1. This Board Rocks has been moved to a new domain: CarolinaPanthersForum.com

    All member accounts remain the same.

    Most of the content is here, as well. Except that the Preps Forum has been split off to its own board at: http://www.prepsforum.com

    Welcome to the new Carolina Panthers Forum!

    Dismiss Notice

PMI

Discussion in 'Money & Finance Forum' started by Southern_Yankee, Jan 27, 2009.

  1. Jan 27, 2009 at 4:03 PM #1
    Southern_Yankee

    Southern_Yankee Full Access Member

    Age:
    54
    Posts:
    18,749
    Likes Received:
    124
    Joined:
    Oct 24, 2003
    Location:
    up'air
    Maybe I dont understand but why hasnt the PMI...that probably everyone who doesnt/didnt have 20% or more to put down on a home...kicked in to offset some of these foreclosures. Wasnt the point of PMI to protect the lenders from borrower default? I havent heard anything about all the $$$ paid for PMI. WTF????
     
  2. Jan 27, 2009 at 4:21 PM #2
    wolfpac

    wolfpac Full Access Member

    Posts:
    1,014
    Likes Received:
    0
    Joined:
    May 27, 2003
    With a lot of the Hybrid mortgages, they were doing second mortgages to get around PMI so there is nothing there besides two mortgages. A conventional mortgage with PMI will be covered though to be fair, I'm not sure when it exactly kicks in.
     
  3. Jan 27, 2009 at 5:22 PM #3
    49erpi

    49erpi Full Access Member

    Posts:
    11,980
    Likes Received:
    1
    Joined:
    Jun 12, 2003
    Yup, the brokers were wheeling and dealing everyone into 80/20 and 70/30's to avoid PMI which is a good idea in he right situation and the right buyer.
     
  4. Jan 28, 2009 at 10:07 AM #4
    VA49er

    VA49er Full Access Member

    Posts:
    22,561
    Likes Received:
    4
    Joined:
    Jun 14, 2003
    Yep, just like the ARMS. Great loans for people with the brains to use them correctly.
     
  5. Jan 29, 2009 at 9:25 PM #5
    CunningRunt

    CunningRunt Full Access Member

    Age:
    45
    Posts:
    1,700
    Likes Received:
    0
    Joined:
    May 4, 2006
    Location:
    Midgetburgh
    It doesn't help that the people with no brains were being sold and approved for them anyway by people who knew they were bad for them just to make a buck.
     
  6. Jan 30, 2009 at 3:03 PM #6
    VA49er

    VA49er Full Access Member

    Posts:
    22,561
    Likes Received:
    4
    Joined:
    Jun 14, 2003
    No it doesn't, but no one forced those without brains to sign on the dotted line. Common sense should tell you if you only make $20G/year you can't afford a $300,000 house. Or if you make $50G/year you can't afford a half million dollar home. Those that sold those loans only did so because their risk was removed via the seconday market. That's another issue though.
     

Share This Page