Who here has benefited from Obama's mortgage bailout plan

[Budmantom]

I remember reading a while back that we had quite a few members that were behind in with their mortgages(1 in 9 nationally), I'm just curious how many of you took advantage of these programs?

Here is an older story from the WSJ about the bailout.

 

[ebaycj]

Bank wouldn't do it unless I ruined my credit by stopping my monthly payments.

 

[fskimospy]

Hahaha, nice one Budmantom.

 

[spittledip]

We would have liked to, but we have stayed on top of our payments. We looked for ways to make it work, but it seems like you have to have made an incredibly foolish purchase (house price to income ratio) to make it wok for you.

 

[Uhtrinity]

My nephew and his wife were in foreclosure as of two months ago. It now looks like they might be able to keep their home. I add some details if I get them.

 

[Vic]

Originally posted by: ebaycj
Bank wouldn't do it unless I ruined my credit by stopping my monthly payments.

No, they didn't say that. Intentional default is a disqualifier for Home Affordable (HAMP aka 'Obama Plan'). What your bank actually told you was that you had to prove a legitimate financial hardship in order to qualify, provide documentation of that hardship, and sign an affidavit to that effect under penalty of perjury. If you couldn't do that, then you don't qualify.

Another important point is that participation in HAMP will damage your credit regardless. The plan requires a initial 3 month trial payment forbearance period prior to modification (those who fail to make all 3 trial payments do not receive a modification). During which time, you will be reported 30 days late (by at least the 2nd month, assuming the obvious that the trial payment is less than the regular payment). For borrowers experiencing hardships and already in default and/or facing foreclosure, this won't be a big deal. For those who can afford their mortgage payments and are just shopping for a better deal, tough luck. The program wasn't meant for you. Your benefit is that what HAMP does to stem the tide of foreclosures and bank-owned properties will keep your home value from decreasing that much further.

The program isn't meant for borrowers who can't afford their homes either. It requires full income verification for financial ability to afford the home at its present market value. Those who can't meet this requirement will likely proceed to foreclosure.

And lastly, it's not permanent, only for 5 years, and there is no debt forgiveness beyond some relatively small incentives.

 

[JEDIYoda]

Originally posted by: Budmantom
I remember reading a while back that we had quite a few members that were behind in with their mortgages(1 in 9 nationally), I'm just curious how many of you took advantage of these programs?

Here is an older story from the WSJ about the bailout.

That`s an idiotic question....when you consider most, not all, but most of the people who post here are not even old enough to drive....rofl..hahaha

 

[Skitzer]

Well, there's absolutely no way I could benefit from Obamas bail out plan. My mortgage payments are up to date, my credit score is up there and I only have 1 credit card which is almost paid off. I have a great job, my wife works and makes good money and we have a pretty decent savings plan with a substantial amount of money in it.
Soooo ..... I guess I'll continue to be one of the enablers.

 

[CPA]

Originally posted by: Skitzer
Well, there's absolutely no way I could benefit from Obamas bail out plan. My mortgage payments are up to date, my credit score is up there and I only have 1 credit card which is almost paid off. I have a great job, my wife works and makes good money and we have a pretty decent savings plan with a substantial amount of money in it.
Soooo ..... I guess I'll continue to be one of the enablers.

pretty close to my situation.

 

[StageLeft]

CNN recently they talked about refis and things and it is indeed true that although people were not necessarily asked to stop making payments they were told that while they are current thye cannot take full advantage, so at least one couple deliberately got behind, at which point they were able to take advantage of this.

 

[dphantom]

Originally posted by: CPA

Originally posted by: Skitzer
Well, there's absolutely no way I could benefit from Obamas bail out plan. My mortgage payments are up to date, my credit score is up there and I only have 1 credit card which is almost paid off. I have a great job, my wife works and makes good money and we have a pretty decent savings plan with a substantial amount of money in it.
Soooo ..... I guess I'll continue to be one of the enablers.

pretty close to my situation.

Yep. Must be living wrong.

House I can afford, no credit card debt I carry, savings, retirement.

 

[Genx87]

Originally posted by: Skoorb
CNN recently they talked about refis and things and it is indeed true that although people were not necessarily asked to stop making payments they were told that while they are current thye cannot take full advantage, so at least one couple deliberately got behind, at which point they were able to take advantage of this.

A loan officer from my bank told me to stop making payments. Of course I wont but it was something that surprised me when he suggested it. I was trying to qualify for a refi from an ARM to a Fixed using the Make Home Affordable Act. No love due to my primary still being over 105% of the appraisal.

 

[bobsmith1492]

I'm about to take advantage of the $8000 first time homeowner's bailout.

 

[geno]

Originally posted by: bobsmith1492
I'm about to take advantage of the $8000 first time homeowner's bailout.

Ditto.

 

[piasabird]

I think if you look at any kind of news on this you will find out that homeowners can not really take advantage of this unless they lied on their loan app about their income or they just didnt bother paying their bills when they went on vacation or something like that. To top it off very few people have been helped by this.

I could think of a lot better ways to help struggling people if I was in the government. The top problem is that when people are getting laid off like the 35,000 employees that Bank of America said they would fire/lay-off, that people are forced to try to cash in their retirement accounts to make do. If O'Bamma really cared about the struggling people he would set aside the 20% tax penalty for these people.

i.e. My wife worked for Bank of America for 19 years and was laid off at the age of 55. Thanks a lot Bank of America. Or should I say Thanks to Obama for making the Fed force them to take over companies that were worthless when they wanted to back out of the deal.

This may actually work to my advantage in the long run. We plan on rolling over our IRA into a stock trading account and investing in the stock market.

They are nuckle heads....
They know nothing....
Buy, Buy, Buy.....

 

[OCGuy]

I have benefited more than I could have ever hoped. I am on track to break a major income barrier for the year.

 

[Vic]

Originally posted by: Genx87

Originally posted by: Skoorb
CNN recently they talked about refis and things and it is indeed true that although people were not necessarily asked to stop making payments they were told that while they are current thye cannot take full advantage, so at least one couple deliberately got behind, at which point they were able to take advantage of this.

A loan officer from my bank told me to stop making payments. Of course I wont but it was something that surprised me when he suggested it. I was trying to qualify for a refi from an ARM to a Fixed using the Make Home Affordable Act. No love due to my primary still being over 105% of the appraisal.

So apply for a modification instead of a short refi.

And if you have no hardship, then you don't get one. Wah. You signed your loan documents, you should have know what you were getting into, so deal with it (it's not like ARM indexes are high right now or something). Granted, the same could be said about the people getting the mods, but the purpose of HAMP is to stem the rising tide of foreclosures, not create a new kind of refi boom through modifications for just anyone who wants one.

And let me repeat this again for the self-righteous in this thread, HAMP modifications are not permanent, there is no debt forgiveness, they are not easy to get, and the initial trial period will damage your credit.

 

[Vic]

Originally posted by: piasabird
I think if you look at any kind of news on this you will find out that homeowners can not really take advantage of this unless they lied on their loan app about their income or they just didnt bother paying their bills when they went on vacation or something like that. To top it off very few people have been helped by this.

I could think of a lot better ways to help struggling people if I was in the government. The top problem is that when people are getting laid off like the 35,000 employees that Bank of America said they would fire/lay-off, that people are forced to try to cash in their retirement accounts to make do. If O'Bamma really cared about the struggling people he would set aside the 20% tax penalty for these people.

i.e. My wife worked for Bank of America for 19 years and was laid off at the age of 55. Thanks a lot Bank of America. Or should I say Thanks to Obama for making the Fed force them to take over companies that were worthless when they wanted to back out of the deal.

This may actually work to my advantage in the long run. We plan on rolling over our IRA into a stock trading account and investing in the stock market.

They are nuckle heads....
They know nothing....
Buy, Buy, Buy.....

You really have no clue what's going on in the world, do you?

 

[Possessed Freak]

Damn it, I knew I should have bought a $500k house and not my half a duplex $120k house...

 

[brandonbull]

Originally posted by: Skitzer
Well, there's absolutely no way I could benefit from Obamas bail out plan. My mortgage payments are up to date, my credit score is up there and I only have 1 credit card which is almost paid off. I have a great job, my wife works and makes good money and we have a pretty decent savings plan with a substantial amount of money in it.
Soooo ..... I guess I'll continue to be one of the enablers.

You get to enable the cycle of privatized gains and socialized losses.

 

[brandonbull]

Originally posted by: Vic

Originally posted by: Genx87

Originally posted by: Skoorb
CNN recently they talked about refis and things and it is indeed true that although people were not necessarily asked to stop making payments they were told that while they are current thye cannot take full advantage, so at least one couple deliberately got behind, at which point they were able to take advantage of this.

A loan officer from my bank told me to stop making payments. Of course I wont but it was something that surprised me when he suggested it. I was trying to qualify for a refi from an ARM to a Fixed using the Make Home Affordable Act. No love due to my primary still being over 105% of the appraisal.

So apply for a modification instead of a short refi.

And if you have no hardship, then you don't get one. Wah. You signed your loan documents, you should have know what you were getting into, so deal with it (it's not like ARM indexes are high right now or something). Granted, the same could be said about the people getting the mods, but the purpose of HAMP is to stem the rising tide of foreclosures, not create a new kind of refi boom through modifications for just anyone who wants one.

And let me repeat this again for the self-righteous in this thread, HAMP modifications are not permanent, there is no debt forgiveness, they are not easy to get, and the initial trial period will damage your credit.

So many home buyers were signing up to invest in something that lenders were upwardly manipulating the prices thus leading to a large loss?

 

[Vic]

Originally posted by: brandonbull
So many home buyers were signing up to invest in something that lenders were upwardly manipulating the prices thus leading to a large loss?

I don't remember those home buyers complaining while prices were going up. What I do remember -- quite clearly -- were home buyers and homeowners demanding that lenders give them cheaper and cheaper terms to enable them to pay those higher and higher prices, all the while slapping themselves on the back about how much money they'd 'made' through home price inflation.

 

[Chaotic42]

No, but I did take the $7500 loan since I bought in June of 08. I try to live within my means, so I'm sure that I'll be getting screwed soon.

 

[Genx87]

Originally posted by: Vic

Originally posted by: Genx87

Originally posted by: Skoorb
CNN recently they talked about refis and things and it is indeed true that although people were not necessarily asked to stop making payments they were told that while they are current thye cannot take full advantage, so at least one couple deliberately got behind, at which point they were able to take advantage of this.

A loan officer from my bank told me to stop making payments. Of course I wont but it was something that surprised me when he suggested it. I was trying to qualify for a refi from an ARM to a Fixed using the Make Home Affordable Act. No love due to my primary still being over 105% of the appraisal.

So apply for a modification instead of a short refi.

And if you have no hardship, then you don't get one. Wah. You signed your loan documents, you should have know what you were getting into, so deal with it (it's not like ARM indexes are high right now or something). Granted, the same could be said about the people getting the mods, but the purpose of HAMP is to stem the rising tide of foreclosures, not create a new kind of refi boom through modifications for just anyone who wants one.

And let me repeat this again for the self-righteous in this thread, HAMP modifications are not permanent, there is no debt forgiveness, they are not easy to get, and the initial trial period will damage your credit.

Uh I am dealing with it. Where did you get the impression I am not? Clearly said in my reply I will continue making payments. I was hoping to take advantage of the low rates to slide over to a fixed, no debt forgiveness. Some banks seem to want to do this (Wells Fargo) others dont (US Bank). Life sucks, I got my helmet.

 

[JeffreyLebowski]

Originally posted by: JEDIYoda

Originally posted by: Budmantom
I remember reading a while back that we had quite a few members that were behind in with their mortgages(1 in 9 nationally), I'm just curious how many of you took advantage of these programs?

Here is an older story from the WSJ about the bailout.

That`s an idiotic question....when you consider most, not all, but most of the people who post here are not even old enough to drive....rofl..hahaha

Don't forget, we're all millonaires by our 18th birthday.

The Obama Plan only helps those that were stupid and got way in over their head. It helps the dumb and poor, it does nothing for those that made drastic sacrifices in other areas to get their payment to the bank for their house.