The Bailout Bust

 

This is now officially insane, but you just knew is was coming. Touched on this in the show. Last night Neil Cavuto interviewed Professional Home Buyer Jeremy Brandt who said his business is booming because homeowners WHO CAN PAY, are not paying their mortgages, hoping to cash in on the very generous government program that allows banks to renegotiate the terms of their mortgage. It’s a 3 minutes video worth watching.

It’s anecdotal to be sure but it dovetails quite nicely with this Reuters story from last week. And you still think its a good idea for the government to bailout homeowners.

WASHINGTON (Reuters) – Recent data suggests that many borrowers who received help with mortgage modifications earlier this year tended to re-default on their payments, a top U.S. banking regulator said on Monday. “The results, I confess, were somewhat surprising, and not in a good way,” said John Dugan, head of the U.S. Office of the Comptroller of the Currency, in prepared remarks for a U.S. housing forum.

OK … here’s the video from last night.

3 replies
  1. Wyndeward
    Wyndeward says:

    This is vanilla economics — people will do what they see as being in their best interests.

    Legislating the population into leeches… our government at work.

  2. Wayne SW
    Wayne SW says:

    My entire life I practiced fiscal discipline, living with-in my means and making thoughtful practical purchases.

    With my very successful financial strategy, my elected officials have determined that the financial irresponsible will get financial support from me.

    It's not your money.
    I have had enough.

  3. russ
    russ says:

    we the people are the government
    I dont remember voteing to bale out
    these dead beats
    Stop waisting my money

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