Gov't fixing Mortgages

[BeachSteelers]

CNN reporting it cost nearly $900,000 per loan to fix 31,000 mortgages. Yet these mortgages averaged $177,000. So more than $700K in wasted per loan. It'd been cheaper for Uncle Sam to buy out the mortgage directly. Just another great example of the Geniuses of DC. With another 4 million loans expected to hit forecloser this year I'm sure a rush to help fix these loans will be launched again from the IMBECILES in Congress.
Now I'm sure most, if not all, of these loans had insurance on them in case of default so why must we continue to payoff insurance companies for loan defaults?
I'm sorry I missed out on Corruption Classes in my Education...I guess only MBA's get to take those courses.
It feels like I messed up by paying off my mortgage early.

 

[scooterbug44]

I would love to see a more lengthy explanation/the math on that one.

 

[Bob]

that's interesting....do you have a link?

 

[30A Skunkape]

Not sure about BeachSteelers link, but I was listening to marketplace weekend this morning on NPR and the one fellow said most of the people taking advantage of the new house purchase tax credit are doing so in really expensive zip codes like Brooklyn and San Francisco. Basically a small carrot dangled to lure people who didn't get the memo that one should not buy more house than one can afford to own. I will try to find the link.

 

[30ashopper]

Mortgage Modifications Are Seen as Adding to Housing Woes - NYTimes.com

 

[30ashopper]

The Big Picture ? Blog Archive ? Stopping Counter-Productive Mortgage Mods and Foreclosure Abatements

Ritholtz sums it up in a few paragraphs better than I ever could.