curmugeon | poverty in america (Reply)

This article from NPR is so telling, the working poor are struggling. Even my Mom remembers times as a child when they had nothing more to eat than whet they could find in the wild. Living in the country was their saving grace. In my town, Anza, we have people standing in line for food. Rural and remote places are struggling. I was seriously looking at a house near the post office that will be auctioned next week. I have heard that some of these properties are selling for $25,000 or less. This is what banks are doing to peoples lives. They sell for little or nothing and charge back the loss to the homeowner, leaving the homeowner with a huge tax liability while the bank takes a write off against huge profits and pays little or no taxes. All part of the redistribution of wealth from the middle to the top. Now it seems that some foreclosures have been halted or postponed as there is a question of who does own the property. This is the next big bust for banks because many banks cannot produce a note to show they own the property. Even some title insurance companies are reluctant to touch these deals. Maybe justice will happen when bug banks lose all these properties because of the haste and greed of the buying and selling of mortgages has caused then to fail to keep an orderly paper trail. There will be chaos, and the banks will expect another bail out, however this time we just need to let them fail.