Peregrine Took
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Mon Sep-22-08 07:44 PM
Original message |
A local financial guru said a "bottom up" solution would be to give $6500.00 |
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Edited on Mon Sep-22-08 07:45 PM by Peregrine Took
to every household in the U.S. but they must have to apply it to their mortgage (home owners) or renters would have to use it buy a house or condo.
That way the money would go straight to the people and not the corporate bigwigs and the money would go right into the hemorrhaging crisis itself.
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Hansel
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Mon Sep-22-08 07:45 PM
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1. Yep. This would be a win win situation. |
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So the Republicans will never do it.
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LisaM
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Mon Sep-22-08 07:46 PM
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2. Renters would have to use it to buy a house or condo? |
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In the Seattle housing market, $6500 would still just be a drop in the bucket towards ownership.
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Peregrine Took
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Mon Sep-22-08 07:49 PM
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5. I guess it could be a downpayment on a very small studio condo -not in the |
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city but maybe in a low rent suburb or nearby town.
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greendog
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Mon Sep-22-08 08:13 PM
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C_U_L8R
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Mon Sep-22-08 07:46 PM
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certainly it would all go right back into the economy rather than into some offshore black hole.
Trickle up !!
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DJ13
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Mon Sep-22-08 07:48 PM
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4. That would still be cheaper than Paulsons plan |
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But the administration would never go for it, as it wouldnt be a direct conduit of money to their favorite financial companies.
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harun
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Mon Sep-22-08 07:51 PM
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6. That would be more fair than what they currently have planned, as crazy |
Blackhatjack
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Mon Sep-22-08 07:55 PM
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7. It's the exotic leveraged financial instruments that is the problem... not the mortgage foreclosures |
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The mortgages were pooled together, sliced up, and sold off to various investor's at grading that nothing short of fraudulent.
In many cases the reserves and hard assets were leveraged to the tune of 30 to 100 times the real value, and as the spectacularly profitable(but horrendously designed) mortgages began to go bad there was not enough $$ available to 'buy back' or make investors 'whole.' THat $$ had already been divvied up into bonuses and profits and distributed among the entities and their officials originating the mortgage loans and marketing the CDOs.
So giving $$ to the homeowners to avoid foreclosure will not solve anything. It is the Wall Street 'big boys' who are really in trouble.
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NoSheep
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Mon Sep-22-08 07:55 PM
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NoSheep
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Mon Sep-22-08 07:56 PM
Response to Reply #8 |
11. But wait......that's not corporate welfare. Nevermind. |
liberalmuse
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Mon Sep-22-08 07:56 PM
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I'm saving up for a good down payment on a house (when the market is a bit more stable) and that would more than help. A lot of people would probably welcome that type of a solution.
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curious one
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Mon Sep-22-08 07:56 PM
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10. This is a great idea to help everyone. |
AZBlue
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Mon Sep-22-08 07:56 PM
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12. I'm sorry, that's absurd. |
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First of all, $6500 won't do much for a person in a lot of high-price markets who have no other money to add to it. And what about all those other pesky things like credit requirements? Plus, the sub-prime housing market is basically just a scapegoat for the situation we're in now.
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salin
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Mon Sep-22-08 07:57 PM
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13. I own my house outright... so how do I have to spend it? |
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and for those earning barely enough to pay bills - how are they going to make house payments?
Seems a rather absurd idea.
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eyesroll
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Mon Sep-22-08 07:58 PM
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14. What about people who already own their house outright? |
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What about people who make $7.50 an hour or have lousy credit and wouldn't be able to get a mortgage to buy that house or condo? What about people who choose to rent (maybe they're in a new relationship? maybe they move a lot?)? What happens to all of the rental properties (remember--many rental properties are one-to-three family houses owned by moderate-income individuals, not by big corporations) if everyone is supposed to buy?
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salin
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Mon Sep-22-08 07:59 PM
Response to Reply #14 |
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your first two points are the same thing that I thought (and posted). *high five*
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central scrutinizer
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Mon Sep-22-08 07:59 PM
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by living frugally and within our means, we have paid off our mortgage, have no credit card balance, no student loans, no debt of any kind.
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msallied
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Mon Sep-22-08 07:59 PM
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17. I'm renting BECAUSE of foreclosure. |
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I really think my family's prospects of owning a home again anytime in the near future is bleak, to say the least. But we could sure use that $6500 to feed our kids and pay some overdue bills. :(
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Peregrine Took
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Mon Sep-22-08 08:05 PM
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18. You guys who own outright - well, just spend it! The "guru" didn't say that |
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(he just threw it out there for discussion) but it makes sense to me.
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ayeshahaqqiqa
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Mon Sep-22-08 08:25 PM
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And I'm a person who owns my place free and clear. I'll be glad to let everyone else have the money.
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alcibiades_mystery
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Mon Sep-22-08 08:27 PM
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21. What condo am I going to buy in Chicago for $6500 down? |
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Edited on Mon Sep-22-08 08:30 PM by alcibiades_mystery
That's just stupid.
And, by the way, as somebody who sacrificed and lived right to stay within my means, I'm a little sick of the greedy welfare case homeowners who bought something they couldn't afford, ran up huge credit card debt on shit they couldn't afford, and bought stupid new cars every three years. Why the fuck should my daughter's education be sacrificed for a bunch of consumer cretins who defaulted on their loan? Why the fuck do I have to pay for YOU? And what's the value of my hard work and sacrifice?
Seriously, I'm starting to get how the right wingers feel about so-called welfare queens. the only difference is that the wlefare queens were a mythg, while the stupid motherfucking suburbanite overspender is not that at all.
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kurt_cagle
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Mon Sep-22-08 08:39 PM
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22. Um .. didn't they just try that? |
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What was all that tax refund money but exactly the same kind of solution on a smaller scale. It bumped the economy up for a couple of months (long enough to avoid last quarter being a "recession", technically anyway) but then it disappeared into the broken cesspool that is all that's left of the economy.
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high density
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Mon Sep-22-08 08:43 PM
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23. $6500 toward a house? |
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That's like, not even close to a 20% down payment.
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pkz
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Mon Sep-22-08 09:07 PM
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24. *2008* 7500.00 Tax Credit to 1st time homebuyers |
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One new benefit from the mortgage bailout last month: First-time home buyers (anyone who hasn't owned a home in three years) can claim a tax credit worth up to $7,500.
The credit is really an interest-free loan because it has to be repaid over 15 years, and you have to buy your home by July 1, 2009, to qualify.
But it will offer some initial relief.
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