| Author |
Message |
    
Foj
Citizen
Username: Foger
Post Number: 1342
Registered: 9-2004
| | Posted on Saturday, May 13, 2006 - 1:11 pm: | 
|
Home Foreclosures Up As Mortgage Rates Climb
http://abclocal.go.com/kgo/story?section=business&id=4163208
May 11 - As interest rates increased steadily over the past year and the explosive growth in housing prices declined, many Americans fell behind in their mortgage payments. Now some have defaulted on home loans and could lose their homes due to foreclosures.
When home prices soared at double-digit rates during the recent red-hot housing market, many Americans stretched themselves financially to purchase a home. The use of lower-interest adjustable-rate mortgages, or ARMs, interest-only mortgages or option-ARMs that allowed home buyers to choose how to pay each month soared during the same period.
According to the Mortgage Bankers Association of America, ARMs now represent 25 percent of the more than $8.5 trillion in outstanding loans. Economists with Moody's Economy.com forecast that the interest rates on $2 trillion of those mortgage loans could be reset in 2006 and 2007. And that could become a problem if interest rates continue moving higher.
<snip>
RealtyTrac, a California organization that tracks foreclosed properties nationwide, found that the foreclosure rate in March of this year was up 63 percent compared with last year. The company's foreclosure data includes a variety of categories: homes that enter the foreclosure process, homes that are actually foreclosed on and homes that are returned to the banks.
--------------------------------
This is another sign that these Neo Conservative economic & tax policies are not sustainable. As history has shown, repeatedly.
-Cafe standards need to be raised by 4-5 MPG, NOW.
-Solar cells need to be on roofs.. this is a National priority, NOW.
-Taxes need to be progressive, like they were from 1936 into the 1970's. Corporations need to pay 40%, top personal rate needs to be 92%. NOW.
-WPA & the CCC need to be brought back, NOW.
-The Cartels need to be broken up- Oil, corporate farms, telecom, etc. NOW.
|
The Notorious S.L.K.
Citizen
Username: Scrotisloknows
Post Number: 1399
Registered: 10-2005
| | Posted on Saturday, May 13, 2006 - 9:01 pm: |
|
FOJ-
Another biased piece of melodrama brought on by yet anothet left wing group with an agenda.
Why blame the "neoconservatives" when you can blame the goofs taking ARM loans? Common sense tells you interest rates are not going to remain low forever so why would yo stick your ••• out in the wind like this is beyond me.
And if you are really stretching yourself that much to buy a home don't you think it might not be the right time?
-SLK
BTW, who is going to pay for these "solar cells" on roofs? The homeowners that can't afford to own it?
|
Foj
Citizen
Username: Foger
Post Number: 1351
Registered: 9-2004
| | Posted on Saturday, May 13, 2006 - 9:29 pm: |
|
Yawn. Is straw next? |
Factvsfiction
Citizen
Username: Factvsfiction
Post Number: 428
Registered: 4-2006
| | Posted on Sunday, May 14, 2006 - 12:06 am: |
|
why can't they just pay their mortgage using their credit cards?
don't any of these people ever talk to Ken Lay? |
Andrew N de la Torre
Citizen
Username: Delatorre
Post Number: 458
Registered: 2-2003
| | Posted on Sunday, May 14, 2006 - 7:42 am: |
|
The same way the Fed Gov't gives tax breaks and incentives to the oil and auto industry, they should give rebates, tax breaks and incentives to people for solar panels. When I installed my solar panels, there was no incentive, deduction or rebate from the Federal Government. |
Travis
Citizen
Username: Travis
Post Number: 424
Registered: 6-2004
| | Posted on Sunday, May 14, 2006 - 9:11 am: |
|
Quote:Common sense tells you interest rates are not going to remain low forever so why would yo stick your ••• out in the wind like this is beyond me.
Can someone explain why, when fixed rates were at historic lows, Greenspan was advocating that people take out ARMs?
I mean, seriously, WTF????? |
The Notorious S.L.K.
Citizen
Username: Scrotisloknows
Post Number: 1403
Registered: 10-2005
| | Posted on Sunday, May 14, 2006 - 8:57 pm: |
|
Travis-
I wish I knew since Greenspan is usually on the money.
But I can't believe anyone would choose an ARM over a fixed loan, especically if you are financially wobbly to begin with when purchasing a house. Yeah the short term advantages is a lower monthly payment (of course depending on low interest rates)but the risks are greater and interest rates WILL rise.
Andrew-good point about the rebates/tax breaks, I didn't think about that-not too shabby of an idea.
FOJ-that's it? You have this unique ability to politicize anything.
-SLK
|
notehead
Supporter
Username: Notehead
Post Number: 3260
Registered: 5-2001
| | Posted on Sunday, May 14, 2006 - 10:06 pm: |
|
SLK, what do you suppose the role of government is, if any? Just curious. |
Foj
Citizen
Username: Foger
Post Number: 1359
Registered: 9-2004
| | Posted on Monday, May 15, 2006 - 12:02 am: |
|
The role of Government is to tranfer wealth from everyone to the few at the top of the pile.
For the good of us all. |
Closed: New threads not accepted on this page