Upcoming Foreclosures

Do you think the United States federal government should bail out homeowners in foreclosure?

Why? Joel T - I appreciate you answer but you must realize ARMS adjustable rate mortgages are not the problem . They are good loans as long as you pay attention to what you are getting into. ARMS serve a valuable purpose in real estate transactions and investment. People just have to take responsibility for their financial decisions.

Public Comments

1. Not at all, because it encourages people to borrow irresponsibly. It's also not fair to people who are smart enough to not over borrow. That's typical of our government anymore. Always rewarding the people who least deserve it. It also helps the rich greedy people who got themselves into this mess. They are partly responsible and should have to pay the price for their greed.
2. no
3. I'd rather them bail out home owners than dole out all that corporate welfare they usually spend money on. At least then the housing market wouldn't crash for the rest of us.
4. well this is the thing when they got into the loan on an adjustable mortgage they where at a extremely low rate. Usually what companies do is offer an introductory rate and sucker people in that way and then they say if rates start going up just remortgage but a lot of time people don't realize its not that easy. They should do away with adjustable rates and we wouldn't have this crisis.
5. No bail outs. Tenth Amendment.
6. yes, they should have helped out single home owners, who lost the only home they ever had. Only in America do you find people who stand by the govt looting them.
7. If it would help the general economy. The Fed shouldn't pay out just because people clamor for it. Some people need to learn a hard lesson about their personal finances, and they shouldn;t be bailed out. But responsible people shouldn't have to suffer for their idiocy, so the Fed should help in those cases.
8. No. Here in California, the foreclosures have hit very hard but I don't think the homeowners deserve special treatment. Nobody forced them to buy at the height of the market or refinance existing mortgages to buy their SUV's and boats. And why on Earth would anybody have taken out interest only or adjustable rate mortgages? Talk about a disaster waiting to happen. Another big problem I have seen in California is people making $50,000 a year buying $5-600,000 homes! What were they (and the banks) thinking? Not everyone is destined to be homeowners. My husband and I have been waiting patiently for the right time to buy. We had been priced out of the market for so long, and now we are preparing to buy. Could we have qualified for a loan 3 years ago? Sure. But we were smart enough to know we would be taking on more debt than we could handle.
9. I love getting penalized for not screwing up... I have to help pay for someone else’s $800k mcmansion they bought on a 30k salary with no down payment? Oh, it was predatory lending, give me a freakin’ break. You make 30k/yr, what made you think could afford an eight hundred thousand dollar house? That’s 100% of your take home pay for your entire 40 year working life. You can’t legislate common sense. I didn't buy a house because I couldn't afford it. I acted fiscally responsible and now it looks like I'm going to get penalized for it. I can’t be the only one p/o’d about this. The fact we have so many people begging for a bailout is the result of the culture we’ve fostered in our education system and society as a whole. We focus so much on self-esteem; it doesn’t matter how you do on the test so long as you try hard… there’s no accountability. Well I’m working hard, never mind I didn't think about these financial decisions and didn’t read the contract I was signing, help! It’s not fair!! It’s not my fault!! I’m special; I deserve to live like a millionaire!! I’m special dammit! So frustrating. Edit: Housing prices need to come down so more people can afford them. Nothing can outpace income indefinitely (which is what housing has done and what college tuition is currently doing). Bailing people out to keep them in their homes to keep prices from falling will only work if we keep home prices level until incomes rise to meet them (assuming income rises to meet them, but sure it will, income always goes up... sound familliar?). Unfortunately, that stagnates the entire economy by depressing home sales.
10. Maybe....it depends! The feds have allowed Americans to be robbed by the Federal Reserve since it's beginings, so they should start giving back somehow. 42 million on letters? Something ain't right! http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/03/08/MNF0VG01V.DTL
11. No. But we should DEFINITELY bail out the banks. ;-)