AZ New Law, You must pay bank difference if you foreclose

reply to post by Helghast1

if you could not afford a home, you shouldnt have purchased it in the first place. It is that reason alone that the housing market is in the situation it is in.

You may want to do a little research into that because that is far from true.

How did the homes get assessed for so high? I watched one of those tv news programs once when I still had cable and they did a segment about how the housing prices/values shot up because of scammers. Then they tanked later on. Do the banks have anything to do with housing prices? What affects housing prices?

reply to post by chise61


Yes! That’s the one, sure enough. Just watching it again fills me with such contempt for those two faced so-and-so’s. The shame of it is, come election time, most will have forgotten this little gem of journalism.

I appreciate your kind words and support … But, as far as my efforts to explain why you and I (and all the rest) believe this law to be unjust - in an attempt to persuade Mr. Seeker … Well, they have proven to be futile, I’m afraid.
One thing I’ve noticed - and believe me it is a lesson that I have failed repeatedly in the past and am still studiously learning - and it is this:
More often than not; it doesn’t matter how just you think your cause, or how concisely you plead your case by presenting the facts (as you know them) and respond to objections with valid counterpoints (as you perceive them) your debating opponent (or, in real live, maybe someone you care for) will simple not see things the way you do. A stalemate, as it were.
You’re frustrated that your charming personality and powers of persuasion (just kidding) but, at the very least, because the facts you presented had no affect on their stance. (And this when it should end. With a sort of olive branch just as Mr. Seeker offered – “agree to disagree”)
But, no …That’s when I would escalate the deliberation. “Don’t give up the fight” and all that. The down side is my emotion would begin to override reason. Being a passionate and tenacious individual - sorta like that dog in the cartoons … you know, the one sinks it’s teeth in the postman’s ankle and doesn’t let go because that’s what he truly believes he must do to make his point –
Well, by then anything said is (mistakenly) taken as a personal affront which demands a reply, and that elicits a response… I think you get where the merry-go-round takes us from here.
In dizzying circles.
And, I’ll admit there have been instances where, after reviewing their argument, I have questioned my own position.

Course, this is not one of those times. Hehe

I still know this law is wrong and has no other function then to give carte blanche to lenders to make risk free loans.
But, I think it more honorable to part in disagreement, and hopefully on friendly terms, then stand toe to toe and give each other bruises.


[edit on 7/30/2009 by LatentElement]

[edit on 7/30/2009 by LatentElement]

reply to post by Jessicamsa


Like most products in a free market, supply and demand.
Investors and speculators definitely play a part. If they think a profit is to be made they'll circle like vultures, buying up available properties with reckless abandon - driving prices up. But also Arizona's population keeps rising, even now despite this economic downturn, and people need places to live.

reply to post by LatentElement

Yes! That’s the one, sure enough. Just watching it again fills me with such contempt for those two faced so-and-so’s. The shame of it is, come election time, most will have forgotten this little gem of journalism.

Unfortunately that is a sad, but all too true fact. Maybe come election time you can use that little gem of journalism in a thread to remind people of the double standards when it comes to voting policies

As for the rest of your post, believe me i completely understand as i myself have the same problem my youngest son often says "ma you're argueing your emotions, you're not reasoning" fortunately he inherited more of my reasoning and tenacity than my emotions. Fortunately my short time here at ATS is helping me to curtail this problem somewhat. I guess i'm a work in progress

The job market here is bad. I do not think the population will be rising anymore.
People were coming here from places like Michigan to find work. No more work.

I have read PA is the new hot spot for illeglas and they are moving there now.
As they leave here, more empty homes. They came here for work. The work is gone.

WOw this is starting to sound like a song, LOL

Sounds like a song by Spruced up Bringdown.

reply to post by amatrine


When you've finish writing the lyrics for your tune be sure to post em!


I agree that job seekers comprise a large part of the yearly increase in populace.
They've known for some time that the top economic stimulus here is the housing market due to the constant population influx.
With Intel, Motorola and other tech companies getting tax abatement concessions from the State and local governments to build and maintain operations in and around Phoenix - apparently making us Silicon Valley 2.0 -they created job markets from engineers to the assembly workers, putting thousands of people on their payrolls.
And, farming is big here. Which is not something you would normally associate a desert climate with. But, that too fell victim to the housing market during the recent building booms. Developers were offering farmers incredible sums of money, literally in the millions, for the spiraling acreage the farm occupied. I read that one developer even told the owner he could keep what ever he wanted, including the structures, just as long as it was removed before the contractor started building the new subdivisions.

But, remember: there is more to add to the mix ...

People don't just come here for work. Next to Florida, Arizona is the hot spot for retirees and folks who winter at a second home in the southern States.
So, as it is with most economic downturns, the first thing to be affected is the housing industry, in all States across the country. And that dominoes to support industries if the market stays depressed for any length of time. Two of the statistics you'll often here in the opening of business or 'money talk' shows is housing starts and home prices. They are important economic indicators of recession, as well as recovery.

According to RealEstateRamaRealEstateRama

“Fifteen cents of every dollar spent in this nation is spent on housing,” Dunn said. “It is the engine that runs this country.”

But, in States like Arizona, the housing market IS our gross state product. Once the bubble burst, we went straight to the bottom. And still average 11% unemployment (Nationally= 9.5%)

A note about the misleading numbers of the unemployment statistics:
A computer or accounting system can only extrapolate data that is entered into it.
The unemployment model only takes into account those who are currently receiving benefits, newly filed for benefits, and those on the Emergence Unemployment Compensation extension the Government awarded to extend benefits for those who have exhausted the regular benefit period.
So, it is the total number of reported jobs (based on W2's and 1099's filed) against the number on the State's Unemployment benefit rolls that produces the percentage you see.
However;
It does NOT include those numbers (often called unreported) who are ineligible to receive benefits, or have exhausted their benefit period, or have come to the end of their EUC benefits extension. Thousands of people are in these categories.
Nor, does it account for small business owners, many of whom are support for the housing industry as well the backbone of the entire industrial complex of the nation, who have had to close up shop.
For all intents and purposes, these folks are 'off the books' but, nonetheless
are they not working either.

I need to start a bank in Arizona.


In America, it seems like Banking is the one business that state and federal government will never allow to be run into the ground.

Somebody inform Bush Jr. of this discovery.

in many cases the people making the loans worked with the home appraisers to pad the price of the home in the first place. they took that risk, along with the other very real business risks inherent in making loans, and now they're whining and wanting to be saved. hmmmm....

also, this really isn't a foreclosure then, is it? do we need a new name for it? and i would think that it really wasn't part of the original contract either. unless some of the clever legalese mumbo jumbo that's virtually indecipherable to the lay person anyway can somehow be construed to mean this is legal/

also, also i'd wonder who the payment is really going to. but then i'm rather ignorant about the ways of the financial world in general.



[edit on 31-7-2009 by ~Lucidity]

reply to post by LatentElement


Yeah, up here in Casa Grande, there are a couple huge lots that were bought from farmers rite at the end of the boom. A couple models were built, roads were widened, brick walls put up, and now they are shut down. The roads are all built in it, in the ,middle of farming land. All that good land that went to waste. The models still sitting there, all locked up with wire gates around them.

I just saw a piece on Nightline about the housing market and the falling prices of houses. They said that the prices of houses in southern california have dropped to below what the prices were in 1989.

reply to post by LatentElement

A note about the misleading numbers of the unemployment statistics:
A computer or accounting system can only extrapolate data that is entered into it.
The unemployment model only takes into account those who are currently receiving benefits, newly filed for benefits, and those on the Emergence Unemployment Compensation extension the Government awarded to extend benefits for those who have exhausted the regular benefit period.

Just wanted to say thank you for putting that out there. It amazes me as to how many people don't understand this. I have tried to get certain members of my family to understand this, and they keep insisting that i'm wrong.

Well, this is My two cents...I think we should all simply just cut off the demand end, I mean after all this is the citizens who generate demand right? I don't just mean in Housing, but in everything. But, since we're talking about husing, how about Only buying the size house you need at the price you can afford in cash (I did this, it can be done). If you need a car, do you really need the hot new one right off the factory line? With all the bells and whistles? Don't you think that a car a few years older car would still get you where you need to go and you could pay for it in cash? This goes for everything. American greed drives up prices and brings us down to drowning in debt till the day we die... why does anybody or I should say why would anybody want to live that way?