I am tempted to walk from my mortgage. Obama is bailing out the banks yet again with this "settlement" and the coming QE3. The writedowns that do happen won't be to people current on their mortgage (like me) and won't help more than 50% who have FHA/Fannie/Freddie mortgages (like me). A mortgage is an agreement with specific remedies for default. Those remedies are looking more tempting daily, especially with our gov's pagthetic handling of this. Businesses walk from bad assets all the time, as do banks. Homeowners are starting to wise up to do the same thing. I waited to buy until 08 and refinanced in 09. My rate is only 5%, I did not use my house as an ATM and only bought what I could afford. I've made sacrifices to remain current on a mortgage that is now at least 40% under water, if not much more. Explain to me again why I should stay, unless I really want to?
My grandmother always said that property was the best investment. Of course, you have to hold on to it a while. I don't understand people buying things they can't afford. Call me crazy, but that just isn't the way I was brought up.
So why weren't the banks allowed to fail again? Why are there 2 sets of rules, one for politically connected megabanks and another for individuals? Corporations walk away from bad investments all the time, including real estate. No one blinks an eye. If a homeowner does it, everyone pretends to be shocked. I rather like my house, so I may not walk. My point is there are nothing immoral or unethical from a homeowner walking. The general public needs to stop this mindset that it is OK for banks to rob taxpayers blind, but it is not OK for individuals to treat their personal finances the same way as a corporation would.
80+% of foreclosures are illegal http://www.reuters.com/article/2012...?feedType=RSS&feedName=topNews&rpc=22&sp=true
