Comments on: Barack and Barney Look to Further Plunder Freddie and Fannie

By: ScottVA

ScottVA — Sat, 27 Jun 2009 05:24:02 +0000

I think Barney Frank is a worthless piece of fat… He sits up there playing the holier then thou part when his gay partner took huge bonuses sitting in a high position at Fannie Mae… yet no one ever talks about that… LOL
HOWEVER, I’m a Real Estate investor/developer… and I will agree, that the rules do need to be loosened a bit on this particular issue! Just because a building is new shouldn’t penalize it in the mortgage sense! A person wishing to buy a new unit is having a harder time getting a loan. The issue is really with the person buying the unit (credit worthy) etc…
I can see having over runs at 105% LTV but that is really where it should end… although I do think it’s a good idea to be able to go a bit higher if you’re a credit worthy mortgage holder and you need help rolling two loans together to make one manageable payment. In the long run everyone wins… it keeps someone in a unit/helps them keep their A credit rating and also keeps property prices stable around the unit.

By: whoisjohngalt

whoisjohngalt — Thu, 25 Jun 2009 11:02:57 +0000

This is what you get when more than 50% of the voters are looters.

By: Peggy Sue

Peggy Sue — Wed, 24 Jun 2009 16:51:30 +0000

As if I would believe anything Barney Frank had to say about financing in the housing market. Or much else. Turn off the lights and lock the door?

The crooks have already set up housekeeping, invited their friends and cooked up another all-night party.

We are so screwed. Yet, the band keeps playing and few seem to notice it’s a funeral dirge.

Thanks for the continued updates, Larry. Or should I say: continued horror story.

By: Patience

Patience — Wed, 24 Jun 2009 12:46:02 +0000

It seems Rep. Frank’s appetite for toxic assets is out of control. I wonder if he’s buddies with some unsuccessful condo developers? It would be interesting to get an update on the sources of political contributions he’s received.

By: KB

KB — Wed, 24 Jun 2009 12:35:26 +0000

This sounds about right. I got a call yesterday from BOA about a mortgage I have with them-used to be a Countrywide loan. The person offered me the opportunity to refinance with cash out and rolling all the closing costs into the new mortgage without any documentation. I asked her if that wasn’t setting the stage for another mortgage disaster and she said the government wants to reach out to as many people as possible to make our homes more “affordable”. If they go to 125% loan to value this is going to be just another way to suck more money out of American taxpayers pockets because many people are going to just stop paying those loans. The incentive to continue paying when the house isn’t worth what you’re paying on is pretty high when times are tough. The housing market is still in free fall and they’re increasing debt based on falling numbers?

I have a friend who is currently working as an auctioneer for a bank. He tells me there is such a mess internally that he sometimes goes two & three times to properties on the day of auction only to have the bank cancel at the last moment because of paperwork “irregularities”. He says many of the owners are staying in the properties for months without paying a dime and expect to be living there for many more months to come. We know who is paying for all this…

By: kenoshamarge

kenoshamarge — Wed, 24 Jun 2009 12:10:38 +0000

People who think, and don’t drink the cool kiddies beverage have to wonder how long and how much of this plundering the economy, which is all ready on life support, can stand before it just goes splat.

This is scary stuff and the media, for the most part is either bloviating about Orambo swatting a damn fly, or yukking it about at his cutesy jokes at some damn media dinner.

We are on our own folks.

By: glennmcgahee

glennmcgahee — Wed, 24 Jun 2009 12:07:44 +0000

Would that enable people headed to foreclosure to refinance and then go about buying those fancy stainless steel appliances that they just must have also? Maybe they could also go on a cruise again by then getting another second mortgage since their home’s value would again get inflated.
What I’ve been hoping is for a correction in the market. The price of homes and condos became obscene. Everybody thought they were living in an investment that would one day make them rich. This would again result in the crazy flipping that got us in this mess in the first place. I’m sorry, but the people who spent insane amounts of money they couldn’t really afford on homes that were too big for them anyway should learn the lesson and not get rescued again. This doesn’t help the poor either. They are mostly renters with nowhere to go as they see their rents increase, lose their jobs and end up on the streets.

By: HC123

HC123 — Wed, 24 Jun 2009 04:23:03 +0000

I know I am eager to fund all sorts of risky ventures. Especially 125% mortgages about which I know nothing, and have no say in the purchase at all.

By: Linda Anselmi

Linda Anselmi — Wed, 24 Jun 2009 03:43:19 +0000

Thanks LD. We are in a real mess.

By: JRD

JRD — Wed, 24 Jun 2009 02:33:45 +0000

Two Harvard educated “useful idiots” on a course to self destruct.

By: pcmoore28

pcmoore28 — Wed, 24 Jun 2009 00:38:00 +0000

Are they verifying income on these loans? Some lenders are not verifying income if the refinance is one of their own loans…up to 105% loan to value…..Really scary…..and the loans are guaranteed by Fannie and Freddie AKA us.

By: tminu

tminu — Tue, 23 Jun 2009 23:42:00 +0000

Common sense? That’s what got Walpin illegally fired.
Yet another criminal act by Obama, at least one per day, along with pissing on the Constitution.
jus soli
jus sanguinus
the illegal usurper brings forth more destruction from within

By: Ellen D

Ellen D — Tue, 23 Jun 2009 23:09:14 +0000

I’m not a financial expert but I don’t understand how a loan-to-value on anything can be over 100%. That would seem to defy common sense.