree to no child support in exchange for no alimony to the ex( third child really-- though a rather large one). I just wanted it to be over with and be free from this person. Still the house isn't selling. You also had to pay off the exes vehicle and buy him out of the equity in the house to get name off deed. Scenario is I have huge mortgage and debt from the divorce, bills etc and he is debt free with paid off vehicle. You'd be amazed at things you'd agree too when you are emotionally stressed. So a few years go buy and now the house actually depreciates because of the market so you owe more than it is worth. You are still trying to pay all the bills and barely are but my credit is still excellent and all is well except I'm exhausted. The roof leaks so more goes on the credit card. There is a family crisis and you have to fly to another state several times, more expense. In the meantime I am not: getting my finger-nails done, I do not get my hair done and I do not wear make-up or waste money on that crap, I do not buying fricking designer bags, going to trendy bistros or to the movies. I do not watch TV.. what is TV... who could possible find the time to watch TV??? Doesn't everyones head hit the pillow in total exhaustion??? I am working all week and the weekend is spent taking care of the property or picking up extra hours at work or running the kids. I am exhausted. The house still will not sell. The economy sucks. The stress is mounting. The secretary (part-time) at work gets free charter school for her kids and free lunches for them. She gets subsidized housing in a new house and her kids get medical benefits provided from state program. She is taking a trip to Las Vegas!! I've paid a ****load of taxes for years. I paid over 4000 year in property taxes for at least 6 years. I am sick of being f**ked in the rear and pulling all this weight while so many others get a free ride--for years. Then one day I said UNCLE to this society. I give up. Done. Over with. I quit paying on the house. Found a much better job out of state. Rented a house for a quarter of what my mortgage was and left town. As far as I'm concerned that bank can have the house back and any of the credit card companies can wipe the slate clean. With all of the interest and taxes I've already paid over the years. I've still paid far more than what I may currently owe and that's far more than countless freeloaders in our society have ever paid. Im going to declare bankruptcy next month and I found out I easily qualify for chapter 7. I am getting back on my feet as I work my ass off and have a great job still. I will never buy a house again unless I pay CASH (which I should be able to do in 7 years) and then it would be the smallest house in the neighborhood so I will never deal with the depreciating crap again. Really owning a home is so overrated. When you rent you are not throwing your money away, you are paying money for the use of the house you are renting. Yoo Hoo, no more property taxes being raised on me to support people getting a free ride!!! No more worrying about the roof leaking. No more worrying about not being able to sell the house. I'm not worried about having bad credit because I really do not want to use credit. Credit cards anyway, when I did I paid them off each month or shortly thereafter. They were only ran up when crisis stuck. As far as renting, my current landlord loves me and I pay the rent two week early all the time and I keep the place spotless. I have steady income in a job field that has a huge shortage and my income will probably go up about 15,000 in the next two years. I will never use another credit card despite how it is glorified by our society. My point is just that sometimes a person gets in a bad situation by taking on burdens from many avenues and it doesn't mean they are lazy or irresponsible. But you can only take so much abuse by golddiggers ( I admit it was my fault I was naive), the economy and other unfortunate situations until you say F***k It. I will never be in this situation again. EVER. I will always live way below by means and by that I mean rent about 5% of monthly income. Save 1/4 of income. Not buy anything I do not need unless it appreciates or it helps me make more money. Keep my finances separate- no joint financial endeavors with others. Do not finance anything...EVER. Buy used cars outright, Buy furniture from garage sales. A vacation would be a local weekend camping trip. A restaurant treat is Subway or Quiznos not some expensive place. I am totally relieved this will all be over soon.
like you said life is to short and everything we have is just materialistic stuff that does not mean nothing.
hope everything works out for you for the better.
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Old 09-17-2008, 05:54 AM
 
25,346 posts, read 37,490,972 times
Reputation: 13268
I appreciate your honesty and feel sorry for you even although you admit having part of it, but at least you show you have learned a lot although it had to eb the hard way.

I'm glad you understand why some people buy houses paying cash...we did and we are told over and over that we are stupid and should take other peoples money and we paid ours cars cash...we feel so much better and even yesterday I had a man on the phone who wanted me to take a mortgage and was plain rude when I declined and he even stated he was with the Nations 8th largest bank...so what...I bank with BoA although they have their issues and I'm not all the time happy, over all they do a good job and I feel safe....why do people get upset after they call you without being asked to call and when you deny the mortgage.....same with these annoying question every time you go in a store..."you want to safe 10%, great deal, you safe so much....you only need to be approved"...Bam!!! If you do you are open to easier Id theft, late fees, other fees....since it is hard to maintain 10 credit card bills and mistakes will be made...and 1 phone call to a credit card company can be so annoying and I only have to deal with 1 bank...what if you have to deal with 10!!!
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Old 09-17-2008, 06:32 AM
 
127 posts, read 378,406 times
Reputation: 103
Quote:
Originally Posted by bentlebee View Post
I appreciate your honesty and feel sorry for you even although you admit having part of it, but at least you show you have learned a lot although it had to eb the hard way.

I'm glad you understand why some people buy houses paying cash...we did and we are told over and over that we are stupid and should take other peoples money and we paid ours cars cash...we feel so much better and even yesterday I had a man on the phone who wanted me to take a mortgage and was plain rude when I declined and he even stated he was with the Nations 8th largest bank...so what...I bank with BoA although they have their issues and I'm not all the time happy, over all they do a good job and I feel safe....why do people get upset after they call you without being asked to call and when you deny the mortgage.....same with these annoying question every time you go in a store..."you want to safe 10%, great deal, you safe so much....you only need to be approved"...Bam!!! If you do you are open to easier Id theft, late fees, other fees....since it is hard to maintain 10 credit card bills and mistakes will be made...and 1 phone call to a credit card company can be so annoying and I only have to deal with 1 bank...what if you have to deal with 10!!!
The only people I have ever known that were able to pay cash for a home had siginificant wealth. The average middle class American has a hard enough time securing a mortgage, much less paying cash for a house
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Old 09-17-2008, 07:21 AM
 
Location: Montrose, CA
3,031 posts, read 7,866,597 times
Reputation: 1925
Quote:
Originally Posted by rtjr View Post
The only people I have ever known that were able to pay cash for a home had siginificant wealth. The average middle class American has a hard enough time securing a mortgage, much less paying cash for a house
I've done it twice now and I would probably be classified as lower middle class (what's the income breakdown for lower/middle/upper middle class?). It's not that difficult if you put your mind to it.
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Old 09-17-2008, 07:32 AM
 
127 posts, read 378,406 times
Reputation: 103
Quote:
Originally Posted by SuSuSushi View Post
I've done it twice now and I would probably be classified as lower middle class (what's the income breakdown for lower/middle/upper middle class?). It's not that difficult if you put your mind to it.
You've got my attention - what's your strategy in a nutshell?
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