Frit0 Bandit0 Posted October 22, 2009 Share Posted October 22, 2009 This jackass and most of Congress in the 90's were on a crusade giving loans to low income people...with said ass still leading the charge up to the market crashing In 2005 they were even trying to make it possible to give loans to illegals. ...Hey psst, unemployment and welfare payments could be considered income for home loans. ...."When the crisis first arose, the left's explanation was that it was caused by corporate greed, primarily on Wall Street, and by deregulation of the financial system during the Bush administration. The implicit charge was that the financial system was flawed and required broader regulation to keep it out of trouble. As it became clear that there was no financial deregulation during the Bush administration and that the financial crisis was caused by the meltdown of almost 25 million subprime and other nonprime mortgages—almost half of all U.S. mortgages—the narrative changed. The new villains were the unregulated mortgage brokers who allegedly earned enormous fees through a new form of "predatory" lending" Recent reports that the Federal Housing Administration Link to comment Share on other sites More sharing options...
ExiledInIllinois Posted October 22, 2009 Share Posted October 22, 2009 I am am left and agree. One of the main reasons IMO Clinton really effed us up. I am very conservative when it comes to the X's and O's of my finance... Maybe it hurst what I got now, but who cares. I still live in the same small happy house. Going back the whole refinancing boom gave me fits... I just couldn't put my finger on where it would land. Link to comment Share on other sites More sharing options...
DC Tom Posted October 22, 2009 Share Posted October 22, 2009 This jackass and most of Congress in the 90's were on a crusade giving loans to low income people...with said ass still leading the charge up to the market crashing The government hasn't stopped either. One thing I hate about this "Consumer Financial Protection Agency" idea that's moving through the House is that, even though well-intended, the potential for abuse is such that within two decades this agency would be used to force lower lending standards on financial institutions in the interest of "protecting" the consumer's right to accumulate debt they can't pay...just like we've seen in the past ten years. The more things change... Link to comment Share on other sites More sharing options...
Chef Jim Posted October 22, 2009 Share Posted October 22, 2009 What pisses me off is the Home Buyers Tax Credit is for first time home buyers only. People with no track record showing they have the fiscal responsibility to own a home. People like me however who have shown for years we can but for certain reasons (relocation etc) find ourselves renting and would love to get back into the market get bubkis. Link to comment Share on other sites More sharing options...
/dev/null Posted October 22, 2009 Share Posted October 22, 2009 What pisses me off is the Home Buyers Tax Credit is for first time home buyers only. People with no track record showing they have the fiscal responsibility to own a home. People like me however who have shown for years we can but for certain reasons (relocation etc) find ourselves renting and would love to get back into the market get bubkis. How long have you been renting? The "first time" homebuyer is defined as anyone not owning a home within the last 3 years Link to comment Share on other sites More sharing options...
Chef Jim Posted October 22, 2009 Share Posted October 22, 2009 How long have you been renting? The "first time" homebuyer is defined as anyone not owning a home within the last 3 years Yes I know it's three years. We've been renting since February. Link to comment Share on other sites More sharing options...
ExiledInIllinois Posted October 22, 2009 Share Posted October 22, 2009 Yes I know it's three years. We've been renting since February. Haven't you saved up a ton of money in all the years... You don't have children do you? Not being a dick, you should be able to put a sizable down payment down and secure the loan with your income. I am only 41 and I know I can come up with the scratch. Unless the housing market is really that brutal in Cali... Then you should think about moving to a place like Peoria, IL... Link to comment Share on other sites More sharing options...
Chef Jim Posted October 22, 2009 Share Posted October 22, 2009 Haven't you saved up a ton of money in all the years... You don't have children do you? Not being a dick, you should be able to put a sizable down payment down and secure the loan with your income. I am only 41 and I know I can come up with the scratch. Unless the housing market is really that brutal in Cali... Then you should think about moving to a place like Peoria, IL... Is $100k down good enough for you? That still leaves me over $4k per month nut with mortgage, taxes and HOA. I can afford it but could afford it much better if I waited a year. People want things and they want them NOW! Biggest reason people find themselves behind the financial 8 ball. I rent now in a good neighborhood and I have good amount in the bank. For now I like that. The wife however.......... Link to comment Share on other sites More sharing options...
pBills Posted October 22, 2009 Share Posted October 22, 2009 Barney: There are lots of things We can do to be nice, Sometimes they're hard to remember. But there are two little things You should never forget, From January through December. He's talking 'bout please and thank you, They're called the magic words, If you want nice things to happen, They're the words that should be heard, Remember please and thank you, 'Cause they're the magic words. Use 'em in the morning, at noon, and night, 'Cause it's a great way to be polite! Please and thank you, They're the magic words. We're talking 'bout please and thank you, They're called the magic words. If you want nice things to happen, They're the words that should be heard! Remember please and thank you, 'Cause they're the magic words. Use 'em in the morning, at noon, and night, 'Cause it's a great way to be polite! Please and thank you, They're the magic words Link to comment Share on other sites More sharing options...
pBills Posted October 22, 2009 Share Posted October 22, 2009 Oops, wrong Barney. Link to comment Share on other sites More sharing options...
DC Tom Posted October 22, 2009 Share Posted October 22, 2009 Is $100k down good enough for you? That still leaves me over $4k per month nut with mortgage, taxes and HOA. I can afford it but could afford it much better if I waited a year. People want things and they want them NOW! Biggest reason people find themselves behind the financial 8 ball. I rent now in a good neighborhood and I have good amount in the bank. For now I like that. The wife however.......... Ditto. My wife wants to remodel our kitchen and buy a big-screen TV..."But we have credit cards, we can afford it." Uh...not at 18.99%, we can't. Link to comment Share on other sites More sharing options...
ExiledInIllinois Posted October 22, 2009 Share Posted October 22, 2009 Is $100k down good enough for you? That still leaves me over $4k per month nut with mortgage, taxes and HOA. I can afford it but could afford it much better if I waited a year. People want things and they want them NOW! Biggest reason people find themselves behind the financial 8 ball. I rent now in a good neighborhood and I have good amount in the bank. For now I like that. The wife however.......... Wow. Good for you for waiting! Now the red part... I feel your pain brother! I mean we (wife and I fundamentaly agree... I know that is scary)... But what is up with woman, did aliens abduct them? I guess they are what drives the consumer ecomomy mostly... Especially the Lowes and Home Depots... I got myself in a hole back when I came out here in the early 1990's, dug myself out and vow never to get back in it again... I may have to borrow or use credit from time to time, but it going to be for chump change! IMO, we need to take back our financial power and unfortunately that may mean that consumers may have to entrench for a while... Of course many will not like that! Link to comment Share on other sites More sharing options...
Chef Jim Posted October 22, 2009 Share Posted October 22, 2009 Wow. Good for you for waiting! Now the red part... I feel your pain brother! I mean we (wife and I fundamentaly agree... I know that is scary)... But what is up with woman, did aliens abduct them? I guess they are what drives the consumer ecomomy mostly... Especially the Lowes and Home Depots... I got myself in a hole back when I came out here in the early 1990's, dug myself out and vow never to get back in it again... I may have to borrow or use credit from time to time, but it going to be for chump change! IMO, we need to take back our financial power and unfortunately that may mean that consumers may have to entrench for a while... Of course many will not like that! My wife just loves the place she found. It's a great place and right on the water which is really nice and quite. It's a five minute walk to work for me and probably an hour and a half commute for her but that doesn't matter to her. But my income has dropped considerably opening up this office but that's only temporary, in 12 months I should be back to where I was and probably highter. I'm going to try and put 10% down which will keep a good amount of cash in the bank and then see if I can pay my HOA, property taxes and mortgage insurance for the full year up front. That woud reduce my monthly nut by $1400 and that I'd feel much better about. I remember when $1400 was a mortgage payment. Link to comment Share on other sites More sharing options...
ExiledInIllinois Posted October 22, 2009 Share Posted October 22, 2009 My wife just loves the place she found. It's a great place and right on the water which is really nice and quite. It's a five minute walk to work for me and probably an hour and a half commute for her but that doesn't matter to her. But my income has dropped considerably opening up this office but that's only temporary, in 12 months I should be back to where I was and probably highter. I'm going to try and put 10% down which will keep a good amount of cash in the bank and then see if I can pay my HOA, property taxes and mortgage insurance for the full year up front. That woud reduce my monthly nut by $1400 and that I'd feel much better about. I remember when $1400 was a mortgage payment. That is higher than mine with taxes and I have a 13 year old house that was bought brand new in 1996. You know what I want for a mortgage payment: ZERO! Just pay the taxes. That is my goal. Link to comment Share on other sites More sharing options...
Chef Jim Posted October 22, 2009 Share Posted October 22, 2009 That is higher than mine with taxes and I have a 13 year old house that was bought brand new in 1996. You know what I want for a mortgage payment: ZERO! Just pay the taxes. That is my goal. There is nothing wrong with a mortgage payment. I've seen people plow all their disposable income into their mortgage and at retirement what do they have? A paid off house, nowhere near enough in retirement and no tax deductions. Link to comment Share on other sites More sharing options...
IDBillzFan Posted October 22, 2009 Share Posted October 22, 2009 There is nothing wrong with a mortgage payment. I've seen people plow all their disposable income into their mortgage and at retirement what do they have? A paid off house, nowhere near enough in retirement and no tax deductions. I'm no financial guru, but I'm surprised more people don't understand this. I wish I still had the link, but years ago someone posted a link to a great article explaining why you should never pay off your mortgage. Great article. Completely changed my thinking. Granted, there were some caveats to whether it was the right idea for you or other people, but it was dispelling the myth that owning your house free and clear is all it's cracked up to be. Link to comment Share on other sites More sharing options...
Chef Jim Posted October 22, 2009 Share Posted October 22, 2009 I'm no financial guru, but I'm surprised more people don't understand this. I wish I still had the link, but years ago someone posted a link to a great article explaining why you should never pay off your mortgage. Great article. Completely changed my thinking. Granted, there were some caveats to whether it was the right idea for you or other people, but it was dispelling the myth that owning your house free and clear is all it's cracked up to be. My simple rule: Do not focus all your financial abilities to one goal with the exclusions of all others. So if you're properly funding retirement, college planning, emergency funds, and you're protected with all the right insurance and then have money left over to pay down the mortgage...have at it. But most people don't have the financial wherewithal to do all of those things. This is an archaic way of planning that our parents (people that are 80 and older today) did because in the old days mortgages were callable so they wanted to pay off the loan ASAP. I just love the mortgage deduction....well that's assuming they don't get rid of it. Link to comment Share on other sites More sharing options...
Magox Posted October 22, 2009 Share Posted October 22, 2009 This is a marvelous time for people looking to buy homes. We may never see as good of an opportunity to buy homes in our life time as what we are going to be seeing over the next couple years. Interest rates will most likely never be as low as we see them today, and there are so many distressed properties out there that people are willing to sell them at firesale prices, due to desperation. Chef, I hear there is a decent possibility that they may extend the $8000 tax credit to not just first time home buyers but to all home buyers. I know that it is up on the table for discussion, whether it goes through or not may be a different story, but they are definitely talking about it. If there is something that is positive about this "Crisis" that we are going through, it will afford the opportunity for many families to be able to purchase homes at a relatively cheap price in comparison to what we have seen with "once in a life time" interest rates. This "Crisis" will end up being a boon for many in the years to come. I wish I could get rid of my properties, I have two of them here in Miami, both Condos, both that I purchased after 2002 But I don't blame anyone but myself for making those purchases, and I never B word about it. I made the decision, and now I will live with it. But for those who have the means to buy a home now, this is a wonderful opportunity to do so. Link to comment Share on other sites More sharing options...
Chef Jim Posted October 22, 2009 Share Posted October 22, 2009 This is a marvelous time for people looking to buy homes. We may never see as good of an opportunity to buy homes in our life time as what we are going to be seeing over the next couple years. Interest rates will most likely never be as low as we see them today, and there are so many distressed properties out there that people are willing to sell them at firesale prices, due to desperation. Chef, I hear there is a decent possibility that they may extend the $8000 tax credit to not just first time home buyers but to all home buyers. I know that it is up on the table for discussion, whether it goes through or not may be a different story, but they are definitely talking about it. If there is something that is positive about this "Crisis" that we are going through, it will afford the opportunity for many families to be able to purchase homes at a relatively cheap price in comparison to what we have seen with "once in a life time" interest rates. This "Crisis" will end up being a boon for many in the years to come. I wish I could get rid of my properties, I have two of them here in Miami, both Condos, both that I purchased after 2002 But I don't blame anyone but myself for making those purchases, and I never B word about it. I made the decision, and now I will live with it. But for those who have the means to buy a home now, this is a wonderful opportunity to do so. People made some big mistakes with real estate the past few years. Try selling people stock, bond, mutual fund investments in 2002-2006. It was real estate, real estate, real estate. But the problem is what we saw in those years was almost a once in a lifetime run up in values (as least here in CA) so flipping became the hot ticket. Well there are no investments out there for getting rich quick. Investing is a long term gig and people that go in with the short term mindset often get burned. That's why I like the liquidity of stocks and mutual funds versus real estate. When the market hit bottom in March I dumped whatever I had disposable into my retirement. Try doing that with your rental property. And god forbid you need some quick money out of your investment. To me rental properties are a way to generate income not gains. I know plenty of older retired folks that are living quite well off of the income of rental properties. But the key is, they bought them decades ago and have slowly raised the rent over time to eventually turn into a nice positive cash flow. Americans.........I want it and I want it NOW! Link to comment Share on other sites More sharing options...
Frit0 Bandit0 Posted October 23, 2009 Author Share Posted October 23, 2009 The government hasn't stopped either. One thing I hate about this "Consumer Financial Protection Agency" idea that's moving through the House is that, even though well-intended, the potential for abuse is such that within two decades this agency would be used to force lower lending standards on financial institutions in the interest of "protecting" the consumer's right to accumulate debt they can't pay...just like we've seen in the past ten years. The more things change... I doubt it will ever fly ... it wants to consolidate to many independent agencies Creating a Consumer Financial Protection Agency Link to comment Share on other sites More sharing options...
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