• English
  • Español
AGENTS: Did you know you can share a personalized version of this post? Learn more!

(English) Will Falling Values Lead to More Strategic Defaults?

Disculpa, pero esta entrada está disponible sólo en Inglés Estadounidense.


Miembros: ¡regístrese ahora y configure su Post Personalizado & empiece a compartirlo hoy!

¿No es un miembro aun? Haga un clic aquí para aprender más acerca de la nueva función de KCM, Post Personalizados.

Have You Set Up Personalized Posts Yet? | Keeping Current Matters
7 comentarios
  1. Sean Carpenter
    Sean Carpenter Dice:

    Great post – I find it very sad that 1 out of 4 people now feel it is okay to “walk away” from an obligation that they agreed to. I guess it should come as a surprise with almost 50% of new marriages ending in divorce these days but there are a lot more factors which influence that. The interesting part about a strategic default is that these people could pay their mortgage if they wanted to. Until the penalties are truly “penal,” this will continue and affect the other 73% who feel that the rules are the rules.

    Responder
  2. Brian O'Dea
    Brian O'Dea Dice:

    A “Strategic Defaulter” is not someone who is underwater and facing financial hardship..
    I quote the above post…”The number of underwater homeowners who believe it is okay to default on your mortgage if you are under financial distress has almost doubled in the last twelve months (14% to 27%).”

    Responder
  3. RJ Avery
    RJ Avery Dice:

    I have dealt with these customers and honestly I don’t find it shocking that the number of people willing to default has doubled. IMO it will continue to go up. The more the public begins to understand the criminal activities that went on that lead to the build up in an over valued inventory.

    The easy access to mass sources of cash without the lender vetting the clients is their own decision. However processing those loans into securities and placing in AAA rated investments is and was criminal. To me we should be arresting the regulators, politicians and bankers that allowed this type of wild west financing to ever happen. And next time as Realtors and Loan Officers we should advise our clients against over indulgence or buying homes that are too much with tricky financing that is based on making more money in the future… Its not responsible or sustainable..

    A strategic default to me is someone who can afford and does not want to pay for the home they paid for… Well thats just wrong?? To me not so much… When you have homes that have dropped 20 30 or 40k in value in less than 3 years because a large number of your neighbors not only vacated but trashed homes around you a strategic default IMO is a complete choice of the borrower and honestly there was no moral or ethical responsibility shown by lenders when giving out the responsibility of home ownership. Why then should a borrower feel loyalty to the bank?

    Also a lot of people could have paid their loans if they would have got in and lowered payments, extended payment schedules and just worked with people. I think a bank makes enough money off of a 30 year mortgage and could have afforded to head off the issue with some fore sight… Oh but wait these are the same yahoos are the ones that got us here…

    Forney Tx Real Estate

    Responder

Trackbacks y pingbacks

  1. […] of great posts on this topic at his blog – kcmblog.com (Keeping Current Matters), including “Will Falling Values Lead to More Strategic Defaults” which provides some pretty startling stats from FannieMae, including the fact that  ”The […]

  2. […] Will Falling Values Lead to More Strategic Defaults? Is The Economy Worse Than We Think? Why They Are Saying to Buy A Home Now QRM: The Potential Cost […]

Dejar un comentario

¿Quieres unirte a la conversación?
Siéntete libre de contribuir!

Deja una respuesta

Tu dirección de correo electrónico no será publicada. Los campos obligatorios están marcados con *