Owners Stop Paying Mortgages, and Stop Fretting

[red states rule]

So they are about to lose their home, they stop trying to work something out with the loan servicer, and take a "break"?

This is the insanity that has led to Obama's election and the entitlement mentailty that has led these people down the path to financial destruction





For Alex Pemberton and Susan Reboyras, foreclosure is becoming a way of life — something they did not want but are in no hurry to get out of.

Foreclosure has allowed them to stabilize the family business. Go to Outback occasionally for a steak. Take their gas-guzzling airboat out for the weekend. Visit the Hard Rock Casino.

“Instead of the house dragging us down, it’s become a life raft,” said Mr. Pemberton, who stopped paying the mortgage on their house here last summer. “It’s really been a blessing.”

A growing number of the people whose homes are in foreclosure are refusing to slink away in shame. They are fashioning a sort of homemade mortgage modification, one that brings their payments all the way down to zero. They use the money they save to get back on their feet or just get by.

This type of modification does not beg for a lender’s permission but is delivered as an ultimatum: Force me out if you can. Any moral qualms are overshadowed by a conviction that the banks created the crisis by snookering homeowners with loans that got them in over their heads.

http://www.nytimes.com/2010/06/01/business/01nopay.html?hp

[Little-Acorn]

So they are about to lose their home, they stop trying to work something out with the loan servicer, and take a "break"?

This is the insanity that has led to Obama's election and the entitlement mentailty that has led these people down the path to financial destruction

The current leftists have made careers out of announcing that it was the big bad mortgage lenders that somehow coerced or "fooled" people into taking on mortgages they couldn't afford, and other such balderdash.

To no one's surprise, some people are taking them up on it. They are acting like their taking out big loans is somehow "someone else's fault". Then they are going the next logical step of getting "revenge" for the "offense" those lenders did by lending them money. That'll show those eeeevil lenders they shouldn't mess with me, by God!

Indeed it will. Next time you need a loan, or pretty much any kind of help, those lenders (and all of their colleagues) certainly won't mess with you. Or lend to you at all. Or have anything to do with you, period.

Then you'll find out how "straightened out" your life is.

There's a little ironic justice here, in contrast to the grief they are putting the lenders through. People stupid enough to believe the leftists, deserve to get whacked in the face for it, which these rubes soon will be. And they're probably dumb enough to KEEP believing that the subsequent misfortunes are also somehow not their fault. Which means they will get whacked regularly and often.

Things don't always balance out. The lenders don't deserve the grief they are getting from these tantrum-throwers. But occasionally they come close.

[red states rule]

Working in default it is amazing to read the letters these people send in. I had one guy was "shocked" forclosure proceedings had started. he wrote how he was sending his monthly billing statements to the White House for payment

Others will claim they "never knew" the property was going to foreclosure sale

Still others will pay thousands to a "lawyer" to erase the debt - but can't put moeny toward the loan to bring it current