As owners default, lenders move in -- Chicago Real Estate, Oran...

Becky Yerak and Tara Malone Once a relatively obscure slice of the real estate business, foreclosed homes that are now in the possession of lenders loom much larger as the economy flattens and housing sales ...

[Chijac8]

What can one say other than "good luck."

[ScottC]

...so what do we take from this? Sounds like, in today's economy and society, one is one catastrophic illness away from losing your house. Anyone else walkaway with that?

[Salaam]

ScottC wrote:

...so what do we take from this? Sounds like, in today's economy and society, one is one catastrophic illness away from losing your house. Anyone else walkaway with that?

I agree with that takeaway. This woman's illness isn't directly related to the mortgage crisis but it's still a warning to us all.

Another takeaway is that when FHA loans drop off 65% in a market, beware the lending bubble. People who would normally go to HUD are going to the market; credit's too easy; there's going to be a price to pay.

[Hardliner]

ScottC wrote:

...so what do we take from this? Sounds like, in today's economy and society, one is one catastrophic illness away from losing your house. Anyone else walkaway with that?

Only if you are under insured or have no insurance at all and that is a whole different can of worms. I would imagine that catastrophic illness is at the back of the bus in this cycle of foreclosures. At the root of this foreclosure epidemic is plane old simple greed and stupidity on the part of the lenders and borrowers. It takes two to tango as they say and they created a perfect storm.

[ejhickey]

Its only going to get worse before its gets worser.

[Obama Nanny State]

Bulletin: Mayor Daley proposes cure-all solution: Put a toll on the Michigan Avenue Bridge for both cars and pedestrians (Daley, Strogo, and Blago families excluded).

Use that money to bail out those who overextended themselves and have no savings but do have exquisite furnishings (from Walter E Smithe), 42in HDTV plasma TV (Toshiba, had better picture quality), new $1000 laptop (two year old one was getting slow), 120 GB Video Ipod (might as well get the video, you never know when you need to watch a video podcast), Blackberry (for texting), 2004 BMW 5 Series (black), 2005 Lincoln Navigator (maroon), tons of matching decorating stuff from both Crate and Restoration (great mirrors and vases, expensive but they look lovely), labradoodle ("hypoallergenic"), Dyson ($500 pet version), dinner out 4 nights a week (certainly can't cut that out) and a $6 a day addiction to Starbucks (latte and cinnamon scone before work).

[Goopedup]

Obama Nanny State wrote:

Bulletin: Mayor Daley proposes cure-all solution: Put a toll on the Michigan Avenue Bridge for both cars and pedestrians (Daley, Strogo, and Blago families excluded).
Use that money to bail out those who overextended themselves and have no savings but do have exquisite furnishings (from Walter E Smithe), 42in HDTV plasma TV (Toshiba, had better picture quality), new $1000 laptop (two year old one was getting slow), 120 GB Video Ipod (might as well get the video, you never know when you need to watch a video podcast), Blackberry (for texting), 2004 BMW 5 Series (black), 2005 Lincoln Navigator (maroon), tons of matching decorating stuff from both Crate and Restoration (great mirrors and vases, expensive but they look lovely), labradoodle ("hypoallergenic"), Dyson ($500 pet version), dinner out 4 nights a week (certainly can't cut that out) and a $6 a day addiction to Starbucks (latte and cinnamon scone before work).

Point noted and I have to agree. Nobody saves for emergencies or rainy days. Spend, spend, spend. Oohhh, and we spend it on something to make life easier so we can keep getting fatter. Overextension is the new way of life; sad, but true.

[Jeff]

These people that are stripping hauses and abandoning pets are scum. They should never have had a loan / Mortgage offer if they are too stupid to read the contract and dump there animals to starve and die. They will pay somehow, someday. Now the Dem's are talking about bailing these miscreatents out for their stupidity and paying 100 Million in taxpayer dollars for counseling?????? They should use that money forinstitutalizing since they can't take care of themselves.

[Mike]

I agree that Janice Lee health contributed to her problem. But give me a break.$6000 / mo. She should loose the home. Equity loans were bad to start with. People use them for purchases. They will keep cable TV, cell phones, etc.

I do not want bailout to people. Her condition is a little special but for most people they should loose their home for being irresponsible.

[April 3]

Conseling? Here's some. Stop putting your lifestyle on your Home Equity Loan.