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Lol. Adding a few white families will do nothing to change the culture of a poor school system. More likely, their children will be harassed/dragged down into the morass of a classroom where the many of the kids are at school for government-sponsored daycare.
We rented in an AA-majority neighborhood in Russet, Laurel when we first moved to the area. The outright hostility we faced from some of our AA neighbors (racials slurs, someone threatening our 3-month old puppy) taught us more than enough to repeat the experience, especially when making the financial commitment of purchasing a home.
FWIW we are Asians.
Well Thats in Anne Arundel County sweetie not Prince Georges County so I fail to see the point of your post. Or are u trying to say that moving next to black people will be a big mistake? Because I'm sure it was the EVIL NEGROS fault right? Not your puppy pissing in other people gardening? Not your dog barking continuously throughout the day while you were at work disturbing neighbors? I'm sure you had nothing to do with the negative reactions you received. But I do agree with you, PLEASE AVOID any black neighborhoods from here on out...especially mine.
No, you're reasoning is off. You insinuated that race, exclusively, was the procuring cause in your original post. You deduced that PG's real estate boom, bust and resurgence experience was unique. Now, knowing your origin, I'm a little surprised you didn't make this an african american issue. Stop feeding the flames of the media. Maybe you might want to quote one of Limbaugh's writings; he'll surely give you enough material to support your self-loathing beliefs.
This is why I gave C-D up, but unfortunately got sucked back into instead of avoiding the tom-foolery. I'm done. Enjoy your self-loathing.
Lol it's lack of recovery is unique hence the article.
Incorrect. As I clearly stated in my very first post, I said the article lacked originality. The substance is the same. In fact, it has been repeated over multiple years. I think I have cause to critique lazy journalism. But I'm aware that the subject matter is a favorite for a few posters here. So, here we are. Another thread on the same topic about another article written on the same issue. Wash, rinse, repeat.
Someone in the comments said that the stories are resurfacing because of the 2 year delay in foreclosure in MD. I knew that was a bad idea, said so at the time.
The "news peg" for this story is all the recent, national publicity about unequal opportunities for minorities and PGCO is a convenient example. However, comparing housing values in Bowie with Reston is bogus, in my opinion. Reston is located on I-66, which provides direct access to DC and the NOVA high-tech corridor. Also, the hype over Metro being built out to Reston probably accounts for some or most of Reston's housing recovery. Also, the WAPO should have chosen a better example than the Bryan family to illustrate their story. I'm having a hard time feeling sorry for them. So they bought the house in 2001 for $336,000 and now it's worth about $480,000. That means they should have at least $144,000 in equity, not counting their mortgage payment contributions. Instead, they refinanced the place for $560,000. WTH? What happened to that $224,000 difference? No mention of this missing cash. What's hurting this neighborhood's property values is that, apparently, so many "homeowners" did the same thing. No neighborhood could handle that kind of a foreclosure crisis without a serious crash in values. The housing bubble was fueled by greed and fear -- people thought values would go up forever, and if they didn't get in "now" they would be priced out forever. I would argue that we're back in a housing bubble. When mortgage rates go back to 5-6 percent, which they will, people around here aren't going to be able to get anywhere near today's asking prices. And that's gonna be across the board -- Arlington County and Prince George's County. Remember, it's not just black folks who got snookered -- former Virginia Gov. Bob McDonnell and his wife are headed to prison after taking illegal loans to help them pay the mortgages on their personal home and two beach houses that they bought at the top of the market and that then lost value and couldn't sell.
The first example: Edith Garner was a special education teacher who was about to retire she was over 50 at the time she bought the house. She had an health issue Parkinson which reduced her income earning power. Then she could not longer afford her 2,500 a month mortgage.
Lots of people lose homes due to medical issues this isnt a race thing or something unique to PG county.
Alonzo walker the pastor with the 1 million dollar home. 5,000 month payment and he over 50 about to retire.at least he put 10 percent down I just wonder if your over 50 shouldn't you be downsizing. But I dont believe the article reveals his whole story.
The third person Kris marsh put 100,000 down on a 365,000 house with a gift from her parents.
Each individual situation is different not just unique to PG county.
Its really not up to the lender to prevent you from making a bad financial decision. Its up to individual to make make better choices.
Did preparatory lending have a hand in housing bubble and collapse. Yes of course. But a lot this can be avoided by following common sense rules....Dont buy more than 3 times your income. Or save 20 percent to put down on a house. Perhaps the buyers of these houses werent educated enough on the housing market and building wealth in america.
Funny how that's not the main topic in this thread though. So, who and what is driving the narrative in dissecting the actions and decisions of the buyer and not the lender?
Why don't you create your own thread then? Problem solved.
Quote:
Originally Posted by adelphi_sky
I would say it was the seller's fault and here's why. If you had a family member who asked you for $25,000 and said that they would pay you back in 4 years. And you know that they had no job. Or if they had one, it was part time. You know this family member and how irresponsible they are. You have seen how they have handled money (their family credit score). Would you lend that person $25,000? And if you do and you don't get it back, who's fault is it then? Most people would say it was your fault for lending the money, no? So, why is that not the case here?
Hmm..that's not really the same thing. The people who sell the product are not the financial people. Relating this back to real estate, the lender doesn't go out and finds homes for you. Generally the lender provides what the potential buyer qualifies for to the realtor. The realtor is not well-versed in what your financial situation is. They only see the numbers you qualify for and in most cases they are going to try to find something near the maximum of your price range unless you tell them otherwise.
Does that mean lenders should give out money in the manner that they have? No, but out of everyone involved the buyer has the most information. The buyer not only knows what they can buy, but they also know what they are getting for their money. I guess the question is, at what point is the person trying to make the purchase responsible? Are you saying that a buyer should not restrain themselves from over spending?
Quote:
Originally Posted by adelphi_sky
We all know that good salespeople can spin anything to make it seem less risky for the buyer. Think about someone sitting down and understanding what an ARM is. But the sales person shows you historical home value trends that have been increasing for the past 7 years, which they have. They show incomes increasing. They tell you that even your income has increased over time. You agree. Both statements are fact. They say, by the time the ARM resets in 5 years, your salary will be able to support it. You'll have 5 years to pay down debt, etc. You'll have more cash flow. They show you numbers on how successful other people have been with ARMs. You buy into it thinking you can manage such seemingly low risk. Meanwhile, this predatory lending has been going on all over the country. And you have no clue of the impending housing crash that would subsequently get you either laid off, or make it harder for you to refinance into a fixed rate. Why? Because you're now underwater and you can't refi a home that's underwater.
We assume that banks don't lie and spin. That's what got them in trouble in the first place. But we would rather give the bankers a pass and dish on the home buyers. Meanwhile the bankers are laughing in their jets watching us peons blame each other. "Let them eat cake!" People are blinded by their own sense of nobility and can't see that even they have been bamboozled, robbed, and cheated. And what's worse, they had no power to stop it. They couldn't even stop the government giving those same bankers close to $1 trillion dollars on top of what in any court would be considered fraud. Yet here we are. The peons who got took. Blaming individuals for "buying more than they could afford." Is it because the bankers have suits, work in glass office towers, and fly around in jets? While the "perpetrators" lose their jobs, their homes, and their dignity?
The elite bankers have even spun where to put the blame. And people eat it up. Yet, their own wealth has been lowered by multiples. You may think you're whole and you escaped the effects of the recession, but deep in the recesses of your mind you know that you could be much wealthier if there was no recession.
Let's be clear, if someone thinks that a person who is likely not in your profession, nor at your job/organization can predict what your salary is in the future, then you are truly stupid. I'm sorry. There is no way anyone can tell me what I will make a year from now, not even my supervisor, so how is a lender going to determine that? Who actually believes that?
One thing I agree with is the idea that people believe banks don't lie. That is heart of the issue. Assuming that a lender is going to give you information to make you financially responsible is like asking a car salesman if you should buy the car they are saying you.
Quote:
Originally Posted by adelphi_sky
Isn't that what bankers and investors do? But they are smart right? When they manage risk and it fails, well, that's just the nature of the market. But when a homeowner makes the same assessment. Well, they were just ignorant or greedy. On a daily basis bankers and investors bet on risk. They even borrow against their assets (in terms of housing - equity credit) to make more investments which may carry varying degrees of risk. Even I have taken out margins when investing. It's done millions of times on a daily basis. But that's okay. When a margin is called and I don't have the money and I have to take out a loan to cover it, that's just the normal machinations of an "investment banking."
I'm not sure why you believe this is relevant. No one is defending what bankers and investors do.
Quote:
Originally Posted by adelphi_sky
Then why even offer the product to the individual who you should know through their credit and employment history, wouldn't be able to meet the risk? If Joe's salary increased 10% over 10 years, what makes you think it would increase 25% in 5 years? But no, the agent and the bank don't have to take that risk. So THEY DON'T CARE. They don't care about the buyer, the neighborhood they are lending in, OR the mortgage that they KNOW will default. Because they pass that risk on to the market, package up all the risky mortgages, buy insurance on those mortgages, then create financial instruments that allow them to make money if they fail. So, that encouraged them to make more bad loans knowing that they would actually profit from them. Knowing that the house of cards would eventually fall and because they are "too big to fail" they could just ask good ole Uncle Sam for the money. NO QUESTIONS ASKED.
Now. Who are we really blaming here?
You know, you don't have to read or respond to this. I understand you are tired of it, but you can always ignore it.
And there is only person that could stop all that from happening....the buyer. If he/she doesn't go through with those loans, then there would be no reason to have them.
I absolutely believe many of these people understood what they were getting into. But they were afflicted with blindness as to what "could" (and did) happen. Others may not have.
I agree. It also didn't help that pundits and economists (some serious, some not so serious) were saying the housing market had been sprinkled with magical fairy dust.
Quote:
"Housing bubble? What housing bubble? The signs are in place for a further run up in real estate. Breathe easy, mortgage holders. There's still no place like home."
Quote:
"For the past several years, Chicken Littles have squeaked that the sky -- or the ceiling -- is about to fall on the housing market. And it is tempting to believe them. Yet basic economic logic suggests that this apparent evidence of a bubble is anything but."
Quote:
"When it comes to homes, many people have spent the last four years fretting that the 'housing bubble' might end. That is, they worried that overpriced homes might become affordable. This is not quite as non-sensical as worrying the price of oil might fall, but it is close."
Quote:
"While such signs of speculation is troubling, there is little solid evidence that a real estate bubble is puffing up."
Quote:
"Even in places where prices are soaring, worries could be overblown because higher prices appear grounded in good old fundamentals."
Lol it's lack of recovery is unique hence the article.
But PGC was lacking in recovery years ago. And years ago it was stated that in PGC, which was one of the hardest hit, and many neighborhoods across the country, full recovery wouldn't occur for up to 20 years. So, again, is this news? Of course PGC is lagging. That was predicted 5 years ago.
But PGC was lacking in recovery years ago. And years ago it was stated that in PGC, which was one of the hardest hit, and many neighborhoods across the country, full recovery wouldn't occur for up to 20 years. So, again, is this news? Of course PGC is lagging. That was predicted 5 years ago.
A better article would be solution based. This article is old retread stuff
The "news peg" for this story is all the recent, national publicity about unequal opportunities for minorities and PGCO is a convenient example. However, comparing housing values in Bowie with Reston is bogus, in my opinion. Reston is located on I-66, which provides direct access to DC and the NOVA high-tech corridor. Also, the hype over Metro being built out to Reston probably accounts for some or most of Reston's housing recovery. Also, the WAPO should have chosen a better example than the Bryan family to illustrate their story. I'm having a hard time feeling sorry for them. So they bought the house in 2001 for $336,000 and now it's worth about $480,000. That means they should have at least $144,000 in equity, not counting their mortgage payment contributions. Instead, they refinanced the place for $560,000. WTH? What happened to that $224,000 difference? No mention of this missing cash. What's hurting this neighborhood's property values is that, apparently, so many "homeowners" did the same thing. No neighborhood could handle that kind of a foreclosure crisis without a serious crash in values. The housing bubble was fueled by greed and fear -- people thought values would go up forever, and if they didn't get in "now" they would be priced out forever. I would argue that we're back in a housing bubble. When mortgage rates go back to 5-6 percent, which they will, people around here aren't going to be able to get anywhere near today's asking prices. And that's gonna be across the board -- Arlington County and Prince George's County. Remember, it's not just black folks who got snookered -- former Virginia Gov. Bob McDonnell and his wife are headed to prison after taking illegal loans to help them pay the mortgages on their personal home and two beach houses that they bought at the top of the market and that then lost value and couldn't sell.
I'm glad more people are noticing this trend in the media. Everyday they report on some gap and then blame it on racism. No investigation or alternative theories examined. How can people who are sophisticated enough to earn incomes that put them in the top 5% of earners, preyed upon?
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Is it because the bankers have suits, work in glass office towers, and fly around in jets? While the "perpetrators" lose their jobs, their homes, and their dignity? 
