|
Users viewing this topic:
none
|
|
Login  | |
|
RE: Can bailout fix US economy? - 9/26/2008 6:45:47 PM
|
|
|
bzirk
Posts: 2849
Joined: 4/11/2005
From: Where the deer and antelope play
Status: offline
|
It sounds like you got nothing but a pre-approval, which is not actually a loan, so chances are good you will have to start again.
_____________________________
may the God of hope fill you with all joy and peace in believing, so you will abound in hope by the power of the Holy Spirit. Romans 15:13
Great quote: I just ain't God and don't know it all. -- SonInMe1
|
|
|
|
|
RE: Can bailout fix US economy? - 9/26/2008 9:16:30 PM
|
|
|
relady
Posts: 1209
Joined: 4/11/2005
From: Greater St. Louis Metro
Status: offline
|
quote:
We also found out that we cannot get a no down payment loan even though we have excellent credit. 100% financing is gone for now, unless you qualify for a VA loan. The best you can do is FHA, which is going to 3.5% down as of October 1. On the conventional side, the best you'll be able to do is a 5% down program. To say that underwriting standards have tightened would be an understatement. I have several buyers that are renting for another year, trying to save some money for a downpayment. It's tough out there right now. If banks don't start lending to each other it will eventually trickle down to the retail housing market and slow things even more.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/26/2008 9:55:01 PM
|
|
|
GregandJenny
Posts: 676
Joined: 2/16/2006
From: Near Seattle Washington
Status: offline
|
quote:
100% financing is gone for now, unless you qualify for a VA loan. The best you can do is FHA, which is going to 3.5% down as of October 1. On the conventional side, the best you'll be able to do is a 5% down program. To say that underwriting standards have tightened would be an understatement. I have several buyers that are renting for another year, trying to save some money for a downpayment. It's tough out there right now. If banks don't start lending to each other it will eventually trickle down to the retail housing market and slow things even more.
Good! Finally the housing market will get affordable just like everyone has been wanting.
G
_____________________________
It does not have to be well with my circumstance to be well with my soul!
|
|
|
|
|
RE: Can bailout fix US economy? - 9/26/2008 10:28:29 PM
|
|
|
Leslie_JnJs_mom
Posts: 904
Joined: 9/6/2007
Status: offline
|
We can get a VA loan but the lender at Bank of America said it was a ton of red tape and took a lot of time.
_____________________________
<------- Jessica and I had so much fun with grandma!
|
|
|
|
|
RE: Can bailout fix US economy? - 9/26/2008 11:01:41 PM
|
|
|
relady
Posts: 1209
Joined: 4/11/2005
From: Greater St. Louis Metro
Status: offline
|
quote:
We can get a VA loan but the lender at Bank of America said it was a ton of red tape and took a lot of time. We bought our house VA and it was no problem for us. Might have been a little extra work for the bank, but hey, that didn't bother me. VA is very particular about fees your bank charges and stuff like that and banks don't make a lot of money off of them. That's why they don't like them. For you, the buyer, it would be a good deal. No mortgage insurance, 100% financing, the appraisal process is a lot like FHA. If you pick a nice home that's in good condition it shouldn't be an issue. You should just check it out.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/26/2008 11:44:29 PM
|
|
|
tracydolls
Posts: 1839
Joined: 3/30/2008
Status: offline
|
quote:
We can get a VA loan but the lender at Bank of America said it was a ton of red tape and took a lot of time.
Of course the lender would say that. Pray and go for one.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/27/2008 12:39:45 AM
|
|
|
blessedinnyc
Posts: 2007
Joined: 10/12/2007
Status: offline
|
quote:
ORIGINAL: tracydolls
quote:
We can get a VA loan but the lender at Bank of America said it was a ton of red tape and took a lot of time.
Of course the lender would say that. Pray and go for one.
Hang on here. With the federal government, there's always a catch. If you default on the loan, does your debt to the federal government survive BK? Whether or not it does, it's always wise to put a fair amount down on a mortgage- if you need 100% financing to buy a home, it may not necessarily be that wise.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/27/2008 7:11:54 AM
|
|
|
csl7037
Posts: 2060
Joined: 3/24/2008
Status: online
|
quote:
ORIGINAL: blessedinnyc
Whether or not it does, it's always wise to put a fair amount down on a mortgage- if you need 100% financing to buy a home, it may not necessarily be that wise.
Duh! This is why we're in the mess we're in!
|
|
|
|
|
RE: Can bailout fix US economy? - 9/27/2008 7:59:44 PM
|
|
|
bzirk
Posts: 2849
Joined: 4/11/2005
From: Where the deer and antelope play
Status: offline
|
quote:
ORIGINAL: csl7037
quote:
ORIGINAL: blessedinnyc
Whether or not it does, it's always wise to put a fair amount down on a mortgage- if you need 100% financing to buy a home, it may not necessarily be that wise.
Duh! This is why we're in the mess we're in!
Exactly.
I believe that no down payment mortgages should be almost non-existent except for war veterans, i.e., someone who has actually been on a tour of duty in a war zone. For these people, we should bend over backward to help them get a house.
_____________________________
may the God of hope fill you with all joy and peace in believing, so you will abound in hope by the power of the Holy Spirit. Romans 15:13
Great quote: I just ain't God and don't know it all. -- SonInMe1
|
|
|
|
|
RE: Can bailout fix US economy? - 9/27/2008 8:58:07 PM
|
|
|
mapachito13
Posts: 2543
Joined: 10/1/2007
Status: offline
|
Lawmakers are stating that they are making progress in negotiations. When I heard that, I had this vision of these guys negotiating their particular inclusion of pork. Their negotiations are how they will vote on other bills for their inclusion of pork in this one!
_____________________________
Peace Sells....But Who's Buying!
"I would argue that the most serious threat to the United States is not someone hiding in a cave in Pakistan or Afghanistan, but our own fiscal irresponsibility."-David Walker, fmr comptroller general of the US
|
|
|
|
|
RE: Can bailout fix US economy? - 9/27/2008 9:11:17 PM
|
|
|
bzirk
Posts: 2849
Joined: 4/11/2005
From: Where the deer and antelope play
Status: offline
|
quote:
ORIGINAL: mapachito13
Lawmakers are stating that they are making progress in negotiations. When I heard that, I had this vision of these guys negotiating their particular inclusion of pork. Their negotiations are how they will vote on other bills for their inclusion of pork in this one!
I hear you.
_____________________________
may the God of hope fill you with all joy and peace in believing, so you will abound in hope by the power of the Holy Spirit. Romans 15:13
Great quote: I just ain't God and don't know it all. -- SonInMe1
|
|
|
|
|
RE: Can bailout fix US economy? - 9/27/2008 9:22:45 PM
|
|
|
relady
Posts: 1209
Joined: 4/11/2005
From: Greater St. Louis Metro
Status: offline
|
To be honest it's not 100% loans per se that got us in "this mess". A VA loan is a good deal IF you are going to stay in your home for several years and pay it down and build equity. It's not a good idea if you want to move again in 3 years. What got us in this mess is loans that were given without proper underwriting and verification of ability to pay along with ARMs and subprime loans. Just because a loan is a 100% loan does not automatically make it subprime, or a bad thing.
I say Lesley should at least check out VA and decide for herself. The interest rate will be better and for veterans you can't get a better deal.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/27/2008 9:45:03 PM
|
|
|
mapachito13
Posts: 2543
Joined: 10/1/2007
Status: offline
|
quote:
ORIGINAL: relady
To be honest it's not 100% loans per se that got us in "this mess". A VA loan is a good deal IF you are going to stay in your home for several years and pay it down and build equity. It's not a good idea if you want to move again in 3 years. What got us in this mess is loans that were given without proper underwriting and verification of ability to pay along with ARMs and subprime loans. Just because a loan is a 100% loan does not automatically make it subprime, or a bad thing.
I say Lesley should at least check out VA and decide for herself. The interest rate will be better and for veterans you can't get a better deal.
The negative amortization loans and those with the introductory teaser rates were definitely responsible for this mess. The banks and loan co.s that offered these to people for their ability to only pay the introductory payments only with no regards for their ability to pay the higher payments later are the culprits. 100% is fine as long as the people can afford the payments. Fraudulent lending practices and lack of oversight of these loan offerings are the culprit.
_____________________________
Peace Sells....But Who's Buying!
"I would argue that the most serious threat to the United States is not someone hiding in a cave in Pakistan or Afghanistan, but our own fiscal irresponsibility."-David Walker, fmr comptroller general of the US
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 7:29:19 AM
|
|
|
csl7037
Posts: 2060
Joined: 3/24/2008
Status: online
|
quote:
ORIGINAL: bzirk
quote:
ORIGINAL: csl7037
quote:
ORIGINAL: blessedinnyc
Whether or not it does, it's always wise to put a fair amount down on a mortgage- if you need 100% financing to buy a home, it may not necessarily be that wise.
Duh! This is why we're in the mess we're in!
Exactly.
I believe that no down payment mortgages should be almost non-existent except for war veterans, i.e., someone who has actually been on a tour of duty in a war zone. For these people, we should bend over backward to help them get a house.
But not to the endangerment of the very country they fought for like in the situation we find ourselves now. Wounded veterans maybe. Otherwise, I think we do a lot to help them get through college after military service and that's more beneficial and more helpful....better to teach them to fish than to give them a fish.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 8:48:43 AM
|
|
|
_jjp_
Posts: 628
Joined: 10/25/2007
Status: offline
|
So we bail out the banks so that they can lend more money which is what got us in trouble to begin with? Housing prices have been way overpriced for a while and letting this situation play out could possibly remedy some of that, people will lose money on their homes but that's what happens when you purchase an overvalued asset. We don't need more money lent, we need to stop borrowing.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 9:54:55 AM
|
|
|
relady
Posts: 1209
Joined: 4/11/2005
From: Greater St. Louis Metro
Status: offline
|
quote:
The negative amortization loans and those with the introductory teaser rates were definitely responsible for this mess. The banks and loan co.s that offered these to people for their ability to only pay the introductory payments only with no regards for their ability to pay the higher payments later are the culprits. 100% is fine as long as the people can afford the payments. Fraudulent lending practices and lack of oversight of these loan offerings are the culprit. EXACTLY! Couldn't have said it better. And an awful lot of those loans were given to people who were only marginally able to afford a home to begin with. For consumers that did this early in the process it worked out beautifully. It's the ones that were unfortunate enough to get one of these loans as the first ones started defaulting.....for me it just shows the need for some common sense re-regulation of this industry.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 10:21:28 AM
|
|
|
bzirk
Posts: 2849
Joined: 4/11/2005
From: Where the deer and antelope play
Status: offline
|
quote:
ORIGINAL: csl7037
quote:
ORIGINAL: bzirk
quote:
ORIGINAL: csl7037
quote:
ORIGINAL: blessedinnyc
Whether or not it does, it's always wise to put a fair amount down on a mortgage- if you need 100% financing to buy a home, it may not necessarily be that wise.
Duh! This is why we're in the mess we're in!
Exactly.
I believe that no down payment mortgages should be almost non-existent except for war veterans, i.e., someone who has actually been on a tour of duty in a war zone. For these people, we should bend over backward to help them get a house.
But not to the endangerment of the very country they fought for like in the situation we find ourselves now. Wounded veterans maybe. Otherwise, I think we do a lot to help them get through college after military service and that's more beneficial and more helpful....better to teach them to fish than to give them a fish.
Well, certainly we don't want to jeopardize the country, but I disagree with you. What you're suggesting is trying to save money in the wrong place, and since we have no draft, and we're having trouble getting our young people to go to war, I think it's a good incentive and certainly something we should be willing to pay for as taxpayers. That is why the federal government was initially formed -- to protect ourselves. We start cutting some of these social engineering programs, entitlement programs, and earmarks, and we can see a difference. But to be miserly with the very people who are potentially sacrificing their lives? That's wrong.
_____________________________
may the God of hope fill you with all joy and peace in believing, so you will abound in hope by the power of the Holy Spirit. Romans 15:13
Great quote: I just ain't God and don't know it all. -- SonInMe1
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 10:47:09 AM
|
|
|
Birdiecat
Posts: 51
Joined: 5/2/2008
Status: offline
|
In 1913, Pres. Woodrow Wilson signed into law the Federal Reserve Act. Wilson said it was the biggest mistake he ever made causing America to become the most controlled country on the planet. Ok ... who exactly IS in control of America? It's not the President or Congress. Nixon stated that he wasn't allowed to choose his own cabinet! I honestly believe the financial problems this country is having is being orchestrated by a few people who can't wait to have the North American Union and shove the amero down our throats!
As far as all of the foreclosures on homes. Why not allow these people to refinance with a longer period of time to pay off the loan? Signing a contract with changing interest rates isn't something I'd put my signature on. Bad business, folks!
Honestly, I don't think anything will bail our economy out. Some very powerful folks don't want it to.
_____________________________
Come, Lord Jesus!
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 11:03:53 AM
|
|
|
bzirk
Posts: 2849
Joined: 4/11/2005
From: Where the deer and antelope play
Status: offline
|
When I took money and banking in college, it became patently obvious that the most powerful group in America was the Fed -- no question. But I thought it was fine due to their incentive to keep the money supply flowing in a healthy way. That should (and mostly has) dictated that wealth did not become concentrated among a few. But the problem comes in with: a) Congress trying to incentivize bankers lending to people who had no business having a loan. We see now that's not what keeps the money supply flowing in a healthy manner. b) The inability of congress to oversee what was going on at Fannie Mae and Freddie Mac. Fox guarding the henhouse because of congress being able to take payola from these institutions. Why we are not continually hearing about this on the news is very telling.
I could list a lot of other things, but those two are a big problem.
As for Alan Greenspan, he's speaking up now. Where was he a few years ago? Playing it cool I'm sure because he didn't want to panic our markets. But look where that got us.
I also blame the Bush Administration as well (and yes, the Clinton Administration and probably a few other administrations if I wanted to make the case).
Almost everyone up there who is "protecting our interests" did little or nothing, and now look what's happening. Do you think the American people will ever see any money, if any is made, on this bailout? Where is the money from the so called Chrysler profit or the S&L profit? I would love to see that delineated. It AIN'T happenin', my friends, because what goes to Washington stays with the fat cats mostly unless we want to talk about some earmarks coming back to various states.
_____________________________
may the God of hope fill you with all joy and peace in believing, so you will abound in hope by the power of the Holy Spirit. Romans 15:13
Great quote: I just ain't God and don't know it all. -- SonInMe1
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 11:29:54 AM
|
|
|
csl7037
Posts: 2060
Joined: 3/24/2008
Status: online
|
quote:
ORIGINAL: bzirk
Well, certainly we don't want to jeopardize the country, but I disagree with you. What you're suggesting is trying to save money in the wrong place, and since we have no draft, and we're having trouble getting our young people to go to war, I think it's a good incentive and certainly something we should be willing to pay for as taxpayers. That is why the federal government was initially formed -- to protect ourselves. We start cutting some of these social engineering programs, entitlement programs, and earmarks, and we can see a difference. But to be miserly with the very people who are potentially sacrificing their lives? That's wrong.
We don't really disagree. I just have a problem with the fact that home ownership has become viewed as some kind of "right" in our society. We should help them get an education (that helps recruit young people that need an incentive to enlist for sure). But if we paid them decently, I think the rest wouldn't be necessary. It's absolutely appalling what enlisted men make in our military and how much their families have to struggle. And if we're going to pull Reservists out of their jobs for such long periods of time, it unconcienable to leave their families struggling and in dire straights because their incomes are slashed during that time. I think the various perk programs are just smoke and mirrors and they need to be compensated for the work that they do. But to allow them a pass on mortgage requirements, allowing them to get the 100% down, might really just be setting some up for failure and doing them more harm than good as well.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 11:30:59 AM
|
|
|
csl7037
Posts: 2060
Joined: 3/24/2008
Status: online
|
quote:
ORIGINAL: bzirk
Almost everyone up there who is "protecting our interests" did little or nothing, and now look what's happening. Do you think the American people will ever see any money, if any is made, on this bailout? Where is the money from the so called Chrysler profit or the S&L profit? I would love to see that delineated. It AIN'T happenin', my friends, because what goes to Washington stays with the fat cats mostly unless we want to talk about some earmarks coming back to various states.
What would it take to do a wholesale impeachment of the whole lot? Clean slate, I say! I think I have a good Congressman but I know my state's Senators are both an absolute waste (one Dem, on Rep). I'd like to just send them all packing. Wishful thinking.
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 11:37:52 AM
|
|
|
bzirk
Posts: 2849
Joined: 4/11/2005
From: Where the deer and antelope play
Status: offline
|
I'm ready to throw the bums out. I'm voting against my congressman. I didn't want him, and now I'm going to vote against him.
As for the Senator's slot, we have term limits here, and so we have two new guys running. I'm voting for the guy whose party is not in power.
Frankly, the term limits have hurt us because many others states do not have them. I would like to see term limits for all states. People like Chris Dodd and Kennedy and yes, people like Trent Lott and some other Republicans should have had term limits applied to them.
_____________________________
may the God of hope fill you with all joy and peace in believing, so you will abound in hope by the power of the Holy Spirit. Romans 15:13
Great quote: I just ain't God and don't know it all. -- SonInMe1
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 12:11:09 PM
|
|
|
csl7037
Posts: 2060
Joined: 3/24/2008
Status: online
|
quote:
ORIGINAL: bzirk
Frankly, the term limits have hurt us because many others states do not have them. I would like to see term limits for all states. People like Chris Dodd and Kennedy and yes, people like Trent Lott and some other Republicans should have had term limits applied to them.
I used to work in the Legislature and it's good and bad. Sometimes there's a benefit to experience and having a lot of new legislators is really not always good - speaking as a former staffer, it can be rough. But when we're seeing the kind of abuse of power that we're seeing, I think it's necessary. Our State Legislators are term limited but not Federal. I didn't realize some states limited the terms of the US Senate. I think that would put your state at a significant disadvantage going to Washington and never really being able to ascend to a position of leadership. Most of our Congressmen have been there forever, I think. One of our Senators is relatively new and one's been there most of my life - they both stink!
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 1:48:49 PM
|
|
|
mrtigger
Posts: 321
Joined: 4/12/2005
Status: offline
|
quote:
ORIGINAL: _jjp_
So we bail out the banks so that they can lend more money which is what got us in trouble to begin with? Housing prices have been way overpriced for a while and letting this situation play out could possibly remedy some of that, people will lose money on their homes but that's what happens when you purchase an overvalued asset. We don't need more money lent, we need to stop borrowing.
Yes indeed... I think housing values will (and should) continue to correct until they are back in line with wages.
It seems some who support the bailout hope it will reinflate the real estate bubble. That will not happen. The bubble was created by greedy people coupled with no questions asked easy mortgage money. Even if the bailout helps keep mortgages flowing, the greed has been replaced by fear and no bank is going to go back to the absurd kind of mortgages that were fueling the bubble. That bubble will not be re-inflated and even if we could re-inflate it, it would be undesirable to do so.
The bailout conspiciously lacks any thing to keep people in their houses, and paying down their mortgages (the paying part of that seems to be what Obama & the dems don't understand). That tells me the morons in charge may believe the bailout will reinflate housing to the point that foreclosures are not an issue anymore. The bailout will not do that.
_____________________________
mr tigger
|
|
|
|
|
RE: Can bailout fix US economy? - 9/28/2008 2:00:55 PM
|
|
|
csl7037
Posts: 2060
Joined: 3/24/2008
Status: online
|
Is there anything in the bailout to tighten up requirements for loaning the money? We can't just keep loaning to risky people, that'll just exacerbate the problem. I think there's got to be a reality check here for consumers. If we're all just equally saddled with this enormous bill down the road, no one is going to learn anything or realize how their irresponsibility and personal greed contributed to this. Will credit continue to be absurdly easy to get or will some common sense return to this system? If people suddenly can't keep upping their limit (like Congress) and they have to face the reality that the things we want do have to be paid for, maybe we'll collectively learn something from this. If the bailout is designed to keep people from feeling any real "pain" from their stupidity, it's just a temporary fix and, I fear, very temporary.
|
|
|
|
 New Messages |
 No New Messages |
 Hot Topic w/ New Messages |
 Hot Topic w/o New Messages |
 Locked w/ New Messages |
 Locked w/o New Messages |
|
 Post New Thread
Reply to Message
Post New Poll
Submit Vote
Delete My Own Post
Delete My Own Thread
Rate Posts |
|
|
Forum Tools
Printable Version
