I was watching the news yesterday. They were talking about the financial crisis and how foreclosures are up nation wide. They just kept saying how many homes families have lost.
I gotta get something off my chest. To me someone that loses their home has a crisis in the work place or family medical issues that cause a hardship. Period.
Then, there are those homeowners that decide it doesn’t make sense to pay for their home any more because the value has fallen below the debt. That’s not losing your home, that’s giving it back or walking away.
The other catagory is the people that borrowed against the inflated value and spent the money to upgrade their lifestyle. These people are now dissapointed that home has fallen to the level before the boon and want to quit making their payments since the house next door (foreclosure) is now on the market for half of their debt. These people might have to sell the boat, SUV, and second home. That’s not losing your home, that’s getting real.
Their are home owners that signed up for loans that had adjustable rates and now they are surprised that the rate is adjustable. They put little or no money down and now they think it is the lenders duty to lock them in to a low fixed rate or extend the debt period. Don’t get me wrong, I think the lender should feel the pain of giving these people a loan in the first place. If these people didn’t know that the loan was adjustable, shame on them.
What about the responsible home owners that have taken a big hit on their values, shouldn’t they get an out for the situation too? These people have been responsible, but now they are unable to take advantage of the lower rates because they don’t have 20% equity. Shouldn’t these folks get an adjustment?
Let me know your thoughts…..
Associate, The Tim Wood Group
Coldwell Banker Mountain Gallery
42153 Big Bear Blvd.
P.O. BOX 6820
Big Bear Lake, CA 92315
909 866-3481 EXT. 217 CELL 909 725-5889
Fax 909 866-3531