You know, when I refinanced last year, a mortgage company (actually,
country wide) offered me all kind of deals. If I didn't have a
suspicious mind, I might have taken one of them and now be in one of
those "upside down" positions. I went with somebody else because there
stuff looked problematic to me. But I can see how someone might have
gotten sucked in...a five year balloon or an interest only or....etc,
etc, etc. Suppose, for example, you took one of those low interest,
five-year, refinances. Suppose you could have afforded the higher
interest rate but you thought this made more sense. Now your five years
is up and you have to refinance. Suppose your house appraised at
$200,000 when you refinanced and now it is worth $150,000. Suppose you
put 20% down. Now, you owe $160,000 on a house worth $150,000. In this
credit market, you are probably going to have to put 20% down. Do the
math; you will have to come up with $40,000 to refinance. Good luck.

Not everyone was greedy or stupid. Some might have been naive.

Priscilla
On Sep 23, 3:10 pm, Jeannie wrote:

On Sep 23, 2:55 pm, mike wrote:


On Sep 23, 1:20 pm, "HeyBub" wrote:

wrote:
It's not a "bailout" in the traditional sense: it's an investment.

I hope you're being sarcastic. If it is such a great investment,
people would be tripping over themselves to buy up the bad mortgages.
Instead, we have government supremacists forcing the taxpayer to take
on debt at gunpoint, and letting the irresponsible off the hook so
they be irresponsible again, and again, and again.

I didn't see the irresponsible being let off the hook...after all,
most of them lost their homes.

Hopefully that will be a lesson well learned.

Jeannie



People who loan money to people who can't pay it back are
irresponsible.