Stimulus or Depressant – What Do You Think?
February 20th, 2009 Categories: Buyer's Corner, Market Conditions, REO and HUD Talk, Trends
We have all been reading and hearing about all the bail out bills and the latest $75 billion to aid homeowners at risk of losing their homes.
I found this clip on CNBC which is entertaining and might be right on. Watch and tell me how you feel. See Rick Santelli take down Cramer!
Man, this guy makes my blood boil. There’s a knee-jerk perception among this ilk that thinks that every homeowner who’s in trouble with his mortgage is living a lavish, irresponsible life-style. As a Realtor, I know this simply isn’t the case. When the market peaked, many *decent*, *responsible* buyers with good jobs and good incomes make mortgage commitments. As values have plummeted, the loss of a job or a single health issue can easily put a *decent*, *responsible* home owner on the brink of financial ruin. With a mortgage higher than their home’s value, they get sucked into the spiral of home devaluation. As they get booted out of their homes, then the values of other *decent*, *responsible* homeowners in the neighborhood get pulled down neighborhood continuing the cycle.
Knuckle-heads like this don’t look beyond the nose on their face. Money is cheap right now. If buying down a rate keeps more people in their homes, then that’s exactly what we need to help stop the spiral. It helps everyone. What’s this guy worried about? That a regular family can get helped out? I bet he’s not ranting has we continue to plow billions into the banking industry.
Bruce, well said! It would be interesting to hear other comments to see what the consensus is.