Posted on 12/03/2008 1:35:19 PM PST by Ernest_at_the_Beach
SAN FRANCISCO (MarketWatch) -- The Treasury Department may float a plan to reduce mortgage rates on new mortgages to boost the housing market, The Wall Street Journal reported late Wednesday on its Web site,
(Excerpt) Read more at marketwatch.com ...
I guess I’m out of luck with my 8-year old existing mortgage.
Those of us with existing mortgages get squat. Fine with me, i don’t need it, but hell, why should the government be in the business business? Let the damn free market work!
The government should drop everyones interest rates to 4%. Why just new home buyers? Punish the ones that are making their payments?
Isn’t government intervention in mortgages what got us into this mess?
The other half of how we got to now is not requiring much if anything down.
Nice to see the Treasury destroy our country.
DING, DING, DING!!! We have a winner!
Because they screwed up so badly being in the government business.
It’s all great when you receive the benefit, but controlling market rates doesn’t work, and the treasury doesn’t have enough money to bail out the economy. The economy is us.
It’s so depressing reading article after article saying they are just setting us up for a worse disaster.
This is pathetic. The true triumph of politics over economics. I don’t even know what to call it. Fascism, socialism, communism...none of those fit, but fascism is the closest. Keynes on crack?
Dow up big again. Hooray for Socialism!
Zombie economics
From what I read it doesn’t say new “homes” or “home buyers”, it says new “mortgages”. Couldn’t every simply refinance if the home appraises?
You, sir are a genius!
I was starting to feel left out since I’m mortgage free! I simply don’t know how to be a good collectivist. I will follow your lead! Thanks!
Watching CNBC...much discussion on how this story was leaked,...Treasury seaching for leakee....concern that current lenders of 5% deals will be upset....plan not yet ready for prime time!
“Those of us with existing mortgages get squat. “
Everyone who is self-reliant, paid their bills and fiscally responsible ... gets squat..
NO, correct that ... WE GET A TAX INCREASE.
End the crisis - make the tax cuts permanent.
See #17!
And how would the Govt force people with money in banks to get less in interest to PAY for this reduction?
Let me translate what you just said, so you understand the consequences of your statement:
“THE GOVT SHOULD TAKE MONEY FROM ONE GROUP OF PEOPLE (people who lent money above 4%) AND GIVE IT TO ANOTHER (people who borrowed above 4%)”
Are you a socialist or a thief? or both? I suspect neither, but are falling down the slippery slope we end up when we start down the ‘bailout’ primrose path. It will always be unfair to bailout one person and no bailout someone else. so the circle gets wider and wider until we realize that the whole concept is flawed and impossible.
“Nice to see the Treasury destroy our country.”
Hank Paulson must be a mole for Obama. He’s trying to destroy the country before Obama gets in, so Obama wont get blamed for whatever mess he creates.
I am getting REALLY tired of this BS.
Why not just GIVE NEIBORING HOUSES the existing properties?
HOw about allowing a new bankruptcy? Call it chapter 16 where a mortgage can be “crammed down” to the existing value of the home and the chapter 16 bankruptcy would, as a matter of law, not be used to negative reflect the public credit.
“It’s all great when you receive the benefit, but controlling market rates doesn’t work, and the treasury doesn’t have enough money to bail out the economy. The economy is us.”
Well said. We tried price controls in the 1970s and that screwed up that decade royally. Interest rate controls would destroy our investment climate for a decade. The stock market wont regain its highs until 2020 if this approach is followed.
Homeowners Will Be Able To Defer Mortgage Repayments Under Gordon Brown Rescue Deal
"Homeowners will be able to defer payments on their mortgage for up to two years if they lose their jobs, under plans to cut repossessions announced by Gordon Brown."
Reduced rates should effectively drive all potential investors out of the mortgage market. Wow are they smart!
When will this madness stop? Our government is actually punishing people who play by the rules and rewarding many who should be renting anyway. This is one sure fire way enrage voters to the point of revolution if this doesn’t stop.
As usual, the government lives in the bizaro world, where the answer to building more homes than there is a market for is to stimulate even more home building.
Isn’t this just price-fixing? Is it just me, or is fixing mortgage rates below the market rate going to result in what economists call a “shortage”? I can’t believe what Keynesian boobs these people are. The problem isn’t underconsumption, morons! It’s malinvestment!
See #17!
Paulsen is an old Clinton buddy, maybe the leakage demons followed him.
Who put you on a high horse? Look.....cut the interest rates and people will put that extra money back into the economy. Hell, if a guy bought the property next to mine for 4%, why wouldn’t I sell. My buyer would get the 4% anyway and I would buy something else at 4%. It’s just an idea anyway....don’t git your shorts all in a tangle.
I do not see how this is such a hot idea if it involves giving someone who is on the brink of foreclosure access to a better deal than most other homeowners who are still making their payments on time have available to them.
You can’t get a 4.5% mortgage if your credit score was over 1000...but if you quit making payments three months ago in order to qualify for a government handout, you’re home free.
Hell, our mortgage isn’t anywhere near 4.5%...maybe we ought to quit paying our mortgage now so we’ll qualify for that rate too...
Someone please explain to me how something this discriminatory is either Constitutional or a good idea...
Sorry, I have a thing about not liking Govt theft of property (aka socialism), and the mortgage contract is a form of property so rewriting them is theft.
It would be the fastest way back up. If you can refi, you can free up monthly cash for stuff. The banks can go scratch if they don’t like it. Sonsoguns are taking billions and daring to cut credit and raise card rates to 24%. What is wrong with this picture. The banks are getting cash at practically -0- and still can’t make money unless they charge 23%. I’d say if we had a real free market, new banks could do well. Lend to good people with spotless credit at good low rates as it should be. Half the existing banks are mortally wounded. They are trying to make up negative profits on volume.
Just refi.
The Money Masters - How International Bankers Gained Control of America
http://video.google.com/videoplay?docid=-515319560256183936&hl=en
Thank you for this. I am in the middle of listening to it now. I have heard about the Federal Reserve before but not to this extent. Weird days ahead. Thanks again.
Thanks...........interesting questions about our countries debt. I would bet it goes back to the banks.
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