Biggest defaulters on mortgages THE RICH

[saveliberty]

You people have your head so far up the rich people ass you cant think straight.

When you have assets you dont need to worry about your credit score you fools.

Jesus you people are stupid.

Credit is for people who can't buy. People who can't buy are not rich.

 

[Jarhead]

You people have your head so far up the rich people ass you cant think straight.

When you have assets you dont need to worry about your credit score you fools.

Jesus you people are stupid.

Credit is for people who can't buy. People who can't buy are not rich.

Credit for the more successful is used as a hedge.

Credit for the more successful is a tool that allows tham to grow their wealth.

No well off individual will ever allow his/her credit rating take a dive simply to get out of a bad investment.

 

[saveliberty]

Dear idiot, you are a lying sack of shit.

If there is property for a loaning institution to take in replacement for the money they will give a loan.

They dont loan to people because they are moral referees they loan for profit.

If they can profit in a default they will loan the money.

Jesus you are full of shit.

Bank stockholders take a dim view of the bank investing in depreciating assets. Property is an illiquid investment. Rethink this please.

 

[Jarhead]

Dear idiot, you are a lying sack of shit.

If there is property for a loaning institution to take in replacement for the money they will give a loan.

They dont loan to people because they are moral referees they loan for profit.

If they can profit in a default they will loan the money.

Jesus you are full of shit.

you are continually saying "I am clueless"

You are out of your league with this debate.

I suggest you end it now. Yoiu are making yourself look silly.

 

[Mr Natural]

Oh. I see. They are rich and since their property is no longer a good investment they are willing to allow their credit rating to take a dive in an effort to no longer need to pay off their debt. And they are more than willing to lose all they had already paid into the property.

Your logic, or lack thereof, is humorous.

If the property is heavily leveraged and is worth less now than when it was purchased, you can bet your ass they'll walk and credit rating be damned.

Nope. Not logical. Simply a rediculous assumption on your part.

Wealthy people are in real estate for the long haul if they need be. They do not kill all possibilities of investing in new real estate simply to avoid a loss today...a loss that in time will be a gain.

Sorry. Illogical.

You do realize there's a difference between being rich and being wealthy.

 

[Jarhead]

If the property is heavily leveraged and is worth less now than when it was purchased, you can bet your ass they'll walk and credit rating be damned.

Nope. Not logical. Simply a rediculous assumption on your part.

Wealthy people are in real estate for the long haul if they need be. They do not kill all possibilities of investing in new real estate simply to avoid a loss today...a loss that in time will be a gain.

Sorry. Illogical.

You do realize there's a difference between being rich and being wealthy.

Semantics.

Depends on how, why and when you use either or both terms.

Rich and Wealthy can mean exactlky the same thing when used in a certain context.

Rich can refer to liquid assets while wealthy can refer to assets in general.

Rich can mean "thick" as in chocolate.

Semantics my friend. And semantics is a very time consuming game people play on this board. Not you. But many do.

 

[The Rabbi]

The rich are rich because they love money above all else and will do anything to acquire and hang on to as much as they can even if it means screwing a lender out of what is rightfully theirs.

So you don't love money? So you wont do what you need to do to earn it and hang on to it?
You are full of shit.
The rich (whoever they are) are rich because generally speaking they work harder and are more capable than most other people. They are not defaulting on their mortgages, because that would make them poor. They might have been high income earners at one time, but that is not equivalent to being rich.

 

[Cecilie1200]

As reported in all mortgage data. Read NYT article today.
I have been telling you this for a long time.
It was not the middleclassand lower middle class from some government program forcing the banks to lend $ as right wing conspiracy kooks spouted.

Well, it would be nice to read the article that presumably sparked your "Aha!" moment, but since you conveniently didn't bother to provide a link to it, I can only assume that this entire thread is bullshit.

Call me when you're ready to substantiate your triumphant crowing with some facts.

 

[Cecilie1200]

As reported in all mortgage data. Read NYT article today.
I have been telling you this for a long time.
It was not the middleclassand lower middle class from some government program forcing the banks to lend $ as right wing conspiracy kooks spouted.

Bullshit.

The New York Times is pure Yellow-Journalism.

They can't be trusted.

Most of the defaults were from Sub-prime borrowers...which means those with bad credit and low income.

Next phony story

Of course, there's no way of knowing whether the NYT can be trusted in this case or not, since the OP didn't see fit to actually provide us with his base info.

 

[NYcarbineer]

ANYONE who has read anything in depth on this crisis KNOWS it was not fannie and freddie or the CRA that CAUSED this real estate bubble and bubble burst and bank bubble and bubble burst....so do some reading IF YOU REALLY WANT TO KNOW THE TRUTH.....stay away from the blogs and read some facts on those that have done analysis and shown the statistics that support what really happened.

Au contraire. Anyone who actually understands the financial markets realizes that the CRA combined with the socializing of risk/privatizing of profit nature of Fannie and Freddie are at ground zero of the crisis.

It's a shame you don't want information from the non MSM media. Steve Malanga is an excellent analyst:

RealClearMarkets - Articles - The Long Road to Slack Lending Standards

In other words, the government UNDER-REGULATED the real estate market and the banking/lending industry.

Let that be a lesson to all of you delusional clowns who think OVER-REGULATION is always the problem.

...and isn't it interesting that the Gulf oil spill can be blamed directly on even more UNDER-REGULATION of private industry.

Anyone see a pattern here??

 

[NYcarbineer]

ANYONE who has read anything in depth on this crisis KNOWS it was not fannie and freddie or the CRA that CAUSED this real estate bubble and bubble burst and bank bubble and bubble burst....so do some reading IF YOU REALLY WANT TO KNOW THE TRUTH.....stay away from the blogs and read some facts on those that have done analysis and shown the statistics that support what really happened.

''The CRA provided that federally insured banks, as a quid pro quo for being covered in the FDIC agreed to “help meet the credit needs of the communities in which they operate, including low- and moderate-income neighborhoods, consistent with safe and sound operations.”

Translation: The banks were not forced to make bad loans.

 

[Zander]

Eat the rich. It's the only solution. Soylent Green is people, rich people.

 

[NYcarbineer]

As reported in all mortgage data. Read NYT article today.
I have been telling you this for a long time.
It was not the middleclassand lower middle class from some government program forcing the banks to lend $ as right wing conspiracy kooks spouted.

Well this is a highly suspicious conclusion. I take it more of a sign of EVERYONE who bought too much house is defaulting. The rich just are defaulting later as their 'on paper' wealth evaporates.

Of course this makes Avatar correct in saying, then they weren't that rich. I'd add the words "anymore" to it.

The rich defaulting does not change the fact that Freddie and Fannie have destroyed this economy.

You do realize that Fannie and Freddie are private corporations, right?

 

[NYcarbineer]

The Republican failure to do anything about the looming real estate crisis:

Republican Congress Talked About Financial Reform, But Did Nothing

Republican Congress Talked About Financial Reform, But Did Nothing

 

[Zander]

As reported in all mortgage data. Read NYT article today.
I have been telling you this for a long time.
It was not the middleclassand lower middle class from some government program forcing the banks to lend $ as right wing conspiracy kooks spouted.

Well this is a highly suspicious conclusion. I take it more of a sign of EVERYONE who bought too much house is defaulting. The rich just are defaulting later as their 'on paper' wealth evaporates.

Of course this makes Avatar correct in saying, then they weren't that rich. I'd add the words "anymore" to it.

The rich defaulting does not change the fact that Freddie and Fannie have destroyed this economy.

You do realize that Fannie and Freddie are private corporations, right?

Not really. They formerly were GSE's - Government Sponsored Entities. They operated with the full backing of the federal government. But those days are gone, now they are fully owned by the US Government. U.S. Seizes Mortgage Giants - WSJ.com

 

[arKangel]

Rich people ripping-off other rich people?
Laughable if it were not for the fact that it will be the poor who will have to pay more.

The rich are rich because they love money above all else and will do anything to acquire and hang on to as much as they can even if it means screwing a lender out of what is rightfully theirs.

You are so very close, except for the fact that usurers are amongst the richest of the rich. While some rich are merely misers, which may not be a "beloved" quality of humanity, it is not neccesarily sinful... Usurury on the other hand is absolutely sinful. Just because someone who is utterly ignorant and/or desperate signs a document does not make it "rightful".

The rich do indeed love shiny yellow rocks, likely because it represents "power" over others other than it's physical qualities. A significant amount of rich people are rich because they absolutly believe in a paradigm of everyone being either have or want-to-have. Sadly, what appears to be a majority, if not all, of the rich thrive upon the sinful nature of envy.

Gold worshippers cannot even comprehend the possibility that there are people out there who do not desire to have power over others. The mere thought apparently completely baffles them. This is evidenced by the reflexive response they will have to any criticism of gold worship as "you are just envious". They really cannot process that some people do not worship gold as they do, so they are left only being able to project their own limited perspective.

 

[Mini 14]

Rich people ripping-off other rich people?
Laughable if it were not for the fact that it will be the poor who will have to pay more.

The rich are rich because they love money above all else and will do anything to acquire and hang on to as much as they can even if it means screwing a lender out of what is rightfully theirs.

You are so very close, except for the fact that usurers are amongst the richest of the rich. While some rich are merely misers, which may not be a "beloved" quality of humanity, it is not neccesarily sinful... Usurury on the other hand is absolutely sinful. Just because someone who is utterly ignorant and/or desperate signs a document does not make it "rightful".

The rich do indeed love shiny yellow rocks, likely because it represents "power" over others other than it's physical qualities. A significant amount of rich people are rich because they absolutly believe in a paradigm of everyone being either have or want-to-have. Sadly, what appears to be a majority, if not all, of the rich thrive upon the sinful nature of envy.

Gold worshippers cannot even comprehend the possibility that there are people out there who do not desire to have power over others. The mere thought apparently completely baffles them. This is evidenced by the reflexive response they will have to any criticism of gold worship as "you are just envious". They really cannot process that some people do not worship gold as they do, so they are left only being able to project their own limited perspective.

Gold is fine and all, but silver is what solved all of my problems!

 

[daveman]

The article references homes of" $1,000,000.00 or more."

I am shocked to hear that more rich people are defaulting on million dollar houses than poor people.

Shocked, I say!

 

[steeliniraq]

HAHAHAHAHAHAHAHAHAHAHAHA!

They are not defaulting because they cant pay you idiot.

they are defaulting because their property is no longer a good investiment.

Jesus you rightiest are stuupid *****.

Well thats awesome lets tax the shit out of them!

 

[saveliberty]

Page | 4 U.S Residential Mortgage Market The U.S residential mortgage market, according to Milken Institute research amounts to approximately $10.6tn. This is out of a total value of $19.3tn of the U.S housing market, meaning the remaining $8.7tn consists of home owner equity. Furthermore, there are roughly 80mn houses in the U.S where 27mn of them are fully paid off, leaving 53mn or 2/3 with some kind of mortgage. Of the $10.6tn mortgage market 7.6% or $0.81tn - only a fraction - was recognized as subprime mortgages, down from 13.5% just four years ago. All data above is as of June 2008.


All in all, the actual number of unemployed people in the U.S therefore totals close to 10mn. Moreover, 2.5mn previous full-time workers have been demoted to part- time. According to James Chessen, Chief Economist at ABA, “delinquencies won’t come down without a
dramatic improvement in the economy and businesses will have to start hiring again”. Source: U.S Government Accountability Office

As mentioned in Business Insider recently, the new wave of resets concerns borrowers with originally better credit scores than subprime holders, however they have pursued similar strategies. In essence, they have financed loans with low starting rates and when time has come to refinance there are three options basically. First, you can sell the house (not an option for most homeowners since LTV>100%). Secondly, you can work out a new comparable deal (not likely today with delinquencies and foreclosure rates rocketing). Thirdly and what increases in popularity with worrying speed is that you can just walk away. This “strategic default” as the media calls it has rocketed during the first half of 2009 and now amounts to 26% of all defaults across the US. According to a study from Northwestern University and
University of Chicago, there is an 82% chance that someone who knows a person that has defaulted strategically will do it themselves. In other words there is considerable risk for a negative domino effect if this kind of defaults continues.

US Residential Mortgage Report

In upscale communities such as Los Altos, Greenbrae and Alamo, where median prices top $1 million, about twice as many households received default notices from January to September as in the same period in 2008, according to recorders' office data compiled by MDA DataQuick, a San Diego real estate research firm.

The same is true for mid-scale areas with median prices around $500,000, such as Walnut Creek, Los Gatos and Campbell.

Default notices rising in upper echelon ZIPs - SFGate

About 2.57 percent of prime borrowers who took out jumbo loans last year were at least 60 days delinquent, according to LPS Applied Analytics, a mortgage data service in Jacksonville, Florida. They got to that level within 10 months, almost twice as quickly as 2007 borrowers and the fastest rate since at least 1992, when LPS Applied Analytics began tracking the market.

The jump in late payments on jumbo loans, while still lower than the 20 percent delinquencies in subprime mortgages, signals that the borrowers with the most money and the best credit are hurting as the U.S. recession deepens in its second year.

Jumbo Mortgage Rates Reflect Default Risk | Mortgaged Future

From May through October 2009, the mortgage default rate for borrowers with credit scores of 760 to 850 was 0.32 percent, versus 0.12 percent for credit cards, according to the report. (FICO considers loans 90 days or more past due to be in default.)

Of course, that mortgage-default level is still far lower than the 4.5 percent rate for all mortgage borrowers during this period, according to FICO, which is based in Minneapolis.


Even High-Score Borrowers at Risk of Mortgage Default Brookhampton Blog