JPF Home Page Forums Stop The Bailout

Ditto Brian

So the question for everyone is...
What are YOU going to do about it?

I know what I'm going to do come November. Vote them OUT. It won't happen because most people won't cross party lines when they walk in the voting booth. And I think a lot of people just vote the straight ticket. But I am going to look at each office up for reelection and vote against the incumbent.
And I think I may just vote Independent. Or write in Mike Dunbar.

It is easy to say the Democrats did it or the Republicans did it.
I have to laugh when people say Clinton left with a surplus. Nope. Any search into how the budget was balanced will reveal the GOP under Newt Gingrich were the true architect's of it.

Mark has a little insight into it. Live within our means.
But that isn't the only answer.
I don't believe a credit based society is doomed to fail as long as the credit doesn't get out of hand.
Most people will NEVER be able to save enough money to pay cash for a house. And a mortgage is credit/debt.
Or you can say you have no debt because you rent.
Most people will never be able to save enough money to pay cash for a new car either.
It is fantasy to think they will.

Part of this Mortgage meltdown has been caused by inflated housing cost's.
Cost is not the right word tho. Appraisal is the right word. The banks wrote loans based on bogus appraisals. Not true value. Now that is coming back and biting them on the arse.

I refinanced my house a couple years ago. The appraiser called me and asked me how much I was asking for on the refinance. He made the appraisal high enough to ensure I got the loan. I made sure I kept it low enough so that I retained good equity. I wanted to build a $40,000 addition on my house. It increased my value by $60,000 because I built it myself.
The appraiser NEVER came out and looked at my house.

They did the same thing for my neighbor. The problem with my neighbor is they appraised the house for about 40 K more than it is worth. He is considering just walking away from it. No way he will ever be able to sell it for what he owes.

Is credit tight? Is it impossible to get a mortgage?
Well I dunno.
I know a 19 year old who along with her dad who is on Social Security Disability just bought a house. It is in both their names. They closed on it two weeks ago and have already moved in.
It was a no money down mortgage.

What I find interesting is there are at least 5 new houses being built close by my house in Michigan.