Walking away from your mortgage

[RadiomanATL]

I wonder how much my house is worth. I purchased in July 2005.

I regret to inform you that your park bench has declined in value about 23% since you purchased it.

Current value is somewhere around $52.

 

[JakeStarkey]

Because I have no trouble making him look like a fool. And when he has gone head to head with the lefties, he loses every time. Calling it what it is can never be whining, Harry.

it depends on how you look at it Jake....when someone does not come back to answer whatever has been said in the discussion they are in....i am assuming they have no answer,so they conveniently go on to another thread,OR just ignore the poster they are conversing with and act like they never conversed....they lost the debate as far as i am concerned.....and i dont mean you....you have always hung in there,at least in our slugfests....now there are a few in here that leave every time lefties and righties...i have seen Zander in discussions with some lefties in here who have just disappeared or ignored his question....does that mean he lost or they lost?.....

I agree with you on the concept of last poster standing. What I am saying is that Zander won't come out but snipes from the shadows. That's cowardly. You are also right about hanging in there. You do as well. OK, hit me with your best shot (have I heard that before?), and let's move on.

 

[nraforlife]

............ Because, really, you have no fucking idea what makes someone expert or not.

..................

kid, it is really REALLY stoopid of you to assume everybody is as butt ignorant and dependent as you are.

 

[Harry Dresden]

I agree with you on the concept of last poster standing. What I am saying is that Zander won't come out but snipes from the shadows. That's cowardly. You are also right about hanging in there. You do as well. OK, hit me with your best shot (have I heard that before?), and let's move on.

.....ok we are done....

 

[nraforlife]

.................
They signed LOAN DOCUMENTS. They have a LEGAL CONTRACT obligating them to pay.

...................

In many States leaving the keys in the bank's night drop does in fact satisfy any legal obligation to the bank.

 

[kwc57]

No, they don't make guarantees. But they are in a position of power are supposed knowledge and people trust them.

Position of power? They provide a service and compete with the bank down the street. Until you sign on the dotted line, you are free to walk out of the office. What is up with people wanting to blame everyone else and not taking any personal responsibility?

Yes. Position of power. You do realize that knowledge is power and that not everyone has an equal amount of knowledge, right?

People were called stupid for not taking out larger home loans. I know my parents, who are not poor and were nowhere close to subprime loans, were actively ridiculed by bank employees because they were only taking out a moderate loan when they built their house in 03. Yes, this influences people. Are you really so ignorant of psychology to think that oh, well, because people have free will it doesn't matter what is done to influence them?

No lender ever puts a gun to anybody's head and forces them to take out a loan. In fact, they will deny the loan if the person doesn't qualify.

Actually for a while they were accepting pretty much everyone.

I've worked in the banking industry for 31 years and one thing I can say with 100% certainty is that you sir are full of bullshit. You are clueless as to how the real world works. You have a media based axe to grind that in no way resembles reality.

 

[SpidermanTuba]

You haven't provided any evidence of these banks being dishonest.

Have you been following the news for the past couple years?

Yes. I wasn't aware that some banks having a financial problem due to dishonest practices means that all banks are lying to everyone. That doesn't seem logical.

What evidence is there that any of these banks lied to these people?

Why does everyone think this only applies to the folks covered in this article?

It general takes months between default and final eviction. This isn't anything new. And people will use the money they aren't spending on a house note to buy other things. The only difference is now, some journalist chose to write a story about it.

 

[SpidermanTuba]

It's doubtful that the folks in the linked article have anywhere close to 85% equity, if any at all. But in the real world, if you were lucky enough to have that kind of sweet equity in your house, and you walked away (ie: 100k home you would in essence have $85k in cash in your hand) that's your bad. The bank wouldn't owe you anything at all and surely we can all understand that.

Wow, what a perfect banker attitude! "My money is mine, and so is yours!"

Sorry bub but a mortgage isn't a rent to own contract. If there's money left over after the bank and everyone gets paid, its owed to the borrower.

What part of DEFAULT do you not understand? Seriously!

What part of "equity" don't you understand? This is home loan 101

Home equity stays the property of a homeowner even in the event of a mortgage default and foreclosure on the home

http://www.loan.com/home-loans/what-happens-to-equity-during-foreclosure.html

Its kind of sad that Rocky Top Lady, who claims to have worked in a bank, isn't aware of this - she smugly thinks the bank owns the equity of the homeowner, and is sure that everyone can understand that! After all, the bank's money is the bank's money, and YOUR money is also the bank's money, also!

 

[kwc57]

Wow, what a perfect banker attitude! "My money is mine, and so is yours!"

Sorry bub but a mortgage isn't a rent to own contract. If there's money left over after the bank and everyone gets paid, its owed to the borrower.

What part of DEFAULT do you not understand? Seriously!

What part of "equity" don't you understand? This is home loan 101

Home equity stays the property of a homeowner even in the event of a mortgage default and foreclosure on the home

What Happens to Equity During Foreclosure? - loan.com

Equity is something you have when you do not DEFAULT on your loan. If you are current on your payments and SELL the house, your mortgage gets paid with your lender and you get your equity. That is when you are current and sell. If you default, you default. Defaulting is saying I can't pay this and I'm sticking the lender with it. You have no equity in that case. This is contract 101 and part of what you are told by regulation when you take out the loan.

 

[SpidermanTuba]

What part of DEFAULT do you not understand? Seriously!

What part of "equity" don't you understand? This is home loan 101

Home equity stays the property of a homeowner even in the event of a mortgage default and foreclosure on the home

What Happens to Equity During Foreclosure? - loan.com

Equity is something you have when you do not DEFAULT on your loan. If you are current on your payments and SELL the house, your mortgage gets paid with your lender and you get your equity. That is when you are current and sell. If you default, you default. Defaulting is saying I can't pay this and I'm sticking the lender with it. You have no equity in that case. This is contract 101 and part of what you are told by regulation when you take out the loan.

Wrong. You just made all that up.


Although its rare to have enough equity to have any left over after penalty fees, banks cost to sell, and the lower price a bank will typically get for selling it at auction, any equity left over still belongs to the homeowner.

 

[kwc57]

What part of "equity" don't you understand? This is home loan 101



What Happens to Equity During Foreclosure? - loan.com

Equity is something you have when you do not DEFAULT on your loan. If you are current on your payments and SELL the house, your mortgage gets paid with your lender and you get your equity. That is when you are current and sell. If you default, you default. Defaulting is saying I can't pay this and I'm sticking the lender with it. You have no equity in that case. This is contract 101 and part of what you are told by regulation when you take out the loan.

Wrong. You just made all that up.


Although its rare to have enough equity to have any left over after penalty fees, banks cost to sell, and the lower price a bank will typically get for selling it at auction, any equity left over still belongs to the homeowner.

Really? It depends on a number of factors.

Commonly Asked Foreclosure Questions

7. Foreclosure - You may elect to allow the home to be entered into mortgage foreclosure. This is the most damaging to you. The Mortgage Company will take your home and all of your equity. If there is no equity they may come after you to pay the shortage or “deficiency”. This is also the most damaging to your credit and your ability to acquire another home loan.

 

[SpidermanTuba]

Equity is something you have when you do not DEFAULT on your loan. If you are current on your payments and SELL the house, your mortgage gets paid with your lender and you get your equity. That is when you are current and sell. If you default, you default. Defaulting is saying I can't pay this and I'm sticking the lender with it. You have no equity in that case. This is contract 101 and part of what you are told by regulation when you take out the loan.

Wrong. You just made all that up.


Although its rare to have enough equity to have any left over after penalty fees, banks cost to sell, and the lower price a bank will typically get for selling it at auction, any equity left over still belongs to the homeowner.

Really? It depends on a number of factors.

Commonly Asked Foreclosure Questions

7. Foreclosure - You may elect to allow the home to be entered into mortgage foreclosure. This is the most damaging to you. The Mortgage Company will take your home and all of your equity. If there is no equity they may come after you to pay the shortage or “deficiency”. This is also the most damaging to your credit and your ability to acquire another home loan.

That's kind of my point. They'll take all your equity even if you may be legally entitled to some of it. You'd have to fight them in the courts for it - and as someone who just had a foreclosure, its doubtful you'd have the resources. The banks know this and will fuck you in this way if they can get away with it.


So I see no problem with people fucking the banks, so long as both parties comply with any court orders.

 

[Gunny]

'Force me out if you can': Homeowners vs. banks - The Week

A growing number of homeowners — particularly those whose properties have plunged in value in recent years — are voluntarily ceasing payments on their mortgages and telling banks, "Force me out if you can," reports The New York Times. These loud-and-proud defaulters are using the money to stabilize their finances and even treat themselves to a few luxuries. Are these freeloaders taking advantage of overwhelmed banks, or did the banks deserve it for "snookering homeowners with loans that got them in over their heads"?

It's the fault of both sides. Shoddy lending AND borrowing.

 

[kwc57]

Wrong. You just made all that up.


Although its rare to have enough equity to have any left over after penalty fees, banks cost to sell, and the lower price a bank will typically get for selling it at auction, any equity left over still belongs to the homeowner.

Really? It depends on a number of factors.

Commonly Asked Foreclosure Questions

7. Foreclosure - You may elect to allow the home to be entered into mortgage foreclosure. This is the most damaging to you. The Mortgage Company will take your home and all of your equity. If there is no equity they may come after you to pay the shortage or “deficiency”. This is also the most damaging to your credit and your ability to acquire another home loan.

That's kind of my point. They'll take all your equity even if you may be legally entitled to some of it. You'd have to fight them in the courts for it - and as someone who just had a foreclosure, its doubtful you'd have the resources. The banks know this and will fuck you in this way if they can get away with it.


So I see no problem with people fucking the banks, so long as both parties comply with any court orders.

Explain this to me. I make loans. You come to me for a loan. The terms of the loan I make is that if I give you MY money for you to buy a house, you have to pay me back with interest and you have to make monthly payments. Further, if you fail to make payments after X amount of time and become delinquent, I can seize the collateral (house) and sell it. I explain this to you upfront and you agree to it. At the same time, I offer you mortgage insurance to cover such an occurrence so you won't lose the house and any equity you have and you choose not to do so. You sign the contract. How am I fucking you over if you later default on the terms of the loan you agreed to and signed your name to?

 

[SpidermanTuba]

Really? It depends on a number of factors.

Commonly Asked Foreclosure Questions

7. Foreclosure - You may elect to allow the home to be entered into mortgage foreclosure. This is the most damaging to you. The Mortgage Company will take your home and all of your equity. If there is no equity they may come after you to pay the shortage or “deficiency”. This is also the most damaging to your credit and your ability to acquire another home loan.

That's kind of my point. They'll take all your equity even if you may be legally entitled to some of it. You'd have to fight them in the courts for it - and as someone who just had a foreclosure, its doubtful you'd have the resources. The banks know this and will fuck you in this way if they can get away with it.


So I see no problem with people fucking the banks, so long as both parties comply with any court orders.

Explain this to me. I make loans. You come to me for a loan. The terms of the loan I make is that if I give you MY money for you to buy a house, you have to pay me back with interest and you have to make monthly payments. Further, if you fail to make payments after X amount of time and become delinquent, I can seize the collateral (house) and sell it. I explain this to you upfront and you agree to it. At the same time, I offer you mortgage insurance to cover such an occurrence so you won't lose the house and any equity you have and you choose not to do so. You sign the contract. How am I fucking you over if you later default on the terms of the loan you agreed to and signed your name to?

Mortgage insurance covers the banks losses after foreclosure. I'm talking about the case where the bank has no losses - where there is equity left over after all the banks losses are covered and any fees,etc. they are contractually entitled to are covered. When this happens, unless there are regulations preventing it, the bank will just tell you to fuck yourself, sue me if you want you money.

 

[Neubarth]

Eight close friends of mine are now refusing to pay their mortgages. This situation is getting worse by the day. Yet nothing is being done to create permanent jobs in this country.

We need to create a United States of North America and trade exclusively in our own Economic Co Prosperity Sphere. Failure to do something drastic like that will result in a drastic outcome.

To a lesser degree, we could refuse any and all imports from China. They could retaliate by selling their bonds that they hold and then the FED could buy them and dismiss them. That would help tremendously, and it would not reward the damn Communists when other democracies could benefit from our purchases.

 

[kwc57]

That's kind of my point. They'll take all your equity even if you may be legally entitled to some of it. You'd have to fight them in the courts for it - and as someone who just had a foreclosure, its doubtful you'd have the resources. The banks know this and will fuck you in this way if they can get away with it.


So I see no problem with people fucking the banks, so long as both parties comply with any court orders.

Explain this to me. I make loans. You come to me for a loan. The terms of the loan I make is that if I give you MY money for you to buy a house, you have to pay me back with interest and you have to make monthly payments. Further, if you fail to make payments after X amount of time and become delinquent, I can seize the collateral (house) and sell it. I explain this to you upfront and you agree to it. At the same time, I offer you mortgage insurance to cover such an occurrence so you won't lose the house and any equity you have and you choose not to do so. You sign the contract. How am I fucking you over if you later default on the terms of the loan you agreed to and signed your name to?

Mortgage insurance covers the banks losses after foreclosure. I'm talking about the case where the bank has no losses - where there is equity left over after all the banks losses are covered and any fees,etc. they are contractually entitled to are covered. When this happens, unless there are regulations preventing it, the bank will just tell you to fuck yourself, sue me if you want you money.

You need to educate yourself on the different types of mortgage insurance.

Insurance pays the mortgage after a layoff

 

[JakeStarkey]

kwc57, you need to answer the questions instead of giving simple blow off answers, because you seem to be getting your butt royally kicked.

And, Neubarf? You caught my attention on your previous post about a protectionist sphere and buying and dismissing Chinese holdings of our bonds. Please explain that more in detail. PM me if you wish.

 

[Neubarth]

kwc57, you need to answer the questions instead of giving simple blow off answers, because you seem to be getting your butt royally kicked.

And, Neubarf? You caught my attention on your previous post about a protectionist sphere and buying and dismissing Chinese holdings of our bonds. Please explain that more in detail. PM me if you wish.

The Federal Reserve has the capacity to make money electronically out of thin air. Since the US government created the FED, we can also ask them to make Debt disappear into thin air. If the Board of the Fed agrees, the debt can be dismissed. We will do that after we fund Social Security for the next twenty years. Remember we do not really pay the Fed interest on the Bonds that they buy. We technically do but they take most of that interest and put it in the treasury after some operating cost deductions. In the future we will just have them burn the bonds. Now, I know that people will say that the Fed is too greedy to do that. If I were president, they'd do it in an instant as soon as I snapped my fingers. We will see who is President when it is asked for.

 

[kwc57]

kwc57, you need to answer the questions instead of giving simple blow off answers, because you seem to be getting your butt royally kicked.

And, Neubarf? You caught my attention on your previous post about a protectionist sphere and buying and dismissing Chinese holdings of our bonds. Please explain that more in detail. PM me if you wish.

Really? Cuz I don't feel a thing. My wife and I have worked in the eeeeeevvvviiiiilllll banking industry for 30+ years each and I know a little something about the business. A bank is a for profit business that is heavily regulated by the government. Loans are contracts entered into by two parties. The bank is required to fully disclose he terms and conditions of he loan and the borrower is under no obligation to sign on the dotted line. Banks don't fuck people over. In each "blow off" answer I've given, I've backed them up with facts. There are multiple types of mortgage insurance. One is PMI which does indeed cover the lender's loss. All I told Spiderman to do was educate himself when he claims the bank is insuring hemself and fucking over he customer.......because he is presenting a highly biased and emotion based view. I'm kicking his ass by presenting him with facts that counter his "feelings". A borrower can indeed take out unemployment insurance on their mortgage. Nobody is fucking anybody over.....they are doing business with one another and entering into a contract. Them's the facts and you and Spiderman can read the links to educate yourselves or delude yourselves that you're kicking butts when you're not.