Go Lisa!
Our Illinois Atty. Gen. Lisa Madigan is filing a lawsuit today against Countrywide Financial Corp.
Madigan claims that the lender engaged in “unfair and deceptive” practices which enticed people to get those risky, adjustable mortgages back in the good old days of 2002 to 2006. You know, the mortgages that are now in foreclosure…or close to it.
And, of course, Countrywide is not the only lender who gave away money. So many lenders have or will disappear within the next 18 months, that when the smoke clears the landscape will not be recognizable.
Perhaps, we’ll go back to the old, old days of purchasing a home if we have 20% or more for a down payment. Perhaps, we will have to have a job and an income that makes the mortgage payment affordable.
Imagine that we may have to have money in savings! Yes, savings. A forgotten concept with this generation. If nothing else, this depression in housing and problems in the financial arena should make us all become better financial stewards of our own resources.
As parents we should be teaching our children about savings, rain day accounts, using credit cards sensibly and living within our income.
Can we do it? Can we become examples? It’s certainly worth a try.
(c) Move UP to Naperville Blog, Eileen Landau
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I do not know if we will ever go back to 20 percent down with the price of houses where I live. However, everyone should have to have a little equity in their home or it is too easy to walk away from. A job would also be nice. I feel for those who can not afford their homes now, but not for the ones that do not have to move and their value has gone down so they bail. Real estate is a cycle and the value will go back up, they signed a contract and should pay