Homeowners who modified loans are in trouble again

[TGregg]

Government intervention failing?

WASHINGTON – More than half of all homeowners who had their loans modified to make the payments more affordable in the first half of the year are already in default again, banking regulators said Monday.

The new data raise questions about whether government money may be better spent on creating jobs, rather than averting foreclosures, said John Reich, director of the federal Office of Thrift Supervision office at a housing industry forum sponsored by his agency.

http://news.yahoo.com/s/ap/20081208/ap_on_bi_ge/financial_meltdown

 

[Lucrum]

Quote from TGregg:

Government intervention failing?

Doesn't it always?

 

[achilles28]

This can't last.

 

[tradersboredom]

jobs jobs jobs.

if these people don't have jobs they sure can't afford even rent let alone mortgages.

Quote from TGregg:

Government intervention failing?



http://news.yahoo.com/s/ap/20081208/ap_on_bi_ge/financial_meltdown

 

[TGregg]

Quote from Lucrum:

Doesn't it always?

But it worked so well getting rid of poverty. And drugs.

 

[Angrycat]

Wasn't this totally predictable?

 

[MattF]

like turning a 30-year into a 40-year with slightly lesser monthly payments would do much...

if you can't afford it before...what's to say you'll afford it now? Or for that matter, some people just don't have the money management skills needed to own a house...

 

[Debaser82]

"They" can't let the free market work and let those who are broke take some pain because "they" are broke themselves.

 

[polarcyclone]

Do what japan did and bring on the 100 or 120 year mortgages.

 

[blackjack007]

from the article:
New data released Monday show that more than half of all homeowners who had their loans modified to make the payments more affordable in the first half of the year are already in default again.



this is EXACTLY what i said would happen. deadbeats are deadbeats for a reason: they have shown a repeated tendency over time to mismanage money. no bandage fix will change that. these people should not be given credit in the first place.

way to go, let's keep wasting taxpayer money to project an image of government helping the unlucky people who were obviously taken advantaged of. yeah right!