There are some secrets and straightforward tips buyers should be on familiar terms with before shopping for a house mortgage for Custer SD real estate. The primary, and most vital of these, is to carry out your research. House loans vary significantly …

The last time severe summerlike weather struck southern Wisconsin in winter was in February 1999, when storms produced golf-ball size…

Jan

\’e2\’80\’9cI believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.\’e2\’80\’9d
Thomas Jefferson, Letter to the Secretary of the Treasury Albert Gallatin (1802)
3rd president of US (1743 – 1826)
These are the words from one of the most influential presidents to ever serve \’e2\’80\’9cour country\’e2\’80\’9d in the White House and one of the authors of the declaration of independence.

Let’s face it..Bankers and Lawyers are STEALING us ALL blind!!! When it’s all over, and China moves in, and parts us out to Russia..and/or whoever, it will be becasue Bankers and Lawyers have Sold us out!

EVERYONE needs to get prepared to live in poverty…Our forefathers would JUST SHIT!!

The ONLY way to turn it around, is to STOP electing Lawyers, and STOP borrowing money….Pay as you go!!!! Like our Grandparents used to!

Sorry, I meant to say (or type) Alan.

Regards!

You’re right, there is no free lunch. However, as a struggling homeowner I can tell you that this ride ain’t a free lunch. Most anyone who bought a home in the last 3 years or so is struggling in this market – even if they have a wonderful loan. This is a market correction and those of us in the areas with the greatest declines in property value feel it more so than others and if your LTV or equity isn’t quite the buffer you’d hope for (in my case upside down) its a little harder to swallow.

There were a lot of bad loans out there and products that were riskier and more prevalant than they’ve been in the past because the market had done so well and home prices were ficticiously driven up because money was so cheap to borrow. Remember low interest rates from the last bailout of the dotcom industy. Interest rates were at historic lows and stayed there for quite some time. Money became cheap to borrow, so folks were borrowing more of it. This drove up the price of homes, as homes were being driven up in price exponentially interest rates began to rise back up. Couple that with a weaking dollar, I’m sure you remember inflation from the 70s. Well, inflation is rearing it’s ugly head again soon. If the value of the dollar keeps going down and home values keep going down as well – inflation widens that gap even further from the simplicity of basic arithmetic.

In case you thought this was just a home issue, it’s the entire economy that is going to feel this wave. My guess is you probably didn’t enter the housing market in the last three or four years. If you bought your house or had significant equity prior to the boom and rolled that into a new home – then this isn’t going to effect you all that much. But if you entered the housing market in the last four years, even if your loan is great – today you could be losing. Not that losing equates to whining and every issue isn’t the ‘bank’ or ‘LO/MB’ falut and we all know shit happens, there’s even a bumper sticker for it – but a lot of what went on the last few years in the real estate market wasn’t good business on anyone’s part. It was a huge smoke and mirrors act, and the smoke hasn’t cleared yet. This issue will get much more complicated as it evolves.

Just as serious as you with your questions. Are you serious on your part asking silly question “Who are you to say who DESERVES homeownership?” and then playing innocence when asked the same in return ? I can play demagogic ping pong very well, don’t be surprised.

Yep, I’m renting money from the bank, as you correctly noted. However I’m not whining and crying that bank is mooching off me. I’m fully aware of the risks though obviously there are “unknown unknowns” as infamous Donald Rumsfield put it that I can’t mitigate against. But because I had to survive on minimal wage I know that there are risks and life can be hard and that’s why I stay alert and don’t get sloppy. I can downsize my footprint in few days and move across the country or globe in few weeks if assessment shows that’s the course of actions necessary to produce the best outcome for my family. I’m not going to complain about shady bookie who took my bad bets that didn’t pan out they way I hoped. I have made few myself that didn’t come out too good for me and lesson I learned: there is no free lunch.

I absolutely agree with you on the scenario: typical layout of speculative mania exhibits strong herd effect. It’s hard wired
into our DNA. There are PLENTY of interesting studies on behavioral
economics and how group influences individual decisions. The basic fact of all those decisions you enumerated is that Jack, Jill, Joe have too high of the debt load that they can’t service. The solution is obviously to reduce the debt load. That I agree with. What I do not agree with is how people want to get done. It does appear some want to play victim card and therefore demand as few undesirable consequences for them as possible due to being “victims exploited by evil banks”.
I’m not advocating putting over encumbered people in prison but they shouldn’t just get away with slap on the hand there are already existing legal instruments like bankruptcy that allow debts to be reduced and if cram downs are allowed even keep the home with more manageable balance. Yet, I don’t see many people pushing for that route. No, quite a few folks want to pay as little as possible for bad decisions. However the same studies on behavioral economics showed the only way to learn from bad decision and not to repeat it is to live through decision’s consequences.