December 06, 2007

FLASH!! OH MY GOD THIS IS SO FUNNY! HERE'S THE DETAILS OF THE BUSH/PAULSON HOUSING GAMBLER BAILOUT - SHOULD HELP ABOUT 6 OR 7 PEOPLE NATIONWIDE!!!


Nothing to see here. Move along. This "plan" is to make it look like Bush is doing something, when instead all he did was get hopes up for some and then crushed them. Oh, man, this is gonna get ugly.

These guys are going to be tarred and feathered. Or worse.

There will be outrage now not just from HP'ers, but from all the f*cked housing gamblers who thought they'd be eligible for the "bailout" and are going to find out tonight that they're not. Jesse Jackson will not be amused. Here's the details we're hearing (from research house Stratfor), more when available.

* Mortgage had to be issued between January 2005 and July 2007

* ARM must reset January 2008 to July 2010

* You must not have more than 3% equity in your home (what? are you f*cking kidding me? if you put money down you're f*cked!)

* Home must be worth more than the mortgage (ha ha ha ha ha!!!!)

* You must have income (i.e. sorry realtors and Casey Serin)

* You must prove that you can make the payments

* You must not be more than 60 days past due

* Program is voluntary with the lenders - government has no authority or legal status


You can see the Paulson webcast here

133 comments:

MonkeyBoyDoesItAgain said...

Yay! He blew it!

His incompetence overcame his malevolence!

Anonymous said...

S&P Says Paulson Plan to Freeze Mortgages May Cause Downgrades

By Pierre Paulden

Dec. 6 (Bloomberg) -- U.S. Treasury Secretary Henry Paulson's plan to freeze some subprime mortgage rates in an effort to stop a wave of foreclosures could lead to ratings cuts on some mortgage bonds, Standard & Poor's said.

``Simply freezing interest rates on some U.S. first-lien subprime mortgage loans would have a negative impact'' on ratings of some residential mortgage-backed securities, analysts at New York-based S&P wrote in a report today.

Anonymous said...

Wow, and I was really worried, that half of the upside down homeowners would benefit. Now all they have to do is find a dishonest appraiser to make sure the house is worth more than the loan. Shouldn't be hard, since so many are barely getting by.

SnackAttack said...

Frankly, I don't think he should even be doing that.

Frank@Scottsdale-Sucks.com said...

This was a dumbass idea if it was intended to win over voters, because even though the mortgage mess is very widespread, it's still only a small minority of American homedebtors.

Hitlery is the smart one - she'll raise hell over the fact that this helps no one, and win over more lazy ass looter moocher scum that will elect her in order to get government healthcare and anything else they can get free, without working.

Anonymous said...


* You must not have more than 3% equity in your home
* Home must be worth more than the mortgage

am i wrong, or would those two incentivise apprasals to "come in" at 1-2% above purchase price, regardless of what properties would actually sell for if auctioned off (true market value)

Tyrone said...

Home must be worth more than the mortgage (ha ha ha ha ha!!!!)

AHHHH-HAAAA-HAAAA-HAAAA

I LOVE IT!!

Malcolm said...

They're stalling til February, when it becomes someone else's problem.

Anonymous said...

ok, if a borrower put down 2% on a 400k mcmansion, then they have 8k equity. suppose their payments paid down 100 a month in principal, which is a stretch for 20 months in the home, now they have 10k equity. except in most markets, the home has lost 20k in equity, so either this plan won't mark to market current values or it will help very few FB's. that's a good thing :)

chris in nc, waiting for the bubble to burst

Anonymous said...

Why is there a bailout? The NAR says there was no housing bubble and Greg Swann says everything is OK!

Anonymous said...

Keith - you never fail to make my day and make me laugh! I was actually pissed about this plan to help these borrowers, but the way you lay it out... tee hee hee - love it! Let them think they have a free ride - Let's all call
1-888-995-HOPE and tie up the lines, ask if they can help with my credit card, car payment, studentloans too.

consultant said...

Amazing! Just when I think Bush can't do or say anything more dumb than his last action-he surpasses himself.

Is this guy a specimen or what?

No Presidential library for this man. NASA needs to put his brain in a jar so future Americans can actually see what an idiot mind looks like.

Anonymous said...

So, I guess the markets are going to go over a cliff now? No? Oh yeah, forgot, it's going to go up because now there is more hope of an even greater rate cut.

Anonymous said...

Unless it was at half off you would have to be an idiot to buy a home today

keith said...

http://tinyurl.com/3xlxef

here's some good rage from a capitalist

Bush's popularity ratings are about to crash as he loses the last few GOP faithful

Tyrone said...

from CNBC...

1-888-995-HOPE

H.O.P.E -
Help Obligated People Evade

ohhhhmyyyy said...

apparently, this was designed to help cheap rich people. the poor people are still f***ked with freezes since they'd still have taxes to pay, maintainence to do, etc...

i.e. this bailout seemed designed to help those who should have gotten fixed rates in the first place.

Anonymous said...

DOOOOOOOOOMMMMMMMMMM!!!!!!!!!!!

Anonymous said...

I am getting out of this country as soon as I can. This country is screwed and there is no hope to fix it.

Anonymous said...

Yep, now up 120 pts...

Anonymous said...

What are you bitches complaining about now? You were against the bailout and now you got your wishes.

Anonymous said...

who is going to value these homes, to see if the borrower owes more or less than it is worth?

what value will they use, 2006 or recent comps? if an earlier foreclosure in 07 already has hurt a neighborhood's comps, then won't we have to use fictional numbers?

what happens when someone is approved but the home's value falls another 5%, do they then not qualify?

i can't believe they opened this can of worms!

chris in nc

Anonymous said...


Hitlery is the smart one - she'll raise hell over the fact that this helps no one, and win over more lazy ass looter moocher scum that will elect her in order to get government healthcare and anything else they can get free, without working.


Those are the usual Democrat voters anyway. If Bush stood up and told the speculators and flippers to go to hell, I think he wold have the support of 80% of the country on this issue. The opposing 20% would be the FB's, Wall St and hard core Democrats.

Tex said...

Even if this plan helps a single speculator or complete idiot that bought a $500K house with a $30K per year income it is CRIMINAL for the govt. to bail them out and get involved in a contract between the lenders and customers.

This from the GOP president that says universal healthcare is bad but socialized housing is good.

Anonymous said...

This is why I wasnt going to get worked up about a bailout plan until I saw the details. Despite his stupidity, I figured Bush was enough of a free market guy to launch a window dressing plan as political cover - to indicate they are "doing something" about the mortgage mess.

If this is all the "bailout" is, I have no problem with it.

Tex said...

Even if this plan helps a single speculator or complete idiot that bought a $500K house with a $30K per year income it is CRIMINAL for the govt. to bail them out and get involved in a contract between the lenders and customers.

This from the GOP president that says universal healthcare is bad but socialized housing is good.

Anonymous said...

I think you have to be a 6th child and have an even number of letters in your last name as well as 3 consonants and 5 vowells.

Vandal said...

Home must be worth more than the mortgage?! I have no doubt that rule will include all the HELOCS.

This is so useless for the fools in over their head that its laughable.

You can bet that the lenders will require the use of one of their "certified appraisers" in determining the house value of people applying for this. They'll find a couple of random minority families and "qualify" them making a big PR push about how "lendors are looking out for the little people" while the other 99.9% of FB's go down in flames.

Anonymous said...



They're stalling til February, when it becomes someone else's problem.



They can keep stalling until hell freezes over

Anonymous said...

A HOUSING SMOKE AND MIRRORS PLAN. I SUGGEST WE CLAIM THAT PROPERTY may contain weapons of mass destruction so that the government can properly allocate funding. Hey! Here comes the FBI to come after the appraisers, etc. who overpriced this stuff. How interesting this is all becoming.

brokersleaveyoubroke said...

I sit here in disbelief. The house has to be worth more then the mortgage but not more then 3 percent more. Pause...I'm laughing too hard to type. So basically this plan helps nobody and pisses off everybody.
Oh, and I see something missing from the requirements. Shouldn't this be limited to legal American citizens?

Anonymous said...

i called the number and wasonfor 15 minutes saying I want my money for my black jack losses...damn that was fun, I might do it again later

all the idiot on the other end kept saying "it's not the same thing"

I recommend you all call.

And FUCK BUSH!

Vectorz said...

Wait a sec.. you were mad that the plan was going to bailout people and now you're ridiculing the plan for not helping enough people?

Btw, I'm glad it's such a narrow demographic.

Anonymous said...

Program is voluntary with the lenders - government has no authority or legal status

What a fucking joke.

Ed said...

With a little lying and good old fashioned fraud a lot of FBs will have the 3% equity and a house worth more than their mortgage. Don't be so quick to dismiss this.

Anonymous said...

Edwards says freeze rates for 7 years and create a fund to pay the mortgages for speculators so his hedge fund employers at Fortress Investment Group (deeply in subprime) can keep making big bucks off the US taxpayers.

big n rich said...

The hope line has been changed to:

1800Iamloser
Please refer anyone who cares asap.

This plan is just hideos.You guys wont beleive how pissed I am.My blood is biling inside about any govt bailout.F@ck these tools.

Vandal said...

Did anyone notice that rather peculiar date of July 2010 in the qualification rule for the range of ARM resets?

That date is no coincidence, it is the exact time that the massive wave of pay option, Alt-A, and Prime ARM resets begin.

Anonymous said...

pkk (grandma here)---

oh, oh, oh, gag...missed most of it on 'net live broadcast. Thanks for details..

My short little grandpa WAS tarred
and feathered and driven out of town during the depression for trying to
organize farmers against banks who
were taking them away and not extending any leeway...This bailout
is to keep money rolling in because
banks are actually needing more cash; the needs of the mortgagees
are secondary. Let me be honest and
say it would do my heart good to
see some of the people behind the
design of this whole debacle tarred
with the whole ugly truth from the
bottom of their lump of coal hearts.

Anonymous said...

Keith,

Your tinyurl link doesn't work

Please repost.

Thanks!
Jymkata

Anonymous said...

the "Home must be worth more than the mortgage" one blasted it all

Anonymous said...

1-888-995-HOPELESS !!!!
AHHHH-HA HA HA HA HA HA HA !!!!

Jugador said...

Ah, I'm really not that upset about this news.

It seems to me that:

1. The lender can still raise the rates if they please.

2. This isn't going to help a whole lot of folks.

3. There doesn't seem to be any taxpayer money involved.

This proposal isn't groundbreaking to say the least.

Happy Homeowner in the Stix said...

If the points you listed are correct, Keith, I think you are being wildly optimistic about it helping 6 or 7 people. Probably more like 3.

Tom said...

As anticipated, nothing but political smoke and mirrors. Changes nothing other than creating the impression of action. Like all those empty FEMA trailers to house the victims of Hurricane Katrina.

Is anyone shocked?

Malcolm said...

@ Keith:

As I watch CNBC, CNN and MSNBC discussing this plan; I am amused by how many people suddenly claim to have been worried about the bubble all along.

I suppose it would have been nice if they had let you know so many years ago; otherwise you wouldn’t have to have carried all that water by yourself.

You’re probably too polite to say “I told you so”, so I will:

Hey dumb-a*s: Keith told you so.

A lot of us told them so. But, we weren’t on TV, so I guess we didn’t know what we were talking about.

(I mean, you can trust Trapper's financial advise, becaue he sewed people up in Korea)

@ All:

Don’t forget the poison-well. Though as of today they are suddenly your friends, don’t forget who put us in this mess. Anyone who drank from the poison well is doomed. We know it, they don’t know it yet.

Eric said...

"Home must be worth more than the mortgage"

Game. Set. Match

BigDaddy said...

Seriously,

where's the REAL plan.

mhrist said...

MarketWatch story

"Under the plan, negotiated by the Treasury and White House with representatives from the private sector, borrowers will be able to refinance an existing loan into a new private mortgage or be moved into a loan from the Federal Housing Administration."

As you can guys see they will be moving the loans to fha loans. This is basically a run around Fannie and Freddie. Besides, you don't want to polute them with crap, altough I sternly believe they have long been. In any event the criteria for purchase is stingent but at least the 417k is gone which is what Angelo wanted :)

tater said...

Bush to Paulson: Paulie, did we get 'em today or what?

Paulie to Bush: Yes, Mr. President, but I think that the HP'ers have seen through your plan.
They are letting the world know through their Internet Blog that your plan is a shell game. I am sorry that they found out the truth.

Bush to Paulie: Awwww Shiiit!!

brokersleaveyoubroke said...

What's the point of a bailout anyway? You're still stuck with high payments on a falling asset. Just walk away and rent a better house for half the amount you're paying now. Congress is already looking at dropping the tax penalty for defaulted loans.

mhrist said...

More to the point, if you haven't foreclosed I doubt the gov will send you an appraiser since there will be a huge demand in the short run.So they probably be calculating the house price as it was last appraised which was before the bank gave equity.

Marky Mark said...

This "Bail-out" is thankfully an election year sham.

But it will do two things.

1. ARMs are now dead. No lender is ever going to offer them again.

2. The cost of capital will rise. Who is going to lend money if the government is going to modify the legal contract at whim? And can you imagine this "Bail-out" under Hillary?

3. Conclusion. No one helped. Cash is king. But this sets a example for the socialist that will come...

Mark Mark

UPTHECREEK said...

OK Mr. Bush

We have 9 homes in our neighborhood (out of 62 homes IN sO, CAL built in 2004...) in Foreclosure they are all ALT A liar loans...WITH COUNTRYWIDE
our property values have been cut by AT LEAST 30-35% in the last year... OK.. We need help also.. when will the government freeze these loans to keep these idiots from losing their houses...(JUST LIKE I GUESSED..NEVER)

what ever happened to equality...You have a BIGGER problem on your hands than you care to admit
GET A CLUE GEORGE

borkafatty said...

Thats it I am going back to smoking weed!..wait I never stopped...thats right this is all just one big stupid hallucination...somebody toss this monkey a banana.

Oh well, but hey look on the bright side... AMERICAN IDOL STARTS IN JUST A FEW WEEKS!!!! YA BABY!!...(burp)

Bunky said...

Questions I have, not directly related to plan:

1) Are the banks working out deals on the QT with people outside the parameters of this plan? I mean, if the economics of letting people stay in homes is so much better than foreclosing and taking firesale prices, wouldn't the banks doing massive renegotiations anyway?

2) What about second lienholders--i.e., if I treated the house like an ATM (HELOC) or can't pay my taxes, does the first lienholder sit idly by?

Lady Di said...

Ron Paul for president.

He is our only hope.

God help this country.

Cow_tipping said...

Oh yea,
President Busch he's the man, he's got this million dollars allocated here and he's going to come to your town to help you. That's what this million dollars is here for.
It works best seen with the poster for the Army ... I want you ...
Cool.
Cow_tipping.

Anonymous said...

GAME OVER::

80% off of (what?) 737 Billion in CDO's?

Hey buddy, can you spare 590 Billion?

Top CDO Classes May Lose 80 Percent, Barclays Says (Update1)

By Jody Shenn

http://www.bloomberg.com/apps/news?pid=20601087&sid=a9h3FZsrhiJ0&refer=home

Dec. 6 (Bloomberg) -- U.S. mortgage assets in collateralized debt obligations have lost so much value that the top classes of the securities may be worth as little as 20 cents on the dollar in a liquidation, Barclays Plc analysts said in a report.

skibum said...

"You must not have more than 3% equity and the 'home' must be worth more than the mortgage."

So, it must be worth exactly 1-3% more than the mortgage to qualify for the freezer rate.

Isn't that a very tiny window of opportunity to hit? And the way house prices are declining, you may qualify on Monday and fall out of the 'window' on Friday.

And the mortgage companies aren't obligated? So this was just a big PR exercise for the politicians. Quick, look surprised.

brokersleaveyoubroke said...

Bush says no taxpayer money will be used. Hmmmmm, if anybody gets through on that 1-888-995-HOPE, ask the operator who is paying his/her salary.

Keith left out the best part of the plan. The theory behind the plan is that after the five year freeze there will be another housing boom and the borrowers can either sell or do a refi. Of course this would be the first time in history that there were back to back booms in the same asset class. This plan must be a sham. They couldn't be that stupid......could they?

Anonymous said...

One thing you forgot, Keith. Now that the evil Bush-Cheney-Paulson axis has awakened the world investment community that the US government can/will stoop like a gutter syphletic - AIDS infected common whore and monkey with binding contracts, etc. for political purposes, our already low and sinking fast world financial credibility will be undermined further...

NOBODY will want DOLLARS anymore.
I certainly don't want them.

Got Credit? You'll NEED it...

Happy Depression Sheeple.

Toby said...

So this plan looks like maybe 200 people nationwide might qualify for it! Those that are upside down on their houses, which at last count was about 70% of subprime, are out of luck. Those with over 3% equity are the same.

My initial reaction was that Paulson was trying to bail out his Wall Street buddies. Whoops.

Mission Accomplished George!!!

Anonymous said...

George Bush STILL hates black people

brokersleaveyoubroke said...

Just when I thought we had reached a new high in stupidity I see that the stock market went through the roof because investors think the Bush plan will fix everything. Today will surely go down in history for something, I'm not sure what.

michael said...

"You’re probably too polite to say “I told you so”"

you must be new huh?

welcome.

Anonymous said...

"The mortgage plan is a diffusion of panic. It neutralizes the panic, and that's really what the market has been reflecting," said Doug Roberts, chief investment strategist at Channel Capital Research in Shrewsbury, New Jersey.

Thursday's rise in financial stocks was psychological, but the battered sector has further to fall and it was too early to say bottom has been hit, Ablin said.

"There's no doubt finance is cheap. Unfortunately, it's not moving in the right direction. It's cheap, but it could get cheaper," he said.

It will take five years for housing to work through its problems, which means the number of homes for sale has to be reduced and prices must stabilize, Battipaglia said

mhrist said...

By the way as gas prices rise the ability to live farther away decreases. The people that move out will have to live near their job, and those sub-primers don't really aways do good and well paid jobs. In effect you will not be able to have the neighborhood separation you had until now, since if the Latinos live 20 miles away in Van Nuys they won't be able to come over fix your garden for 20$.

Anonymous said...

Less than 3% equity, what asshole came up with that?

Andrew Hac said...

Americano FB and greedy S.O.B home investor, ignorant uneducated poor trailer-trash family and junk-human-beings like that are now officially FOOCKED way up in the kazoot by "Little Boy" + "Fat Man".

And you say this is the greatest nation in the world. Greatest my ASS !!!

Are you ? Haaaaa, haaaaa, haaaaa...

Foreclosureboy said...

It will be as effective as the teen abstintence program!!!

The only effect of that was to cause AN@L SX rates w/teens to quadruple so they could stay v1rgins. (for real look it up).

So with both plans more people end up getting effed in the a.

Anonymous said...

I am getting out of this country as soon as I can. This country is screwed and there is no hope to fix it.
---------------------------------

Yea, but where to go? most of Euroislam is just as bad or worse (France with islam youths rioting in the streets). I am thinking Australia (as long as they don't run out of water or the ozone hole doesn't get worse).

Malcolm said...

> Anonymous said...
> They're stalling til February, when it becomes someone else's problem.
> They can keep stalling until hell freezes over

By the end of Feb, the two parties will have their nominees locked in. At this point, the Prez will go into early retirement, refusing to do anything to avoid "interfering with the election process."

Once March hits, it's not his problem anymore.


> michael said...
>"You’re probably too polite to say “I told you so”"
> you must be new huh?
> welcome.

lol. I've been here long enough; it's just that today is D-day.

shinquia brown said...

we win! we win!
us black stick togther and now we win. i get break and more benafit now.

Anonymous said...

Does anyone think this will keep housing prices elevated longer? I hope not but, who knows what corrupt agenda our wonderful government is working towards. What a sick, sham it is.

Anonymous said...

The last point is the kicker:

Program is voluntary with the lenders - government has no authority or legal status

In other words: if your lender was going to work with you anyway they still will, if they weren't then they still won't.

Some 'bailout'.

This is as is should be, the only downside is it may give junior some politial cover.

consultant said...

The "playas" who got us into this mess are mostly old enough to know better. But, as they say, "here we are!"

If you are younger than 40 or 45 even, you're too young to remember what a nation in a recession feels like. You've never experienced a nation where little credit is extended. You don't know what it is like to live in a time where you have to live "within your means."

Based on some comments here, but mostly on other blogs, we are going to see some really freaked out behavior by the younger set.

Bloggers who are 18-45, when you're in that crowd with the torches, looking for the ones who created this mess, remember, I didn't do it.

I'm 56, consider myself athoughtful Democrat, and I hate what both parties and the people who bought them, have done to our country.

Anonymous said...

Anonymous said...
“Let's all call
1-888-995-HOPE and tie up the lines, ask if they can help with my credit card, car payment, studentloans too.”

I agree. I don’t care if you can only stay on the line for 30 seconds. That’s 30 seconds that they are not bailing out a FB. After you’re off the line with those guys, call up the FHA and ask about their FHAsecure program. Ask them if they will now match your down payment if you purchase a home, ask them if they will pay your personal property tax for the next 30 years. Do this a few times a week for as long as you dare.

Doing this will have more of an affect than calling your congressman

Peter T said...

Keith, are you sure about these two points:
1. You must not have more than 3% equity in your home
2. Home must be worth more than the mortgage

It would mean that the equity must be in the small range of 0-3%, and that in a volatile market. It would be in the better interest of the lender (and it is for them that the modifications have been encouraged) to allow any equity below a value that would allow refinancing. The modification is made to keep people from walking, and, as long as they pay, they can have -20% equity - who cares (except the borrowers themselves).

Anonymous said...

brokersleaveyoubroke said... Oh, and I see something missing from the requirements. Shouldn't this be limited to legal American citizens
-------------------------
Interesting you mention this. Originally, Bush wanted this legislation to help out Only "immigrants" (legal and ILLEGAL) who claim they didn't understand the contract language because it wasn't given to them in Spanish!

Anonymous said...

The FB hotline should be:

1-800-IMA-DOPE

Yoski said...

Hilary, Schumer and other scum will get their's in November '08. With the vast majority of the electorate the bail out is not very popular. So you gain the votes of flipper, specuvestors and people living way beyond their means but in return run off the majority of voters. Really dumb idea if you want to get elected.

Anonymous said...

I have read a lot of comments saying arms are over with. I called eloan just for shits and said I wanted a $0 down , interest only loan and my fico is 620.

No problem they said. I can get a 6.5% 30 year loan, interest only for 10 years.

So I don't know where you all get this notion of it being impossible to get mortgages. This is about as subprime as it gets and it's as easy as ever.

Tabasco said...

"Of course this would be the first time in history that there were back to back booms in the same asset class."

Hate to quibble with that, but take a gander at US stocks and bonds from 1982 to 2000. One could easily define that period as back to back booms in the same asset class, separated by the crash of 1987. Obviously the crash in home prices will take a little longer as they are much less liquid, but don't count out another bubble from inflating a few years down the road. 1% interest rates for a while might do it. We aren't Japan no matter what anyone might try to argue. The US economy is not based on exports and the US consumer does not like to save.

Edgar said...

Don't call, go online:

http://www.995hope.org/

HPers need to hit that puppy ten times a day and crash the server! I want lower mortgage payments! Waa!!

Anonymous said...

I knew I hated Greg Swann and then he wrote this today!

'I have a tremendous admiration for George W. Bush, the President of the United States. My reasons are legion, and the rest of America will have to wait for historians to explain to them just what a great man they have so completely scorned in their well-scored chorus.'

What an idiot!

shtove said...

Program is voluntary for the lenders - at least the USA isn't headed for Soviet style rule.

Anonymous said...

DemoRat Senate leader Dick(head) Durbin was just on PBS and said that the government should do much more to save all homedebtors who face foreclosure.

Jesse said...

Every black person better be eligable or else!

bickerer said...

Jesse Jackson will not be amused.

Probably on the right track then.

Anonymous said...


I have read a lot of comments saying arms are over with. I called eloan just for shits and said I wanted a $0 down , interest only loan and my fico is 620.

No problem they said. I can get a 6.5% 30 year loan, interest only for 10 years.


You're full of shit. I have 700+ FICO and they told me 6.4% for a 30-yr

Anonymous said...

Fuck me raw!!!!! Look at the people behind this org:

Board of Directors
William Apgar, Jr.
Former Asst. Secretary of Housing; Lecturer in Public Policy, Harvard University

William Apgar returned to the Kennedy School at Harvard University's John F. Kennedy School of Government (KSG) after leaving to serve as assistant secretary of housing at the U.S. Department of Housing and Urban Development (HUD). He currently serves as faculty chair of the KSG's Senior Executive Program for State and Local Government Officials. He is also a senior scholar at Harvard's Joint Center for Housing Studies where he leads a research effort on accessing capital for community development. Active in community affairs, he is a founding member of the Board of Preservation of Affordable Housing (POAH), Inc., a nonprofit organization that acquires, rehabilitates, owns, and manages housing affordable to the nation's low- and moderate-income households.

Sharon Sayles Belton
Managing Director, Community Relations Residential Capital LLC;
Former Mayor of Minneapolis

Sharon Sayles Belton is currently managing director of Community Relations at Residential Capital LLC. She is also a senior fellow at the Hubert Humphrey Institute at the University of Minnesota. Belton is a nationally recognized expert on public/private partnerships that address public safety, neighborhood livability, and economic development. Belton served as the mayor of the city of Minneapolis from 1994-2001. During her tenure, she facilitated the creation of the nationally recognized Phillips Partnership to address public safety, job creation and quality housing in one of the highest crime, poorest neighborhoods in Minneapolis.

Walt Fricke
Chairman, CEO, and Founder, Veteran's Airlift Command

Walt Fricke is the chairman, CEO, and founder of the Veteran's Airlift Command (VAC), a not-for-profit organization that connects pilots, plane owners and others who provide air transportation to wounded warriors, veterans and their families for medical and other compassionate purposes. Prior to founding VAC, Fricke was the president and executive director of the Homeownership Preservation Foundation, as well as the founder and managing director of the Credit Counseling Resource Center (CCRC). Before establishing the CCRC, Fricke managed the direct-to-consumer mortgage lending business at GMAC-RFC. Prior to joining GMAC-RFC, Fricke was president of Fricke Welsh & Co., and a managing partner of Northstar Industries, both private investment-banking firms. His 30 years of industry experience also includes retail consumer finance positions with two Michigan banks and Ford Motor Credit.

Tom Jacob
President, Jaytee Associates
Former Chairman & CEO, Chase Manhattan Mortgage

Tom Jacob is a consumer banker with domestic and international experience. Throughout his career, he has developed and led large and successful credit card, consumer finance and branch banking businesses. Jacob retired in 2003 after 12 years as chairman and chief executive of Chase Manhattan Mortgage Corporation. He has held leadership roles in industry organizations and advanced risk management, fair lending and affordable lending programs. Jacob is currently president of Jaytee Associates which provides business process outsourcing advice and investment.

Bruce Paradis
Former CEO, Residential Capital LLC

Bruce Paradis served as the CEO of Residential Capital LLC (ResCap) until his retirement in June 2007. Prior to the formation of ResCap in May 2005, Paradis served as President and CEO of GMAC-RFC (now ResCap) from 1994 to 2005. He joined GMAC-RFC in 1983 as Vice President of Marketing and held several leadership positions within the GMAC-RFC family. Paradis will continue his work with several non-profit organizations, including HPF.

Sandor E. Samuels
Executive Managing Director, Chief Legal Officer and Assistant Secretary Countrywide Financial Corporation

Sandor E. Samuels is Executive Managing Director, Chief Legal Officer and Assistant Secretary for Countrywide Financial Corporation. He serves on Countrywide's Executive Committee and directs the Company's public affairs activities. Samuels joined Countrywide in 1990 after a successful legal career in private and corporate practice, including senior positions with First Interstate Bancorp, FIMSA, and Fox, Inc. Samuels serves as the Chairman of Bet Tzedek Legal Services and is the Chairman of the Advisory Board of the Ziegler School of Rabbinic Studies. He also serves as a member of the Board of Directors of the University of Judaism, Bet Tzedek, the Los Angeles Urban League and Adat Ari El synagogue. He also has served as Chair of the Legal Issues Committee of the Mortgage Bankers Association of America. Samuels has been honored with the Founders Award by Bet Tzedek and was named Outstanding Corporate Counsel of the Year in 2005 by the Los Angeles County Bar Association.

Mike Seats
Chairman of the Board of Directors, Homeownership Preservation Foundation

Michael Seats was most recently an executive vice president of Residential Capital LLC (ResCap) responsible for the Legal and Public Policy functions. Seats joined GMAC-RFC (now ResCap) in 1990, and held several positions within the legal department and in international business development. Seats left ResCap in July 2007, to pursue other interests, and is currently devoting a great deal of time to his involvement with several non-profit organizations, including HPF. Prior to joining ResCap, Seats worked as an attorney for a Houston-based law firm where he specialized in the areas of banking law and creditors' rights.

Anonymous said...


Hilary, Schumer and other scum will get their's in November '08. With the vast majority of the electorate the bail out is not very popular. So you gain the votes of flipper, specuvestors and people living way beyond their means but in return run off the majority of voters. Really dumb idea if you want to get elected.


They're not doing it for the FB votes. They're doing it for the Wall Street $$$

Anonymous said...

Anonymous said...
This is why I wasnt going to get worked up about a bailout plan until I saw the details. Despite his stupidity, I figured Bush was enough of a free market guy to launch a window dressing plan as political cover - to indicate they are "doing something" about the mortgage mess.
--------

Things MUST be worse than even WE believe for George W. "I don't chase after poll numbers" Bush to do this!

Anonymous said...


If you are younger than 40 or 45 even, you're too young to remember what a nation in a recession feels like. You've never experienced a nation where little credit is extended. You don't know what it is like to live in a time where you have to live "within your means."


I'm 33 and I know what it's like to live in a depression. I grew up in the ghetto and wore triple hand-me-downs from Goodwill. My shoes had holes on the top and bottom before they were replaced. Bring it on. I'm ready for the worst.

Anonymous said...

Yea, but where to go? most of Euroislam is just as bad or worse (France with islam youths rioting in the streets). I am thinking Australia (as long as they don't run out of water or the ozone hole doesn't get worse).
--------------------------

Amen to that! But here's the kicker. Why do you think Australia and, even better, New Zealand are such wonderful places?

Answer: Cause they make it so difficult for foreigners to replant and move there. There is no way they would let in all those Psycho Muslims invade like they do in Europe or the invading filthy criminal Mexicans we have in the US.

They know that in order to keep your country clean, you have to keep the filth out. Unfortunatley for Europe and the US, its already waaaay too late for that!

Anonymous said...

Finally, everbody is back with a vengeance on this thread.

This one is a classic!!!!


Lets keep it rolling people!!!

I am going to post the bailout plan near my toilet, I always need a good laugh during that time.

Anonymous said...

Profit = privatized
Loss = socialized

tater said...

Keith and all,

I dunno if you all have seen this but go to this link: http://www.marketwatch.com/news/story/questions-answers-about-mortgage-rate-freeze/story.aspx?guid=%7BE34C3FD5%2D7A4E%2D40DD%2DAA11%2D87949A455778%7D

It says that "To be eligible, a borrower must have a FICO credit score of 660 or LESS" Only the goverment wants you to have a BAD FICO before you can get a new loan. This shit is gettin' crazier by the minute.

Just another one of those "little" details that we weren't told about.

sixpercenter said...

For what it's worth the center for responsible lending figures 150,000 will qualify.

Standby for taxpayer bailout.

Anonymous said...

whats "FB?"

Anonymous said...

Jesse Jackson will not be amused.

Do you have to be black to join this march on Washington? If not, I'm fucking right there with them!! And I'm bringing my pitchfork!!

SeattleMoose said...

Compassionate conservatives have spoken and you will be saved if you are not white, black, yellow, red, Republican, Democrat, Male, Female, or Catholic.

EVERYONE ELSE WILL BE BAILED OUT!!!!!

I actually heard the MSM mention 30% declines in value for the first time today. Given that the MSM ALWAYS downplays bad news to the fullest extent.....you can predict at least 50% median price declines.

HPer's this is a good day. Everything is right on schedule.

Anonymous said...

lady di - I saw in the news that Ron Paul wanted to raise the cap gain exclusion for houses... Sucker lost my support! Let's face it, the feds got no business incentivizing home owners: you want a house, buy a house; don't wanna house, don't buy a house. No special deals. period.

Anonymous said...

Ain't houses a great "investment"? What could be more productive than a pile of wood and wall board nailed together and painted?
Hey. "Invest" in this!

Fred said...

Hilliary - Please listen up.
I am a 42 year old "hard-core democrat" that always votes and always has supported democrats. If you support helping FB's, I am going to the dark side - it is that simple.

devestment said...

I fully approve this legislation.

Did I mention that I buy distressed assets and the heirlooms of the deceased???

Anonymous said...

Why is there a bailout? The NAR says there was no housing bubble and Greg Swann says everything is OK!

On that note, why lower the rates at the next Fed meeting if this administration and its MSM-boot lickers say that this economy is so great, unemployment is so low, and the subprime is contained and won't affect the overall economy?

kobe,japan said...

Helping 6 or 7 housing gamblers is too many. Let's add some more requirements to reduce it further.

Anonymous said...

I am getting out of this country as soon as I can. This country is screwed and there is no hope to fix it.

Oh man, don't share something like that because we have the inbred hick police here on the Blog that will come charging at you.

Anonymous said...

Can we all get together here and start a campaign in which we all send letters to the White House saying that we had a bad night of drinking, tipping stripers and gambling in Vegas, and now we want a bailout?

Anonymous said...

Obviously the crash in home prices will take a little longer as they are much less liquid, but don't count out another bubble from inflating a few years down the road. 1% interest rates for a while might do it.

If there's another bubble like, I will join all the crooks. I will commit as much fraud as I can and then stash the money overseas. Why should I care about this country when nobody else does, including the president, crook politicians, religious types, law enforcement, American citizens, etc? Hell, I look forward to another bubble. Count me in. No more Mr. Nice Guy...f*ck this. Remember, when I see you from now on, you are just another mark to me...watch out. I had enough and will join the American way of life.

AmazingRuss said...

The main pinch is between these two:

The house must be worth than the mortgage

and

You can't have more than 3% equity

equity = house value - mortgage, so

If house value < mortgage

YOU LOSE

If house value > mortgage + 3% * house value

YOU LOSE

Fairly brilliant, actually. They got a stock market rally out of it, too. I'm impressed. Maybe they can play out the rejection notices past the election. If they can, the monkey mass won't be able to apply the rules themselves and figure out that they are NOT going to be saved.

The next republican presidential candidate will even have an "ARM Family" to drag around with them to rallies, like the "Tax Family" of elections past.

If the rejection slips get out in a timely manner, this will backfire. Look for major stalling over the coming months.

Anonymous said...

Edgar said...
Don't call, go online:

http://www.995hope.org/

HPers need to hit that puppy ten times a day and crash the server! I want lower mortgage payments! Waa!!

December 06, 2007 11:09 PM
---------------

I love that when you go to this link there are pictures of a black single mother family!!

Jez

Anonymous said...

1-888-995-HOPE

Hello, my rent keeps going up. I never planned that my rent would go up so much. I guess I should have gotten a lease for a year or so huh? It's the fault of those evil landlords, they are so tricksy.

Anonymous said...

I feel it will help as many people as GWB's IQ roughly 2.

God when will this $h%t end can't I just sacrifice 400 some odd days of my life and get to 01/20/2009.

Anonymous said...

Countrywide's stock was up %16 today, given the realization that thy don't have to sacrifice a thing--great, no obligations on their part.....cheers home debtors....

Ruprecht said...

this link has some great points about why this "bailout" isn't much of anything;

for example; If the fed keeps lowering the funds rate, why would someone who now has an adjustable rate, refinance to a fixed higher rate on an overpriced asset (their house) that is depreciating in value?

http://tinyurl.com/yo3bex

Lost Cause said...

This is the typical Bush aid. A lot of probing, some rapid stroking, and the rescued person unable to walk for a few days.

Anonymous said...

Ok, the cards have been dealt. Lets see how all this plays out. If you were to research back to 1929 during the big crash the same thing happened. Government was going to help them out yada yada yada. Did nothing. Lets face it the government can't just sit by and not do nothing. "It wouldn't be prudent". They have to at least give the "impression" that are doing all they can to help. Just like in 1929, they will end up helping almost nobody. You know, I know, and everyone who is a critical thinker knows this is all about bailing out wall street. Well, lets the games begin. To all the ones who say they are leaving this country I say stay and fight the good fight. Don't let these bastards win. It won't be long before the chips really begin to fall and soon after perhaps we can get this country back in the hands of the people rather in the stranglehold of the political hacks. Enough is enough.

Hey Hey we're the Monkeys! said...

This is straight from the 995HOPE.org website:

"After we graduated from college and got married, my husband, Ben, and I knew we wanted two things: a house and a dog. On an impulse, we went to an open house in an area of town we knew was out of our price range."

And I should feel sorry for these people? The reason they are in trouble or were in trouble is simple:

1. They acted on impulse and
2. They bought more house than they could afford by acting on "impulse"

And why is this story any more deserving than this one:

"After he got out of "Noo Vo Reesh" University (a weekend seminar) and got married, my husband, Casey, and I knew we wanted two things: a sweet passive income and a vacation to Hawai. On an impulse, we went to open houses in areas in the western US we knew were out of our price range. We lied about our income, bought multiple homes at the same time so that the banks wouldn't know we were not using them as primary residences, took cash back at closing and when things started to get a little bit difficult to pay back, I mean we were just trying to have the American dream. Well we took on even more debt some at 100% interest, Casey went to Australia to find his inner guru was stuffed into the pouch of a kangaroo and photographed sinking ships and birdies...."

What's the difference? I don't see any. Other than the fact that the first couple also had wanted a dog!

Both admitted up front, they couldn't afford what they wanted but it didn't stop them.

If read further, the "advice" that "Brian" the counselor gave was what they should have done in the first place - buy a home that they could afford. Oh and don't forget, first they had to "SELL" that house that they were getting behind on. Now how many people will be able to do that and then save up enough for another down payment?

This funk is off the hook man...

Anonymous said...

"It wouldn't be prudent"
I get it, you said it just like Dana Carvey, didn't you?

Anonymous said...

My question is, is this some type of Bush Katrina rescue? Becuase if it's, you homdebtors are f*cked. bwahahaha

Anonymous said...

Anonymous said...


I have read a lot of comments saying arms are over with. I called eloan just for shits and said I wanted a $0 down , interest only loan and my fico is 620.

No problem they said. I can get a 6.5% 30 year loan, interest only for 10 years.


You're full of shit. I have 700+ FICO and they told me 6.4% for a 30-yr

December 07, 2007 12:08 AM

---------------------------------

Dude go online and you'll see...6.5% with a 620 FICO. And that is with 0 points. Point is 700 or 620 fico doesn't make a difference. Free money is still out there for anyone who wants it.

Anonymous said...

The bailout plan is a thing of beauty....I probably would have thrown 100 more eligibility clauses in it.

It's amazing how some on this board will bitch about both sides of an issue...

No Damn Bailout!!

next day

Damn Bailout doesn't cover anyone!!

It's why this board has become a joke....

keith said...

homedebtor anon above - we're not bitching about the bailout not covering anyone - we're laughing!

Russ DoGG said...

I didn't realize that thios was merely voluntary????

WTF!!! All this talk of a plan and now its only to be voluntary???? So the PLAN is only some advice???

Aside from how restrictive the bailout is- What a joke of a toothless non-binding not worth the paper it is written on
SHAM!

Cow_tipping said...

Cant these people just re-fi if that was their situation ???
Cool.
Cow_tipping.

Anonymous said...

Tax Payers Against a Wall Street and Mortgage Bailout

http://www.petitiononline.com/bailout/petition-sign.html

k.w. - Southern Ca. said...

The bail-out is an industry initiative, not a law.

Lenders are encouraged to participate, but it is not mandatory to do so.

What guide-lines will lenders use to select *which* qualified borrowers?

What incentive would lenders have to freeze borrower mortgage rates?

How will the impact of this bail-out be kept to a minimum for investors of mortgage backed securities, and which investors will have to take the hit?

Many qualified borrowers will not
be approved by lenders, and investors of toxic residential loans will be left holding the bag.

This is nothing but an attempt by Bush to "look good", while the next administration is left with this ever mounting problem.

E-Rod said...

HAHAH Its a bailout for people who wouldn't have lost their house anyway.

Way to help George!

k.w. - southern ca. said...

More hard proof that the mortgage crisis spreads across the *entire* sector - not just sub-prime as the media talking heads would have you believe.


Anonymous said...
GAME OVER::

80% off of (what?) 737 Billion in CDO's?

Hey buddy, can you spare 590 Billion?

Top CDO Classes May Lose 80 Percent, Barclays Says (Update1)

By Jody Shenn

http://www.bloomberg.com/apps/news?pid=20601087&sid=a9h3FZsrhiJ0&refer=home

Dec. 6 (Bloomberg) -- U.S. mortgage assets in collateralized debt obligations have lost so much value that the top classes of the securities may be worth as little as 20 cents on the dollar in a liquidation, Barclays Plc analysts said in a report.

Anonymous said...

Look at the DemoRats whining and squealing for a bigger bailout. They're a sad bunch of deadbeats and losers