Comments on: Mr Mortgage: Actual IndyMac (Exotic) Loan Modification

By: BertDilbert

BertDilbert — Fri, 19 Dec 2008 21:33:20 +0000

Latest plan to save housing values, immigrants over bulldozers….

http://finance.yahoo.com/tech-ticker/article/149374/Housing-Cure-Give-Us-Your-Skilled-Your-Educated-Your-Bundled-Mortgages?tickers=%5Edji,%5Egspc,XHB,TLT,TOL,DHI,PHM

By: Kevin

Kevin — Thu, 18 Dec 2008 16:01:28 +0000

Kevin, that is awesome. Perhaps if the current concerns are that the incentive to walk away is too great, permanently attaching them to their debt will force them to stay and we won’t have to worry about it getting out of control.

By: Kevin

Kevin — Thu, 18 Dec 2008 07:39:35 +0000

I heard a rumor that these loans are going to be both:

(a) full recourse loans (meaning that if you default the creditor can sue and obtain a judgement against you), and

(b) exempt from discharge under both Chapter 7 and Chapter 13. (meaning that Bankruptcy won’t wipe them out — simmilar to student loans).

By: admin

admin — Wed, 17 Dec 2008 20:47:47 +0000

Brian – please email me privately with their contact information.

By: Brian659

Brian659 — Wed, 17 Dec 2008 19:58:14 +0000

What is INDYMAC offering for land loans with balloons payments? I recently spoke with a law firm who claims they can negotiate mortgage reductions from INDYMAC arguing that the reduction in principle still provides the bank a performing asset. Sounds too good to be true.

By: Kevin

Kevin — Wed, 17 Dec 2008 19:38:10 +0000

Mark, I read it and it repulsed me. They were greedy consumers. They wanted in on the big game, but now cry that they aren’t reaping profits exceeding their annual income. We cannot construct a society that artificially dictates who owes how much and try to engineer people’s lives. That is what they do in countries like North Korea.

Now while people today are saying “this sucks, I never thought I’d owe more than my house is worth,” it’s really an follow-up from what they said three years ago: “My house is awesome. I’m going to make a killing off of it. My neighbor just bought his for 10% more than I paid, so I’ve made $50k. Time to refi and buy that Jaguar.” These people shouldn’t be bailed out, they deserve to be cock-punched.

By: admin

admin — Wed, 17 Dec 2008 19:18:40 +0000

I am for letting the market clear but here is my case for principal bal reductions – it was not all greedy consumer by any means. Those were the exceptions.

http://mrmortgage.ml-implode.com/2008/12/14/mr-mortgage-my-case-for-mortgage-principal-reductions/

By: Kevin

Kevin — Wed, 17 Dec 2008 19:12:48 +0000

I’ll certainly agree with something that Mr. Mortgage has figured out before probably anybody else out there (and still most people don’t get it). Subprime, Option-ARMs, etc are not the problem any longer. Nothing in that regard will surprise us at least. It is the incentive to walk away from your house because it makes you house poor and is worth a fraction of what you owe. That’s why the reset schedules don’t really matter any more unlike a year ago. And the problem can compound on itself.

But with an angry fire in my soul I am absolutely appalled that anybody with a good understanding of these greedy homeowners thinks they should have a principal reduction. Go read the forums on loansafe.org. They will make you lose your minds. “Why does the bank not want to let me keep the money I borrowed? Should I tell them about my RV or three vacation properties when begging for a principal reduction?”

The greed is sickening. All the Scorcese mobsters combined lack the level of wretched scum, selfishness, and narcissism that each of these people have.

By: Kevin

Kevin — Wed, 17 Dec 2008 19:04:03 +0000

So it’s a problem that people aren’t turning around massive profits on their bubbled properties? They’d actually PAY their loans back if they wanted to keep their houses? Oh those poor souls, for a second I thought we were going to be a society of nothing buy gimmes and quick profits from flipping. I hope that this option to keep their houses and lesson of person responsibility doesn’t bite too hard. I mean, we wouldn’t want people to stop buying what they couldn’t afford.

By: Mortgage Litigation Expert

Mortgage Litigation Expert — Sun, 07 Dec 2008 22:41:27 +0000

As much as the terms of the modification are not all that great… one very glaring and important element of the Indymac modification agreement is it does not contain a release of liability of clause. I have to admit it is an honest approach geared merely at the modification. Most of the other modifications I have reviewed contain full releases of all liability and I would never recommend a consumer ever sign one with such provisions unless they were settling some very specific issues that they area aware of. So while there are criticisms, I think their approach is more genuine. Would I accept it? No way, I would give them the keys and go rent for half the price.