These people are singing their sad tales saying they were taken advantage of and their interest has triple or more. I know their rates are out of sight but don't you think they were more than gullible to go along with it?
I attended a workshop about eight years ago in South Sioux when the lead speaker predicted you will see home sales soar. Too many homes were being built and sold like everyone was making a half million a year to own such homes. It became a status symbol to own a sensational eye-catching home. Many had skimpy furnishings but that didn't matter as long as folks could drive by and see where they were laying their heads at night. They had no money for furniture and it would be beneath them to use pre-own. don;t you love the term "pre-own".
Back in the early eighties when land went to over $3,000 an acre, many sat back and said some of those folks were going to lose their ass. And some did. Those who didn't have at least half of the funds in their account really did flounder and had to have relatives bail them out.
Can you believe land selling for $7,300 an acre. Man, I hope they have at least a half million tucked away somewhere. When grain prices take a dip and inputs remain high, it becomes a treacherous situation.
People need to exercise some self control. when one thinks the situation is too good to be true, it usually is.
If folks want to buy way above over their head, that's their business. But I do not feel tax payers need to bail them out. They need to be aware of the situation before they enter it and then, take responsibility for it. I'm afraid the Democratic candidates want to bail them out---yes, to get their votes. I say, forget it. Let them move into a smaller house. Let the lender take the heat after all they were greedy to make the loan and builders got carried away. They were fed good for many years. Now they can diet.
Government needs to put folks to work on infrastructure and bio fuels. McCain may not be strong on economics but he has enough sense not to bail everyone out.