Perhaps there lack of understanding English and NOT reading the fine print did them in?
Regardless of race, anyone is eligible for a foreclosure. Just lose your job while you’re living beyond your means - not limited to just Hispanics.
“For many, the financial trouble will be traceable to a mortgage they should never have been given.”
Wrong!
No one holds a gun to your head when taking out a mortgage. Buyer Beware also applies to someone taking on a mortgage. It’s called being RESPONSIBLE. Again, irresponsibility is not a “race” issue - anyone can be irresponsible.
What do they want Welfare Mortgages, minorities pay a third and taxpayers pick up the rest?
So what the same happens to whites as well. When you can’t afford your mortgage you lose your house. Simple as that. They shouldn’t be rescued simply because they are minorities.
for later
How about “People who don’t make their payments” face foreclosure?
All payment envelopes look the same to a bank.
For the most part, it’s called living over and above one’s means. Also, any real estate agent should have warned a client that adjustable rate mortgages are risky.
Minorities have a higher default rate than non-minorities, all other things held equal.
If you grant them affirmative-actioned loans that they really don't qualify for, they are going to have a lot of foreclosures.
It's not rocket surgery.
Watch. This will become the argument for a massive government bailout of banks and other lenders that invested in risky mortgages.
The government should just give these houses back to these poor people, gratis. Then the government can just print more money to make up the difference.
[Greenspan is spinning even before he dies]
You roll the dice, you take your chances.
I may be a cynic but how about paying your damn bills. Oh, please do not say “they could not afford these house”. Ok, then when you run into trouble - sell, get out.
Do not try and gain sympathy from people, take responsibility for your own actions.
These foreclosures effect everyone - interests rates, tightened money supplies, etc.
If this is cruel to bad, I am tired of people not stepping up to the plate and doing what’s right and tired of people blaming everyone else for their problems.
Minority communities claime tha thte credit scoring system is racists because blacks have lower scores than whites.
Banks don’t want the negative image so they lend to people with shakey credit to avoid being labeled racist.
Banks also lend to borrowers with poor credit in order to make money on fees and on higher interest rates. When these mortgages were written, the real estate bubble was in full swing so even if there were foreclosures, the rapidly appreciating market would not, as the lenders believed, would more than make up for any loss from foreclosure.
Lnd to everyone who asks became the business model, if for no other reason than to avoid losses to your lending competitors.
Hence, credit worthiness or illegal immigration status became less relevant to the lending process.
Now, with the bubble bursting, the chickens are coming home to roost.
Personally, I would neither ask for nor accept a mortgage that is over my abilibity to repay. This article is another diatribe about how the wealthy take advantage of the poor and the white males take advantage of the so-called 'minorities'. It's getting very tiresome, and it is not the fault of the lenders. The last thing on earth any lender wants to do is foreclose on a loan and take a house. They are not in the real estate business, nor do they want to be.
Ping for later reading.
I agree....I work for www.CurrentForeclosures.com and I think the increase in foreclosures is occuring because of subprime loans and ARM loans-hopefully if people were more aware of what they were getting into they would choose not to go through with the loan...
Preyed upon by their own race.