Posted by Lee on March 26, 2008 at 22:34:32:
Re: who’s bailing out the mortgage industry?
WE ARE!
Can you say RTC II (2)?
For all you 'New Timers" Vs. us “Old Timers”
The RTC (Resolution Trust Corporation), (GOOGLE it. Dig 3, 4, or 5 pages down) was an institution that was backed (or) insured by the federal government for the loans that were made by banks and mortgage companies at that time, similar to the FDIC now. (Federal Deposit Insurance Corporation. GOOGLE itâ??s purpose and responsibility)
Well… When the RTC failed, “the people in the know” bought the property (or mortgages that the RTC had insured), at a huge discount. Hence, the US Tax Payer took the hit for the $ difference between what was owed on the mortgage (inflated appraisal values of properties) and what the property was sold for to the new buyers- investors).
I hope you have your CASH ready!
It will soon be time to buy, late summer 2008 to late summer 2009,
providing, you have confidence in the US DOLLAR.
That, by it self is another reason to pay les for your property purchases.