Mortgage Walkers
New Attitude: It’s OK to Walk Away from a Mortgage
The lending institution made a profit when the loan closed, the lender made more money when it sold the loan (most likely to Wall Street and they made money too). The Realtor earned a commission, escrow and title company were paid, inspector and appraiser were paid too; EVERYONE made money except the buyer. Too much blame and way too much greed to go around.
Posted by Phyllis Harb at 3/18/2008 8:42 AM 
Categories: All about Money, Foreclosures, Lenders, A Buyer's Perspective
Categories: All about Money, Foreclosures, Lenders, A Buyer's Perspective
I completely agree. Everyone made a lot of money based on being able to over inflate prices and appraisals. The persons with the least blame are the consumers.
There is something wrong when a lender can make 20k on a 500k loan in return for selling an option arm with a 3yr. prepay. No one can be blamed for trying to attain the “American Dream” of owning a home. Although the borrower does carry some blame, it is the borrower’s trusted advisors that should claim most responsibility.
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Exactly thank you my thoughts also.
I do think the appraisors had a huge part in quoting the price and the lender for taking stated income and putting people in loans to fail and resell again after first adjustment.
People just thought they never give me a loan I couldn't pay for that doesn't make sense. But they didn't realize it really did for them. Alot has been learned and this is why everyone is so cautious right now not sure who to believe.
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Many have been writing about this situation on blogs for months and none better said then your post. Brief and to the point and most of all the truth.
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The buyer got bad credit for 7-10 years and nobody will rent to them, it can influence getting a job or application for any loan assistance. It's considered in the credit market the worst tabo to default of a house loan. I am not sure where there people have gone. To smaller rentals that don't do credit reports, to families to live together. This is hard on a family and hard times drive families apart and not good for the children. So I get why they are helping people try to refinance into a fixed but for those who have already lost and were not part of the populatin given a second chance I feel for them.
I am not for a bail out but can understand why it was better to get them into a loan that they should have been in to begin with.
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People who did mortgage loan should not so it in the first place if they have nothing to pay. Or not sure if they can afford to pay that loan for the next 5 years. Anticipating future events should be made first before making a decision.
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Absolutely, and the people that made these loans should not have made loans to people that could not afford to pay them back.
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I recently came across your blog and have been reading along. I thought I would leave my first comment. I don't know what to say except that I have enjoyed reading. Nice blog. I will keep visiting this blog very often.
Sarah
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Thanks, and I look forward to reading your blog.
Rose.
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I was just thinking about Mortgage Walkers and you’ve really helped out. Thanks!
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your are welcome and best of luck to you.
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