Why does everything have to be so difficult?

By
Real Estate Agent with Alfred Mitchell

You wake up in the morning, you know it's going to be a great day.  After all you go to bed the night before with your plan all laid out.  Then what happens next? Your first client is in forclosure, his house is upside down and you rack your brain on how can I help this person.  Why is life so complicated.  He's a good person he bought this house 15 almost 16 yrs ago with good faith that this was where he would spend his happy years and what happens next? Well I'll tell you;   A loan officer calls him four years ago and tells him that the best thing he could do for his family is refinance and I bet you can guess what kind of loan.  If you said an adjustable rate mortgage BINGO! You would be correct.  Now here he is four years later about to lose his home, his family's dream and out on the street.  So I ask you why does life have to be so difficult?  There's no answer to that question because even if there were an answer it would be to darn difficult to understand.  Such is life. 

I just heard on the news how 1000's of Minnesotans are about to lose their homes due to forclosure.  Does this mean their is going to be a major increase in the rental market or perhaps in the homeless shelters?  Where does it end.  Is there a simple answer or perhaps we just arent' asking the right people.  If anyone has any ideas now is the time to share.  Or is this the calm before the next BOOM!?

Comments (5)

Larry Bettag
Cherry Creek Mortgage Illinois Residential Mortgage License LMB #0005759 Cherry Creek Mortgage NMLS #: 3001 - Saint Charles, IL
Vice-President of National Production
One thing is that you'll see mortgage rates go up since investors now have to eat the cost of those loans.  I think that there will be a stalemate for the time being, but ultimately, there will be a good buyers market coming out of this....
May 16, 2007 02:46 PM
Mario Levesque
Advantage Avenue Real Estate - Wesley Chapel, FL
Tampa Realtor

Sandra,

That awful feeling of "Why me" ! 

Terrible what is happening with all these loans.  And with the price of gas being so high, the prospect of inflation is just around the corner, which means higher interest and more mortgage trouble.  The near future does not look so good if the price of gas does not come down.

Mario

May 16, 2007 02:47 PM
Keith Pate
Keller Williams Preferred Realty - Raleigh, NC
Good questions - It seems that one of the reasons people are losing their homes due to foreclosure, ARM's adjusting way up, is because they tend to overspend. There are tons of people way over their heads in debt because they want to buy what they like (and need). Personally, I think that we should be allowed only 1 credit card with a 10K - 25K max.
May 16, 2007 02:54 PM
Laurie Manny
Long Beach CA Real Estate - Long Beach, CA
People need to learn that their homes are not ATM machines.  They need to think when they make major life decisions.  I can't believe the amount of people who fell into the ARM trap with delusions of spending freely.  Did they really think interest rates were not going to go up?  Why didn't they plan for it, at least think of what the consequences would be and if they could afford the possible accelerated payment.  While I do feel sorry for them, I remind myself each day that they chose this path.  They chose badly.  
May 16, 2007 03:06 PM
Peggy Edwards
Future Home Realty - Westchase, FL
REALTOR - Green Designation, e-PRO, Tampa Bay, FL
Sandra, I think Keith is on the right track here.  Credit card debt in this country is absurd.  We all owe so much money and, even if we never get behind on the payments, we never ever get ahead either.  Such a shame that people are losing their homes.  Who's going to come along and bail everyone out?  Sad stuff.
May 16, 2007 03:09 PM