Stop paying morgage?

[Tony Montoya]

The banks and the govt have screwed you. The banks get their money at almost zero percent interest and they charge you high interest rates. The banks are making billions off you and paying themselves huge bonuses. They made mistakes and you are paying for them.The govt allows this and it is destroying your dollar.

 

[SOURCE 1]

^^^^^ REALLY^^^^

I think if you signed the papers its your baby.... My house is worth 40k less than it was in 06... I Still pay the mortgage. Why??? Because its morally right. I am not sure how some of these people sleep at night.. But then again I believe that I am responsible for ME and I dont expect a bailout for me buying a house...

My .02

 

[91 X]

this whole thing sucks for the ones who were responsible when purchasing their homes...I bought my house in 05 for almost $600,000 now due to all the phuck heads who bought homes with those sucker loans and the banks who gave them and the govt that sat by and allowed it, my home is prolly worth $350,000-$400,000 maybe But lucky or unlucky for me I put down $260,000 due to selling my other house at top of market..Had I blown the money on toys and put down minimal, I'd prolly qualify for a bail out or "loan modification" from Obama, but since I was responsible and put down enough to have a comfortable payment on a 30yr fixed all I get is F'd by those I mentioned earlier...meanwhile my neighbor down the street who makes more then me is supposedly getting a loan mod and getting like a $200,000 discount..wtf???

Good thing I wasn't planning on moving anytime soon, so the property decrease is all on paper, but it still sucks big time and my $120K credit line is now $30K..wish I would have pulled that cash out and put it in a savings!!!:frown:...

I am pissed at the banks and the govt more then the people who were in way over their heads, how can you blame them for bailing out on a $500,000 mortgage when the house is worth $250,000...it makes sense to do so and the govt banks make it easy to do so...no wonder our dollar is worthless when everyone passes the buck!!!

 

[AR]

Is it like this all over the States, house prices in my area have actually gone up ( rural ) over the last few months. Point is my house is now worth 20% more than in 2007.

 

[nsxotic911]

Is it like this all over the States, house prices in my area have actually gone up ( rural ) over the last few months. Point is my house is now worth 20% more than in 2007.

The more socialist/liberal a state seemed to have been, the more screwed the responsible homeowner is, and the more options a non-responsible home'owner' has.

Also applies to unemployment, general economic health, businesses coming/leaving (we're losing Boeing's 787 development) not to mention Microsoft jobs etc..Oh I forgot to mention, those same states seemed to have raised taxes the highest - my property taxes are up 3K this year while property values are down, and 7K since about 3 years ago (really, I can show you).

(F*n) weird.

Let me quote Regan, the nine most scariest words, "we're from the government, and we're here to help [fu]"

 

[steveny]

Is it like this all over the States, house prices in my area have actually gone up ( rural ) over the last few months. Point is my house is now worth 20% more than in 2007.

No, property values are up here we never got the big boom though either.

 

[NemesisX]

The question was what happens if you do this not what you think is the right thing to do. We did not fuck up the economy. Me and all the people I work with work very hard and pay alot of taxes more than I think we should be paying. It is not our fault that this happened. Greedy people made this happen not us. but then this is why this is such a great country because evey one has the freedom to think what they want about things.

You think the economy is fucked up now?? Wait until more people who lack the responsibility to actually PAY BACK the money they were lent, default on thier obligations...

You BLAME the greedy people for getting us into this situation....Maybe you should put the blame on those who are truly responsible....THOSE THAT LACK THE RESPONSIBILTY TO DO THE RIGHT THING!

It sounds like you have the money but dont want to pay for a depreciating asset...isnt that GREED??

Sell, take the loss and move on...or are you bitter your "bet" didnt turn out the way you expected??

 

[vancouver]

I think I would walk if I had a non recourse loan. It''s just business. Banks should have asked for a bigger down payment.

We did not see the same real estate losses in western canada and my property is still worth twice what I originally paid for it. It is in my best interest to stick it out. Even still I am sure there will most likely be unforeseen repercussions for walking on your mortgage.

 

[Cragar]

I guess I am the odd man out.

When I bought my house , I bought what I could afford at the time. I worked my butt off to pay it down as quickly as possible. Working MAJOR amounts of overtime , sometimes putting in 12-16 hour days 6-7 days a week. Some months I had 2-3 days off for the whole month. Drove some very crappy beater cars , saved what I could. Took a lot of ribbing from my co-workers about the cars I drove while they all had new cars. Some of my co-workers were buying new cars every 18 months while I was driving a 20 year old beater. Did not have much of a social life. Luckily my girlfriend at the time was sympathetic and understood what I was trying to achieve. My only other thing my money was being spent on was my 401k. It was tough for sure but I did it.

I was able to pay off my house in just 12 years instead of 30. Cracked open my first bottle of Dom Perion (sp) and shared it with the neighbor as I burned a copy of the mortgage. That was a day I will always remember.

A couple of years after paying off the house I went out and bought something just for ME. The NSX. All those co-workers who ribbed me about driving crappy beaters now were in awe as I had the nicest car out of 1350 employees.

Then , a whole bunch (353) of us were laid off as our jobs went to Mexico. THAT got interesting as I watched most of my ex co-workers scramble to try to fight to keep their heads above water and fight to keep their new cars and houses with little equity. I decided to take the full six months of unemployment and get trained to pursue the profession that I am currently doing. I had never really used unemployment because I always would find a job quick rather than collect so I felt that I was about due to use it and got training.

I bump into some of my ex co-workers now and then. Almost every one asks me the same question " Do you still have the NSX ? " Yep. The looks I get from that response is priceless.They all had to sell their toys and new cars and are now driving beaters.

With the mortgage crisis it has only gotten worse for them.

Sad , but true.

Live within your means. My favorite quote ' It is not how much you make , it is how much you keep. '


I guess I have a different value system than most of my generation. My value system was shaped by people a little bit older than my generation and understood hard times and how to not get caught in the trap that a lot of people are in right now.

Yes , I still have the NSX. I am currently debating to sell it and the house to buy a bigger house. ( But not too big )

The time is about right to do this. Then after the dust settles , I can get another NSX when the finances are right.

 

[swerve2007]

most banks now actually 'require' you to miss two payments before any modification of the loan is initiated.

 

[steveny]

I guess I am the odd man out.

When I bought my house , I bought what I could afford at the time. I worked my butt off to pay it down as quickly as possible. Working MAJOR amounts of overtime , sometimes putting in 12-16 hour days 6-7 days a week. Some months I had 2-3 days off for the whole month. Drove some very crappy beater cars , saved what I could. Took a lot of ribbing from my co-workers about the cars I drove while they all had new cars. Some of my co-workers were buying new cars every 18 months while I was driving a 20 year old beater. Did not have much of a social life. Luckily my girlfriend at the time was sympathetic and understood what I was trying to achieve. My only other thing my money was being spent on was my 401k. It was tough for sure but I did it.

I was able to pay off my house in just 12 years instead of 30. Cracked open my first bottle of Dom Perion (sp) and shared it with the neighbor as I burned a copy of the mortgage. That was a day I will always remember.

A couple of years after paying off the house I went out and bought something just for ME. The NSX. All those co-workers who ribbed me about driving crappy beaters now were in awe as I had the nicest car out of 1350 employees.

Then , a whole bunch (353) of us were laid off as our jobs went to Mexico. THAT got interesting as I watched most of my ex co-workers scramble to try to fight to keep their heads above water and fight to keep their new cars and houses with little equity. I decided to take the full six months of unemployment and get trained to pursue the profession that I am currently doing. I had never really used unemployment because I always would find a job quick rather than collect so I felt that I was about due to use it and got training.

I bump into some of my ex co-workers now and then. Almost every one asks me the same question " Do you still have the NSX ? " Yep. The looks I get from that response is priceless.They all had to sell their toys and new cars and are now driving beaters.

With the mortgage crisis it has only gotten worse for them.

Sad , but true.

Live within your means. My favorite quote ' It is not how much you make , it is how much you keep. '


I guess I have a different value system than most of my generation. My value system was shaped by people a little bit older than my generation and understood hard times and how to not get caught in the trap that a lot of people are in right now.

Yes , I still have the NSX. I am currently debating to sell it and the house to buy a bigger house. ( But not too big )

The time is about right to do this. Then after the dust settles , I can get another NSX when the finances are right.

You da man. My story is close to yours. I drove beater Mazda B-2000's and paid my house off in ~4 years. It was all worth it.

 

[Cragar]

You da man. My story is close to yours. I drove beater Mazda B-2000's and paid my house off in ~4 years. It was all worth it.

Coming from you steveny , that is a nice comment.

That made my day. Thanks. :biggrin:

 

[SilverStone05]

i'm curious - specifically, to what are you referring?

The fact that someone would comtemplate walking away from their mortgage simply because the underlying asset is worth less than the note.

The fact that folks will bitch about housing values falling, yet they are willing to let their mortgages go into default.

The fact that the population is enraged at banks for lending them money that they had no business borrowing in the first place.

The fact that Wall Street is being blamed for the woes of the popped housing bubble, when it was the Gov't who FORCED them to lend to folks with no credit and no money.

The lack of responsibility that is being displayed in this country, in part to an entitled attitude which is in turn being fueled by the media and the government.

And people who will stick to their crimes of omission. They keep their mouths shut about all of this in order to be "politically correct."

That's what i'm referring to.

I'm supposed to raise kids in this enviroment?

 

[queenlives]

That's what i'm referring to.

I'm supposed to raise kids in this enviroment?

gotcha, and, i understand... especially the "raising kids" sentiment.

 

[heySkippy]

I don't understand how any man who considers himself to be honorable could even think about walking away from his mortgage except as a necessary last resort.

And the people who treated their home equity as a piggy bank and now want to give up the house but keep all the toys, we need a way to destroy their credit permanently. If they did it once, they'll do it again.

 

[supra2nv]

There is another word for this: Stealing.

Why cant people freaking live up to their obligations?

This whole thing is fucking ridiculous.

It would be like me buying a stock, and if it goes down, renegotiate with the exchange to get my money back.

P.S. There were many people who made the bet, and made a ton of money, either by flipping the house, or just simply doing a cash out refi. Now, the shit hits the fan, and people walk. They take the risk for the upside, but dont want to face the downside. To all that do this, FUCK YOU.

 

[steveny]

I'm supposed to raise kids in this enviroment?

Raise them right and they will rule the world. Few will know how to think for themselves 50 years from now.

 

[BATMANs]

You think the economy is fucked up now?? Wait until more people who lack the responsibility to actually PAY BACK the money they were lent, default on thier obligations...

You BLAME the greedy people for getting us into this situation....Maybe you should put the blame on those who are truly responsible....THOSE THAT LACK THE RESPONSIBILTY TO DO THE RIGHT THING!

It sounds like you have the money but dont want to pay for a depreciating asset...isnt that GREED??

Sell, take the loss and move on...or are you bitter your "bet" didnt turn out the way you expected??

Allow me to illustrate:

 

[BATMANs]

I guess I am the odd man out.

When I bought my house , I bought what I could afford at the time. I worked my butt off to pay it down as quickly as possible. Working MAJOR amounts of overtime , sometimes putting in 12-16 hour days 6-7 days a week. Some months I had 2-3 days off for the whole month. Drove some very crappy beater cars , saved what I could. Took a lot of ribbing from my co-workers about the cars I drove while they all had new cars. Some of my co-workers were buying new cars every 18 months while I was driving a 20 year old beater. Did not have much of a social life. Luckily my girlfriend at the time was sympathetic and understood what I was trying to achieve. My only other thing my money was being spent on was my 401k. It was tough for sure but I did it.

I was able to pay off my house in just 12 years instead of 30. Cracked open my first bottle of Dom Perion (sp) and shared it with the neighbor as I burned a copy of the mortgage. That was a day I will always remember.

A couple of years after paying off the house I went out and bought something just for ME. The NSX. All those co-workers who ribbed me about driving crappy beaters now were in awe as I had the nicest car out of 1350 employees.

Then , a whole bunch (353) of us were laid off as our jobs went to Mexico. THAT got interesting as I watched most of my ex co-workers scramble to try to fight to keep their heads above water and fight to keep their new cars and houses with little equity. I decided to take the full six months of unemployment and get trained to pursue the profession that I am currently doing. I had never really used unemployment because I always would find a job quick rather than collect so I felt that I was about due to use it and got training.

I bump into some of my ex co-workers now and then. Almost every one asks me the same question " Do you still have the NSX ? " Yep. The looks I get from that response is priceless.They all had to sell their toys and new cars and are now driving beaters.

With the mortgage crisis it has only gotten worse for them.

Sad , but true.

Live within your means. My favorite quote ' It is not how much you make , it is how much you keep. '


I guess I have a different value system than most of my generation. My value system was shaped by people a little bit older than my generation and understood hard times and how to not get caught in the trap that a lot of people are in right now.

Yes , I still have the NSX. I am currently debating to sell it and the house to buy a bigger house. ( But not too big )

The time is about right to do this. Then after the dust settles , I can get another NSX when the finances are right.

I have a similar story about putting myself through college full time and work full time in the night.

My friends didn't see me for 2 years. Literally.

Good thing I listened to my folks about buying a house then have toy cars afterwards. that was really tough when my friends were driving the better cars.

I got in early in the real estate, got a boost from the DOT COM IPOs, focused on good location fixer uppers.

 

[steveny]

There is another word for this: Stealing.

+1

To all that do this, FUCK YOU.

+ infinity

I think there was a lot more predatory borrowing than there was lending. The amount of scams coming to light lately make me sick.

Back in 2006 I was asked several times to join an organization which does what my company does on a national level. They wanted me to head up the Northeast division of their corporation. I kindly said no and turned down a pretty big pay day. I just didn't like the way they did business and felt, and always have felt, that I wanted to do things my way. I really didn't like their sales pitch and to me I didn't think they emphasized all the pitfalls and they over exaggerated the profit margins.

They really needed to better prep those who were wet behind the ears to all the hassles of owning rental property. We did manage a small portfolio for them which they were trying to sell and they had investors call me to gather information about the properties. I would always point out the problems with the properties and potential problems that would need attention in the future and that the new investor would need to be sure to plan and budget for unforeseen problems which might arise.

Of course after all the above is figured in the returns didn't look as good as they were originally told and many would not buy after they spoke to me. This pissed off our client but like I told him I am not going to lie for anyone just to make a buck. People MUST know what they are getting themselves into. But what does the seller care. The seller doesn't have to service the investor after the sale, I do and I am not going to explain why someone isn't making the money they thought they would.

BTW this is a national RE guru who has been on several talk shows. Their RE network is worldwide. I am waiting any day for the scam they were pulling to hit the news.

As it turns out last night I got a call from one of my investors in Jackson's Hole. About six months ago I called my investor in Jackson's hole to see if he was interested in a property I located. It's a VERY good deal and makes a very nice monthly cash flow even with the worst case scenario figured in, IE empty units, vacancy, capital improvement fund for future upkeep and repairs. So ~6 months ago he tells me he is not interested because he has been having great returns from his property holdings in Indiana. The organization I mentioned above sold him a property in Indiana and guaranteed the rents for one year. He paid 150k for the property and after receiving his rents on time for a few months he bought 3 more properties @ 150k each.

Well this month he didn't receive any rent and his on the ground contact in Indiana no longer has a working phone number. He flies out to see what the hell is going on. All four buildings are condemned and empty and have been for years. The piece of shit people he bought the property from bought the properties for 10k and then sold them for 150k, FOUR of them. Now he has property that is worth ~40k that he paid 600k CASH for. What kind of person does this to someone else. How do they sleep at night? :frown:

He thanked me over and over for doing such a good job with his portfolio here. I feel so bad for him.

 

[queenlives]

Raise them right and they will rule the world. Few will know how to think for themselves 50 years from now.

seems to me there are a tremendous number of variables that apply to parenting, there's a great deal to to be said for this line of thinking, steve... and, frankly, given the number of societal shifts we continue to experience, it won't get any easier than it is now. (not implying it's easy now, btw)

 

[nsxotic911]

+1





+ infinity

I think there was a lot more predatory borrowing than there was lending. The amount of scams coming to light lately make me sick.

Back in 2006 I was asked several times to join an organization which does what my company does on a national level. They wanted me to head up the Northeast division of their corporation. I kindly said no and turned down a pretty big pay day. I just didn't like the way they did business and felt, and always have felt, that I wanted to do things my way. I really didn't like their sales pitch and to me I didn't think they emphasized all the pitfalls and they over exaggerated the profit margins.

They really needed to better prep those who were wet behind the ears to all the hassles of owning rental property. We did manage a small portfolio for them which they were trying to sell and they had investors call me to gather information about the properties. I would always point out the problems with the properties and potential problems that would need attention in the future and that the new investor would need to be sure to plan and budget for unforeseen problems which might arise.

Of course after all the above is figured in the returns didn't look as good as they were originally told and many would not buy after they spoke to me. This pissed off our client but like I told him I am not going to lie for anyone just to make a buck. People MUST know what they are getting themselves into. But what does the seller care. The seller doesn't have to service the investor after the sale, I do and I am not going to explain why someone isn't making the money they thought they would.

BTW this is a national RE guru who has been on several talk shows. Their RE network is worldwide. I am waiting any day for the scam they were pulling to hit the news.

As it turns out last night I got a call from one of my investors in Jackson's Hole. About six months ago I called my investor in Jackson's hole to see if he was interested in a property I located. It's a VERY good deal and makes a very nice monthly cash flow even with the worst case scenario figured in, IE empty units, vacancy, capital improvement fund for future upkeep and repairs. So ~6 months ago he tells me he is not interested because he has been having great returns from his property holdings in Indiana. The organization I mentioned above sold him a property in Indiana and guaranteed the rents for one year. He paid 150k for the property and after receiving his rents on time for a few months he bought 3 more properties @ 150k each.

Well this month he didn't receive any rent and his on the ground contact in Indiana no longer has a working phone number. He flies out to see what the hell is going on. All four buildings are condemned and empty and have been for years. The piece of shit people he bought the property from bought the properties for 10k and then sold them for 150k, FOUR of them. Now he has property that is worth ~40k that he paid 600k CASH for. What kind of person does this to someone else. How do they sleep at night? :frown:

He thanked me over and over for doing such a good job with his portfolio here. I feel so bad for him.

WOW! I'm so sorry to hear.

 

[sahtt]

There is another word for this: Stealing.

Why cant people freaking live up to their obligations?

This whole thing is fucking ridiculous.

It would be like me buying a stock, and if it goes down, renegotiate with the exchange to get my money back.

P.S. There were many people who made the bet, and made a ton of money, either by flipping the house, or just simply doing a cash out refi. Now, the shit hits the fan, and people walk. They take the risk for the upside, but dont want to face the downside. To all that do this, FUCK YOU.

What a society ours has become. All the upside of "capitalism" but when the bet goes south we get the "socialist" bottom put in. Sounds great except funds flow from productive forces of our economy into the least productive. GDP deteriorates, real wages fall, debt surmounts, and overall wealth plummets. Many things can happen in an economy, but a socialist back stop and hyperinflation are ONLY caused by extraordinarily terrible government policy. This is a law as truthful as is 'life is followed by death'.

 

[passline]

Live within your means. My favorite quote ' It is not how much you make , it is how much you keep. '
I guess I have a different value system than most of my generation. My value system was shaped by people a little bit older than my generation and understood hard times and how to not get caught in the trap that a lot of people are in right now.

You are "oh so right!" Mine is a similar situation, only carried a mortgage for 6 years of our 34 years of marriage. :smile:

 

[nsxotic911]

What a society ours has become. All the upside of "capitalism" but when the bet goes south we get the "socialist" bottom put in. Sounds great except funds flow from productive forces of our economy into the least productive. GDP deteriorates, real wages fall, debt surmounts, and overall wealth plummets. Many things can happen in an economy, but a socialist back stop and hyperinflation are ONLY caused by extraordinarily terrible government policy. This is a law as truthful as is 'life is followed by death'.

Sahtt says what I say on this forum all the time but with so much more poise and eloquence. Kudos, consider running for office.