What is Digg?2 Comments
- habbofresh, on 11/19/2008, -0/+2WTF. They're in foreclosure because they can't afford the mortgage.
So you make the bank their landlord and the owner gets to stay as a tenant for an equal-sized financial obligation?!?!?!
No. No-one can possibly lose any more money over this. Not at all. No way.
The net result: the deadbeat banks will deal with a new type of deadbeats. - MsLaurel, on 11/21/2008, -0/+11. Restructuring a mortgage and "guaranteeing" loans (like guaranteed student loans) costs taxpayers nothing! It SAVES taxpayers the loss of their property-value as their neighborhood becomes a ghost-town and the undesirables begin lurking about!
2. The reason we buy a home is that buying the home is cheaper than renting it. Hello?
3. The "incentive" not to default on one's mortgage is that defaulting completely f**ks one's credit-score, and these days you can't apply for a job OR a rental without a decent credit score. No person with an affordable 30-year fixed-rate mortgage wants to ruin their credit score!
4. Bankruptcy judges say that those who file usually wait longer than they should. In other words, the majority of people are not going to "game the system." If anything, they'll wait too long to ask for help.
5. Banks don't want to become landlords? Who says? A mortgage is often, facetiously, called "rent control." The bank owns the house until you make that last mortgage payment, yet they don't control your use of the property. They might as well be your landlord. The difference is that landlords are expected to handle maintenance issues. (That's why property-management companies exist.)
(What is this guy smoking?)
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