Special offer

So alive our American democracy is!

By
Services for Real Estate Pros with richvalley

How Strategic Default Could Save Our Economy

Your Strategic Default Has the Same Effect as my idea of "Social Pardon." How Strategic Default Could Save Our Economy

Well, our government won't do it for the main street and try eveything, including TARP, to keep housing price sky high.  The result is to infuse a lot "uncertainty" into Market place, to create unneeded restrictions on people's choice or freedom, and to prolong the smooth transfer of home ownership.

(NOTE: What are the uncertainty?  For example, a first time home buyer has to stay in the house he or she buys; or the tax credit of $8,000 has to be paid back to our government.  Is it realistic to confine people in the same house for 3 years, without damaging their mobility, in this fast moving society? 

Please ask the former Secretary of Labor Robert B. Reich or read his book "The Future of Success.")

See, the main street can see the nitch and is curing itself by its own way, without help from the Big Brothers.

So alive our American democracy is!

Comments (2)

Charlie Gantz
Keller Williams Commercial, Tampa Bay - Saint Petersburg, FL
J.D., M.B.A.

YES it is realistic to have a new homeowner stay in the home he bought, for the necessary amount of time--otherwise he's just defrauding American taxpayers who made it possible for him to have his nice, new home.  Charlie Gantz, Greenwood, IN; J.D., M.B.A.; Owner/Principal Broker, Atlas Commercial Real Estate, LLC

Mar 15, 2010 12:38 PM
Ed Tse
richvalley - Florence, TX

YES?

How about those financial gurus at Wall Street? Is it fair for you to ask more from an average Joe?

In my opinion, it is more realistic to ask those big fat cats resign from the current position and responsible for their recklessness by NOT spending 800+ billions dollars on them to better their perks or bonus, than to ask an average homebuyer to be obligated to stay in the same house for just a tiny money of $8,000 (NOTE: I should use "petty tax payer's money" since the amount is so tiny tiny as opposed to the figures of TARP).

With those financial institutions given such a BIG money, do we have better liquidity for a small guy Mr. Joe to buy a house?  Do we really need a banker to solve the current RE bubble? 

Let me ask you one question: Are the majority of working Americans (I mean "employees") better off than 4 years ago in getting a conventional bank loan to buy their homes? 

Even my friend's son Jerry has 800 FICO score, a long stable decent job and his own saving of $65,000 as 20% down payment, his loan application was rejected 2 months ago by our top 3 banks (NOTE: The reason given is his employer may fail in this economic recession, after reviewing the small company's financial report.  Here may I ask you one more question: Since when we have to gurantee our employer's success when we buy a property?)  So, for the first time after graduated from college 10 years ago, he and his wife have to ask his father's help to put up more down.

Ask a realtor, he or she can tell you it is very difficult to get a bank conventional financing and a lot of CASH-rich foreign or new immigrant buyers out there bidding down (Maybe it is safe for me to use "beating up" instead) our American working class and getting Obama's tax credit.  If you don't see it, please read this article: Immigrant homebuyers up in mid-sized towns March 15th, 2010, 11:49 am.

Ha! you can just see a tree, not the forest. 

Mar 15, 2010 05:08 PM