I feel bad for many of the people who bought houses that they can not afford and now face foreclosure. At the same time when do we start holding people responsible for their own actions?
During my lifetime I have had maybe 10-15 different mortgages. Each time I am given a choice between a lower adjustable rate or a higher fixed rate. Every single time I have gone with the higher fixed rate to lock in a payment and paid extra. Bad enough I know each year my taxes and insurance go up, at least my principal and interest payment stay the same. Again I feel bad for anyone in foreclosure but why should we bail someone out for their bad decisions?
Maybe if the City of Worcester did not give first time low-mod income home owners down payment assistance or "soft" second mortgages, the home-owner in trouble never would have been able to get the 1st mortgage that is now being foreclosed on. I umderstand the gut reaction to help someone, but their is no better teacher then the forces of the free market.
Same Time Next Year
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It’s been nearly a year since I wrote about the problems that come from
having 11 bosses who are not on the same page about anything, as well as
suggestion...
4 months ago
7 comments:
What a difference a decade makes. When I bought my home in Worcester in the summer of 1997 here is what happened. The price was less than 200k for a nice late 1920s colonial on the west side. Since I was self employed I HAD to put at least 20% down - no way around it for a 15 year note at 7%. My income was more than adequate to cover the note ( 4 yrs. W2's ) but we were relieved when the bank finally said yes. Please note I also had a very strong 4 year commercial relationship with the same bank. I could not believe the stories my friend who sells real estate had told me in recent years. No money down ARM loans on 400k fixers with no income verification! As we all know it blew up but we also know Uncle Sam will come to the rescue just like he did during the late eighties S&L crisis. I am very pro business but the total break down in lending guidlines started with all the very top banks drive for earnings growth. I'm afraid this debacle is only just beginning (even with some of the already huge write-downs) and we will all pay for their greed and stupidity.
Fear not. Remember, as Barry Obama often reminds us:
*the past is behind us
*the present is now
*the future is ahead of us
Together We Can. Yes We Can. Si se puede. Can what? Change.
Why do we want Worcester to change? Because change means Hope! Hope means that we want something better rather than something worse.
The Deval-Barry program seems to be working pretty well in the city that supposedly invented the smiley face. Just buy in with your heart and don't ask any questions about the specifics. Then open up your wallet...
Si se puede!
i am so sick of this mortgage crisis stuff!! This is a perfect example of capitalism and the market at work. People spent much and banks lent too much and now we are having a correction.
Although it can be very painful to some and I feel bad for anyone who is in a bad position, but that is America. Let the market go!!!
Here's a brief interview with the City Manager about what the City is doing on this issue:
http://www.wccatv.com/soapbox/599
Meanwhile we have Comm Dev'ment Corps getting more of my tax money to build more low income housing in Worcester.................which low income housing Worc neither needs nor wants............yet these LIHP's (Low Income Housing Pimps)........just keep building w/o regard to if there is anyone to buy them.............then they'll rent them....stealing tenants from the private 3 decker landlords.
There is an 8 to 10 year supply of new housing units on the market right now nationwide...............anyone who thinks this crisis will be substantially over in later 2008 clearly has their head in the sand.......
Take a look at the foreclosures in the T&G everyday .......each passing day they reach further out away from the inner city into single family neighborhoods and the burbs.......a scarey trend IMO....
The only bright spot that I see is if CDC's have to take the money they were going to use to biuld more low income housing and use it to bail out their subprimes borrowers..........then that is a the less money available to build more Low income housing.
This notion that everyone should own their home is like saying everyone should own their own Rolls Royce.
Maybe these subprime borrowers who attended a CDC sponsored home ownership clinic/course and got led sown the primrose path should start a class action suit against the CDC's. Maybe we can wedd them out that way.
Bill how mnay non prfits low income housing corporatiosn do we have in Worcesrer now?
Main South CDC
Oak Hill CDC
East Side CDC
Canal Distr CDC
Worc Common Ground
Mathhew 25
Worcester Housing P'ship
Did I forget any?
Time to cull these CDC's ( Community Destroying Cartels). Christ we got more CDC's than we do school committemen.
And now the front page of T&G today tells me headline "More Housing Funds Needed" They want to put addicts into housing as a 1st step toward getting them sober.......WTH kinda logic is that? Ya gotta crawl before ya can learn to ride a bicycle.
I wanna see that PIP study results.........been over a year now........I hear there's a big place for sale on Whisper Drive.....
Jahn:
I love it when you get on a roll. Guess who are an integral part of the City Manager's SAVE team?
Answer: The CDC's
Bill
Bill and Jahn,
The CDC slogan: Si se puede!
Together (with your money) they can do something useful for someone. I can't predict what they will do or who it will help, but I trust that some more money would allow them to spend it. Just like city officials, don't let details get in the way of your enthusiasm.
Mary
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