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San Diego to become a foreclosure sanctuary

lil dickie said: "If the city attorney for San Diego has anything to do with it, San Diego will soon become a [url=http://www.news.com.au/business/story/0,27753,24070156-31037,00.html]foreclosure sanctuary[/url] [quote] "We would like to see San Diego become a foreclosure sanctuary," Mr Aguirre said. Housing markets across Southern California, including the city of San Diego and the county of the same name, are seeing steep increases in foreclosure rates because so many homes bought there earlier this decade involved subprime mortgages and other types of risky loans. So far this year, 20,000 homes in San Diego County, with a population of 2.9 million, have been lost to foreclosure as borrowers fail to keep up with mortgage payments and some analysts forecast the number may rise to 40,000 by the end of the year. [/quote] Is this a good idea or not to stop foreclosures? It seems to be a reaction the mortgage industry fraud but it also encourages people to be irresponsible. The repercussions of something like this will be astounding IMHO."

Heather said: "It's hard to say. So many of the companies that made these risky loans are getting saved by the government (or taken over.) I think that there's going to be a lot more investigations into the lending practices that have finally imploded in everyone's face. A lot of corps and individuals were involved with irresponsible lending AND borrowing - who is the bad guy in this? It's hard to say."

jolllyroger said: "Contrary to what you hear in the media, these are the best times to be investing. During the great deppression more people became millionaires than any other time in history but all the media reported was doom and gloom. During hard times money will change hands. A great Example of this is When JPMorgan made a deal that put Bear in JPMorgan's hands for $2 a share, a 93% discount. Money just changed hands and JPMorgan and it's investors made money. Most thought that the govt bailed out Bear Stearns. What actually happened is JP Morgan borrowed funds from the Govt leveraging their position when they bought Bear, thereby making extremly huge returns on other peoples money. I do the same basic thing when investing. It is neccesary to allow these companies to fold. What is happening is a cleaning out of the bad wood."