Fannie and Freddie

[dellinger63]

OMG! Now politicians, mainly democrats are calling on Freddie and Fannie to not reduce or refinance the interest rates of outstanding upside down loans but instead to arbitrarily reduce the actual mortgage amount. Since F&F is a GSE, the taxpayer is once again on the hook for the mistakes made by a few.

For those who bought homes they couldn’t afford, learn a lesson, brush off the dust and go on with life, whether it be renting an apartment or saving for a new house. Realize also that at one time, not too long ago, a 20% down payment was a benchmark. Had one followed this path only those with the poorest timing in the hardest hit markets would be currently underwater. BTW I’d rather be upside down in Miami or Vegas rather than even in North Dakota and more than a dozen other States.

If Mr. and Mrs. Dumas bought a home with no money down and money back at closing or refinanced for 110% the home’s appraisal that’s a Dumas problem not a country’s. Unfortunately we can’t fix stupid and never will.