jrs87sch

25 Facets of the Current Economic Scene

I agree, as much as homeowners want workouts for their mortgage, the reality is that there is a reason that they are in default: They Can't Pay! It may sound mean, but you're right the workouts usually don't end up working.

Also, it's hard to restructure the loans when they've been diced up and packaged. Some mortgages are untraceable.

Fannie and Freddie Did Not Cause This Crisis

No one ever brings up the fact that the US Government was pressuring mortgage bankers and underwriters to approve home loans that were non-qualifying. They thought everyone should be able to own a home.

The fact is a lot of people can't afford it, so why allow people to believe they can. It's a problem that came full circle- right back to the government.

Now, that's not to say that people weren't being greedy, speculative, and borrowing way more than they could afford, but it just means that the government should take some responsibility.