Anyone thay lives on borrowed money should lose everything they have!
If you can’t pay for it you don’t need it.
When we bought our home you eitherf put down 20% and had income that your payments, insurance, and taxes didn’t exceed 30% of uour take home income.
If those standards had been adhered to there would have been no housing bubble and 50% of the deadbeats that bought or refinanced in the last 10 plus years wouldn’t be squating on real estate today!
I’m hoping that we actually go into a depression worse than 29 and waste everyone that is living on credit!
Either earn and pay your life or quit taking up space on this planet.
I’m going to have to take issue with this post. Debt is necessary in an economy which wants to expand. If you’re referring to people who live off of easy credit, who charge every purchase on credit, and who are debt up tho their eyeballs with no sound way to repay this debt, then I agree. That needs to stop and the market has ways of punishing that behavior.
But most businessmen can’t afford what they need to expand /start-up unless they go into debt. Most people wouldn’t be able to own cars or homes if they couldn’t go into debt. The reason is because these purchases are large, and people don’t make all their income at once.
As for the housing bubble, cheap money is always influential in bubbles, going back to the Mississippi and South Sea bubbles. The new money and lower interest rates fuel speculation and bubble activity while it is generally some sort of government policy or fad of the time that directs where that money will go.
Remember California's Prop 1C in 2006? It authorized the selling of $2.9 billions in bonds for the "Housing and Emergency Shelter Trust Fund Act of 2006." That included over $1 billion in grants and loans for "downpayment assistance" for low- and moderate-income homebuyers.
I agree that those who couldn't afford to buy homes, but did, were deadbeats. But they were aided and abetted by government at many levels along with unscrupulous mortgage sellers who cared only about a commission. That those mortgage holders then sold them up the daisy chain to even more unscrupulous characters is criminal racketeering, in my book.
Do you get a Social Security Check or Medicare? Any idea where that money comes from?
Hint1: Not from a trust fund! Hint2:Not from those that get benefits.