Sales of existing homes rise breaks all-time record!

If what you say is true then the banks really lost no money whatsoever, as a matter of fact they may have already turned a profit through the selling of the Mortgage Backed Securities .

The act of creating and selling off Mortgage Backed Securities means they were paid for the paper they created from the mortgage… The investors who purchased those Mortgage Backed Securities, well that is another matter entirely which has nothing to do with the homeowners.

Those are reasons why banks are holding onto stimulus money. They want to save there own backsides when mortgages fail. Then, as they gain ownerships of houses, they will sell them at a profit later, and pay back the stimulus money. Quite a scam, IMO.

It can all go away when people have jobs. It seams that governments do not want us to have jobs, and not buy homes, so they can have rights to them. Fannie and Freddie are just a front. Chicago style politics it seams to me.

Edit.
Fox news reporting now that over 55,000 foreclosure transactions at Wells Fargo have errors. What’s next.

Banks do create money by loaning it into existance. That is called fractional reserve banking.

However when you subtract their liabilities from their assets, the number must be greater than zero to be solvent.

It isn’t. They aren’t. :frowning:

I’ts the judgements placed by the banks for the difference in loan amount and sale price that hurts peoples credit.

The mortgage interest tax credit is once again under attack with a decision due from a so-called bi-partisan commission Dec. 1st.

Dump it!

Realtors in my area (that are left that I work with) tell me people just don’t want inspections like they did 2 years ago. Buyers have no money for the service.

Thank goodness for HUD. HUD created 1000’s of inspection and maintenance work each month all across the country.