Story Comments
Posted by: nostalgia 10 months, 4 weeks ago
This page is a permanent archive of the comment below and its replies.
To view this comment in the context of the full discussion for the story, use this link.
-
Neutral
nostalgia10 months, 4 weeks ago
This comment is below the standard viewing threshold View It ยป
That's the problem when you hand out "no money down" loans
Reply
People have nothing invested in the home. It's like paying rent
They really don't lose anything by walking away
Look for new "cram down" provisions in the stimulus bill
It will allow bankrupcy judges to force banks to rewrite mortgages for "current" value not the original purchase price
So if the bank loaned the home owner $200,000 to purchase the house and it is now worth $150000, the new mortgage will be for $50,000 less than the original purchase price and the bank will lose $50,000
What do you think that will do to banks already in trouble?
You will see more bank bailouts and higher interest rates for people who now borrow
Some in Congress want the cram down provision inserted into the stimulus bill
loading ...
People Who Liked This Comment (0)
No one voted this comment positively. Is it really that bad of a comment?
People Who Didn't Like This Comment (0)
No one voted this comment negatively.
Post Reply
You are not signed in to Propeller.com. Please sign in to post a reply.