As one personally engaged in the “aftermath” of this mess as a short sale investor who came into the market just prior to the “meltdown” I could not agree more.

Lenders are routinely rude, indifferent and slothful as homeowners attempt to provide the solution throught short sales and modifications while the entire world seems to have misse d the point of this entire excercise.

This is not a housing bubble. This is a specific economic text book “cause and effect” scenario:  Inflate the money supply through cheap loans, artifically induced low interest rates and a glut of “new products” designed to deceive and confuse (Who ever heard of a 125% LTV in their LIFE before this event?? What are you, on Crack?? – Never mind a NEGATIVELY AMORTIZED LOAN???  That is not “like saying” is IS SAYING: Every month you live in this house your principle balance will go UP. You will achieve NEGATIVE RENTAL STATUS!  Come on… think it through.)

Problem is, most Americans either:

A.Have no clue what just happened and are relatively uninvolved

Or

B. Are so embroiled in the mess themselves they have gone into a tail spin and are trying to figure their way out and have no time to consider that there are litereally hundreds of thousands of them –

I”ve been doing some reading…

In Prince William County Virginia peopler were talked out of perfectly good loans that served them fine, thank you ver much, for “free refi lower interest 30 year fixed loans” which turned out to be anything BUT and cost a fortune – not to mention the people losing their homes over this – not n’er do well speculative buyers (who wouldnt’ buy if this was their first introduction to the real estate market and it was touted as cheap and easy?) but to long term homeowners with families and established lives – who bought a bill of goods

why?

Why did thy buy that bill of goods?

Because there was a tremendous market pressure to produce those notes! Those Mortgages!  

Ironic.  Today the defense many homeowners come to is “Produce the Note” and the bad days of this “heydey” for the finaciers of the world was the other end of “Produce the Note” – GIVE US PAPER TO SELL

We don’t give a good god damn if the loan underlying the paper is any good in the long term… WE MAKE OUR MONEY UP FRONT.

Well

Someone had to Say It.

Read Grunch by RBFuller.

case closed.

Now Get ON TO YOUR SOLUTION!!!

Thank you.

;0

I was lucky. I was just ahead of the craze. I bought a house in 2004 for 300k and 3 weeks later my neighbor (an investor) offered me $750k. (I didn’t sell because I wanted to live there.)

Thanks,

Nancy