Sick of hearing that people are being foreclosed on

[Basketmiss]

They keep showing how the economy is in sad shape, that people are losing their homes that they had got a loan thru Countrywide with..

Hello it isnt Countrywides fault that you cant or dont pay your mortgage!

I mean if you cant afford a $1500 mortage then dont get a loan for a home with that much of a payment.

You should know what you can afford, compared to what you have been paying and your income, etc.

It is another excuse because everyone spends, spends, spends on crap they dont need then say I cant pay my bills!

Hello your bills should come first..

You cant just live beyond your means and then go oh poor me when somethsing bad happens!

Then they say I cant afford my horses so I'm not gonna feed them or just put them down!!

I guess I want people to take responsibility for their actions!!

Stop making excuses and quit trying to impress the Jones' with all your stuff that you cant really afford anyway and that includes that house!

We have 2 sets of friends that built /bought Huge houses and have HUGE mortages but they are never home! They are always gone.

So whats the point in having that HUGE house- to try to impress someone..

It just gets on my last nerve..

Sorry for the rant!! Just had to get it off my chest cause it is all I hear nowadays!!

 

[kaykay]

I understand your frustration but here is why people are blaming Countrywide. Countrywide made loans to people they KNEW could not repay them. These were sub prime loans. (meaning these people had horrible credit ratings)

So countrywide made them the loan for really low interest for 2 years and then the rate would go up drastically. But to calm peoples fears they assured them they could refinance to a fixed 30 year rate after the 2 years. WRONG. Unfortunately housing went flat and homes decreased in value. So now these people could not refinance because their house now isnt worth what they paid.

Especially bad was Countrywide was the leader in making 100 and sometimes 110 percent loans meaning they required no down payment. So these people have no equity in their home!

I do believe people have to take responsibility for their part but so does Countrywide. Their chief guy Of Countrywide walked away with MILLIONS when he stepped down. He as been asked to donate some of that to people in the foreclosure crisis.

Most of these people are now faced with making huge payments on a home that is no longer near worth the loan balance or walking away.

Im hoping the Presidents stay on arm rates will help but im not sure

 

[Charley]

You are right. People should not buy if they can't afford. Period. They are responsible.

The lending institutions are wrong also for the practices that they went to get these people what they wanted.

Do you know some people got cash out of these deals also? ...Like with second mortgages even when they couldn't afford the first mortgage. It is mind boggling.

 

[sphynx~n~minis]

What you don't see or hear, to much about is these loans were done with no proof of income. So you have your loan and then all of a suddend it gets in creased by $300.00 or $400.00 dollars because they didn't estimate the taxes correctly or whatever there excuse is. My daughter just lost her house to forclosure and she was able to pay the morgage until it increased by $300.00 dollars a month. So you have a collage student getting a morgage for $1200.00 (And yes she could afford that) and then 6 months to a year later it is increased to $1500.00 because there is not enough in there for the taxes on the property. I am sure that every loan is different but there are may that are going thru the same experiance as my daughter.

And yes if the bank is giving loans on no proof of income I think they are at lease 1/2 to blame.

 

[Charley]

Seems like anyone could find another $300 a month. A second job would do that over a month at $8 an hour is only about 50 hours taking in for taxes and only 12 more hours a week....waitressing on weekends... cutting back on non necessities like air conditioning, cell phones, internet, cable tv.

 

[backwoodsnanny]

I cant imagine that the people who got these loans didnt know that their credit was very bad to start with. It is this credit prone society that caused this problem. Not that the company was right in loaning people money that they knew the borrowers couldnt pay back but the borrowers had responsibility too. When I think of my parents who never bought anything they couldnt pay for I am guilty too. I have borrowed money for things though have always been able to pay the bills but if I lived like they did I wouldnt buy something until I could pay cash. Even their cars and trucks were saved for.

Their house well,that was my grandfathers before it was theirs and his fathers before that. I feel pretty good that we have no mortgage and only have less than $10,000 owed total and $5000 of that is "horses" lol. But do feel sorry for the people who bought at very high prices and now cant get their money back.

 

[Boinky]

i feel really really bad for some people because there are MANY familys/people that are losing homes to forclosure that did NOT do this type of deal. HOWEVER what gets me are the people i keep hearing about that got huge loans for EXPENSIVE houses to resell then when the bottom fell out of the market they couldnt' afford it.. well how the heck could they afford it to begin with? I mean i can't imagine houses were selling THAT fast that you could make those payments ect. i do feel terrible for the familys that are being hit very hard by the economy and ARE losing their homes and other valued possessions. I feel less bad for those that made a very poor "business" decision and got caught with their pants down because they never should have attempted it to begin with.

 

[Sandy S.]

The American Dream is to own your own home. The mortgage companies were wrong in lending to people that really could not afford what they were buying. The buyers were wrong for taking advantage of this, knowing that yes it was fullfilling their dream but at what expense, they didn't look down the road when that Mortgage was going to increase along with every thing else increasing. Use to it was only 1 1/2 times your income for the year was what you could afford for a home. So if you total 60,000 a year you could afford a 90,000 home, even that to me is stretching it.

But now I thing they have upped it to 2 or 2 1/2 times.

I blame the mortgage companies the most but I still blame the people too. My ex daughter-in-law did this. Bought a home that was way above what they could afford and lost it only after 12 months. No money down and variable. But they also bought during this time Alpaca's, goats, Registered Great Pyrnees, all of these I know the prices of and they were expensive. They all have cell phones, She and her new hubby go out to fancy dinners all the time. So I have to stop and think, if these things had not been bought and they cut back could they have made it?

Some things people consider necessities anymore, you can live without. Computer on line service, cable or satellite like dish TV, Cell phones if you have a home phone, leave out going out to dinner or going to the movies. If you can't afford your mortgage don't buy animals. Leave out the beer and cigarettes. Turn down your thermostats.

I know that a lot of people have cut out what they can and still can't make it and at least they tried, these people I do feel sorry for, getting caught up in the American Dream.

 

[Buckskin gal]

Seems like too many people live like the government. Borrow, borrow, borrow and the heck with saving. Our government does not encourage people to save because then the big business aren't making money. Use those credit cards, buy those big homes, etc. and then people suffer. Yes the people should know better but it seems too many are living for the day and not planning for the future. Get it today and pay for it tomorrow seems to be the way it goes. Now look at what the government is doing...borrowing money so they can give it to the citizens to SPEND. !!!! Each one of us, if we cash those checks, should put it into savings for the future for it may be needed it at a later time. I too believe in saving for what we get rather than get something for the day on credit and worry later about paying for it. It really is a good feeling to actually own what we have. Years back banks and loan companies were much more careful of who they loaned money to. Proof was needed that an income could support the payments but that has changed by greediness of the banks and loan companies. Our economy here in Montana is still good but we usually are slower in getting hit. Many new homes are still being built. I do feel for those who are losing their homes ....a very hard lesson in life of how not to do something. JMHO

 

[Brandi*]

.....

 

[stormy]

Yes some people are losing their houses because of stupid decisions but many are losing them not for poor choices but because of the impact of an economy changing shape too fast!

Over 400,000 people have outright lost their jobs in Michigan in the last couple years, no new jobs to be had, all those houses on the market yet they must move and find a new place to live often without being able to sell the house they currently own.

When I bought my house and set my mortgage propane cost me $40 a month, gas for my car to drive to work $10 a week, insurance for my home and vehicle $84 a month...that was 16 yrs ago. Now propane is over $120 amonth, gas over $45 a week, insurance $225 a month and I am sure these numbers are very low to those who have families....did my income increase 300%, not! How could I have planned for that? I am fortunate, I am making it, others can not.

Yes people need to be held responsible for poor choices but many need help desperately for ligitamate reasons!

(Just as many horses are being dumped on the market not because their owners don't love them and want the best for them but because they are in desperate situations and taking desperate action!)

Man we are a hard and heartless lot on this board lately!

 

[Boinky]

i agree.. the cost of living in general is going up, but the price we are getting paid is NOT. they keep screaming recession but i highly suspect we are spiraling towards actual depression! Your also right in that many many people are losing jobs and just aren't able to find more. This is a very very sad situation and i predict it's only going to get worse before it gets better. I'm afraid our country is in for a rough ride for a while!

 

[Elsa]

Seems like anyone could find another $300 a month. A second job would do that over a month at $8 an hour is only about 50 hours taking in for taxes and only 12 more hours a week....waitressing on weekends... cutting back on non necessities like air conditioning, cell phones, internet, cable tv.

I completely disagree.

In some areas, it's extremely hard to find work and as a current fulltime worker and student, I know I could never come up with the time for work to pull in an extra $300 month. Especially with prices rising and wages staying the same.

 

[Brandi*]

Seems like anyone could find another $300 a month. A second job would do that over a month at $8 an hour is only about 50 hours taking in for taxes and only 12 more hours a week....waitressing on weekends... cutting back on non necessities like air conditioning, cell phones, internet, cable tv.

I completely disagree.

In some areas, it's extremely hard to find work and as a current fulltime worker and student, I know I could never come up with the time for work to pull in an extra $300 month. Especially with prices rising and wages staying the same.

 

[Boinky]

I agree elsa,

for many people, myself included $300, is not at all easy to come up with without borrowing from a relative or friend, it's ok as a temporary thing but not many friends or relatives are going to give you $300 extra per month..... it is NOT possible for many people.. $300 doesn't sound like a lot to many but it IS to some people.

 

[KanoasDestiny]

I truly feel bad for those who are losing their homes. Yes, they may have gotten in over their heads when they went into the purchase, but with so many factors affecting our daily lives, it's easy to understand how it can be so common. I don't necessarily believe that it's one company's fault, but when they change terms on you, it surely doesn't help.

I can't wait for the day when I can purchase my own home with a little bit of land. My husband and I have been trying for so long, but like a lot of other people out there, debt is a very hard thing to pay off. For the longest time, my husband and I both had full time, minimum wage paying jobs. Well when you first move into your own apartment, that minimum wage money only goes so far....it basically pays for utilities and food. We had to purchase a car (it was already 7 years old at the time, so it wasn't even a new expensive one), furniture, appliances, pots and pans, dishes, and all the other little things that you have to buy when you first start out. When you're barely paying bills, you have to use credit to get all the necessary things. That debt sure does add up quickly.

We were finally almost totally paid off, when we came apon a bad year. We had a lot of car trouble, then we had a couple huge vet bills because it seemed like all our pets were getting sick or injured at the same time. I'm one of those people who will gladly be in debt forever, if it means that I can get my pets the medical help they need. My husband got a good paying job and we were finally down to our last couple thousand of debt, when the horses coliced last year. We had to then add even more debt, to purchase a used truck and trailer, so that we would never be unprepared again.

We have a little money saved up in case of emergencies, but unfortunately, we don't have thousands upon thousands of dollars waiting to go for a down payment. How I envy those of you who do have that kind of money sitting around. Thankfully, we live a decent life and enjoy having money to splurge when the mood hits. Believe me, I wish we could have had it easier earlier, because the house market was way down back then. It's no wonder why so many people in California are foreclosing...run down homes with land in my area, start at $150,000. Anything half way decent is $180,000 and up. And my area is one of the cheapest in the state!

 

[Basketmiss]

First of all I didnt say EVERYONE has done this. I said I am sick of the ones WHO HAVE made bad decisions.

Stormy I am probably the most sweethearted person you would ever meet, i am always the one trying to HELP people who make these bad choices. I try to show them how to save money, no eating out, no more buying THINGS they cant afford etc. thats why it erks me when they dont listen and then cry oh poor me when they get things taken away.. Sign them up for welfare and assistance.

You know we have stuff too! A 5th wheel camper, 2 horses, etc but we dont buy it unless we can afford to pay for it and IF something bad happened then we would sell that camper, horses, whatever wasnt a NEED to get out of the spot we were in. Do you know how much it would take for us to lose our house! I would give up everything I had too..

I am surrounded by people who dont stop!

I know someone who lost his job on Nov 15th, his wife was on bed rest in pregnancy still getting her check til

Dec 21st.

NO money coming in after Dec 21st. They lived FAR beyond their means BEFORE ( couldnt pay their bills)he lost his job so now what

happens when she is out of money too and he is still and a 4 yr old and a baby on the way.

Do you know how many times they have eaten out since Nov 15th. At least 4 or 5 times a week!

We are both gainfully employed and dont eat out THAT much!

So with NO money coming in they have been buying stuff they dont need, like expensive baby things( dont need) the baby girl doesnt care if she has a blue crib sheet, comforter set or her brothers that was already paid for! he still doesnt have a job and she just had the baby, so will be 8 weeks til she goes back to work.

They havent tried to help themselves along the way when it was needed.

I can honestly say that if my husband lost his job he would get a job, even if at McDonalds, or even 2 jobs to bring money in! He wouldnt just sit back and not care... he has been an electrican for 20 years and makes a good salary and yes McDonalds wouldnt be his top pick but it would be a job! SOME money coming in is better than none!

THESe are the people I am talking about. I have tried to help them and be sympathetic but it doenst work, they still dont have any sense. Then yes I get angry, why do I try to help these people? Because I am a good person and hate to see someone get themselves in a bad spot, so if they do they have to make the effort to get out...it human to make mistakes but to KEEP making those SAME mistakes and then want all of us to get them out isnt fair to those of us who pay their bills and works their jobs..

I also know someone who filed bankruptcy 7 years ago then 2 yrs ago just built a BIG house.. Now how does that work!! Because they wrote off $30,000 in bills by filing backruptcy and then they get to build a house!! Well I would say if all of us could file bankruptcy and write off $30,000 in debt we could all build a BIG house, buy more horses and build our dream barn- whatever.

But no we keep working, paying our bills( you know the ones WE aquired) and make ends meet. We dont push our bills off on someone else!

Now I will say there are probably some times when bankruptcy has to be done, maybe a womans husband dies and she has always been a stay home Mom and they didnt have life insurance, so She is in a world of trouble with NO job, no skills outside the home and kids to feed and support.

But she would have to go out and get a job and start over- I know it isnt easy but you have to do what you have to do

I DO sympathise with the people who lost their jobs and were actaully trying to do what is right. I know that happens.

I know I cant change people from doing dumb things, but I can be unsympathetic when they keep doing the wrong things and never learn from them and try to better their situation...

 

[Charley]

I agree elsa,for many people, myself included $300, is not at all easy to come up with without borrowing from a relative or friend, it's ok as a temporary thing but not many friends or relatives are going to give you $300 extra per month..... it is NOT possible for many people.. $300 doesn't sound like a lot to many but it IS to some people.

Because you aren't willing to give up any of the extras that you have to include time to work. If faced with losing your home or your excesses (horses included) you could come up with the extra $300...and working at Mickey D's is usually available, just most won't look at what they can and should do to keep their word. That is what these people all did was promise to repay what they borrowed.

 

[Cathy_H]

We are getting ready to put our "paid for " home up for sale & build a new house & barn. We still will not build more house & barn than we need................ I know some people had no control over events that caused them to lose their homes but many people should have been more realistic & smarter......................................... I heard someone mention that banks should not be able to foreclose on a persons home. I think banks would be more cautious in who they loan to if this were a law. At the same time it would stop people from owning a home but it also would limit people to a home that they could afford. Also at some point the banks would have to be given permission to foreclose as they can't turn into a charity... More personal responsibility needs to be assumed by high risk takers and careless people as well as shady & risky business practices........................... Again I say, "if you can't afford the gasoline don't buy the car" & that includes the house & the horse.

 

[Bassett]

Another angle. DIVORCE. Not me, my son. Married 16 years. Divorce and spent everything we both have fighting for his children. (I'd give up everything I have for those girls and I guess I did but I'd do it again in a heartbeat). He did win 50/50 custody (which is what he wanted because he is a firm believer that the girls need BOTH their parents) and forced his ex to move back to the school district the girls have always gone to, but it has hurt both of us finacially. I am retired and living on fixed income. Come August I will lose $658.12 a month (long term disability from my employment ends at full retirement) because I am full legal retirement age. Now just how many of you can tell me that you could lose that kind of money in a household and not have problems. I already lost a lot when I had to put my husband in a nursing home a year ago. So please don't just assume it is always the persons fault for not paying their mortgages. There are all kinds of reasons. Lawyers don't come cheap and it will be a long, long time before he has them paid off.

Sorry for the rant but consider yourself lucky if you don't have money problems. I live in the Wisconsin and pretty poor economy and low wages. But that is the choise we made to live here because it is HOME.

Oh by the way, he has been foreclosed against (I live with him) and unless we can come up with $70,000.00 by April 3rd. We are out the door. So I may have to give up my horses because I can't afford them and can't find a place to rent that will accept them. How do you think that makes me feel? Horrible. Sorry. I love all you guys

Enough said.