OK. We’re still here. We’ve been preoccupied for the last couple of months since the new year because we we’re out looking for a house to buy. Yesterday we signed all the paperwork and we got the keys. There’s still a lot of work to be done, but the last month was just crazy busy. There’s a mountain of paperwork to sign, and I spent way more time on the phone than I was expecting to make sure that everything works out. I’ll probably have a $300 cell phone bill as I just blew right through my minutes for the month. But we now have our own little piece of town with a little house sitting on top.
The whole process was very enlightening. We got to see a lot more of town than we were expecting. It was a great way to get to know all the places that we were not really aware of. And we had quite the quirky real estate guide to show us around. He always point out all the structural problems with a phrase like “This things rocking and rolling all over the place” and calling the places “clap-board shacks”. Quite the character…
So don’t despair, we’ll be back on line.
The realtor that’s selling the condo that we’re renting is playing at the Continental Club tomorrow night. Apparently, she’s fairly well known. I just love the pictures. She even has her own iPhone app.
So, get out there and support your local realtor.
I heard this story on Morning Edition the other morning. Basically, the guy has a $300,000 mortgage loan on a house that’s only worth $125,000. He worked with the government to get a mortgage modification and his payments were cut in half. But, while the bank reduced his interest rate on the load, he still has a balloon payment at the end to payoff the remaining balance.
Now, I understand that he doesn’t feel that he should have to relay the loan on the house since it’s worth so much less, but I would hardly call it “extortion”. He signed a legal document that he would repay the amount of money that he borrowed to buy the house with interest. I don’t see that the bank is doing anything illegal to try to have him repay the loan. Besides, the guy felt that the house was worth that much if he was willing to borrow so much money to make an offer on the house. Please, because you make a bad decision doesn’t mean that you are not responsible for the repercussions. Which goes for the bank too buy the way. What is this crap that you have “a moral obligation to repay”? Give me a break. Legally the bank can take his house if he walks away, which he can do. Of course, that means that the bank is now stuck with it’s bad decision – a house that’s not worth nearly as much as the money that they paid out.