Comments on: Why is the banking industry stable but the average American losing his house?

By: Barbe Bleue

Barbe Bleue — Wed, 21 Oct 2009 15:42:03 +0000

The money ploughed into banking is not flowing back into the real economy. They have used it to buy businesses in administration and to pay for mergers and other acquisitions.

Hence the man in the street suffers either small business bankruptcy or job loss and can’t meet mortgage repayments. No matter how low the interest rates are cut.

You’re right that the banks and other brokers were never ‘forced’ to allow unsafe mortgages, but they chose to issue them based on the risky assumption that they could make them profitable by repackaging them and selling them on to another creditor. Barbe Bleue

By: Skitter

Skitter — Sun, 18 Oct 2009 04:05:28 +0000

Because they bought more home than they could afford and/or practiced bad fiscal habits.

Financial advisors suggest having 6-months income in savings. How many of these people did that? Good practices say you should put 20% down on a home. How many of these people did that? How many bought homes that were a larger percentage of their monthly income that is advisable? Most of these people were to busy competing with the Joneses.

We can blame the lenders all day, but the buyer started and finished the process of buying a home. Skitter

By: meg

meg — Fri, 16 Oct 2009 20:45:59 +0000

I am not at all sure that helping people stay in homes when the owe more on the mortgage than the house is worth in today’s market is doing them a favor. The sensible thing to do for most of them is to walk away and start over, which is why the banks are in trouble. The sad cases they show on TV are not typical.The government subsiding people so they continue to make mortgage payments in the really bad housing markets like Las Vegas is just another way of helping banks. meg

By: Tony L

Tony L — Tue, 13 Oct 2009 22:12:47 +0000

Pre Planned transferrence of Wealth, the Rothschilds have done this before Tony L

By: happy2b_white

happy2b_white — Tue, 13 Oct 2009 16:03:11 +0000

When you stop paying the mortgage you lose your house. Doesn’t matter whether you’re “average” or not. happy2b_white

By: Dances with Aardvarks

Dances with Aardvarks — Sun, 11 Oct 2009 23:13:38 +0000

The banking industry is NOT “stable.” Until a few weeks ago I worked in the banking sector — and not as some crazed mortgage underwriter but as an IT tech. Now I’m looking for work, living on unemployment of about 20% of my former income. If that keeps up for too long, I’ll be added to the list of folks losing their homes and adding to the huge foreclosure snowball even though I don’t have some sort of “creative” loan but a fixed rate 5.5% conventional mortgage. Who’s going to bail my @$$ out?? Dances with Aardvarks

By: ZIMMER110

ZIMMER110 — Sat, 10 Oct 2009 23:48:30 +0000

the average american is NOT losing their home. the majority of those losing their are the ones who could not/should not have qualified in years past but thanks to barney frank, ACORN, et al, these folks got more house than they could afford.

someone making only $7/hr cannot (and should not try to)afford a $300,000 or more house ZIMMER110

By: rthimble

rthimble — Sat, 10 Oct 2009 22:13:41 +0000

As Anna said the percentage of people losing there homes is really not as high as you might think, and sadly a lot of these people didn’t use good judgment in buying homes. Some bought homes they just couldn’t afford, and you have some where things happen that are not really things you can control divorce, health problems, job loss. The industry should have passed on some of the benefits they received by the government but they aren’t going to do that unless someone has a gun to there heads it isn’t in there nature.

Wage peace you have to stop and add in that Las Vegas doen’t really represent the medim home price level it’s high compared to much of America. rthimble

By: Glock Schnitz

Glock Schnitz — Sat, 10 Oct 2009 18:18:14 +0000

Ask Henry Paulson, he’s the one who gave out $2 trillion and won’t tell who he gave it to or why (other than his cronies at Goldman Sachs). Glock Schnitz

By: drwmxwll

drwmxwll — Sat, 10 Oct 2009 04:26:16 +0000

FORCING the banks to do something was what caused the problems in the first place. It is in the banks best interest to help many of these people stay in their homes, this whole situation didn’t do them any good. The politicians caused this problem by stickiong their nose in where it doesn’t belong. They evidently think they know the business of banking better than BANKERS. If that’s true maybe they should be bankers instead of politicians. Let the people who KNOW the business RUN the business. drwmxwll