San Diego Home Foreclosure … Is It Really So Bad?
In a Wall Street Journal article published on 1-31-09, Ramsel Su (a real-estate consultant and a former REO broker) made some interesting and controversial observations on the current housing market bust.In part, Mr. Su said "If the intent is to help homeowners, then foreclosure is undoubtedly the best solution. Walking away from the mortgage immediately repairs one's balance sheet." What about all the proposed fixes? Su writes:
"Loan modification is not only ineffective, it is evil. Coercing borrowers to continue paying a mortgage on a home that is hopelessly overvalued and not informing them of alternatives is predatory lending.
The intent of modification programs to date is to create a generation of mortgage slaves. Fortunately, mortgage slaves can free themselves via foreclosure, and the masses are choosing to do so."
The intent of modification programs to date is to create a generation of mortgage slaves. Fortunately, mortgage slaves can free themselves via foreclosure, and the masses are choosing to do so."
Personally, here in San Diego, I've seen a number of media outlets review the typical hard working family forced to move because of their home being foreclosed. These situations are indeed sad and make for interesting human interest stories.
Su's take on this is "The media should interview those who had been foreclosed upon. Do they feel sorry or relieved? Are they rebuilding their credit, not to mention their lives? Do they miss the pressure of having to make payments they cannot afford on a McMansion that belongs to the lender?" San Diego homes
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5 Comments
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THIS IS ABSOLUTELY ABSURD that we are going to bail out homeowners who WILLINGLY and GREEDILY bought a house they couldn’t afford. I bought a $1M house and knew I was in over my head! So, I fortunately sold it before the market tanked.
San Diego Medical Research Studies
NO ONE IS LISTENING and the bottom line is NO ONE CARES if we lose our home. Is it that hard to help your fellow man in the time of need? I wouldn’t wish our situation on anyone. These last 10 months have been hell for us. So if anyone has an ear to hear what your normal all american family is going through, let them hear. ACTIONS SPEAK LOUDER THAN WORDS. I’ve heard all the words and seen no action.
Houston Bail Bonds< /em>
In my working class neighborhood it was hard to miss that something went wrong when all the houses tripled in value. No one here got a raise but young families somehow bought homes that we’re half-million dollar fixer-uppers. The only reason the fed, banks, and the government missed it was that they were too busy counting their money to care where it was coming from.
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For me, our collapse, and our total inability to understand how things work, all seems to be just a little too perfect to be a coincidence. But that’s just me.
Las Vegas Attorney
We are already seeing people who COULD pay their mortgages miss payments on purpose so they can have their rates lowered and terms modified. It isn’t right.
San Diego Real Estate Agent