Article View: sci.econ
Article #2008Re: A loan that'll get ugly fast
From: kenneth_m_lin
Date: Wed, 27 Dec 2006 17:28
Date: Wed, 27 Dec 2006 17:28
41 lines
3005 bytes
3005 bytes
Well, chances are that he got lower rate in exchange for the penalty. It's his own fault. "Anonymous Sender" <anonymous@remailer.metacolo.com> wrote in message news:8c7d742fb234dca7881e324beba5bb27@remailer.metacolo.com... > EVERY day, Will Hertzberg owns a little less > of his three-bedroom house in Corona. Like > hundreds of thousands of other homeowners > around the state, Hertzberg has a mortgage > that lets him choose how much he pays each > month. Like many of them, he always chooses > to pay as little as possible. > > For the moment, this allows the 56-year-old > Hertzberg to continue living in his tract > home despite being only marginally employed. > But his debt is swelling, and his mortgage > company controls his fate. > > "I am rather screwed," he said. > > Hertzberg could sell now, but his lender > would charge him an $11,034 prepayment > penalty - money he doesn't have. Yet if he > stays, the housing market may tank, > vaporizing what little equity he has left. > > "I made choices, and they happened to be the > wrong choices," said Hertzberg. > > In 2003, only about 8 of every 1,000 people > buying a home or refinancing a mortgage in > California got a pay option loan, according > to San Francisco-based data tracking company > First American LoanPerformance.Last year, 1 > in 5 loan applicants got one. > > COUNTRYWIDE sees little risk of widespread > foreclosures. > >
Technical Details
Message-ID:
<q3ykh.3654$x67.3512@newssvr17.news.prodigy.net>Path:
arc1-ca.pugleaf.net!g2news2.google.com!news4.google.com!news3.google.com!newshub.sdsu.edu!newscon04.news.prodigy.net!prodigy.net!newsdst01.news.prodigy.net!prodigy.com!postmaster.news.prodigy.com!newssvr17.news.prodigy.net.POSTED!7902b72c!not-for-mailReferences:
<8c7d742fb234dca7881e324beba5bb27@remailer.metacolo.com>Show Full Headers
Complete Article Headers
X-Google-Thread: fd5f7,5a9a6c801ca5fa5 X-Google-Thread: f824f,5a9a6c801ca5fa5 X-Google-Thread: 107d03,5a9a6c801ca5fa5 X-Google-Thread: 10a89e,5a9a6c801ca5fa5 X-Google-Thread: 10d50a,5a9a6c801ca5fa5 X-Google-Attributes: gidfd5f7,gidf824f,gid107d03,gid10a89e,gid10d50a,public X-Google-Language: ENGLISH,ASCII-7-bit Path: arc1-ca.pugleaf.net!g2news2.google.com!news4.google.com!news3.google.com!newshub.sdsu.edu!newscon04.news.prodigy.net!prodigy.net!newsdst01.news.prodigy.net!prodigy.com!postmaster.news.prodigy.com!newssvr17.news.prodigy.net.POSTED!7902b72c!not-for-mail From: <kenneth_m_lin@sbcglobal.net> Newsgroups: sci.econ,ba.general,la.general,sac.general,scruz.general References: <8c7d742fb234dca7881e324beba5bb27@remailer.metacolo.com> Subject: Re: A loan that'll get ugly fast Lines: 43 X-Priority: 3 X-MSMail-Priority: Normal X-Newsreader: Microsoft Outlook Express 6.00.2900.3028 X-MimeOLE: Produced By Microsoft MimeOLE V6.00.2900.3028 X-RFC2646: Format=Flowed; Original Message-ID: <q3ykh.3654$x67.3512@newssvr17.news.prodigy.net> NNTP-Posting-Host: 71.131.201.111 X-Complaints-To: abuse@prodigy.net X-Trace: newssvr17.news.prodigy.net 1167240534 ST000 71.131.201.111 (Wed, 27 Dec 2006 12:28:54 EST) NNTP-Posting-Date: Wed, 27 Dec 2006 12:28:54 EST Organization: AT&T http://yahoo.sbc.com X-UserInfo1: Q[R_PJSCOXTYBQPXKBNT_I@AJK_TPBHIQ@T@_FYLKX^JGEUNDO_AR\JZQLYJX\_ITFD_KFVLUN[DOM_A_NSYNWPFWNS[XV\I]PZ@BQ[@CDQDPCL^FKCBIPC@KLGEZEFNMDYMKHRL_YYYGDSSODXYN@[\BK[LVTWI@AXGQCOA_SAH@TPD^\AL\RLGRFWEARBM Date: Wed, 27 Dec 2006 09:28:53 -0800