Who’s screwed? Homeowners!
By louisehartmann
Who’s screwed? Homeowners! Nearly a quarter of all the homeowners in our nation are underwater on their mortgages – meaning they owe more than they’re house is worth. That’s according to a new report released yesterday by the housing firm CoreLogic that shows more 11 million people are stuck paying huge mortgages on a devalued house. 2/3 of homeowners in Nevada are underwater – and about half of the homeowners in California, Florida, Michigan, and Arizona are in the same situation. And that doesn’t include the millions more who already foreclosed on their homes – and are now living in their car – or if they’re lucky – motels. Meanwhile – the banksters who inflated the housing bubble and lured people into buying homes they couldn’t afford are doing just fine now thanks to their government bailout – and their tax cuts courtesy of the Republican Party. Now they have enough money in their pockets to go and reinflate another bubble to screw us all over. Notice how gas prices and food prices are both in the rise? You can thank these same banksters for that too.
Comments
#2
I've tried and tried to get a plan underqay to assist homeowners, especially those underwater/upside down. As we know many loans were sold at discounted prices. Lehman Bros. sold thier loans for 22 cents/dollar; New Century 35cemnts/dollar. Countywide sold their loans to Bank of America and got a $50 billion tax credit for it. Let the homeowner (not investors) buy thier loans back at 10 cents more to allow for the extraction out of the bundle and small refund to original investor. The homeowner will have to get another mortgage to pay off the old one at a discount. Whoever makes that loan will have a more secure debt. the homeowner has a reduced payment and more spending money and the original investor gets a little back (pensions, etc.) Fannie Mae and Freddie Mac are just starting to figure out they're paying off on the original amount and they (we as taxpayers) are getting screwed and the "too big to fail banks" are making another killing. I've operated a government housing program for 20+ years and critteria can be established help those who can help themselves.
#3
Just for the record, we did not have to give the tax breaks to the wealthy. Thanks to President Obama who never consulted with anyone in our party and jumped out on his own to kiss the behind of the Republicans, not only did he break his promise to the American people, but he helped the very ones who did not need the help by throwing the bill on the poor, elderly, under employed, unemployed, and barely makin' it who will have to find a way to pay the bill by giving up the last breath to be breathed. As far as the rest goes, who always ends up getting screwed? Question answered.
#4
Only in Amercia , The land of opportunity .Its Money that talks and nobody walks. Who said that? A few today have so much money on their hands it just gets all of us into trouble. (Rise the tax on billionaires ) Imagine if you can buy anything you want 10 times over. We the workers cannot., It shows you just how important we are to money grip right? Just think, With out their subjects, that is ~ Us, what would they do? Who could they push around? Perhaps each other? How long would that last? Money must be shared in life. Anyway, "So what do they do with their money ! They take it and Move it someplace else in the world along with business too. Out of sight ! After all, " What have we done for them? So America thought the Banksters were being kind to them when they were lending them all that money to buy a piece of the American dream Um, just So they feast and drool. What will they dream up next! "Ah Its the Walker's rights! Does this mean the one is so much more important then the many? Or should one reflect ?
#5
I'm one of the folks who lost her home and in my 52 years on this earth, I've never seen an economy hit rock bottom the way ours is. Yet, there is denial. The government economists tell us that the recession has been over for nearly 2 years. We hear that there are more jobs on the horizon and things are improving.
Really? The government is telling us that everything is fine - or improving - because if everything is hunky dory then they don't have to take any action. They can maintain the status quo while we as individuals and families blame ourselves. The rich of the world own all of the politicians. There is no way out of this mess except through revolution.
#6
I agree. I had a lot of hope when Obama became President, but he has proven a great disappointment.
#7
It is high time apathy lose it's place in our way of thinking or lack thereof. I am just an ordinary middleclass citzien who fears our apathy and naivety of the republican party and it's manipulative conservative views and agenda has cast a very dark cloud over our country. I see the power and unapologetic character of this breed of conservatives to be very destuctive and lacking any concern of the harm they have caused and continue to cause to the backbone of America, which is none as the middleclass. Every day the news brings to us things the Republicans are doing and have designs on doing to undermine basic fundamental of our way of life. After the mid-term elections that gave them a bit of renewed power, has allowed them to flaunt their influence in every way imaginable, even down to state and local governments. Money and power must guide their sanity. We are now, in our local communities are having to deal with Republican governors trying to dismantle one of the basic rights of working class people to protect their collective barganing rights as municipal workers. What else should we be concerned about coming from this party. If there was ever a time for us to wake up and smell the coffee, now would be it. Our progressive agenda should be screaming just as loud as that of the conservatives. Getting reasonably involved and becoming more informed with politics in our local, state and national govermental affairs, will go a long way in holding our elected officials accountable for doing the work of the people and at the same time force us to elect the people to office who would have the whole of us best interest at heart. It is my hope that the entrenched money and power of the conservatives is not so strong, that it causes our country to become a shadow of it's greatness.
#8
Hate to break the news, but I worked in the mortgage business for 6 years during the boom. I did over 8,000 loans during that time. I explained all worst case scenarios to all borrowers. Not once, did any borrower say, "You know, this loan is too risky." Not once. You talk about "banksters" and greed. Believe me, as someone in the trenches at the time, borrowers were greedy, too. Personal responsbility applies to all that involved, not just the "banksters"
#9
"Notice how gas prices and food prices are both in the rise? You can thank these same banksters for that too."
Uh, no. You can thank a Federal Reserve policy of a weak dollar, printing massive amounts of paper money, flooding the world with dollars, silly low interest rates, crazy deficits and the entitlement mentality. Devalue the dollar and real assets like precious metals, commodities are going much higher. Holding that paper money is a suckers play. Once again, the federal government messes up. The market is never wrong. It always reacts to government policy.
#10
For those whining about how disappointed they are in Obama, be thankful that John McCain and the SP are not involved in making decsions for America. Voter turnout in Australia is 98%, WHERE WERE YOU last NOVEMBER????? Obama never said "Yes I Can"...He said "YES WE CAN". A lot of his "we" went awol and look at the mess we have on our hands now. Oh, spare me your disappointment. Get to work! Snot Walker just pulled the rug out from under hard working Wisconsin workers. Send them the good thoughts they need to fight the good fight!
#11
In Austrailia you have to vote whether you want to or not because it is against the law to not vote. That would account for a 98% turnout. There's always that 1 or 2 % that will go against the grain of anything along with those who are medically relieved from the law.
As far as Obama is concerned, he did say, "Yes We Can," and I say, "the only one who went AWOL was Obama who decided to shoulder the "Bush Tax Breaks" decision with a couple of Republicans who played a couple of cards against his weakness and won the whole pie." However, I will say that we would have been way worse off with an idiot like McCain in the Presidency.
#12
I wonder why no one is talking about another way that many Americans are losing their homes--medical bills and cuts to Medicaid. My mother had an accident and, sadly, has been hospitalized for over a year and, most likely, will remain so for the rest of her life. So she must apply for Medicaid, and, we're told, the government will try to take her house, all of the money in her bank accounts--everything! In addition, we were told that we need to report all of my mother's savings for the past five years because if my mother had given money to anyone as a gift, the government will demand that person pay that money back toward my mother's medical bills! In other words, if my mother had given one of her children money for college tuition three years ago, the government would try to get us to pay that amount toward my mother's medical bills before she could collect Medicaid benefits!
It's truly appalling, considering that my parents were working class, earning less than $30,000 per year--four of us lived on that! The house is a small house, not worth much money, but has long since paid for because my grandfather, a plumber, had bought it decades ago. He'd signed the house over to my mother but, of course, my mother hadn't signed the house over to her children. So now the government wants to take it. What's sad is that we're living in poverty right now. My sibling is collecting disability and I earn less than $10,000 per year! My father and grandfather were both veterans who had fought for this country and this is how they're being paid back.
But what really shocks me is that the US government can take your house, your car, your bank accounts--everything you own--if you apply for assistance. The idea is that you can't own anything of value and apply for govt assistance. But long-term hospitalization can add up to hundreds of thousands of dollars! There is no way that anyone who is poor or middle class can afford to pay for that. To suggest that people who own homes that are worth only $50,000 should lose their homes because they have health problems requiring years of medical care is just appalling to me. The suggestion that my parents were somehow "rich" because they owned a home when my father's income was below the middle-class average is insulting, to say the least.
How ironic that the Republicans claim to worry so much about communism and socialism yet they grant the government these draconian powers that essentially rob us of the ability to participate in both democracy and capitalism. They are, in fact, killing capitalism and destroying patriotism in many of us.
Apparently, the Americans who voted for these draconian policies haven't stopped to think that while their taxes might theoretically be lowered by taking people's homes when they apply for Medicaid, their taxes will actually increase when they end up supporting those of us who end up homeless as a result. There are several abandoned homes in my neighborhood right now. Many of the former owners lost those homes because of this--not because of unpaid mortgages but because of elderly or disabled homeowners who collected Medicaid and when they died or ended up hospitalized, their remaining family members were kicked out of the house when the govt came along to confiscate it. No inheritance for you!
But perhaps it's just as well that I can't inherit the house (even though I'm currently living in poverty) because I owe thousands of dollars myself for my college education. If I owned the house, the govt would still take it away from me to get its money back for funding my education. That's right, student loans were a part of my so-called "financial assistance" package. If it's one thing I've learned about being an American it's that the US govt doesn't really provide poor people with assistance without finding some way to punish us for applying for assistance.
I've come to the conclusion, after many years of thought on this situation, that this country is just unliveable. The only people who can thrive in the U.S. are white males who come from upper middle class or wealthy families. The rest of us can just go to...
My dreams shattered, I've discovered a new dream: to get out of this country and live in a part of the world that is more humane--if there is such a place. (Sorry, but I don't have a patriotic bone left in my tired, financially-overextended body.)
And I predict that in the near future, those of us who struggle and can't afford to pay our bills (and who are stupid enough to remain in this country) will either be put to death or imprisoned, or both, in an effort to save money while continuing to cut taxes for the rich. Mark my words. An article in the Mpls Star Trib last year stated that many Americans are secretly being jailed for being unable to pay their debts.
(Lol! Below this comment box is an option to "disable rich-text." My text is far from "rich." But I wish I could disable the uber-rich...)
#13
Today, 9 March, 2011, proves that the Republican Party and the rich want to destroy the middle class and Democracy in this country, What has happened today in Wisconsin under the uber delusional gov scot walker speaks volumes as to what their true agenda is – the complete destruction of the middle class in this country and our Democracy!
If they have read any American History, they know what is coming next! They have awakened a sleeping Giant and that giant is now not too happy! They will rue the day that it has now come to this – simple hard working Americans who are being attacked by the greedy rich, and who now will fight to protect their way of life. Hopefully by demonstrating peacefully and using the ballot box, plus the many other peaceful means millions of organized Americans have at their disposal.
For 30 years now the middle class, the poor, and every hard working American has been under a relentless attack by the rich fascists in this country. In 2007 Wall Street almost entered us into another great depression. Millions lost their jobs, their homes, their freedoms!
AND NO ONE WENT TO JAIL! No One! And Wall Street is still at work doing their best to continue the destruction. Millions are still losing their homes – literally being thrown out in the street! Speculating, so raising energy costs! More jobs lost!
And now this! AMERICA has awakened or will shortly awaken, to what is really happening here in America. 400 citizens in the US own more wealth than 150 MILLION AMERICANS! And they want more! Corporations and the super-rich own and control almost ALL politicians! Corruption is rampant at all levels of government and our media. Thousands are being paid ogles of $$$ by the super-rich to peddle the lies and agendas of their paid masters (Fixed noise and corrupt lobbyists)!
Enough! AMERICANS have had enough of this colossal arrogance and mean spirited meanness from this crazed ultra-right wing party in this country. WE, the American people, the hard working people, the middle class, are going to reclaim our Democracy and our freedoms, and god protect anyone who plans to stand in the way!!
AMERICANS, all hardworking Americans, unite and let’s reclaim our legacy! Freedom is not free – it has to be fought for and protected. Today will prove to be another turning point in our great history. Today we finally know what the republicans and the right-wing really stand for. Today is the start of a new revolution in this country! Home of the free and home of the brave – and most important, home of freedom loving Americans who are sick of being stomped on and bullied!!
#14
Absolute malarky! If you would of done it properly you wouldn't of made a dime! I would wager that every time a deal went though you smile and laughed silenetly, saying to yourself - another sucker, another dollar!!
#15
"Notice how gas prices and food prices are both in the rise?
Another piece of absolute rubbish! A paid flunky if you ask me!
MARKETS ARE WRONG WHEN RIGGED! And wall street is RIGGED!!!
Which universe do you exist in spouting this rubbish anyway? We are not all idiots, you know!
#16
200 years ago the yeoman farmer was the backbone of America. 75 years ago the Middle Class was born. Since then IT was and has been, the backbone of America. This Middle Class created all the Wealth in this country. Now the greedy super rich have stolen it, hold on to it, and now want to destroy the very Middle-Class who made all that wealth! The new fascist rich now want to create an Oligarchy and Plutocracy, destroy the middle class, make ALL Americans the Nuevo poor, and create a new fascist government!
This is no longer a secret! The uber right have tipped their hand in Wisconsin tonight. All Americans now know what they, the uber righ-wing fanatics are all about now – the destruction of the Middle-Class in this country!
What happened in Wisconsin tonight has to be one of the most offensive un-american and un-democratic actions American has witnessed in a hundred years! It will not stand! And I hope the good people of Wisconsin take to the streets and Recall these bully right-wing political fanatics!!
Last I looked this was still America and we still have a Democracy!
#17
After what has happened in Wisconsin tonight, I believe that that apathy will begin to fade. Your post is well appreciated by all hard working Americans. There are way more of us than of them. Time for change and a reclamation of AMERICA from all those greedy fascists who are intent on destroying it!!
#18
I agree. I had a lot of hope when Obama became President, but he has proven a great disappointment.
Don't be too hard on Obama - he's playing by the rules!
Now the hard part - You, Me, ALL Americans, now have to reclaim our DEMOCRACY!
Do you have what it takes to reclaim it? Obama is ONE man! WE are MILLIONS!
If we all take to the streets and retake what is rightfully ours, we may better appreciate what we have lost and what we will lose if we don't.
And to tell you the truth I am sick and tired of people blaming all our ills on OBAMA! Really, really sick of it all! The American people are at fault for all this. We have become a timid people and all too quickly blame everyone else for our problems and our failures. We need to rebuild our backbones and reclaim our heritage. And soon!
#19
Spot on! When are we as people going to stop this continuing apologizing for and denouncing continuously what the FACTS sometimes are! I am as white as can be and I KNOW for a fact that what he stated IS the Tea-Party! Anyone not agreeing with this has an agenda to pursue. They are being paid. Or they are just not informed! Or just delusional!
The Tea-Party "..movement as older, white, fundamentalist Christians who like to carry guns, and hate scary brown people and homosexuals.." and same-sex marriage, are anti-abortion, want to un-separate the separation of state and church, place a Bible in every hand, are anti-evolution, hate public schools, climate change deniers…on and on! THAT IS THE TEA-PARTY! Those are their beliefs! Those are their agendas! Why do we always have to criticize those who state this!
The tea-party is NOT main-stream America! They are a minority. And they are being used by the uber rich to advance the agendas of the rich! The mass media is portraying them as the majority of ‘Real Americans”. They are not and they are anything but!
Soon, America will see who the real Majority is in America – and it will NOT be this tea-party fringe minority! And won’t care how many guns they do carry!
#20
Kick Their Lily White Lying Ass. Why are we taking this lying down and letting them walk all over us? Please consider that millions of Americans will have no estate to leave their children and grandchildren in the next generation which means The Big Families will have final contol of tenant peasantry once more.
XXXXX
#21
"Last I looked this was still America and we still have a Democracy!" Apparently the last time you looked was quite some time ago.
#22
Last I looked it was "Bank of America," formerly the Bank of Italy.
Thom's Blog Is On the Move
By webmaster
Hello All
Thom's blog in this space and moving to a new home.
Please follow us across to hartmannreport.com - this will be the only place going forward to read Thom's blog posts and articles.
Images of Thom
From Cracking the Code:
"Thom Hartmann ought to be bronzed. His new book sets off from the same high plane as the last and offers explicit tools and how-to advice that will allow you to see, hear, and feel propaganda when it's directed at you and use the same techniques to refute it. His book would make a deaf-mute a better communicator. I want him on my reading table every day, and if you try one of his books, so will you."
From Unequal Protection, 2nd Edition:
"If you wonder why and when giant corporations got the power to reign supreme over us, here’s the story."
From The Thom Hartmann Reader:
"Thom is a national treasure. Read him, embrace him, learn from him, and follow him as we all work for social change."
I read about NPR's Ron Schiller's comments about the tea party in my local paper this a.m.,and when I turned on the radio, I was really surprised to hear your discussion about his comments being controversial. His description of the tea party movement as older, white, fundamentalist Christians who like to carry guns, and hate scary brown people and homosexuals seems pretty spot on. It is certainly in line with the coverage of the movement that I've seen on TV and in print. There have been plenty of photos of folks with guns and racist signs at tea party rallys, and lots of angry rhetoric about Sharia Law and the sanctity of marriage.
Tea party people should be aware that Ron Schiller's remarks are commonly held opinion, based on media coverage of their fringe movement.
There is an old expression that comes to mind: If you don't want to be called a lynch mob, stop acting like a lynch mob.