Foreclosure Digest

I would imagine this might offend some people but I’m going to express my opinion anyway.

First of all, I feel bad for anyone who losing their home to foreclosure. It’s a shame as it’s always been the American dream to own a house.

Now there has been some government help available to help people keep from losing their homes, but that really doesn’t seemed to have worked.

One of the biggest problems is so many people purchased homes that were well above what they could afford. Using special financing such as ARM’s (adjustable rate mortgage) has become a problem down the line. Now ARM’s has gotten a bad reputation because of the financial situation in the 80′s. They have improved with maximum rate adjustment caps and mandatory rate disclosure regulations to protect and educate borrowers, but that doesn’t change the current foreclosure situation.

I feel more sorry for someone who had a job and purchased a home well within their means. They felt assured they could continue making the payments until their mortgage was eventually paid off. Then, for reasons beyond their control, such as a lay off or unforeseen medical expenses, they now can no longer afford their house.

If anyone deserves help, they are the ones. The persons who bought a home they knew they couldn’t afford for whatever reason, status symbol being one of the big reasons; that’s another story. I feel bad for them but I don’t want my tax money bailing them out.

I bought a old house to start out, sold it and bought my current house, and now have it paid off. Good thing too because my wife’s medical bills have become massive. There were houses we really wanted but knew we couldn’t afford, as is probably the case with many of you reading this.Had we bought one of those houses and lost it because we couldn’t make payments, we would have been devastated but, when the smoke cleared, would have wrote it off to being greedy or over zealous.

My point to all this rambling? If you are considering buying a new home, buy within your means. If you don’t, foreclosure might be in your future.

This entry was posted on Monday, September 26th, 2011 at 6:22 pm and is filed under Foreclosure Information. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.