And Moe, for the record, I have no involvement in the mortgage industry other than as an interested outsider who’ll be damned if my already excessive taxes are used to bailout idiots who helped to inflate the bubble. There are two sides to every business transaction, and the notion that only the brokers are swine and swindled everyone just doesn’t compute. We are responsible for our own actions, our own judgments (right or wrong) and our own appreciation of risk.

This weekend I was up in New England where my folks live for Easter, as we drove around nice suburbia, I couldn’t help but notice all the nice new huge houses, and all the single families that had three and four cars parked out front, at least one in many cases, an SUV. No doubt they had multiple new electronics and televisions, probably have taken expensive vacations, and as most of the statistics tell us, probably have no more than a month or two of savings and a ton of debt and no equity. But sure, it’s all the brokers fault.

The free ride is over.

There is a process of getting out of defective debt instrument, it’s called bankruptcy. BTW, the borrower that used that defective debt instrument shall vacate the house that she/he bought with that defective debt instrument. Problem solved.

When one does re call consumer doesn’t get to keep proceeds, he/she better return the goods whether it’s house, car or toys.

Do not buy stuff you can’t afford. I can’t stress this enough.

I’m not browsing your blog with the intent of calling you out. I am sorry to disappoint you, but your gaurantee of your assumption that I am a mortgage broker is not even close to a reality. What is wrong with your assumption is that you draw the conclusion that anyone who disagrees with your article’s position must be a scum bag mortgage broker. I will agree with you that there are many scum bag brokers in the industry. I would also agree that the brokers should have some sort of fiduciary responsibility to their clients.

I have worked in many different capacities of the lending industry and have had the luxury of learning almost every side of the business. With that being said, I left the industry(voluntarily) to pursue bigger and better things. I saw the writing on the wall and I didn’t like what it said. My predictions proved true and that writing ended up being even worse than I thought.

Do you give these same false gaurantees to your clients as well? I would hope not.

I originally came to your blog from another site because your heading caught my eye. After reading said article, I was outraged that you spread such blatant disregard for financial responsibility. After reading many of your posts on different sites, I realized that you have a vested interest in shifting this responsibility off of the defaulting borrower. I do believe that you provide help to some people, but it is important for everyone reading to know that you have a monetary bias when you make claims about who is to blame.

In my previous reply, I asked you about this and your best response was to call me a “sorry ass”. Thank you for showing me that you really don’t have a substantial position on the topic; you just like to create the blame game and profit from it. Well done!

You have turned this into a mortgage blame game, when in fact my main opposition was that it is not the responsibility of the FED to recall loans nor do they have such authority. The more people like you that get the FED involved in these bailouts, the longer it will take to get through this mess and the worse our US financial fundamentals will become, thus providing the ammo for future recessions/depressions.

I have said this several times, I do not think that all brokers and mortgage professionals are scum. I have friends and colleagues who are in the profession and I have a lot of respect for them.

It is the unethical loan officer who did not do what is right when they represented clients and looked only at their commission as motivation when selling a loan. It’s these scammers who I dislike and there are a lot out there.

Just as there are ethical and honest mortgage professionals. These are the people we need more of and are needed in the mortgage clean up.

Just as I do not think all borrowers were saints. I am no idiot. They was a lot of fraud in the game by borrowers and I see it every day. Fortunately most of these people just take their foreclosure medicine and move on.

They certainly are not asking the lender to modify their fraudulent loan.

The solution is that ALL these loans need to be recalled and everyone should be placed in a 5.25% 30-40 year fixed. Then, if they default, tough luck, they then work with the lender and quit claim the property back to the bank. No need to foreclose and be Mr. Big Bad Lender!

The bank writes off the losses and does not have to go through the foreclsoure process.The bank then rents or sells the home at fair market value.

Instead of 5 years of housing hell, we will have 2.