PatriotsReign

I have absolutely NO issues with anyone who walks away from their home if it's in their best interests financially. After all, isn't that what businesses do all the time?

It's nice to see that it may even become socially acceptable.

Walk away from your mortgage? Time to get 'ruthless'

Walk away from your mortgage? Time to get 'ruthless' - Jun. 7, 2011

"NEW YORK (CNNMoney) -- Should you keep paying your mortgage on a home that's dwindling in value?

No way, say an increasing number of underwater homeowners who are voluntarily choosing to "walk away" from their home loans, a practice known as "strategic default."

__________________
"No one walking this earth knows what is truly righteous"

chicowalker

I used to have a problem with it.

Not sure I do anymore. As you say, it's business.

it's not as if you know the loan officer anymore, and banks don't care about the vast majority of their "relationships," so why should that responsibility be a one-way street? (especially in light of foreclosure tactics that have been questionable at best)

still not sure I'd do it, but that's personal choice.

mcgraw_wv

It is a business decision. Supply and Demand, there is so much supply, and nearly no demand that if someone was down 30% on their house, it makes no sense to pay on something that isn't worth that... you are literally throwing away money.

I am in that situation, but I like my house, and wouldn't consider it, were just aggressively paying down the mortgage so we save as much interest as possible.

But other people, you have to do what's best for yourself. The Bank took a risk as well giving you that loan, and their collateral is the house.

Mrs.PatsFanInVa

Gosh, PR, is it that time of your (re)cycle again already?


CNN - Foreclosures plunge 27% - biggest drop on record!

30% of Loans in Foreclosure haven't made a single payment in 2 years!

PatriotsReign

I guess if we look at someone's future and their ablility to retire at a decent age and a decent standard of living...why should one feel obligated to pay a mega-corp. bank and sacrifice their own future?

I believe that whatever legal means a citizen has to maximize their personal wealth is ok. I put ME before any corporate debt when it comes to my future.

"If I am not for myself, who will be for me?"

__________________
"No one walking this earth knows what is truly righteous"

PatriotsReign

I've got all my "Pads" ready MrsP!

It's an EXTREMELY important issue. You may not agree, but that doesn't change this fact.

P.S. Could you send me a reminder when my cycle is due again...I'm kinda new at this!

__________________
"No one walking this earth knows what is truly righteous"

Mrs.PatsFanInVa

You cannot quote part of a quote and make it mean whatever you want, PR.

In this case, the entire quote is:

"If I am not for myself, who will be for me?
And when I am for myself, what am 'I'? And if not now, when?"

I could go into a long Talmudic type explanation - but I figure, why bother? Suffice to say it doesn't mean what you want it to mean and it doesn't stand alone.

Interesting you'd quote Hillel, however, in a thread about walking away from your debts since he is most famous for Pruzbul - an edict which overroad the cancellation of debts in a Sabbatical year and ensured the repayment of loans - because he firmly believed in legally protecting both the creditor and the receiver of the credit.

Hillel's authority was sufficient to introduce those decrees handed down in his name. The most famous of his enactments was the Pruzbul, (προσβολή), an institution that, in spite of the law concerning cancellation of debts in the Sabbatical year (Deut. xv) ensured the repayment of loans. The motive for this institution was the "repair of the world", i.e., of the social order, because this legal innovation protected both the creditor against the loss of his property, and the needy against being refused the loan of money for fear of loss.

Hillel the Elder - Wikipedia, the free encyclopedia

PatriotsReign

I most certainly can and did use those words to reflect my belief. Hillel doesn't own those words nor their meaning.

Because if I am not for me, then who will be for me? It means what it means in the context of it's use. I'll give you the fact I should have left out the quotations.

So, do you believe a person should honor his/her debts despite their own hardships? Specifacally, do you believe it would be wrong for 2 parents to walk away so they have a better chance at sending their children to college or enjoy a decent retirement?

__________________
"No one walking this earth knows what is truly righteous"

Mrs.PatsFanInVa

I believe that we are responsible for our choices - those we'd like to make as well as those we've already made. They've already chosen the house - why should they get to re-choose at some later date? The trade-off's you make when you buy a house is something you should have seriously considered before you purchased it, not after.

Lots of people don't get to send their kids to college - that's not the bank's fault for loaning them money, is it? Nor is it the bank's responsibility to send their kids to college. The bank does have a responsibility to all of their customers, however, and if enough people default on their loans then the bank collapses - and leaves a multitude of other people stranded and in harm's way. Is that the bank's fault or is it the fault of the numerous defaulters?

We have responsibilities to our children, sure, we also have responsibilities to our neighbors and our creditors. Every home that's abandoned becomes a drain on the neighborhood it sits in. Once it is neglected it falls into disrepair - and property values around it fall. If it is a condo or a townhouse which is defaulted on there are no longer homeowner association fees being collected - this raises the fees to all the remaining residents. How fair is it to them?

If someone loses a job, becomes seriously ill, is disabled - I have no problem with them defaulting - they have no real choice.

However, if the choice is A) Honor my past debts or B) send my kid to Harvard instead of the local community college or C) have a bigger retirement nest egg - I'd go with A every time. It's called accepting responsibility for your own actions. It's what most conscientious adults do.

Usually when you make your bed you really are beholden to lay in it.

PatsWSB47

Foreclosure is the legal contractual remedy for non payment of a mortgage. It is part of an entire agreement full of procedures and stipulations that both parties agree to by signing it. Morals are good, don't get me wrong. Sometimes the lender gets a taste of their own medicine though. Live by the letter of the contract and die by it too.