Rick Santelli Rocks the CME - We Were All Thinking It.
Video below
Maybe its just me but I dispise the idea of lending to borrowers that are in or proceeding towards a default. I would rather spend tax dollars on incentivising new homeowners that will be properly qualified to be in those homes.
I don't want modifications offered to borrowers that bought too much home and knew it and I don't want support given to the banks for this purpose.These borrowers continue to be a disporportionate burden on the taxpayer and governmental agencies.
As a longtime observer of the mortgage situation I saw first hand what these borrowers required from mortgage companies to get them into a home. I also saw what imprudent lenders were giving them to entice borrrowers into loans that were toxic. It wasn't pretty. That's why I now write at this site, I desire sensibility in America and the mortgage industry.
With each new plan the government introduces, it seems to also come a new wave of screwing to the taxpayer. I haven't read the components of the stimulus bill that offer support to banks and servicers offering modifications but I'm sure its loaded with pro-bank verbage. Verbage that enslaves the mod borrowers to homes they can't afford and indebts the taxpayer.
Lets face it, the subprime, Alt A and Option Arm experiments were a dismal failure. We need to unwind these homeowners out of homeownership and give the opportunity to the next wave of potential buyers.
