Let us put this fucking bailout into perspective, OK?

Some nameless individual decided they wanted to flame my inbox because I am just so aggressively against this whole bailout, and I am really not shy about expressing it. It's impossible to let you know how angry this can make someone, who has never been through some tough times before in their lives, so I just sent them back a quick "grow up" reply, and let it go.

It did get me thinking though. There are a lot of people that have little or no perspective about this huge bailout, and what a mistake it actually is.

A relative of ours, is going through some very tough times right now. These are not irresponsible people, and they are very smart, hard working, and educated. They have just gone through losing their house, and it just angers me to no end, the comments that I hear from people, that among other things, they brought in on themselves and that they deserved it.

Instead of a hearty...."Fuck You" to them, I decided to try to have you walk a mile in their shoes, Just for perspectives sake

1) You buy a house, it's been a dream of yours since you can remember. You have enough to put 10 percent down on it. In California that is 40000 dollars out of your pocket that you and your wife have scrimped, saved, and kept yourself on an extremely tight budget for the past 15 years to come up with. Sounds crazy, I know, but in Southern California, 400000 dollars is actually a pretty inexpensive place, and it's the best you can do.

2) Since you did not have a 20 percent down payment (80000 dollars cash in California), the lenders all gave you 2 choices. The first choice, is you can get a fixed 30 year mortgage at 7.1 percent which would make the payments roughly 2500 dollars a month for the next 30 years, not counting the roughly 4500 dollars a year for property taxes, and the PMI that you are required to buy on top of it. The second choice is you get a 4.1 percent adjustable rate which would be around 1600 dollars a month for 3 years, and then it would start to adjust up.

3) While weighing these options, and seeing that the first one drains you of every penny you have in savings, and well as taking up a paycheck and a half every month for the next 30 years of your life, the lender is in your ear pushing option 2 hard, while telling you "no problem, you can re-fi way before it adjusts up", "the house will only go up in value", "if you get in dire straits you can put in on the market and sell it easily."

4) Thinking about it, real estate in Southern California has always been a blue chip investment. Seeing that you and the wife could just squeeze by with the low introductory rate adjustable, and listening to the slick talking banker, under great duress, and with feeling in your stomach that this just doesn't feel quite right, you decide to take the risk and go with option 2, not because it is any real kind of choice, but because really, that is the only way that you can afford the monthly payments anyway.

5) Two and a half years later, the bottom falls out of the market.

6) Tick-Tock--you can feel that first adjustment breathing down your neck. You go to the bank and ask if you can please refinance. After several days and tons of paperwork, they tell you that you were a week late on a credit card payment last year and deny you. Several trips to several banks later, and they all either outright deny you, or give you fees, closing costs and interest rates that are just so ridiculous that they are not even worth considering. Where the hell was all this hard nosed due diligence from the bank two and a half years ago, you ask yourself.

7) Days zoom by as you can feel your mortgage getting ready to go from 1600 a month to 2300. You decide to cut your losses and sell.

8) The appraiser comes by, and after going through his routine, informs you, that the house on which you own a 360000 dollar mortgage note, is actually now worth 320000 dollars. If you sell, you are not only out the 40000 dollars you originally came up with, your are also on the hook for an additional 30000 dollars.

9) You can’t sleep at night anymore, and you and your wife are arguing more and more frequently.

10) In desperation, you try to short sell; but the market is flooded with houses that were put there by people in your exact same position.

11)The next six months fly by faster than you can ever remember. You have received 2 offers in 6 months, and they were complete jokes that were much less than the house was appraised for.

12) You and the wife hardly see, speak to each other anymore, and are now sleeping in separate bedrooms.

13) Some months pass. You are just numb to the “past due” notices in your mailbox, and you stopped answering your phone months ago. So much in fact, that you don’t even bother to open the piles of certified letters that have collected on the table.

14) You get rudely awakened one morning by the sound of a drill at 7am. The front door lock pops out, and in walks a deputy with a court order from the bank to remove you and your property from their house. One of the certified letters on the massively growing pile was a notice that your account was going to court for a judgment. Since you failed to show up on the appointed date (you would’t be able to afford a lawyer anyway, but hey…), the immediately ruled against you and it is now their property, and that want you out right now.

15) After moving back in to your parents house while you try to recoup your losses, you see a story on CNN about how the bank that gave you your original loan, and now owns the house is now in dire straits. So. They have taken the property that you lived in and called home. They have also taken the 40000 dollar down payment, and the payments that you made on the place for almost 3 years. In addition, they also got a large chunk of the mortgage money back from the PMI you were forced to have. All this, and they have STILL managed to lose money.

16) Bush steps in and says we can't have all these bankers losing money so the taxpayers will just have to buy that mortgage and prop up the bank now. The banker gets paid, The President and CEO of the bank gets a handsome 23,000,000 bonus, your original money is gone, and you are now living with your folks.

Oh…and a Bush crony now owns your house.

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