What do you think of the Foreclosure Bailout Fund?Is this a solution for homeowners who're facing foreclosure?
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Answer:
No, this is going to be a bad idea and probably as badly administrated as FEMA trying to take care of Hurricane Katrina victims. They'll give out the $1 billion to homeowners who were never in foreclosure, or provide trailers that no foreclosure victim will ever live in, and the entire exercise will be an enormous waste of money.
They government should not take or print another $1 billion of money to provide a service that is better offered at a local and state level. Instead of raising taxes for the additional money, or creating inflation by printing $1 billion, let communities figure out solutions. It's in the community's interest to have real people own homes, rather than large parts of cities owned by multinational banks that will never have anyone living there. That decreases the wealth at local levels by having fewer people as homeowners, paying taxes and patronizing local businesses.
The federal government has no place and no credentials in protecting homeowners from foreclosure. It was the Fed that lowered the interest rate to near zero percent and then raised it over fifteen times that caused the problem in the first place, among other factors. So trusting any activity of the government to solve a problem they created is a little naive.
It's an idiotic proposal pandering to potential voters who believe that the federal government should take care of us from cradle to grave.
I also wouldn't be surprised if the $1 billion went straight to the hedge funds and mortgage companies to prop up their corrupt lending practices, rather than to real homeowners.
And the proposal is so vague as to be ridiculous -- how would homeowners apply for some of the aid, and how much would they qualify for? In case the Senator isn't aware, a homeowner paying an extra few hundred dollars is not going to help if they are behind by ten thousand dollars. Lenders simply don't take partial payments, and a free fund to have the government pay your mortgage will only encourage more homeowners to fall behind, knowing they can take money from other people to pay their mortgage.
So, I guess you could say that I would oppose such a useless measure. It won't help homeowners in foreclosure. Only they can help themselves or find a community solution. More government programs will only result in more incompetence at the federal level and a reliance on government babysitting.
Hope that answers your question.
ForeclosureFish
http://www.foreclosurefish.com/...
i have not heard of this..so its something like a government loan that they repay to the government instead of a mortgage lender? interesting.
Funny, I did a search for "Foreclosure Bailout Fund" and only found one hit mentioning Hillary Clinton and that was a NPR story, only two sentences long. I wouldn't get too excited about free money from the government.
What do I think about it? I think it is a ridiculous idea. Probably just a way to get the deadbeat vote. If people can't afford to pay their bills, then they deserve to lose what they can't pay for.
Get a job. Pay your bills. Spend less than you earn. Be responsible and quit expecting the government to bail your lazy *** out. That's what I think.
God bless America!
the real estate agents who sold these subprime loans and arms knew full well what they were doing...the collected much in commissions. I agree with the federal government going after these people and shutting them down and prosecuting them.
i also agree that we need assistance for these people who were basically scammed by the unethical real estate agents. not all real estate agents are unethical...just those that sold these programs..they knew and did nothing to stop it.
even on the worse side...lets say nothing happens to the agents or the mortgage companies, and we do assist the foreclosed homebuyer...there is a whole other group of persons who have been hurt and / or scammed.these are the renters from many of these homeowners...the renters have been thrown out of their shelters due to the unethical behavior of agents and buyers not being aware enough of their contracts.
this "bad mortgage" thing is not going away quickly and everyday more sad stories are surfacing.
I wish i had one large blank check to fix it all.
this is just my opinion - based upon media reports and the constant questions about foreclosure that come through this venue.
thanks for asking :)
Corporate welfare for Wall St and the banks disguised as help for the masses. She's been campaigning for almost a year already and it's still 15 months to the election, got to do something for those contributors.
I would be seriously P.O.ed if that much of my tax money went to private housing. If people can't afford their homes they are simply living outside their means. This is not my fault, I should not suffer from their bad choices.
Also, this is not going to fix anything. Loosers in foreclosure now are still going to be loosers after they are bailed. Does she think they are going to wise up and pay their bills after this? No, they will be in foreclosure AGAIN in a few months. It will be worse, some of those people avoiding foreclosure will embrase it because it will become profitable, free money from their hard working neighbors.
As a real estate broker and investor, I think it's a typical response from a politician...let's throw other peoples money at the problem.
This bailout is a horrible idea. The market will survive and adjust but lenders will be must smarter on their loan approvals. I know in Texas for the last 6 years or so, if you had a pulse and a few hundred bucks, you could get a mortgage loan. And high risk borrowers actually began to believe the TV hype that they "deserve a home." Nothing could be further from the truth and now we are all expected to pay for someone else's mistake. High risk borrowers will once again be asked to get their act together and prove that they really want a home.
Now, lenders who made some very poorly thought out loans will either go bankrupt and will be replaced by other lenders with better underwriting policies and procedures.
Without a doubt, there will be millions of homeowners affected by their ARM loans, etc, and hundreds of thousands will lose their homes because of it. This is called experience and learning. Sounds rough, but it is merely a part of life that must be endured when one bites off more than they can chew. I have many clients who are / have been in this situation and I tell them the same thing.
Just my two cents.
I think it's a great way for Hillary to buy votes - with OPM (other peoples money)
It would be one way the government would step in to help but on the other hand would they want more money from you for the help?
I haven't given it much thought 'til now. I'm on the fence about it, but I generally don't like it. On the one hand, many people were preyed upon by unscrupulous, lenders... but many were not, they just got greedy. To lump everyone together isn't quite a balanced approach. If I were to support anything, it might be an easy way for people to seek help in dtermining if they were the subject of predatory lending so that lawyers' legal fees don't make it impossible for homeowners, many who are good, descent people, to get justice.
(And that's not a 'liberal' approach, there are some lenders who actually lied to people, or withheld truths about the costs of loans.)
But a wholesale bailout, in my opinion, re-enforces bad behavior for both borrowers who bought more than they should have, and for lenders who made too-easy loans with less than truth lending.
My daughter is havving the same problem. She called the governors office, and couldn't get a positive answer that she could get help..bettyk
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