40% Under Employment Americas real biggest problem.
Date: Wednesday July 15, 2009Posted in: Credit Loans, Politics, Real Estate, finance, justice, scams, work from home
Our economy is being affected by 2 major problems. One is the housing crisis, which covers everything from loss of credit to foreclosures, loss of home equity that people can use to borrow and spend. This generally means less people can afford to do home improvements, or buy home appliances or cars.
Well with that said, this also leads to the second major problem which is underemployment. I can already see based upon my own experience that certain professions like handymen and car salesmen are effected by our first problem, yet they may never file for unemployment. They are just under employed. What actually is happening right now is that there are about 10 percent national unemployment and 40 percent more are underemployed.
I can also say that I myself am underemployed, I have taken a pay cut but I still remain working at my same job and I refuse to slack off. I am forced to go out and pursue side job every weekend but I do it and I pay my bills. This is a major problem that I wish our big government would realize and it really hurts us all.
Underemployment is a much bigger problem than unemployment.
If we only had a problem with unemployment, things would not be so bad. I know it’s tough to be unemployed, because I have been in that position myself. After a few weeks it can make you feel tired and less enthusiastic about looking for a new job, but you have to do it.
Now I can also say that some people who are unemployed are not even looking for a new job. Especially if you are single and you live with relatives, then you can enjoy that check every 2 weeks and live a lazy life. I actually have seen this with my own eyes when I used to go to the unemployment office I saw many lazy people and I even rented a room to a person like this. They all tried to tell me that they would rather stay unemployed, because they can’t find a job that pays well.
That kind of attitude tells me that there are so many lazy people out there. I honestly think that out of 10 percent unemployed only 4 or 5 percent are truly unemployed the rest of these people are just too lazy to go out early in the morning to look for work. Or they are not willing to take any job unless it’s one where they sit in an air-conditioned office and slack off. Maybe that was the reason they got laid off in the first place.
These are also the same type of people that choose to stop paying their rent or mortgages, because they think the government is going to help them out. I’d say help them out to be more lazy. I wish we would just deport these lazy people instead.
Loan Modification Clinics and fake Hope for Homeowners SCAMS H2H.
Date: Friday February 13, 2009Posted in: Credit Loans, Economics, Politics, Real Estate, finance, legal stuff, scams
Last Month I went to a so called Loan Modification clinic and they told me that they could help me to get my principal forgiven off of my failed investments mortgage. They told me all that I had to do was pay them $3000 up front and they would help me out in less than 3 months. If it took them longer I only had to pay them $600 per month. They told me not to worry and that their lawyers would protect me. They also told me to keep renting the house, but to stop paying the mortgage.
Well this seemed too suspicious for me and I choose not to do it. But what surprises me is that their office was full of lots of people in the waiting room. It looked like a hospital emergency room. I saw lots of less fortunate and probably less educated people, who were there with the hope to having their mortage problems miraculously resolved.
I will not mention the name of this place, because maybe their system actually works and then I would be accused of defamation. Also they claim to be lawyers so I do not want to get sued either. They seem to do a lot of radio and TV advertising too, so who knows maybe they know something that I do not.
The reason I did not trust them is because they told me that I qualified for the Hope for Homeowners program and that they could almost guarantee me that they were going to get me a reduction of over $100,000 from my principal and reduce my interest rate to 3.5 percent fixed for 2 years. As far as I have read and researched. No banks are yet participating in that H2H - Hope for Homeowners program and also it is not a program that applies to investment homes.
If somebody has proof to the contrary I would like to know this. In the meantime I am going to try to take this up on my own. I am going to skip a few payments and then ask my bank for a deed in lieu of foreclosure. The way I see it, I have no other chocie. The Financial Bailout is for the Banks and not for us homeowners.
Now there is one final request and I hope my new president can help with this. Since so many people are loosing their jobs. We need to make a new law that prohibits employers from not hiring people with a foreclosure on their credit reports.
What can we do if our investment homes are deep underwater?
Date: Friday December 12, 2008Posted in: Credit Loans, Economics, Real Estate, finance, legal stuff
I understand that many people live in a home that they purchased a few years ago and they were given a loan payment that was more than 50 percent of their montly income. So now they realize that it is too expensive to pay it and they are looking into doing a short sale or foreclosure. Well it looks like their is some government help available to help them modify their loans, forgive some of their principal, give them lower payments and keep their credit intact. Well that is good for those who are honest and deserve a second chance.
But I have a slightly different situation. My wife and I purchased a second “investment” home in Florida. This home was a complete failure. We paid over $320,000 and now it is worth only $150,000. The builder totally ripped us off. We have good credit, but the rent income from this home does not even pay half of the expenses to keep it, even at the lowest interest rates, and the taxes are very high too. So it is costing us $1000 per month to keep something that is so far underwater that you can compare it to paying for life support on someone who is totally brain dead. We have good credit now, but is it worth it to keep throwing away $1000 per month, or risk loosing some of our credit for a few years. We have no problem paying our primary home mortgage and other bills. but is our credit going to be ruined so bad, only based on one bad item out of 15 other items on our credit report that are in perfect standing, payed on time etc. Can I compare this to getting one or even 2 F’s on a test, when all my other grades are A’s?
I have found a realtor that will help me to short sell this home for a very small fee.
I also have a few credit card balances that I am willing to pay off prior to the short sale. We are also going to try not to miss any payments unless the bank requires us to show some sort of financial hardship. If that happens, I can use the same money to pay off my credit cards completely. Is that a good idea, to boost my credit score up as much as possible, before the short sale inpacts it?
Please post comments or email me with any info. Thanks
