| Sandra, You posted "my question? why are the banks accepting short sale on a property at about %40 percent lower and sale it to another people ,when they should instead try to do that adjustment with the owner of that property so they can make payments on the real value of the house and keep the property that they were making payment all those years, but you won't allow that adjustment and put those people on the estreet. thats sad.think of a better solution and help. "
Why should the banks offer folks a huge value discount just because the market has changed? Were you advising homeowners to fork over their obscene profits of the past 3-4 years to those less fortunate? We live in a free market economy (?) which often translates into "dog eat dog" mentality. Hopefully, the people losing their shirts now will learn from their pain and not make the same mistake next time around. Here in Southern California I don't see most people losiong their homes because of the loans. I see many of them have taken out seconds or equity lines to buy cars, boats, granite counters, swimming pools, etc. It's time to stop treating homes like checking accounts. |
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| Above Posted By:
Beth
| Tue, 6 May 2008 16:09:15 EST |
| What a great ideathis will REALLY bring the investors back to the tablecant make your payment ?? no problem-pay a third of it-this whole debacle will be fixed before you know itwe have some really great minds fixing this mess-one more thought- If the entire United States is a declining marketif EVERY HOUSE is in a declining market- are we REALLY in a declining market ??? hmmmmmmmmmmmmmm |
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| Above Posted By:
UW of the day
| Mon, 5 May 2008 10:34:22 EST |
| They are offering the 2000.00 in hopes that the people will not tear apart the house and leave it in livable condition |
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| Above Posted By:
Judy
| Sun, 4 May 2008 13:02:36 EST |
| I researched adjustable rate loan before I refinanced. The rate never went over 6% since the early 60s. It funny how the Fed allowed this to happen. I sounds like they manipulated the public and loan institutions. |
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| Above Posted By:
robert
| Sun, 4 May 2008 08:02:02 EST |
| Banks should let borrowers pay the teaser rate that they have been paying so they can stay in their homes and gradually increase the rate from a quarter to a point every year for a period of 5 years so borrower can cacth up while waiting for the economic pick up and the market stabililize. Foreclose their homes, kick them out will not help anyone. |
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| Above Posted By:
Jason
| Sat, 3 May 2008 22:59:46 EST |
| Daniel, I really hope no one in your family ever gets sick or loses their job, because I guess that would make them a dirtbag, right? Do you even have a mortgage??? |
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| Above Posted By:
Dawn
| Sat, 3 May 2008 10:15:48 EST |
| This is an financial industry greed problem where collateral was secondary and credit scores were king. The models created by the gurus on wall street worked as long as the economy was robust. The banking community essentially lowered real property appraisal fees to the extent the bottom feeding appraisers got the work and the banker got their value. It wasn't 1.5 years ago the banking community said their portfolio losses were minimal and appraisals/collateral values were not as important to warrant accurate appraisals. They were focused on credit scores and that was it. This problem would have been significantly reduced if credit was based on ability to pay and value. If you remember, these are the same people loaning 130% on the value of your home as a home equity product...Go figure... |
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| Above Posted By:
Anonymous1
| Fri, 2 May 2008 12:23:07 EST |
| Take the time to read the pooling and servicing agreement which governs the relationship between the SERVICER and the TRUSTEE of the pool of mortgages. It provides a percentage of the monthly payment can be kept for servicing the loan, but that junk fees like late charges, phoney inspections etc. is kept the by servicer, hence an open door to overcharges. Now that the servicers are being squeezed, the temptation to charge more and higher junk fees is enormous. Too tempting to be resisted. Unless the securitization system itself is abolished, the country will never get to the bottom of the rabbit hole. |
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| Above Posted By:
geoff giles
| Wed, 30 Apr 2008 20:15:52 EST |
| Just Think About It is correct. Years ago the mortgage industry wouldn't accept making a little less money when there was all of those sub-prime, unqualified people to exploit. The price of your house and now your taxes are higher, while they sail the seas. |
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| Above Posted By:
Mike
| Wed, 30 Apr 2008 06:53:32 EST |
| 1) Countrywide services 80-95% of the loans they make. They also buy other loans in the secondary market to keep and service.
2) ARM rate adjusments have been frozen for 5 years by almost every major lender to help homeowners.
3) You cannot speak for other people. How can you say nothing will ever happen to you or your family in your entire life that will cause you to stopping paying your bills. It happens to the best of people everyday. Cancer, car accidents, loss of job, death of child, death of spouse, etc. There are so many ways you can lose everything in 6 months. Think before you speak.
4) Cash for keys program is for everyone. Many times the person left in the home is a tenant and the landlord stopped paying the mortgage, even when they paid rent. The lenders would like the home back without trouble and costly repairs - hence cash for keys to all who will leave according to a signed contract with terms. It saves the bank big money on each home.
5) This is not just a subprime crisis. Get educated! News media is great at making stories and you all buy it! Now everyone is walking away even with perfect credit because they just don't feel they should have to pay a mortgage if others don't. It takes a village to make this mess, it takes a village to build it up again. Stop acting dumb and work together.
In Southern California our housing market has been back, since March and selling in days of coming on the market, with multiple offers - but the media does not want to report the good. Go after them for keeping facts from you! Good news will get our economy rolling again and save many homeowners.
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| Above Posted By:
Sandra
| Tue, 29 Apr 2008 19:57:26 EST |
| my question? why are the banks accepting short sale on a property at about %40 percent lower and sale it to another people ,when they should instead try to do that adjustment with the owner of that property so they can make payments on the real value of the house and keep the property that they were making payment all those years, but you won't allow that adjustment and put those people on the estreet. thats sad.think of a better solution and help. |
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| Above Posted By:
letty
| Tue, 29 Apr 2008 19:46:38 EST |
| It's funny how as I lost my job as a senior underwriter with Hell's Fargo because I refused to approve subprime mortgages which had fraud written all over them. They allowed AE's to underwrite loans and borrowers to provide verifications! What a joke! I hope that they stop hiding their bleeding behind the cooked up numbers they provide Wall street and come clean. It's no secret that they're hurting just as bad as Countrywide but hiding it well. Just visit their empty mortgage hq in IA or ask their CEO who retires this year and make sure you have an umbrella and some disinfectant when he answers! |
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| Above Posted By:
Anonymous
| Tue, 29 Apr 2008 19:14:04 EST |
| The banks have brought this crisis onto themselves. The subprime FICO is typically <620 where the frequency of default is 20%. The FICO scores of <600 have a default frequency of 60%. When the CEO's allowed these risk levels to be programed into their portfolio they should have limited the quantity to 2-5% max of the overall mortgages. Greed is all there is to rationalize this action and they are being burned for it. The house prices would not have escalated 20-40% per year if the lending had been done prudently. |
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| Above Posted By:
Just Think About It
| Tue, 29 Apr 2008 15:22:33 EST |
| Paying people $2000 to cooperatively leave their homes that they haven't been making payments on is crazy. They have to have been in default for 6 months before the whole process can conclude AND they get $2K. What a scam! And they say the big companies are to blame for this mess. Here's a thought. Buy what you need, not what you want. Borrow only what you can afford to pay back. And lastly, keep your word and pay back what you promised you would. That's called honesty and integrity. Hello! Who holds the public accountable for their own actions? |
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| Above Posted By:
Talon
| Tue, 29 Apr 2008 13:48:05 EST |
| Hey Daniel:
Wise up will you? You sound like one that doesn't have a mortgage but yet will throw stones at others.
Have you ever heard that the economy is falling on hard times due to losses in mortgages, job losses, and high gasoline prices?
I guess you don't listen to the news... |
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| Above Posted By:
John
| Tue, 29 Apr 2008 13:28:51 EST |
| If Countrywide/Bank of America were to let homeowners stay in their homes and continue paying the "teaser" rate, why would anyone else pay their new rate after the adjustment? Don't get me wrong, as I have to admit that underwriting standards got way too lose, but some ownership does fall on the individual borrowers. What did they think would happen when their rates adjusted? Did they not read their disclosures? It is a tough situation for all involved. Another aspect to this is that whomever owns the mortgage loans (Countrywide might be servicing, but the loans owned by another entity) bought those loans thinking they would receive payments at the new rate - not the teaser rate for another 5-10 years. In many instances, the "teaser" rate is actually a neg am loan, meaning that the amount of money they own on the loan continues to grow... and at the same time, propertry values are declining. Basically, the longer the person lives there and has that loan, the worse their financial situation gets. There is no easy answers to the problems facing the homeowners and the investors of these loans.
Countrywide Mortgage will most likely continue to operate as is, they will just be operating under a federal bank charter as oppossed to under state banking department rules and regulations. The transitition should be seemless to the public. |
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| Above Posted By:
Anonymous in Arizona
| Tue, 29 Apr 2008 13:20:03 EST |
| that must be why countrywide took bonus structure away from their landsafer national default department, to burden some of the loss that the subprime full spectrum division caused. |
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| Above Posted By:
ken
| Tue, 29 Apr 2008 11:17:34 EST |
| Once a dirtbag, always a dirtbag, pay your mortgage payment on time. |
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| Above Posted By:
Daniel
| Tue, 29 Apr 2008 10:40:24 EST |
| Why can't Bank of America( Countrtywide) let home owners/customers stay in their homes, if they could efforts to pay what ever they were paying before their rate get adjusted. After the rate adjustment it will raise their mortgage payment to arm & leg,and forclosure will start. My suggestion is to Bank of America is let them stay in their homes, and let them pay what ever they were paying before rate adjustment for a period of 5 to 10 years so that home owners could find a better solution to their problem. Foreclosure is not going to help Bank of America nor the customers.
Please think about it. I appreciate your concern. |
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| Above Posted By:
MIR ALIKHAN
| Tue, 29 Apr 2008 09:45:46 EST |
| So what happens to the stand alone Countrywide Mortgage shops located all over the place. Are they going to shut down or keep operating under the same name? |
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| Above Posted By:
Sidney
| Tue, 29 Apr 2008 09:31:14 EST |
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