October 14, 2007

I'd like to "own" a $10 million mansion in Malibu. Wouldn't you?


I'd like to "own" a $10 million mansion in Malibu. But alas, I can't afford that.

But if I was able with the help of a corrupt mortgage broker to illegally con a lender into giving me a loan for such a house, with no-down, no-doc, 1% teaser rate negative-am (I choose the payment) mortgage, then hey, I could "own" my $10 million Malibu dream house!

For a few months anyway.

But after reality sets in, and I can't afford the monthly payment anymore, and the home hasn't gone up in value like I was promised by my realtor, and I lose the house to foreclosure, is that such a bad thing? Should I be bailed out? Should I expect my lender to renegotiate my loan, or hold the interest rates at 1%?

After all, even though I'd like to "own" a $10 million mansion in Malibu, I can't afford that.

28 comments:

Wonky said...

So that would make this, what? A thousand-year mortgage?

Paul E. Math said...

Exactly. That's why all these measures to prevent foreclosure are completely misguided.

We should be welcoming the foreclosures, welcoming a return to fiscal sanity.

Plus, when the $10M mansion goes on the auction block it sells for $5 or $6M. And the $5 or $6M mansion sells for $3M and so on down the line.

Housing is a non-discretionary expense and the less it costs the better off we all are (except the REIC, of course).

Yes, I know, the economy would take a hit - I'm sooo scared. It's not that big a deal. You hunker down, live within your means and you ride it out, emerging chastened and stronger for the experience.

Anonymous said...

Sounds like a good investment.
Borrow money from the bank hold on to it for one year then
Sell for $20 mil, my neighbor doubled his $100k house in one year
think big guys.
Remember Real Estate only goes up

Anonymous said...

But you NEED a $10 million mansion. You NEED the 2 bedrooms and 800 sq feet.

FlyingMonkeyWarrior said...

Sounds like a good investment.
Borrow money from the bank hold on to it for one year then
Sell for $20 mil, my neighbor doubled his $100k house in one year
think big guys.
Remember Real Estate only goes up.
*****************************
That is so Old Skool.

sweet potato said...

Looks like HP has gone mainstream.
http://tinyurl.com/334nc4

its about time, dont ya think.

Anonymous said...

Mansions in Malibu... It's the American Dream. Who can blame you for doing whatever it takes?

ACE said...

one investor in our community( yorba linda, ca) bought 6 homes .ALL WITH alt A no money down toxic waste of a loan.. guess what Countrywide owns them all now..good luck selling
them Angelo..

Anonymous said...

Somehow I highly doubt anyone would have been able to buy a 10 mill house with zero money down. Come on gimme a break...

Anonymous said...

The Death of California

"Mom and Dad" as well as "husband and wife" have been banned from California schools under a bill signed by Gov. Arnold Schwarzenegger.

with his signature also ordered public schools to allow boys to use girls restrooms and locker rooms, and vice versa, if they choose

http://www.worldnetdaily.com/news/article.asp?ARTICLE_ID=58130


"With this decision, Gov. Schwarzenegger has told parents that their values are irrelevant. Many parents will have no choice but to pull their children out of the public schools that have now become sexualized indoctrination centers."

OUR ENTIRE CULTURE AND NATION ARE CRUMBLING... JUST LIKE HOUSING, THE DOLLAR, FAMILY VALUES, 38MILLION WETBACKS... IT IS ALL CONNECTED.

CALIFORNIA USED TO BE A NICE PLACE.

NOW IT IS A SESS POOL

bob said...

This is going to sound really dumb, but I can't seem find this anywhere: what does "FB homeowner" mean?

Shakster said...

F&K YES!

Keyser Soze said...

I have a nagging suspicion that about 90% of these folks w/ 0% down, toxic mortgages are glad to be out of it...and want no help. As a general rule, people know when they are in over their head and I bet they just want to get on with their lives as best they can, with bad credit.

Anonymous said...

Keith ,you could not of presented a better example of how insane the borrowers and realtors and mortgage companies were and still are .

Anonymous said...

Most people couldn't even afford the taxes and insurance per year on that joint ,but either could the Fu*ked borrowers that bought 400k homes .

Anonymous said...

That house just looks like a lot of work!!!

Anonymous said...


OUR ENTIRE CULTURE AND NATION ARE CRUMBLING... JUST LIKE HOUSING, THE DOLLAR, FAMILY VALUES, 38MILLION WETBACKS... IT IS ALL CONNECTED.

CALIFORNIA USED TO BE A NICE PLACE.

NOW IT IS A SESS POOL


Most people who live outside of California have no idea that its legislature is run by Mexican socialists. The educated middle class is leaving the state in droves. Cal's population is only growing because of the illegal alians and all the kids they have.

Schwarzenegger is a complete idiot who has no business running the state. He ought to be recalled just like his predocessor.

Benji Franklin said...

My brother is a plumbing contractor who bids on new home construction projects in places like Malibu and Bel Air (and he's been doing it for 20-some-odd years).

I always remember him saying, "even if they GAVE me one of these houses, I wouldn't be able to afford the up-keep on a place like this." Now realize he earns a six-figure salary, but even that is insufficient to cover the overhead on a place like the one shown here, much less the mortgage....

If any broker/real estate agent put a bag-holder "buyer" into a house like this, by using exotic terms, it was simply because they wanted to pocket the big commisses on an expensive home. Trying to claim that these people were "buying" the home is a joke: they "rented" via an exotic loan for a few months.

Melted in Maryland said...

Tropics = hot. Blahhh. Girls running around half naked is good (though wear much less on the Côte d'Azur). But would get tired of melting everyday. Fall is here. Cool dry air. Mmmmmmmm. LOL

Anonymous said...

what does "FB homeowner" mean?

F*cked Borrowers (FB) pending the Federal Bailout (FB) bailout will become Forgiven Borrowers (FB).

Anonymous said...

FB= FugetaBoutit

brokersleaveyoubroke said...

ACE said...
one investor in our community( yorba linda, ca) bought 6 homes .ALL WITH alt A no money down toxic waste of a loan.. guess what Countrywide owns them all now..good luck selling
them Angelo..

Countrywide probably doesn't own the houses. They administer many loans but own very few. One of the reasons they seldom allow the borrower to renegotiate the loan is that they get paid a fee to process a forclosure. They make money when they sell you the toxic loan, they make money when they sell your loan to someone who packages them into bonds, they make money for collecting your monthly payments and they make money when they process your forclosure. The only reason they're in trouble now is that nobody in the debt markets wants to buy their toxic waste anymore.

brokersleaveyoubroke said...

CALIFORNIA USED TO BE A NICE PLACE.

NOW IT IS A SESS POOL

That's OK, as long as it doesn't turn into a cesspool.

Anonymous said...

Malibu is not hooked up to the Los Angeles water and power or sewage system. All Malibu homes have an underground septic tank. I live near Malibu and sadly the beaches are filthy because the septic tanks leak into the ocean. Go to Heal The Bay and you will see that Malibu consistently gets an "F" grade because the ocean is filled with crap. Go to the beach and you will see a brown foam when the waves break.

I wouldn't live in Malibu or go to the beach there for any amount of money.

Anonymous said...

Should I wonder why they never took my offer of 350,000 cash and about my needing a job.....

Anonymous said...

if you cant afford to let it rot... you cant afford it???????????????//

Anonymous said...

how far out does my fishing boat cantina gotta go to get unpollouted fish

Anonymous said...

get back to reality big shit