And thats why a lot of those places are getting regulated because they are extremely predatory but I have a slightly different view of them then I do the larger banks with mortgages
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subprime-mortgage meltdown; Is the default due to morgage companies or the borrower?
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Originally posted by Darbex View PostWow I am one of the biggest proponents of the fact that vast majority of Americans are ignorant and lazy but predatory lending is real and is a big factor in the issues we face. Banks are one of the most corrupt industries in the US economy. A lot of people werent buying million dollar homes they were buying middle of the road middle class homes. And you are lucky you live in a state that real estate is cheap. In other states due to supply and other factors a 200K home here would get you a home in LA that is in an area like 5th ward or Acres Homes. To live in a middle class home in CA you have to spend atleast 500K and the salaries in those areas are not that much higher then they are here. I remember I was thinking about moving to Seattle to work for a company and they were offering me the same pay as I got here. Yet the cost of renting an apartment near the company which was actually outside of Seattle similar to Katy the apartment cost $2,000 a month where in Katy you could get the same apartment for $800 a month.
No one is entitled to OWN a home. This sense of entitlement is what has gotten so many people in trouble - not the banks or their practices.Experiencing an aquatic renaissance!
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Originally posted by Darbex View PostAnd thats why a lot of those places are getting regulated because they are extremely predatory but I have a slightly different view of them then I do the larger banks with mortgages
sunrise
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Originally posted by jeebus View PostWhere exactly is it written anywhere that U.S. citizens are entitled to own a home? Where did this sense of entitlement come from? There's a reason people have rented/leased their residence for years. There's a reason why some people move out to the country just to live in a trailer.
No one is entitled to OWN a home. This sense of entitlement is what has gotten so many people in trouble - not the banks or their practices.
It's the America way! House, nice car in the drive way, and 2.5 kids!
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I'm just going to have to agree to disagree with you on this subject! For me it comes down to simple math. No one forced these people to take out loans, not the banks, not the government. And I am not lucky I live in Texas, but I choose to live in Texas. Cause you're right, it makes no sense to live in the states where shacks are going for $200k+
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Originally posted by Delock View PostIt's the America way! House, nice car in the drive way, and 2.5 kids!
There are too many people out there trying to game the system with shortcuts and free rides because they feel entitled to "stuff".All men are created equal but his choices determine his value and what's in his heart determines his worth.
"Political correctness is a doctrine, fostered by a delusional, illogical minority, and rabidly promoted by an unscrupulous mainstream media, which holds forth the proposition that it is entirely possible to pick up a turd by the clean end"
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Jeebus, I never said anyone was entitled to own a home. What I did say is that the banks are flat lying to people about what they can and cannot do. If you are denying that the banks had a large portion of the mortgage problem then you dont understand what really happened.
Kiovo, you are lucky because real estate in Texas could easily be just as expensive then where would you go. But because of our state government and other things as a result of the real estate bust a few decades ago it didnt get out of control here. Look at Austin housing costs there are more expensive then they are in the rest of the state not as bad as say CA but they are higher and the wages arent significantly better than Houston.
Sunrise, I never said that there is a big difference I did say that I do have a slightly different view in that for the most part payday loans are more explicit and most people know you will be raked over the coals. Also there is less of an emotional attachment with the end product. In home buying you have the emotional attachment to the purchase and in many cases the banks hide things from consumers and flat lied to many people about ARMs and other mortgage vehicles.
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Originally posted by Darbex View PostJeebus, I never said anyone was entitled to own a home. What I did say is that the banks are flat lying to people about what they can and cannot do. If you are denying that the banks had a large portion of the mortgage problem then you dont understand what really happened.
Kiovo, you are lucky because real estate in Texas could easily be just as expensive then where would you go. But because of our state government and other things as a result of the real estate bust a few decades ago it didnt get out of control here. Look at Austin housing costs there are more expensive then they are in the rest of the state not as bad as say CA but they are higher and the wages arent significantly better than Houston.
Sunrise, I never said that there is a big difference I did say that I do have a slightly different view in that for the most part payday loans are more explicit and most people know you will be raked over the coals. Also there is less of an emotional attachment with the end product. In home buying you have the emotional attachment to the purchase and in many cases the banks hide things from consumers and flat lied to many people about ARMs and other mortgage vehicles.
Originally posted by Delock View PostIt's the America way! House, nice car in the drive way, and 2.5 kids!Experiencing an aquatic renaissance!
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LOL
Sorry I ranted. I've just had to hear a bunch of people at work sell me their sob story how they got trapped in their 300k ARM and had to sell/foreclose and its all the government's fault, etc etc.Experiencing an aquatic renaissance!
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[/QUOTE]You're damn right its the American way! The problem is that it took me and my wife nearly 10 years of fulltime work before we were able to get into our first home. Not everyone seems mature enough to want to wait though, and the goverment open the doors to let the banks feed the people's greed. This is the end result. I have no pity for those who were greedy and chose to live beyond their means.[/QUOTE
But what about those who WERE living within their means and lost their homes due to job loss, etc. YOu and your wife are both very lucky to even have full time work in this economy. What would happen if one of you lost your income? What if both of you lost your income? We assume that everyone who had a subprime mortgage felt as if they were "entitled" to something and living above their means.Haiku's are easy
But sometimes they don't make sense
Refrigerator
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Originally posted by jeebus View Post
You're damn right its the American way! The problem is that it took me and my wife nearly 10 years of fulltime work before we were able to get into our first home. Not everyone seems mature enough to want to wait though, and the goverment open the doors to let the banks feed the people's greed. This is the end result. I have no pity for those who were greedy and chose to live beyond their means.
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Originally posted by Kiovo View Posthaha it only took me 4 years if even!
Originally posted by stevenallenbarnard View PostBut what about those who WERE living within their means and lost their homes due to job loss, etc. We assume that everyone who had a subprime mortgage felt as if they were "entitled" to something and living above their means.
My anger is mostly with those who were foreclosed on before the layoffs even started. I'm speaking of the ARM financed homeowners who rolled the dice on the fact of whether they would be making enough money in 5 to 10 years to make that adjusted payment when the principle kicked in. Those thousands of foreclosures (I feel) perpetuated the recession. It was systemic. Thousands of ARM's came due, thousands forclosed, banks began to fail, businesses propped by the banks began to fail, people were laid off, and we land in a recession with 10+ percent unemployment and thousands of homes left in foreclosure.
We as a society collectively chose to live beyond our means, and when it got away from us, it punished those very few remaining hard working people you ask about in your example, who were laid off and lost their homes as well - even though they WERE responsible.
Its the ant and the grasshopper. Except in this version, there's only 1 ant and 1,000 grasshoppers.
YOu and your wife are both very lucky to even have full time work in this economy. What would happen if one of you lost your income? What if both of you lost your income?
I work with guys and have neighbors that only made XYZ combined annually, but borrowed via ARM at that up to 200% of that set amount. They all thought the same (if they gave it any thought): "Five years from now, we'll be making more than enough money.."Last edited by jeebus; 05-20-2010, 05:41 PM.Experiencing an aquatic renaissance!
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Originally posted by stevenallenbarnard View PostBut what about those who WERE living within their means and lost their homes due to job loss, etc. YOu and your wife are both very lucky to even have full time work in this economy. What would happen if one of you lost your income? What if both of you lost your income? We assume that everyone who had a subprime mortgage felt as if they were "entitled" to something and living above their means.Last edited by Kiovo; 05-20-2010, 10:04 PM.
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