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1 posted on 12/08/2007 4:42:56 AM PST by Kaslin
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To: Kaslin
Although particular homeowners may benefit in the short run, such government tinkering will ultimately harm average Americans by distorting the mortgage industry.

So why doesn't Robert Murphy complain about the Fed tinkering with the economy by alternately lowering rates too low and then hiking rates too high? That's where most of this mortgage mess came from.

2 posted on 12/08/2007 4:48:09 AM PST by Moonman62 (The issue of whether cheap labor makes America great should have been settled by the Civil War.)
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To: Kaslin

Repeal the law of supply and demand!! Oh wait, that’s sorta the whole premise of capitalism isn’t it? That and taking responsibility.


3 posted on 12/08/2007 4:49:29 AM PST by BipolarBob (I've hired space aliens to keep the yetis out of my crop circle fields.)
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To: Kaslin

It is the height of irony that Congress, which created the greatest Ponzi scheme in the history of the world with Social Security, should be passing laws to regulate the supposed sins of mortgage lenders.

Much of this mess would never have happened had the Democrat congressmen in the ‘80s not passed laws mandating that lenders give high-risk credit to low-income people. Remember all the whining about “red-lining” in the ghettos?

How convenient that Americans forget that in almost every case, Congress causes bigger problems with their “cures” for all our ills, yet, incredibly, they are never blamed because liberals and their enablers in the msm never admit mistakes.


4 posted on 12/08/2007 4:58:12 AM PST by kittymyrib
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To: Kaslin
Borrower's will be allowed to strech out payments on an asset that's losing value.

This only benefits the lenders since the borrowers could probably rent at a lower amount.

The banks and Wall Street win again.

5 posted on 12/08/2007 4:59:36 AM PST by Tripleplay
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To: Kaslin
Lenders will learn the lesson that their contracts aren’t safe...

That is the scariest part.

...contrary to popular belief, the government will not serve to enforce the law. (Or rather, the “law” can change on a dime, depending on the public’s mood.)

And that is what got this whole mess started.

Let the market sort it out. If you can't afford the house, you shouldn't have tried to buy it. Don't expect your defeatocrat friends to bail you out with MY money, which is probably what they will do anyway.

6 posted on 12/08/2007 5:01:43 AM PST by CPOSharky (Energy plan: Build refineries and nuke plants, drill for our oil, mine our coal.)
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To: Kaslin

So where exactly has the government stepped in and forced anything on the lenders?

I hear it repeated over and over but haven’t actually seen evidence of it. That would seem to matter... It does to me.


7 posted on 12/08/2007 5:01:49 AM PST by DB
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To: Kaslin

So much for those who took the risk to loan these idiots
the money. They’ll be the one’s getting screwed...that and the next person that tries to get a mortgage.


8 posted on 12/08/2007 5:10:43 AM PST by StnCldTruth (If pro is the opposite con...then the opposite of progress is ???)
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To: Kaslin
Now after individuals enter into these voluntary arrangements, what happens if the government swoops in and invalidates them?

Does anyone understand this is not what is happening? The government is not invalidating any contracts, at least not under Paulson's plan. This plan was worked up with the banks to help save banks from losing their butts.

13 posted on 12/08/2007 5:22:58 AM PST by Always Right
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To: Kaslin
WE'RE ALL GONNA DIE!!!

Oh wait--even if every single one of those $362B in loans defaulted (which they won't), that represents something on the order of 0.5 percent of GDP.

Tell me how this is gonna throw us into the next depression again?
32 posted on 12/08/2007 6:12:38 AM PST by OCCASparky (Steely-Eyed Killer of the Deep)
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To: Kaslin
The private sector solution to this is that the mortgage companies who wrote bad loans have to make a decision on whether they are better off throwing a homeowner out of the mortgaged property, or rewriting the loan to salvage what they can from the current situation.

Sunk costs are sunk. They can't go back and undo the bad decision made years ago. The issue is, do they want to try to repo and sell a house in a horrible real estate market, or keep some cash coming in from the existing owner?

Making this a crisis is just a way to find somebody else to fund a problem, which will increase the national debt and reward bad behavior.

38 posted on 12/08/2007 6:36:59 AM PST by Bernard ("Rare, Safe and Legal" - what an ideal Immigration Policy should look like.)
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To: Kaslin

94% of people are paying their mortgages on time. This is NOT a “Crisis” anywhere outside the Junk Media and mega bank’s board rooms


50 posted on 12/08/2007 7:48:54 AM PST by MNJohnnie (Hillary Clinton has never done one thing right. She thinks that qualifies her to be President?)
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To: raybbr
That is the ticket. Cling to your utter ignorance and your rabid BDS. DON’T bother to learn a single fact. Just cling to your emotion based ignorance.
63 posted on 12/08/2007 9:12:34 AM PST by MNJohnnie (Hillary Clinton has never done one thing right. She thinks that qualifies her to be President?)
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To: Kaslin

A billion ain’t what it used to be.

1 Billion dollars equals the value of only 1500 homes in California. In a state with 40 million people it just doesn’t amount to much.


69 posted on 12/08/2007 12:02:47 PM PST by TexanToTheCore (If it ain't Rugby or Bullriding, it's for girls.........................................)
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