Should they help everyone with a variable rate loan, even those who could have afforded a smaller but decent house at a lower rate, but wanted to manipulate the system to get rich quick? Should they help only those with lower end houses by a limited amount so that we help only those who truely need it? Should they not help anyone and let the economy work it out?
This is a sample footer. This text can be customized from the options page. Good luck.
Related Products:
7 Comments
redwine
on 14th Mar, 10 05:03am
People need to take responsibility for their own actions. They should help those that are truly able to refinance, and start the flow of credit again. Other than that, they should do nothing. Just one humble person’s opinion.
patrick
on 14th Mar, 10 05:03am
The only people that should be helped, are the ones that can prove that they were victims of fraud.
Anyone that signs a contract to repay money, needs to understand they have responsibility. Fro the government to bail out people that should have never applied for a loan, is rewarding stupidity and greed.
SPIFIMAN1
on 14th Mar, 10 06:03am
Considering this happened because of the greed of many different people I don’t think the Government should do anything.
The lenders made stupid loans without verifying income or property values.
The customers bought homes that they could not afford thinking that they would be able to flip them before the rates went up.
Some customers bought trade lines to make their credit scores go up so they could qualify for loans that they really did not deserve.
The appraisers lied and said that homes were worth more then they really were so people could qualify for 100% ffinancing and no money down.
Add to this the market crashing, people not being able to sell their homes due to them not being worth what they were told and you have the sub-prime mess we are now seeing.
This is what happens when you gamble, sometimes you win and sometimes you lose.
Just my opinion.
Sam B
on 14th Mar, 10 07:03am
Absolutely nothing. People should take responsibility for their actions. If you gambled that the interest rates would stay low, that’s not much different from going to Vegas and throwing your chips on the table.
Tigh
on 14th Mar, 10 08:03am
They should arrange for assistance for them. When rates fell from 8% – to 5% there where so many people that wanted to refi their home that brokers and morgage copmanys hired everone they could. (no experice necary) and after the refi boom was gone the uneducated loan officers with no eticks lied to their customers to make as much money as they could.
Most of them where told that they would be able to refi or lower their rate before their rate went up. Now these people are in homes they can not afford and famlies are getting thron out on the streets with their kids.
howtosecret
on 14th Mar, 10 08:03am
They already offer fixed rate loans through FHA. That is what we have on our house, and we got it over 5 years ago.
My two cents… use some of that unclaimed grant money that is supposedly out there, and give it for zero down programs so people can start buying houses again. Also, use that unclaimed grant money to help borrowers in crisis pay for refinancing on their current mortgages.
If the government would just get their heads out of their nether regions, they could come up with a TON of ideas to help out this situation.
yourmtgbanker
on 14th Mar, 10 09:03am
The FHA Secure program the government has introduced is not a bail out. The customer still has to qualify to refinance and no portion of their balance is waived. The rate adjustments are higher to accommodate the lower scores. But, here is the clincher.. the people that are in these situations mostly have high debt ratios because they have borrowed money or taken cash advances on their credit cards etc to try to make their mtg pymts, their scores are low, and in a declining mkt their appraisal values are often low, and a lot of these ARM or sub-prime mtgs had prepayment penalties. Thus, I feel this program is more of a publicity stunt with the government to say they are doing something. Everyone I have tried to run through this program has been declined. I have also spoke to many lenders that have not been able to help anyone as well.
Now the freeze on rates is a bail out and will have an effect on the pricing of loans for everyone. I do not agree with this bail out.