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Do you know how to catch wild pigs? Or the Passing of Owner Financing?

By
Real Estate Agent with Sellstate Next Generation Realty

 

 Regarding this informtion on the passing of a seller carry back and the refreneced information from the Wall Street Journal June 23, 2010, 5:05 PM ET

 Most people write a check to a lender or mortgage servicer when they want to pay their mortgage. A tiny minority of borrowers, however, make their monthly payment directly to the person who sold them their home.

A "seller carry-back, " in industry jargon, may be an unusual way to finance a home sale, but it accounts for enough transactions that the National Association of Realtors lobbied to kill a provision in the financial-overhaul bill pending in Congress that would have put curbs on the practice. The lobbying, for the most part, paid off. The House-passed version of the bill would have required people to register as mortgage originators if, more than once over a three-year period, they finance a sale of property they own. The provision was written into the bill out of concern that unscrupulous businesses would try to get around new tough lending rules by financing real estate transactions themselves.

A lesson everyone should heed
    
    

    There was a chemistry professor in a large college
    that had some exchange students in the class. One day
    while the class was in the lab, the Prof noticed one
    young man, an exchange student, who kept rubbing his
    back and stretching as if his back hurt.
     
    The professor asked the young man what was the matter.
    The student told him he had a bullet lodged in his
    back. He had been shot while fighting communists in
    his native country who were trying to overthrow his
    country's government and install a new communist regime.
     
    In the midst of his story, he looked at the professor
    and asked a strange question. He asked:
     
    "Do you know how to catch wild pigs?"
     
    The professor thought it was a joke and asked for the
    punch line. The young man said that it was no joke.
     
     
    "You catch wild pigs by finding a suitable place in
    the woods and putting corn on the ground. The pigs
    find it and begin to come everyday to eat the free corn. 

    When they are used to coming every day, you put a fence 

    down one side of the place where they are used to coming.
     
    When they get used to the fence, they begin to eat the
    corn again and you put up another side of the fence.
    They get used to that and start to eat again. You
    continue until you have all four sides of the fence up
    with a gate in the last side.
     
    The pigs, which are used to the free corn, start to
    come through the gate to eat that free corn again.
     
    You then slam the gate on them and catch the whole herd. 

    Suddenly the wild pigs have lost their freedom.
    They run around and around inside the fence, but they're caught.
     
    Soon they go back to eating the free corn . They are
    so used to it that they have forgotten how to forage in the 

    woods for themselves, so they accept their captivity."
     
    The young man then told the professor that is exactly
    what he sees happening in America . The government
    keeps pushing us toward Communism/Socialism and keeps
    spreading the free corn out in the form of programs
    such as supplemental income, tax credit for unearned
    income, tax cuts, tax exemptions, tobacco subsidies,
    dairy subsidies, payments not to plant crops (CRP),
    welfare, medicine, drugs, etc. while we continually
    lose our freedoms, just a little at a time.
     
    One should always remember two truths:
     
    1) There is no such thing as a free lunch
     
    2) and you can never hire someone to provide a service
    for you cheaper than you can do it yourself.
     
    We should all be careful that the gate does not slam shut!

Comments (1)

Dale Ganfield
Leland, NC

Hi Sanna, I like the story.  It is true in life in many ways, whether catching or training and animal or changing a culture.  The trick is to find the reward which will bring about the behavior or change you want.

Jul 05, 2010 01:34 AM