Here is a story on credit and the housing market.
The wife and i are retired and very fortunate to have a good pension
in the six figures and a credit score of 830. Well both of those don’t make any difference to the banks. WHY ??
We have no bill other than a small house payment.
We went to several Banks even the one we have been doing business with for over thirty years to get a $87,000 loan on a house for our son that was appraised for $115,000.
Guess what we were turned down. They would not give a clear answer why. We ended up paying all cash for it and will make the interest ourselves.
The moral to this story is homes will stay depressed for a decade.
SAD no Jobs no loans, Will end up like Japan has been for the last 20 years.
James
Strategic Default Diaries
Lenders Making Stupid Decisions Part 2
I have recently file bankruptcy and my home is in the process of being foreclosed on. They want $50,000 more (my loan) than what the house is worth and they are willing to short sale it for $80,000 less than what I owe but they will not settle with me for a lower amount. I have never defaulted on my loan for 10 years until I went through a divorce. It just doesn’t make sense to me that they are willing to negotiate with a complete stranger instead of myself in which I have a great payment history until I hit a very huge turn in my life. I am employed with a good job but still no negotiation, they just want the house.
Thank you,
Cathy
