Home Owner in good standing.

My household is in good standing. I have a good loan. I've kept my nose clean. I'm on top of the game. My payment for my home goes in every month on time/early.

It would seem I'm among one of a few with the foresite to achieve this.

However Now looking at my home morgage website, and many like mine, anyone can see that they are offering all the delequents special deals, rates and other things.

Sooo... let me get this strait. If I stop paying you now your going to give me accentives to pay? However If I'm a home owner in good standing I get no deals?

What type of crap is this?!?

If you got a bad mortgage you are a one time 'dupe' so companies without scrupules will not bother with you because you have a mortgage with a fixed percentage i think?

My father had the same thing, he's living in the same house for about 30 years, has only 30.000 as debt (payable in one go if need be ), no extra loans or anything. Got a call from some kind of sollicitor and they wished him a good night when they realized he just had the one mortgage and nothing else. Don't feel bad but feel good about it . If you really read the 'deals' you'll see so many small letters it will look like _____________________________________________________________ _____________________________________________________________ _____________________________________________________________ _____________________________________________________________ _____________________________________________________________ __________________ ( translation: Screwed)

[edit on 25-11-2008 by Harman]

Originally posted by Incarnated
My household is in good standing. I have a good loan. I've kept my nose clean. I'm on top of the game. My payment for my home goes in every month on time/early.

It would seem I'm among one of a few with the foresite to achieve this.

However Now looking at my home morgage website, and many like mine, anyone can see that they are offering all the delequents special deals, rates and other things.

Sooo... let me get this strait. If I stop paying you now your going to give me accentives to pay? However If I'm a home owner in good standing I get no deals?

What type of crap is this?!?

Well that's great to hear you are doing so well.
But what will happen, if you have no Job?
How will you pay?
Its great to hear you boasting about this, when hundreds of thousands of people are homeless and have no food.
Many people lost there homes becaus, they lost there jobs.
And more job losses are to come.
To call them all delinquents is selfish.

reply to post by CaptainCaveMan


Delinquent is a technically accurate term for someone who falls behind on their payments. I don't think he was "name calling".

Originally posted by stumason
reply to post by CaptainCaveMan

 

Delinquent is a technically accurate term for someone who falls behind on their payments. I don't think he was "name calling".

Right you are.
But it also has a deeper meaning, one that fails to pay due to his or her own negligence.
Clearly people losing there jobs, and unemployment skyrocketing, due to a global financial crisis, is not there own negligence.
That falls under the term of failure to pay due to hardship.
Not delinquency.
Someone who is doing well, and can pay there mortgage asking why shouldn't they also get some benefits when the benefits are for people in extreme hardship.
I find selfish and ignorant.
The more homes foreclosures, the less this persons home is going to be worth.

reply to post by CaptainCaveMan



It's a fact that many thousands of people willingly got in over their heads with mortgages they couldn't afford and knew they couldn't afford.

I think what the OP is implying is that people who are responsible and live within their means can't figure out why people who are irresponsible seem to always get a hand up when they should be forced to realize their mistakes and learn from them. Not get bailed out because of their ignorance.

However, people that lost their jobs and in turn lost their homes deserve a little help.

People need to stop their frivolous spending and understand that life is not about material goods. We have no credit cards, no car payments and no loans of any type (other than our mortgage) and we don't have any of these things because we know we couldn't afford them. I wouldn't be honest if I didn't say I sometimes wish we had at least one credit card but it's too much of a temptation. If we don't have cash to pay for something, we don't get it.

I think it would behoove everyone to adopt this way of life and therefore, reduce the risk of becoming homeless or having your car repossessed etc.

A little common sense goes a long way.




[edit on 11/25/2008 by soldiermom]

reply to post by Incarnated


I know it doesn't sound right but you just keep doing exactly what you're doing. I've been in and around Real Estate and development for 27 years and it always comes back. If you remember, the last go around was in the 1989-1991 time frame when the Savings and Loans collapsed. Granted this affected commercial real estate more than residential but had similar results. Maybe I should do another thread on this topic but for the purposes of this thread...just think of it as a very large adjustment.

The stock market had to adjust and it started with the failed dot coms. The Real Estate market has to adjust because property values became over inflated due to the ability of people who normally wouldn't qualify for a loan geting them and people who normally couldn't afford the mortgage payment of a more expensive home suddenly having the ability vis a vis an adjustable rate mortgage.

Just think of your monthly payment as an investment. Each month you grow the equity in your home. This will turn and you will be in a great position when it does.

What the banks are doing is convoluted but it will have an eventual positive effect. That is, it will bring the value of homes down to more realistic prices.



[edit on 25-11-2008 by GeneralLee]

reply to post by Incarnated


WELCOME! To the exciting & mysterious world of welfare & socialism. Please don't forget that you must be at least this disadvantaged to ride the rides.

You are right, it isn't fair at all, but at least now you hopefully have gained some insight and understanding of the "Keep working! Millions on welfare depend on you." bumper sticker I used to have on the back of my truck.

reply to post by Incarnated


Although i understand your frustrations please remember that if the banks allow these people to default and foreclose on the home, you will have done nothing wrong but yet be impacted drastically when/if you try and sell. I don't agree with the bailouts just playing devils advocate as i am feeling the pinch of these who have gone into default.

Say your home is worth 200K, 3 similar houses near you go into foreclose and sell at auction for 120K. Guess what your home is worth....120K.(this is not far fetched this is happening all over). Now you have been good as you said. say you even put 10% down on your home and have paid down the principle so you currently owe say 170K. Now your husband or you lose your job, maybe your self employed and business goes down and you decide to downsize as it's getting tougher and tougher to pay the bills.

How do you do it? youv'e done nothing wrong but now owe 50K more than your home is worth not to mention real estate and closing fees. Business keeps going down and you have to start tapping into savings to pay for life in general. How long can you go before your pulled down with the rest... OR...........

Try and stop the foreclosures, keep values as steady as possible, get homes of the market (supply and demand) so the good people are not as f'ed as the others.

Remember and be proud that you will at least not have 5 phone calls a day, a Bankruptcy on your record, a foreclosure on your record, late payments and will still be in the much smaller majority with great credit when all this clears. It's not all "people with idiot loans" going into default as you see. I have numerous great credit clients who put money down who are now getting worried.

OBTW i am like you yet as a small bus. owner i 9 months ago decided to down size and sell my house. Still listed really no one even looking. I had 200K in equity now lowering the price 150K off what it was worth when listed, and have been at that point for 4 months now. With closing fees i can't go lower, i did it right and sure wish those foreclosures would get off the market so i can sell.

Originally posted by Incarnated
What type of crap is this?!?

the kind of crap that causes global financial meltdown!!!

I too have no other dept other than a mortgage. I wish I did not have that. However I often wonder just how much money or equity I have lost due to this disaster. Yes it affects even those of us that have no use for credit cards or loans. My IRA has collapsed and I have nearly no capital for retirement. Yes there are others out there less fortunate than I, and I am not crying about poor me, but letting others know that it affects everyone.

respectfully

reluctantpawn

Originally posted by pieman

Originally posted by Incarnated
What type of crap is this?!?

the kind of crap that causes global financial meltdown!!!

When I went through college, more students were conserned with dragging down the class curve, as if everyone in the class sucked everyone would get an A, then were conserned with learning something useful.

That's what this event reminds me of. So many people just taking too much, not thinking, not planning and not caring.

I want a gold star or something!

reply to post by Incarnated


Miss a mortgage payment = hurt your credit.

Any "deal" benefits the MORTGAGE COMPANY .. not the home owner..

temporary relief for future payment.

Most forms come in the guise of Moratorium (Latin, Death of Action) .. meaning to stop payments and attach all payments + interest to the back end of a mortgage (French, meaning Death Pledge). You thus pay interest on your interest.

Other options.. increase Mortgage Lifespan .. meaning taking a 30 year note and making them 40-50-60 and 70 year notes. This increases the H/O actual payments over the life time of the note by more then 100% and essentially guarantees they never own their home.

So ya.. your rreeeaaalllly being cheated there mate..

Someone delinquent on their Mortgage does not imply "free loader" or anything else as far as negative condemnation you apply.. When you understand the dynamics of economics you would see there was 100% no way this was avoidable. Most people get caught in a system so much bigger then themselves.

People like you don't help the situation either with your self righteous "well I have no worries" .. When someone else can just say right back "you didn't loose your job did you?"

Very unbecoming of you.

reply to post by Rockpuck

That explains everything. The Feds have been pumping trillions into the banks in hope to thaw the credit freeze, but things are not working so they pump more being completely oblivious to the fact that something else is responsible for the credit problem: A great number of home owners bruised their credit standing and froze their ability as consumers to get easy payments,
www.pueblo.gsa.gov...
so they don't purchase the same way as they used to when their credit score was high enough to buy stuff left and right. As a result, the economy slowed down considerably -- far less orders based on consumer demand.

There is a chance that the Feds will figure in December 2012 where the real problem was and will withdraw that $789 trillion of TARP money from the banks, exactly as the Mayans predicted it would happen and Obama will take it from there; he will pump more credit points into AmEx books.

I'm in the same boat, have no debt other than a mortgage, bought the home for about 10% below everything else in the neighborhood and less than the cost to construct a new, cheaper built home. Many neighbors were unhappy that we killed the comps in the area.

I found out the property has lost about 20% of its value, and I'm "underwater" (owe more than the house is currently worth, like being "upside down" in a car lease).

I have a low fixed rate mortgage, and can't refi to something lower because of the appraisal issue. I have the credit to get a new loan, I just can't get a loan on my home because I owe more than it is worth. And bringing that to the attention of a lender would likely damage my credit score.

That doesn't bother me so much because I figure the market will eventually come back and homes will be worth at least what they cost to construct for a new one. Eventually. Like in four or five years I might, break even, or at least not bleed to death.

What scares me is that I have no way out. Should I lose my income, I can't sell the home before my savings runs out (about six months). I would have to take in roommates because the HOA is at its maximum for rental homes.

I'm worried, really, really worried. I'm hedging my bets looking for ways to be able to at least cover the mortgage payment.

I also feel frustrated. I purchased a modest home at a 30 year fixed rate. Took no equity loans. I watched as people purchased fancy autos, boats, toys, etc while I went to work everyday and lived within my means.
I have paid my mortgage on time each month but now have about $75,000 negative equity. I am upside down or as some say underwater.

What do I do, just keep paying on a house that is worth way less then what I owe?

Now the gov is sending $121 million in aid to my state:

"Arizona will receive $121 million to combat the state's growing foreclosure problem. Most of the money must be spent to buy and fix up foreclosure homes and then help people purchase them".

Won't this make the value of my home drop even more?

Shouldn't someone give people like me an incentive to keep our homes? I am thinking something like a much lower interest rate or move us to the highest credit rating possible.

You might try to say that I am lucky to have a job and be able to pay my mortgage. However, I lived within my means. I was not one who the more I made the more I spent. I spent 21 years in the military to secure a pension. When I got out the only job I could get hired for was a crappy low paying job with no benefits. In fact, it is Thanksgiving and I am at work now. I have worked every Thanksgiving since I retired. Anyway, I am getting off topic.

Bailouts are BS. They should have never have done any of them. Let the cards fall where they may.

I think what the OP is implying is that people who are responsible and live within their means can't figure out why people who are irresponsible seem to always get a hand up when they should be forced to realize their mistakes and learn from them. Not get bailed out because of their ignorance.

I hear ya. I knew I couldn't afford a mortgage so I didn't get one. I have CHOSEN to be a renter. I have CHOSEN not to go into debt to get shiny things ( Not that I don't get shiny things, I just don't get them if I don't have the CASH). Do you you know how many times I have been asked why as a 35 year old woman I do not have my "own" home? How many times at work functions it was insinuated I was less of a person because I didn't have my "own" house? I have very lttle in common with women my age. No kids, no debt, no illusions that I have to have a boob job to look like *fill in celebrity name here*.

In the meantime I can read all about extra incentives for families and home "owners" .... Have kids you can't afford, get into debt, buy houses you'll lose if something bad happens, go to university to get a degree so you can do the same job as me getting thousands in loans, put fancy holidays on your credit card - Just do it..the government will help you get by, the media will help you to feel like a victim and society will pat you on the back.

I sound bitter...*sigh* .

I can't help but wonder if I've been a chump.

reply to post by Merigold


Merigold, we don't always agree but I gave you a star for that one. I too choose to be a renter. Honestly, I think the people who are paying nearly a million dollars for a postwar 1-story home in my neighborhood are the suckers! I have rent and bills included for what some pay just for their mortgage, and if something goes catastrophically wrong with my home it's the landlord's problem rather than my own. Not to mention that if I couldn't make the rent one month my credit isn't damaged for years and I'm one step closer to being homeless.

I have done the math and I would have to rent my home for 25 years to lose money by renting rather than owning, and that's only if I bought the house outright. When you buy a home you're paying close to the value of the home in interest in addition to the purchase price.

Who's the sucker again?

Originally posted by stumason
reply to post by CaptainCaveMan

 

Delinquent is a technically accurate term for someone who falls behind on their payments. I don't think he was "name calling".

It's not delinquent! There literally isn't enough money in the money supply for everyone to pay off their debts. It's a game of musical chairs. Someone is not going to be able to pay, no matter how studious everyone is.

reply to post by burdman30ott6

"Keep working! Millions on welfare depend on you."

Now burdman, that ones funny and sad at the same time..............