Anonymous_IHB
New member
<A href="http://www.nytimes.com/2009/11/22/business/22loans.html?hp">http://www.nytimes.com/2009/11/22/business/22loans.html?hp</A>
Wall St. Finds Profits by Reducing Mortgages
- Thread starter Anonymous_IHB
- Start date
stepping_up_IHB
New member
Wow, this is really dumbfounding. How the hell does Wall St always manage to make money, even when it's cleaning up their own disaster? On the other hand, reducing principal is the only way to prevent a mounting number of foreclosures. I know many of you get a sick pleasure from people who took on more loan for a house than they could afford be foreclosed on and are rooting for the foreclosures to increase, but for the overall economy, this outcome is better.
As a taxpayer, I don't see the Alvaz's as a huge risk. They just put more skin in the game to make this deal happen... $29K plus another $21K, I don't think they are defaulting any time soon.
As a taxpayer, I don't see the Alvaz's as a huge risk. They just put more skin in the game to make this deal happen... $29K plus another $21K, I don't think they are defaulting any time soon.
reason_IHB
New member
Who would have thought it would come to this. Fascinating.
Major Schadenfreude_IHB
New member
The linchpin of the investment firms' business model is the ability to get the new loans insured by the government. If these new loans were a great bargain, then the private market would gladly step in and insure these loans. They are not a great value, so they are sold to the only dumb kid still standing around collecting them.
That dumb kid is YOU, Mr./Mrs. Taxpayer. We will all have to eat these when they turn out to be rotten deals. As the article states, "The transactions also add to the potential burden on government agencies, particularly
the F.H.A., which has lately taken on an outsize role in the housing market and, some fear, may eventually need to be bailed out at taxpayer expense."
Write your Congressmen to complain about this furtive fleecing of the taxpayer. They need to be encouraged to eliminate all forms of government interference in the housing market, as this will truly create "affordable housing".
That dumb kid is YOU, Mr./Mrs. Taxpayer. We will all have to eat these when they turn out to be rotten deals. As the article states, "The transactions also add to the potential burden on government agencies, particularly
the F.H.A., which has lately taken on an outsize role in the housing market and, some fear, may eventually need to be bailed out at taxpayer expense."
Write your Congressmen to complain about this furtive fleecing of the taxpayer. They need to be encouraged to eliminate all forms of government interference in the housing market, as this will truly create "affordable housing".
Anonymous_IHB
New member
Mortgage giants quietly shop $250 billion in bad loans
<A href="http://mortgage.freedomblogging.com/2009/12/01/mortgage-giants-quietly-shop-250-billion-in-bad-loans/21951/">http://mortgage.freedomblogging.com/2009/12/01/mortgage-giants-quietly-shop-250-billion-in-bad-loans/21951/</A>
<A href="http://mortgage.freedomblogging.com/2009/12/01/mortgage-giants-quietly-shop-250-billion-in-bad-loans/21951/">http://mortgage.freedomblogging.com/2009/12/01/mortgage-giants-quietly-shop-250-billion-in-bad-loans/21951/</A>