Mortgage Trouble: Walk Away
I have been thinking about this for a while, and I just watched an interview with Neil Cavuto and some businessman about people who just walk away from their home when they can no longer afford the mortgage:
http://cosmos.bcst.yahoo.com/up/player/popup/?rn=289004&cl=1...
I've heard a number of people throw the old "ethical" argument out there, but that is not the way I see it. The banks are not doing us a favor by lending us this money, these greedy b*stards are collecting 2 to 3 times the value of the home in interest. Mortgages are investments, both for the homeowner and the bank. It SHOULD involve risk on both sides. If we don't pay our mortgage, they take the HOUSE! So why is it "unethical" if someone in trouble just walks away! ?
And another thing, since this is an investment by 2 parties (bank and homeowner), the bank should bear more of the risk burden, e.g. the bank should pay 1/2 the taxes and 1/2 the insurance, after all, they own the damn thing until it is paid off!!!
And even when the home is paid off, they bank has just as much if not MORE than the homeowner from the deal, so again, don't act like the banks are doing us some big favor by lending us our OWN money that we print in the Treasury, then give to the federal reserve so it can lend it to the local banks to lend back to us!!!! Talk about a Ponzi scheme.
Those bastards are all happy when the bubble is being inflated, then when it pops they cry "unethical" when people walk away from a bad investment. Ha ha I say, it all evens out. Get ready for 10 years of Mad Max in America (maybe overboard, but you get my point)...
Mort-Gage= Engaged with Death
How do you know you are poor?
By struggling to diligently pay your monthly bill on time.That is all the banksters rely upon.That you gona pay of fear to repossession or death.
My thinking has been along the same lines.
I can't help but think how it would work in a truly free "ethical" republic system. Banks would only loan money that other investors (you and me) put into to it. Banks would not use an "unethical" fractional system of 10 to 1. The money would be "ethically" 100% backed by some commodity.
With that said, prices would never have abnormally skyrocketed like they did; hence, there never would have been a huge bubble bursting either.
Also, without coercion from the state, wise banks would require a nice down payment plus they would only loan the money if the remaining mortgage balance was less than the Fair Market Value of the property and/or home; so, if you didn't meat your end of the contract the bank wins the property plus your down payment and you are free to go. MAN, FREEDOM WORKS!
We, as a nation, have been slowly conned out of our property and even if you are fortunate enough to pay off the mortgage most states still have property taxes and so you never really own it. So much for the "right to property". I hope there is a peaceful way to reverse the trend, but I'm afraid it will continue until this huge bureaucratic system is erased with WAR.
I think the decision to abandon the mortgage contract is unethical/unmoral depending on the person's state of mind. For me, I just want my freedom back and I feel my mortgage is working against those interests. If the time comes to walk away I will not think it twice, I'm 'outta here! Whatever your decision, you will have no harsh judgment from me; however, just be careful who you tell. Many Americans still don't realize that this entire system was designed to bring them into slavery.
“I’m fully diversified. I’ve got some under the mattress, some under the floor boards, some in the backyard.”
“I’m fully diversified. I’ve got some under the mattress, some under the floor boards, some in the backyard.”
A breath of
Fresh air.
Arguing the old "ethical" argument here
is like Biden saying it is American's patriotic duty to pay taxes. Great post!
Makes me rethink
The whole scam. Thanks.
some
some good points there. an aquaintance the other day gave me a good thought to ponder. Would housing prices be so high if banks couldnt offer 30 year mortgages?
Mines 40 year...
Mines 40 year...
Would housing prices
be so high if mortgages were not tax deductible? Would mortgages be so popular or, would people prefer to pay cash? The Plumber
The Plumber