Fannie Mae seeks $8.5 billion more in federal aid

The Associated Press ^ | May 6, 2011 | Daniel Wagner

[4Runner]

[snip]Combined with the bailout of sibling company Freddie Mac, the government expects their rescue to cost taxpayers about $259 billion. That money will cover the mortgage giants' losses on soured loans made in the midst of the housing bubble.

Home prices declined on average 1.8 percent across the country during the January-March quarter, Fannie Mae said. That led to more foreclosures and to homeowners abandoning houses that were worth less than they owed on their mortgages.[snip]

[4Runner]

Where in hell did this come from, abandoning your home when its market value becomes less than the balance due on your mortgage? WTF???? This is housing welfare. For the hundreds of thousands of low-income minorities who "qualified" for $550,000 homes on loan applications known as "ninja's"--no income and no job verification required. These applications bypassed normal underwriting standards and were generated by a computer program known as Desktop Underwriter or "DU". DU was programmed by the politicians to basically give mortgages away to a certain demographic sector. So yes these people would just "walk away" from their homes because the homes never cost them one stinking dime. And don't even try to look at the neighborhoods these homes have birthed. A $550,000 home would have fifteen family members living in it just to make the monthly interest -only mortgage payment. Forget about principal, taxes, and insurance! They only qualified for interest-only with a big fat balloon payment due at the end of five or seven year term loans. It's the huge balloon payment coming due that most likely triggered the walk-aways and the foreclosures. During the initial terms of these loans these homes would be the scourge of the neighborhood. Now Chinese and Russian investors are buying up these abandoned properties at deep discounts from the banks. And the U.S. taxpayer assholes have to make good to the same banks on the FANNIE/FREDDIE guarantees to the tune of $269 billion. As a taxpayer who has always played by the rules, and who had to actually pay for your own home, are you even just a tiny bit f***ing angry yet?

[Justaham]

See other comments here.
http://www.freerepublic.com/focus/f-news/2716288/posts

[4Runner]

I ran a search for current and previous articles pasting the header and the system returned as nothing found.

[jessduntno]

Go talk to Bawny Fwank. He loves Fanny.

[bgill]

Ah, Hussein’s favorite under the table slush fund. Not to worry, he’s already issuing the check as we speak.

[EGPWS]

Home prices declined on average 1.8 percent across the country during the January-March quarter, Fannie Mae said. That led to more foreclosures and to homeowners abandoning houses that were worth less than they owed on their mortgages.

As usual, if it doesn't work, isn't wanted, or is inappropriate, turn it over to the government to keep a losing and worthless unwanted idea going by forcing tyranny upon the innocent to pay for it.

[Jeff Winston]

Combined with the bailout of sibling company Freddie Mac, the government expects their rescue to cost taxpayers about $259 billion.

Or about $3,700 per US taxpayer, just to rescue these two companies alone.

[4Runner]

Correcting myself: It's not only housing welfare, it's banking welfare. $259 billion going to the banks from the taxpayers who now have to pay not only for their own home but also for Jose's and Maria's. And the politicians who designed this tremendous fraudulent criminal redistribution of wealth in exchange for minority votes are still in power. What a country.

[TSgt]

[Tzimisce]

You little serfs shut the hell up and pay your taxes!

/sarc

[Soothesayer9]

Sort of like the govt lending 100k to someone who majors in English, no? Either way the taxpayer will payeth.