"underwater" mortgages

Spexxvet · 03-30-2010, 12:53 PM

I'm not sure that I agree with helping people just because they owe more on their mortgage than their house is worth. Unless there has been a substantial change to income or payment, why do they need help? They were able to make the payments when they innitiated the loan, why wouldn't they be able to make payments now? The value of their property is bound to increase in time.

When you drive a brand new car off of the lot, its value decreases dramatically. If you financed the entire amount, you would then owe more than it is worth. There's never been a suggestion that people in that situation need help.

Am I missing something?

squirell nutkin · 03-30-2010, 01:00 PM

Well, I think "helping people who owe more on their mortgage than their house is worth" is the ostensible reason. What is really going on relates to the old saying: If you owe the bank $250,000. and you can't pay, you've got a problem. If you owe the bank $250,000,000,000. and you can't pay, the bank has a problem.

This is not about helping out "the little guy." While that may be the expressed reason and may collaterally happen, this is about saving the fat pensions and keeping that game alive long past bedtime.

Pie · 03-30-2010, 01:17 PM

There's also the issue of 'fairness'. Businesses have been defaulting on their own 'bad' debt left and right; why should an individual not have the same recourse? If it's good enough for Wall Street, why is the consumer held to a higher standard?

Shawnee123 · 03-30-2010, 01:33 PM

That is how the debbil injects his evility into our personages.

Pie · 03-30-2010, 01:44 PM

Sauce for the goose is sauce for the gander.

lumberjim · 03-30-2010, 02:57 PM

Quote:

Originally Posted by Spexxvet

Am I missing something?

Yes, I think so. But I'm pretty sure it's chromosomal, so I don't think there's anything to be done about it.

squirell nutkin · 03-30-2010, 08:52 PM

Quote:

Originally Posted by Pie

There's also the issue of 'fairness'. Businesses have been defaulting on their own 'bad' debt left and right; why should an individual not have the same recourse? If it's good enough for Wall Street, why is the consumer held to a higher standard?

Now Pie darling, everyone can't be thieves. There has to be someone who is stolen from.

Shawnee123 · 03-30-2010, 09:02 PM

Quote:

Originally Posted by Pie

Sauce for the goose is sauce for the gander.

But it's a bitter sauce. Not fit for humans. Tempting...all colorful and pretty, but not good for the masses. Kinda like caviar.

Pie · 03-30-2010, 09:26 PM

SO FUCKIN' FIX IT!

Why are there two sets of rules?

squirell nutkin · 03-30-2010, 10:15 PM

horses for courses

Shawnee123 · 03-30-2010, 10:29 PM

Quote:

Originally Posted by Pie

SO FUCKIN' FIX IT!

Why are there two sets of rules?

I don't have that kind of money.

lumberjim · 03-30-2010, 10:58 PM

Quote:

Originally Posted by Pie

There's also the issue of 'fairness'. Businesses have been defaulting on their own 'bad' debt left and right; why should an individual not have the same recourse? If it's good enough for Wall Street, why is the consumer held to a higher standard?

seriously. are you suggesting that it should be alright for a mortgage holder to default on their loan because the value of the collateral is not what it once was...BECAUSE some businesses have defaulted on their obligations?
Seriously?

xoxoxoBruce · 03-30-2010, 11:30 PM

It's a legal option.

lumberjim · 03-30-2010, 11:38 PM

don't make it right

Shawnee123 · 03-31-2010, 07:23 AM

One of the huge problems in our society is people can't stand if someone is getting something they're not getting, or someone else is getting one over and they're not.

I won't succumb. I got nuttin' but it's all my nuttin' and it's honest nuttin'.

03-30-2010, 12:53 PM	#1
Spexxvet Makes some feel uncomfortable Join Date: Dec 2005 Posts: 10,346	"underwater" mortgages I'm not sure that I agree with helping people just because they owe more on their mortgage than their house is worth. Unless there has been a substantial change to income or payment, why do they need help? They were able to make the payments when they innitiated the loan, why wouldn't they be able to make payments now? The value of their property is bound to increase in time. When you drive a brand new car off of the lot, its value decreases dramatically. If you financed the entire amount, you would then owe more than it is worth. There's never been a suggestion that people in that situation need help. Am I missing something? __________________ "I'm certainly free, nay compelled, to spread the gospel of Spex. " - xoxoxoBruce

03-30-2010, 01:00 PM	#2
squirell nutkin has a second hand user title Join Date: Feb 2006 Location: in a Nut House Posts: 2,017	Well, I think "helping people who owe more on their mortgage than their house is worth" is the ostensible reason. What is really going on relates to the old saying: If you owe the bank $250,000. and you can't pay, you've got a problem. If you owe the bank $250,000,000,000. and you can't pay, the bank has a problem. This is not about helping out "the little guy." While that may be the expressed reason and may collaterally happen, this is about saving the fat pensions and keeping that game alive long past bedtime. __________________ And now I'm finished posting.

03-30-2010, 01:17 PM	#3
Pie Gone and done Join Date: Sep 2001 Posts: 4,808	There's also the issue of 'fairness'. Businesses have been defaulting on their own 'bad' debt left and right; why should an individual not have the same recourse? If it's good enough for Wall Street, why is the consumer held to a higher standard? __________________ per·son \ˈpər-sən\ (noun) - an ephemeral collection of small, irrational decisions The fun thing about evolution (and science in general) is that it happens whether you believe in it or not.

03-30-2010, 01:33 PM	#4
Shawnee123 Why, you're a regular Alfred E Einstein, ain't ya? Join Date: Jun 2006 Posts: 21,206	That is how the debbil injects his evility into our personages. __________________ A word to the wise ain't necessary - it's the stupid ones who need the advice. --Bill Cosby

03-30-2010, 01:44 PM	#5
Pie Gone and done Join Date: Sep 2001 Posts: 4,808	Sauce for the goose is sauce for the gander. __________________ per·son \ˈpər-sən\ (noun) - an ephemeral collection of small, irrational decisions The fun thing about evolution (and science in general) is that it happens whether you believe in it or not.

03-30-2010, 09:26 PM	#9
Pie Gone and done Join Date: Sep 2001 Posts: 4,808	SO FUCKIN' FIX IT! Why are there two sets of rules? __________________ per·son \ˈpər-sən\ (noun) - an ephemeral collection of small, irrational decisions The fun thing about evolution (and science in general) is that it happens whether you believe in it or not.

03-30-2010, 10:15 PM	#10
squirell nutkin has a second hand user title Join Date: Feb 2006 Location: in a Nut House Posts: 2,017	horses for courses __________________ And now I'm finished posting.

03-30-2010, 11:30 PM	#13
xoxoxoBruce The future is unwritten Join Date: Oct 2002 Posts: 71,105	It's a legal option. __________________ The descent of man ~ Nixon, Friedman, Reagan, Trump.

03-30-2010, 11:38 PM	#14
lumberjim I can hear my ears Join Date: Oct 2003 Posts: 25,571	don't make it right __________________ This body holding me reminds me of my own mortality Embrace this moment, remember We are eternal, all this pain is an illusion ~MJKeenan

03-31-2010, 07:23 AM	#15
Shawnee123 Why, you're a regular Alfred E Einstein, ain't ya? Join Date: Jun 2006 Posts: 21,206	One of the huge problems in our society is people can't stand if someone is getting something they're not getting, or someone else is getting one over and they're not. I won't succumb. I got nuttin' but it's all my nuttin' and it's honest nuttin'. __________________ A word to the wise ain't necessary - it's the stupid ones who need the advice. --Bill Cosby

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