March 26, 2008 6:59AM
Foreclosure Lessons
By Cheryl Casone
There is another side to these foreclosures, and we saw more evidence of it today. Prices are coming back to realistic levels. That my friends, is a positive. WE NEED THIS.
I know what you are thinking: that I am being insensitive. I am not. People are losing their jobs, their savings, and their homes. It is awful, and I feel terrible for them. But, I would say to them, that hard times make you stronger, and the lessons we all learn (and I have learned this the hard way), is that living beyond our means is a sickness with no cure.
A friend of mine in Phoenix is a real estate broker. I called her over the weekend to catch up because I figured she had nothing to do. I was wrong, wrong, wrong. She is busier than ever. She is handling five deals right now, but instead of them being between individuals, it is her clients buying foreclosed homes from banks. She said it is difficult to deal with the banks instead of individuals, but still, these are homes that are off the market, and hopefully the people that lost them can make a new start….or learn a good lesson. But…..
not everyone is crying in their tortilla soup in Phoenix, Arizona. A lot of speculators and investors were heavily leveraged in the Arizona housing market, and they are getting out. So, if you think to yourself we should be helping out the poor homeowners who are in trouble (and there are many) instead of helping out troubled banks (and there are many) then I want you to ask yourself, how do you feel about using your tax money to rescue those speculators who ran out on their mortgages in Phoenix?
Something to consider.
CC
Comment by Andrew
Mar 26th, 2008 at 8:35 am
My wife and I are currently looking for a house. I’m seeing a lot of bank owned property. We were priced out of the market and now we have the opportunity to buy. I think there are many more like us who are waiting for prices to return to normal levels. Some may be hurt because of foolish financial desicions but others who didn’t can benifit now. I say let the market correct it self and leave the goverment out.
Comment by David Bush
Mar 26th, 2008 at 9:01 am
Cheryl:
While I’d agree that living within our means is extremely difficult in a materialistic culture like ours, it can be cured. Those who for years have chosen to live below their means in order to save and give are not wondering how they’re going to survive our current economic distress.
The excesses (or should I just call it greed and materialism) of Wall Street, financial institutions and individual Americans, however, is now unraveling in such a manner as to suck even the most prudent into their vortex.
While it is a noble impulse to want to help out those who are suffering through this, the sooner the consequences of our national credit binge are faced and dealt with, the sooner we can get this sad chapter behind us. And hopefully live more wisely as a result.
Comment by Dean Johnson
Mar 26th, 2008 at 9:52 am
We need more people like you with the courage to speak out on personal responsibility! To many are like Paula on Idol and just want to say nice things about everything. We need more like Simon who tell it like it is! Just like on idol no one has any respect for what Paula has to say! If ya screwed up you can not hope to begin to fix it until you face the fact that you did screw up!
Thanks
Dean
Comment by bobnelson
Mar 26th, 2008 at 11:43 am
Cheryl,
Peter Schiff predicted this housing morass accurately years ago. I wish you would interview him one-on-one to see what economic principles he was using to be so correct.
Bob
Comment by Cheryl Casone
Mar 27th, 2008 at 2:22 pm
Bob,
I will check with Peter and see if he wants to come on the show. I admit, I disagree with Peter much of the time, but I’ll reach out and see if he can appear. Will let you know.
Comment by Cal
Apr 11th, 2008 at 3:37 pm
Every time I see Schiff on Cavuto’s show, he is ridiculed and cut off. That’s despite the fact that his take on the economy has been proven more accurate than just about anone else’s on any network.
The last time was when he tried to explain in reasoned terms why the government’s inflation numbers are fallacious. Cavuto had the gall to actually say “You’re boring me so you must be boring my viewers.”
Perhaps he’s had enough of the Fox treatment.