I recently came across this comment, that I can not ignore, posted on You Tube:
"This is the second video I have watched on this same topic. Ignorance and laziness will be the death of people. What happened to hard work and self control? America was founded by people that believed anyone can archive anything if they work hard and focus on goals. Just waiting for the government to help you with everything is stupidity and pathetic. I should not have to pay the government to help morons out. God Bless America." "It's time people take responsibilities for there own actions. Stop blaming everyone else. I own three homes and have owned others in the past. Each time before I closed the deal on the new purchase of the home I knew what I was getting into. I knew what type of loan I was signing up for and I knew what the payments would be. Only greed and ignorance will cause someone to purchase a home they can't afford. If you want a big house make sure you can afford it, If you want a small one do the same." "I am not a guru in wealth management but its only common sense don't buy things you cant afford. The Government is in the same boat, They are so deep in debt but yet they keep handing out money to people or business when those people or businesses should fail or go bankrupt. You learn lessons from failing I know I have. But the government does not seem to learn nor do some people. Instead my taxes will go up because of someone else's mistakes and stupidity. It may be rude but it's true."
The comment above was posted in response to the crisis in "Tent City"
After reading this response, I went to this persons profile and what I found was vacation videos. His profile states that "some things may get a little political" but that must have been drowned out somewhere between "Disney World" and "Birds flying on the beach"
What would this man know about laziness?
Do you know how much energy it takes to be on vacation and run three homes? How "greedy" of you people to want to buy a single house for your family!!
It was people like this jackass above that bought houses so they could brag about them. Banks want to lend more money, the bigger the loan the more money they make. The value of a house doesn't have much to do with the house itself. If a house that's worth $40,000 sells for $100,000 the other houses in that area are now worth a lot more than they were. The more houses that sale at higher prices, the higher the base price goes. The bulk of the outrageous home price increases occurred in tourist areas. Vegas, Florida, Coastal Carolina's and California were ground zero for the economic crisis. The people buying 2nd, 3rd homes and vacation spots contributed in rising cost's. They anticipated rental profits that never materialized due to the rising price of gas. As they defaulted on these loans or sold at a loss this caused the sub prime mortgage rate to increase. This is where people, such as the tenants of Tent City started getting screwed.
Their loans, the sub prime loans (Fannie and Freddy) went thru the roof. Forcing them to foreclose. If you are fortunate to have more than one house, you are allowed to negotiate the interest rate on the 2nd and 3rd house.
If you only have one your stuck paying what they want you to pay. As these people started loosing their houses, they have to cut back on spending. In turn, others were affected when businesses began to slow down and jobs had to be cut.
The loans themselves were insured by AIG.
AIG and other companies involved packaged these loans and borrowed $30 to every $1 that they held in collateral. They never anticipated the value of homes going down. If they did they didn't care because they were too big and the Government would be forced to bail them out. The truth is AIG, the large banks and the Federal Government are playing a money game at the expense of those with lower incomes.
The idea of letting certain businesses "fail or go bankrupt" is ignorant. AIG underwrites the insurance on the loans on millions of homes. If AIG goes under those millions of loans will be in default and banks big and small would go under as well. These loans are in the $billions. That might just be the reason for the bailout hmm...
As far as "paying to help these morons out" well, part of those people fought for you to have what you have now. If your "greed and ignorance" didn't cause you to buy all those houses they wouldn't need a hand out. They seem to be doing alright in Tent City, pulling together like that when they had nowhere left to go. Doesn't seem like they waited to be rescued, they took the initiative to provide for themselves with what little they had around them.
They need help. They are Americans. They did not ask to be forced into this situation. I cant imagine that anyone would want to be there. And you should be happy that they decided on trying to help themselves quietly in Tent City rather than commit to crime to get the bare necessities of life.
If it was left up to jackasses like this one, we would all be in Tent City.