Comments on: Government: Let’s Screw More Homebuyers!

By: Carlos Dehesa

Carlos Dehesa — Sat, 28 Apr 2012 21:22:39 +0000

¡Very simple!
What I think happens is that the bankers did not share the profits in times of fat cows (Before 2007) because it was assumed that the Fed will lend money to them with almost zero interest in order to invest in the stock market and lower the mortgage interests; but it didn’t happen that way, because while interests went high rocketing, bankers forgot to share their profits earning trillions of dollars and at the same time, interests rose to hell, and if you look the way they operated, they were really robbing the government and the people of this nation. They knowingly created a bubble and now they are here looking for our sympathy.

By: Bobbi Swann

Bobbi Swann — Sat, 28 Apr 2012 16:02:44 +0000

Please, let’s set the record straight for the person who wrote this piece: FHA loans are NOT negative-amoritization loans. The subject starts with FHA and then continues to broaden to negative-am loans. There is a definite distinction as FHA does NOT allow neg-am. Those type of mortgages were touted by World Savings, Countrywide, Washington Mutual and now a host of PRIVATE INVESTORS who are looking to make a quick buck! The monies for subprime loans is not coming from any government funding source but from private individuals or entities comprised of private individuals. It is a very lucritive business for investors and people are duped into these programs.

By: talktotennessee

talktotennessee — Sat, 28 Apr 2012 01:05:33 +0000

The industry returns t o drink the kool-aid as they cannot turn away from 100% loans and move back into the lucrative derivative market. Hard to let a marvelous source of income disappear just because it ruined the economy. Remember bank money was and is not on the line, they are selling it off to the government or investors, insured by the government.
Geithner said today the housing market continues to be weak but he offers no solutions, no bail outs, no modifications, no principal write downs. Geithner said the government is backing what lending is taking place albeit a small expenditure. We are moving into a second dip. Consumers are buying short term feely goods or high mileage per cars, etc. but housing is dead in the water. People are locked in and lenders are short selling and foreclosing in RECORD numbers!
As this plays out, the economy will continue to tank despite limited consumer spending.