Key borrowers back move to rewrite troubled mortgages

http://www.sacbee.com/103/story/1390062.html

Good article by Jim Wasser with the SacBee discussing mortgage re-writes... One thing I noticed was all the disgruntled comments from folks directed towards people that could not afford loans getting loans. As a REALTOR, I see much more than that single piece that gets so much attention of the press and other folks feeling like they are getting the short end of the stick. Let me tell you from 1st hand knowledge, many people that put 20% down on their homes over the last 3 to 5 years are in dire straights. The reason, lost jobs or reduced income from the economic conditions in most cases. In case we have forgotten, many industries have gone into retrenchment mode which means layoffs. In addition, folks that in sales are seeing tremendous slow downs. Imagine the ripple effect of the drop in home sales, car sales and home values. All the people selling raw materials are not selling at anything close to the levels of the past which means very low commissions. Construction workers have very little to construct leaving them without income. Supply chains like Lowes and Home Depot sales are way off because of the reduction in home sales as well as the reduced home values that prevent borrowing for home improvement projects. So, those retailers are reducing staffing. The shingle makers, refrigerator manufacturers, window suppliers (it goes on) all have employees that that are seeing dramatic reductions in income if they are lucky enough to still be employed.

Bottom line for me is that I am all for laissez faire government, but this is an extraordinary situation that in some ways was caused by government. It is my understanding that we could all be a little more compassionate towards our friends and neighbors that find themselves in a tight spot financially. The fact is we do not know what has happened in anyone's life unless they've shared it with us. Most people are good and feel terrible being where they are financially especially if they are at the point that losing their home is a REAL possibility. I would submit that we all be as kind and understanding as we can during this time as much of the country struggles to survive financially.