Politicians and their minions of bureaucrats have long since given up serving the public instead they rule in the name of protection! They are at it again! Attacking home owners in blitz creed described as "mortgage reform!"
In an e-mail today "Short Sale Expediters" reported on the to "protect the first lain holder’s LTV" requiring the first lain holder’s benevolent permission to take out a second mortgage!
Don’t these fools know that the first lain holder’s LTV doesn’t change if indeed they are the first lain holder? Or are they blinded by the smoke they’re hiding behind?
Since this would have no affect on the First Lain holder’s security it can only do two things:
One: This atrocity would limit your ability to take a second mortgages to only what is offered by your first lain holder. That was what it was like in Texas before the late ‘80's, it meant that if a troubled home owner needed to access their equity they were limited to what their current lender offered or didn’t in lue there of they would be forced to sell to get cash! (Texas had a couple of exceptions, this bill doesn’t seem to.)
Two: This atrocity would allow the first lain holder to control you from taking on additional debt. There could be an argument made in favor of that, after all parents (most) try to control what their children take on, does your lender have a parental mentality? If we are to except the idea, what about limiting credit cards to only what your first lain holder approves of or offers? What about car loans? How about insurance? How about changing jobs? We use to require "life insurance" sold by and paid to the bank! What about starting or expanding a family? Laugh! Until the mid seventies mortgage applications ask about the wife’s form of birth control if her income were to be considered! If that idea were extended to today’s society the first lain holder might want to control who and when single home owner’s date.
Absurd? Really? The government would never do anything light that they protect us. Senators Bob Corker (R-Tenn.) And Mark Warner (D-VA.) Aren’t going nearly as far as Janet Reno who protected those Dividen children from a fate worse than death.
What ever happened to The American Dream? What ever happened to government of the people, by the people and for the people? What about our children and theirs?