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Washington Do you have negative equity?

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Thursday Dec,1 begins the first stage of the new HARP refinance program. If you qualify. You can refinance up to %125 of your homes value.

Call or pm me if you want to get prequalified.

For the rest of you. Rates on most programs remain in the low 4's or lower.:lol:

Russ

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Word on the street is the automated engines may not be updated for HARP 2.0 until March. This may limit any refinances that changes servicers. Hope it's not true but giving the efficiency of our government I wouldn't be suprised................

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Please understand I'm not trying to be a sarcastic jerk here. It's simply hard not to be a little cynical. And I'll also admit that since my own personal mortgage isn't "upside-down", I haven't researched this at all....... :lol:

But on the surface, this sounds similar to one of the Govt. backed programs (Fairness in Lending Act?) that sorta put us in a financial jam to begin with???? :) Any idea how soon a bailout might be needed???

Jimmie

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Looks like this program only applies to Fannie Mae or Freddie Mac held/backed loans, right?

Correct

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Please understand I'm not trying to be a sarcastic jerk here. It's simply hard not to be a little cynical. And I'll also admit that since my own personal mortgage isn't "upside-down", I haven't researched this at all....... :lol:

But on the surface, this sounds similar to one of the Govt. backed programs (Fairness in Lending Act?) that sorta put us in a financial jam to begin with???? :) Any idea how soon a bailout might be needed???

Jimmie

For starters, I'm pretty sure you're thinking about the Community Reinvestment Act, considering the Fairness in Lending Act (H.R. 691) was introduced in 2011 and is still stuck in committee. Also, the Fairness in Lending Act of 2011 was sponsored and co-sponsored by Republicans. Also also, the Fairness in Lending Act of 2011 is all about disallowing lenders to provide home loans unless the borrower has a valid social security number... I'm guessing you're not hating it so much anymore?...

But back to the CRA and its "massive" impact on the 2008 financial collapse. Why don't we just ask Google about it?

Not so cut and dry anymore?

There's a lot of great information out there for anyone that cares to look regarding the financial collapse. For instance, here are some interesting study results from the Federal Reserve Bank of San Francisco. What did they find? Loans from CRA-regulated banks foreclose at LOWER rates than loans from independent mortgage companies (not subject to CRA). Crazy, right!?

This instinct to blame poor and middle class borrowers that got in over their heads with predatory loans for causing the financial collapse is very interesting. Interesting that one could so quickly be convinced that it's more likely that lowlife, irresponsible scum could trick a nationwide bank full of very smart people into giving them loans than it is likely that said bank knew exactly what they were doing and issued the loans because they WANTED to. I mean, these people are stupid enough to get way over their heads with ARMs they could never pay back, but smart enough to talk the bank into issuing this timebomb loan against the bank's will? That's a head-scratcher...

Wanna know one of the REAL reasons the economy exploded ("one of" because this is a complicated issue, and there was no single vector of failure going on)? Well, I can't sum it up any better than this article (skip to page 5 for the big picture stuff).

Well, hell, I can try: Big banks, thanks to a few decades of deregulation, found themselves able to take piles of mortgages, securitize them, and pass them off on the market as AAA rated paper. There was TONS of money in this during the bubble. Even better: Knowing that these MBS were ticking time bombs, they could sell them to their clients for big $, then simultaneously take huge insurance policies out against them in case of, say, mass forclosures tanking the value. The game became issuing as many loans as humanly possible--find the bum on the street, fudge the paperwork, and get him into a subprime loan. Make money off the sucker pension funds that invest in your crap securities, and then make more money off your insurance policies (CDOs) when said securities implode. In other words, fraud at an unprecedented level. (For further TLA definitions.)

Hope this clears things up for you a bit.

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Hey, GeddyT!!!

Thanks for your answer, mah man! :lol:

No, what I was thinking of was the (somewhat well-intentioned) bill that passed during the Carter administration. If I recall correctly, it was meant to stop discrimination in mortgage lending. But it later got possibly modified under the Clinton administration, and definitely abused by that administration. A lot of folks will argue that this was the beginning of the financial meltdown of Fannie Mae & Freddie Mac. I tend to agree with that, for the most part...

Here's a deal I found while actually Googling "Fairness In Lending Act Carter Administration":

Wasn't it Jimmy Carter in 1977 that supported financial....?

Wasn't it Jimmy Carter in 1977 that supported financial irresponsibility, via the Community Reinvestment Act (CRA) that set the stage for predatory home lending and a home buyer's bill of rights that led to financial apartheid ? This abusive access to credit they knew people couldn't afford and would not pay back, began with the Democrats and would eventually come back to bite us; and the time has arrived. Why don't the Democrats go back to 1977 and assume responsibility for the failures they put in place to begin with ?

3 years ago Report Abuse by Dawgz Member since:

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The original intent of CRA in the 1970s is different from what it was being used for in the 1990s!

Jimmy Carter did start the program, but it was Nancy Pelosi and Christopher Dodd who began using the CRA as a club against the Lending Institutions during the 1990s and is responsible for the Lending Meltdown we are seeing now!

It was further amplified, because Bill Clinton overturned a longstanding law enacted after the Great Depression which prevented the mixing of Commercial and Mortgage Banking.

Anyone who is listening to the rhetoric going around hears about Wall Street greed and Toxic Mortgages...but few really know the root cause.

The root cause is Nancy Pelosi and Christopher Dodd using the CRA to manipulate the Banking Industry to support a Low Income Lending plan by Barney Frank! These Toxic Mortgages are known as 'Interest Only' and 'Crazy ARM' loans.

A young lawyers, named Barack Obama, was counsel to these RETARDs, on how to use existing laws to manipulate the Banking Industry further.

Does anyone know somebody who was taking these 'Interest Only' loans or 'ARMs'? I sure don't, but my 401K is feeling it pretty hard

Anyway, sorry for my confusion on the names of various bills/acts. I seem to have a hard enough time remembering how to turn lights off in my house, according to my "Electric Bill Nazi" wife sometimes, much less political drama from the past & present.... :banghead::)

Jimmie

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What i dont get is it takes 3 months to complete. Whats the deal with that?

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Diesel Goober,

I like your style, Man. Mine's condescending and prickish, and I need to work on that. But you're a good guy.

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Diesel Goober,

I like your style, Man. Mine's condescending and prickish, and I need to work on that.

I never thought that you came across as condescending for a second, GeddyT. Shoot you helped me out with recalling some of this deal... :lol:

Sorrry to get off track, here, Russ..... :)

Jimmie

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