Re: http://www.cnbc.com/id/29299591/ and Rick Santelli


I take issue with the comments in your report:

“President Obama’s massive mortgage-bailout plan is nothing more than a thinly disguised entitlement program that redistributes income from the responsible 92 percent of home-owning mortgage holders who pay their bills on time to the irresponsible defaulters who bought more than they could ever afford.”

Rewarding Bad Behavior? Really! How many of that 8% are at fault? To answer that question we have to figure out how the 8% got in trouble. So let’s take a look. I don’t have an answer to these questions so feel free to fill in the answers.

Of the 8% how many are actually living in their homes?
How many bought on Speculation?

OK. Speculators, you are on your own. I am going to talk about the portion of the 8% that actually bought a home to LIVE in. Not Invest In!

How many were talked into a loan product that had extremely HIGH risk?
How many banks rewrote their guidelines so the underwriters could write more loans? 100%, 103%, 110% LTV Loans; No Income Verification; Interest Only Loans; Bad FICO Score Loans, 80/10/10 Loans
How many banks ignored every red flag that popped up so they could close a loan?

How many buyers were told that they could refinance the 5/1 ARMS before they matured with the equity gained in the homes?

Are the buyers at fault here? NO! It is not their fault that the SO CALLED Experts, and I am including my own field here too, gave them bad advice. Do they have to live with their decisions and bad choices….SURE DO!

So what’s the problem with yanking families, FAMILIES…out of the homes they can NO LONGER afford? Honestly, I don’t think it would be a major issue. We have experienced foreclosures every since home loans were first offered. What the PUBLIC has an issue with, not the guys on Wall St., THE PUBLIC! Is that our government bailed out the failing banks. And what did the CEO’s, CFO’s do with the money? Money they were given so they could keep loaning US THE PUBLIC money? They gave themselves Bonuses. They gave everyone bonuses! They bought bigger homes, more toys and they DID NOT use that money to write mortgage notes with.

Now I am a business owner. If I have a good year, I make more. If I have a bad year, like now, I make less. In fact I might even have to take money out of MY pocket and put it back into the business. I have had to sell off MY TOYS and put that money into the business. And what happens if that still does not work…I go out of business! But not to worry, there will be another entrepreneur that will quickly fill my void.

So, why are the banks not going out of business? Why are the firms on Wall Street that started this mess, not going out of business? OK, some are, but the Fed’s have bailed out many. The Fed’s bail out the wealthy and they tell Middle Class America…Screw You! So we finally have a President that says, We are going to Bail You out too. Great, so why is Wall St. so upset that Joe Neighbor is going to get help staying in the house he could no longer afford BECAUSE the bank took his $2,000 per month mortgage that he was making payments on, always on time and adjusted it to $5,000 per month. Since we do not work on Wall St. Since we are not Bank CEO’s or CFO’s, we don’t get bonuses for screwing up. We screw up and we loose everything. No Golden Parachutes here! What about all us Small Business owners, who is bailing us out? I already drive a hybrid Detroit! I didn’t need congress schooling me to realize that when I am in need of money, I don’t spend a fortune traveling.

So please tell Rick Santelli and anyone else at CNBC that feels we homeowners are taking advantage of everyone. Well now you know just how PISSED we are every time we hear about one of your friends getting another Golden Parachute and/or Bonuses for running the company into the ground.

President Obama, from all of us in Middle Class America…THANK YOU for OUR Golden Parachute! OUR BONUS!




Sincerely,

Lawrence (Larry) Jensen, Lic. R.E. Broker
St. Lawrence Properties, llc
www.StLawrenceProperties.net

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Larry Jensen, Principal Broker
St. Lawrence Properties, llc
Ph. (888) SLP-NYCT (888-757-6928)
www.SLPNYCT.com
New York & Connecticut Real Estate & Property Management
Follow Me: St. Lawrence Properties Blog
When in Doubt Check it out: REALTORS Code of Ethics

Larry great topic and relevant here of course, but this would be even more appropriate as an REW BLog post http://www.realestatewebmasters.com/blogs/ I encourage you to post it there as well
Cheers

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