tag:blogger.com,1999:blog-4900303239154048192.post8367686639888177939..comments2024-03-06T06:34:42.881-05:00Comments on EconoSpeak: McCain’s Expensive Mortgage Rescue PlanUnknownnoreply@blogger.comBlogger3125tag:blogger.com,1999:blog-4900303239154048192.post-69530889361464076782008-10-08T22:56:00.000-04:002008-10-08T22:56:00.000-04:002 words:civil war..As it is the 8.4 billion BOA/Co...2 words:<BR/><BR/>civil war..<BR/><BR/>As it is the 8.4 billion BOA/Countrywide lawsuit will cause many many people to stop paying their mortgage so they qualify for the principle reduction.. This socialism is already happening with the loan modifications and is completely unfair but no one speaks up to stop it or make it available to all.. <BR/><BR/>I for one refuse to pay for my neighbors mcmansion and will go to war to stop it.. That is how strong I feel about this and I would bet a good portion of this country feels this way.<BR/><BR/>The only solution is for the government to simply rent all the homes.. This would be fair for me who never got caught up in the greed and still live in a 1000 square foot house, it is fair for those underwater and behind on their payments and fair for those underwater yet are prudent and make payments every month. The government should just let these folks walk away or evict the non-payers and put them into rentals that they can afford. I believe the credit markets and the banks are pricing this in already..Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4900303239154048192.post-24573323366775322592008-10-08T21:08:00.000-04:002008-10-08T21:08:00.000-04:0012 million households, or 16 percent, owe more tha...12 million households, or 16 percent, owe more than their homes are worth, according to Moody's Economy.com.<BR/><BR/>$300 Billion would be $25,000 per mortgage on average.<BR/><BR/>A $300K house that was 75% of a bubble value ($400K) would be $100,000 under water. That would be the West Coast Bubble median price.<BR/><BR/>US median is just over $200 K, and 25 % over would be $66,000 under water. So even that would be over twice the $300 Billion. However, it is precisely the bubble areas that are most likely to be under water. <BR/><BR/>Most of the bubble is in the West:<BR/><BR/>http://www.realestateabc.com/outlook/overall.htm<BR/><BR/>The policy results will vary depending on who is targeted for bailout and who is left in the cold.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4900303239154048192.post-74484862272446326402008-10-08T14:38:00.000-04:002008-10-08T14:38:00.000-04:00My understanding is that this proposal comes from ...My understanding is that this proposal comes from Martin Feldstein. Actually, I do not think it is such a bad idea, among all the ones that are floating around. However, you are certainly correct, pgl, that contradicts the supposed fiscal conservatism of McCain, and I also doubt that it will fully achieve what it is advertised to do, namely stop the decline of housing prices. They are still bubbly and have a ways to go down, although such a bailout would soften the blow on some homeowners, which might not be such a bad thing.rosserjb@jmu.eduhttps://www.blogger.com/profile/09300046915843554101noreply@blogger.com