President Obama has decided to bail out so-called foreclosure victims allowing them to re-work their loans and get better rates.

 

 

 

So I ask you Mr. President how do you help Borrowers who didn't qualify for a home loan in the first place? Many of these folks qualified without using their real income. Why because they didn't make enough!!!. So the lender placed them in a stated income loan. When the borrower got upset about a High interest rate the lender placed them into an adjustable loan, so the payment wouldn't be so high.

So I ask again, how do we re-write loans on borrowers who are out of work or don't make enough to refinance there home?
 I hear everyday from the liberal media and the President stating we need to bail these folk's out so that we can save the neighborhoods from losing their values. Well I hate to tell this Mr. President the neighborhoods have already lost all there values, and the folks that are making there payments have already paid the price in there neighborhoods from falling prices. 
 
After 26 years in the Mortgage Industry selling paper to Wall Street and seeing all of different types of loans being purchased by Wall Street investors I wonder how many folks didn't really read the documents they were signing. Our company wasn't like those lenders that allowed Borrowers to state their income 75% above the Industry standards for the occupation the borrower was currently in, and we had several riders in the loan documents letting the borrower know, there were taking an adjustable loan explaining the terms. The riders were located behind the note and the main package of the documents as well as an attachment to the deed as a rider to be recorded with the deed with everything spelled out for the borrower.

Everyone becomes a victim when there losing there homes, and yes there are true victims like those who have lost there jobs, or some who didn't speak or couldn't read English and relied on the loan officers or realtors to explain to the borrower what they were signing.

In the late 90's the push for home ownership was very big, there were certain segments of our population wanting easier access to affordable home loans. They wanted to make sure every American had the opportunity to purchase their dream home.

 
Article must read:
   Fannie Mae Eases Credit To Aid Mortgage Lending Sept 30, 1999

The federal Government tells us that Fannie and Freddie are to Blame for the Mortgage meltdown, but FHA was allowing borrowers to rely on gift funds from organizations that were considered so-called non-profit organizations. The program allowed sellers to share there proceeds to help cover the 3% in down payment required by FHA to purchase a home, allowing borrowers to come in with no money down or closing costs.
 
Article must read:
    FHA Seeks To Ban Seller-Assisted Payments
 
I would venture to say this program started with the liberals in Congress and the White House with president Bill Clinton.

When all else fails Blame President Bush for this mess

The New York Times wrote this article in 2003 when the Bush Administration brought the matter up.

A look back to Federal Housing Enterprise Regulatory Reform Act of 2005 the media won't tell you
 
Its funny how every liberal complained over the last 8 years the President Bush was hard headed and never listened to the Americans when he had to make the tuff decisions. Now we have this president who tells everyone if you don't like my decision then tuff I won the election, and that's ok.