ONE WAY TO CURE THE ECONOMY.....TAKE THE LOSS AND MOVE ON....

By
Real Estate Broker Owner with People first then business! Ran Right Realty Riverside, Ca BRE LIC #00636943

People who have lost something suffer for the experience. Have you ever had a car stolen, a home burglarized....your purse or wallet taken? How about people who gamble. They play and lose and hide that failing with a vow to WIN IT ALL BACK...when in reality they may need to just stop gambling

It is not a good feeling to lose anything, at anytime for any reason.....but it does happen.....

HOMEOWNERS:

I feel your pain deeply. You bought a home and had every reason to believe that it would go well. You borrowed against it and bought things thinking that you finally arrived. You forgot about the NO GUARANTEES in life statement. You were caught short even though your thinking was sound and you crashed and burned. Not everyone is conservative when it comes to money management.

INVESTORS:

You reached the point in your life where you had some money put away to play with. You researched your product and then made decisions hoping all would go well. You were looking for maximum returns with reduced risk. Wall Street wasn't performing to your expectations, but Real Estate was looking good.....then the bottom fell out and you lost all you monopoly money...your play money

BANKS:

You made loans, loose, fast, and hard. Profits were coming in and your investors, staff, patrons and even your competitors were making money..You had a nice run while it lasted and you made money...Lots of it...You thought you had it sewed up having the right to foreclose if something went wrong and you were right. You could have never imagined the current scenario kicking in and exposing your practices, weaknesses and ineptness...

POINT OF THE POST

It's time for everyone to sober up and move on. If we are ever going to get out of the current mess, we are going to have to realize that having a mortgage for twice the amount or more than the property is worth will never work out to the current HOMEOWNER, INVESTOR, OR BANK....

Investors, banks and homeowners are going to have to take the loss and move on. If not, we are stuck in limbo...a sort of grayish zone where everyone is right and hurting, but no one is recovering or moving forward. You lost your money, your home and your investment.....now you must deal with it....

Mortgage lenders and investors who have invested in securities based on Real Estate have been wiped out. Banks, you must know now that no one is going to make good on a home worth 60% less than what they owe. Either write down the mortgage and take the hit or short sale and move on...do this quickly because by dragging your feet, you are keeping us from the recovery process......

When we admit the loss and accept it, it is at that time that the government can contribute here or there to offset only to move things forward, not bail anybody out, make good losses, or rescue people from a failed structure. Help to get up and move forward, not help to stay here....

The longer we delay this procedure....the longer we will remain in this void of no hope, no opportunity, no job recovery, no business building, and most importantly, not letting this current Real Estate cycle die already so that a new one can begin

close

Re-Bloggged 6 times:

Re-Blogged By Re-Blogged At
  1. Ellie Shorb 11/20/2010 09:39 AM
  2. Tony Marriott 11/20/2010 10:07 AM
  3. Barbara Hensley 11/21/2010 07:59 AM
  4. Ritu Desai 11/21/2010 08:20 AM
  5. Sandy McAlpine 11/24/2010 02:21 PM
  6. Kelly (Byrnes) Waugh 11/29/2010 12:49 PM
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Topic:
ActiveRain Community
Location:
California
Tags:
economy
investors
banks
lenders
mortgage defaults
securites
government
homeowners
financial loss
real estate cycles

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Rainmaker
1,111,708
Richie Alan Naggar Author PEARLS SERIES of books
on LIFE and LOVE plus Real Estate too!
People first then business! Ran Right Realty Riverside, Ca

Hello Diane....I travel with you during these difficult moments and times. It is not an easy subject and realize that it has too much of a grasp on us. This was not meant to be. You are greater that all this. Your math on the house makes sense. Your assesment of your situation makes sense. let sense prevail and you wont be sorry. You will suffer and feel some discomfort, but this is all short term. You will recover, you will prosper and you will continue to do great things......Strenght to you and your daughter...I leave you with deep and warm thoughts....

November 24, 2010 02:53 PM
Rainmaker
260,268
Wayne B. Pruner
Tigard Oregon Homes for Sale, Realtor, GRI
Oregon First

A tremendous amount of damage has been done. I hope we learn some lessons and don't let this happen again.

November 27, 2010 10:18 PM
Rainmaker
1,111,708
Richie Alan Naggar Author PEARLS SERIES of books
on LIFE and LOVE plus Real Estate too!
People first then business! Ran Right Realty Riverside, Ca

Tigard....that is how we learn. You see, prior to 911, we don't listen. Try convincing anyone we need a new cabinet post like the Department of Homeland security at a cost of multi-billions and they will tell you..... you are crazy. OK...now, do a 911 and we fully understand the need..learning after the fact is not always profitable, but it is the way of mankind.....dysfunctional to say the least...thank you Tigard....

November 28, 2010 03:26 PM
Rainmaker
928,839
Gary L. Waters, Broker Owner Waters Realty of Brevard, LLC
Personal Service, always.
Waters Realty of Brevard, LLC

Sometimes we just have to take our medicine and live with the fact some lost money.

November 30, 2010 11:23 AM
Rainmaker
1,111,708
Richie Alan Naggar Author PEARLS SERIES of books
on LIFE and LOVE plus Real Estate too!
People first then business! Ran Right Realty Riverside, Ca

Hello Gary...good comment....You know they add sweeteners to medicine because in its natural state, it tastes horrible....but with or without the taste factor, we need to take it and move on......Life is to be lived and not mourned about especially material things.....we are greater than that.....much greater...best Gary

November 30, 2010 11:28 AM
Anonymous
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Rainmaker
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Richie Alan Naggar Author PEARLS SERIES of books

on LIFE and LOVE plus Real Estate too!
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