And quickly he’s subdued
Through constant pained disgrace
The young boy learns their rules
With time the child draws in
This whipping boy done wrong
Deprived of all his thoughts
The young man strugggles on and on he’s known
A vow unto his own
That never from this day
His will they’ll take away-eay
What I’ve felt
What I’ve known
Never shined through in what I’ve shown
Never be
Never see
Won’t see what might have been
What I’ve felt
What I’ve known
Never shined through in what I’ve shown
Never free
Never me
So I dub thee UNFORGIVEN
Unforgiven — Metallica
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Forgiveness is never an easy thing. There are some things that seem so wrong you don’t want to let people “off the hook” or you know you will see the behavior again. In the end, holding on to anger is far more destructive to the angry person than it is to the person to whom the anger is directed. Forgiveness is something one should do for their own sake.
The almost unbelievable irresponsibility with debt displayed by homeowners like today’s is so amazing, so far beyond any form of excusable behavior, that you have to wonder if it is right to forgive it. If someone borrows hundreds of thousands of dollars against their home and ends up with a short sale requiring the forgiveness of this debt, how do you feel about it? Remember America’s Debtor Prisons or Are Short Sales Moral? These questions do not go away. Does a really extreme case change your opinion about the subject? Let’s see…
Income Requirement: $298,750
Downpayment Needed: $239,000
Purchase Price: $397,000
Purchase Date: 7/20/2001
Address: 9 Soaring Hawk, Irvine, CA 92614
Beds: | 4 |
Baths: | 2.5 |
Sq. Ft.: | 2,960 |
$/Sq. Ft.: | $404 |
Lot Size: | 4,462 sq. ft. |
Type: | Single Family Residence |
Style: | Traditional |
Year Built: | 1984 |
Stories: | Two Levels |
Area: | Woodbridge |
County: | Orange |
MLS#: | S517428 |
Status: | Active |
On Redfin: | 12 days |
Beautiful Woodbridge home has been expanded over 1000 sq ft to create an extra Large Kitchen, Great Room, Huge Master Bedroom complete with a Walk In Closet & a full size Customized Master Bath. Updated Kitchen includes Newer Appliances, Stainless Steel Refrigerator, Recessed Lights & Granite tile counters. This home is situated on a Private Lot with Gated Access to the Front Door. Walking distance to Parks, Pools and award winning Irvine Schools.
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So lets walk through the mortgage history of this property and see just how bad HELOC abuse can get…
- 7-20-2001 The house was purchased for $397,000 with a first mortgage of $317,600 and a downpayment of $79,400.
- 11-07-2001 HELOC for $48,000 taking out over half of downpayment.
- 8-26-2002 Refinance for $360,000.
- 11-26-2002 HELOC for $29,000
- 11-26-2002 HELOC for $71,000
- 6-18-2003 HELOC for $56,000
- 6-18-2003 HELOC for $100,000
- 6-1-2004 Refinance for 517,500 –probably paid off HELOCs at this point.
- 10-22-1004 HELOC for 89,900.
- 4-21-2005 Refinance first mortgage of $624,000
- 4-21-2005 Refinance second mortgage of $156,000. Total debt of $780,000 at this point.
- 9-12-2006 Refinance first mortgage of $948,750.
- 9-12-2006 Refinance second mortgage of $189,750. Total debt of $1,138,500. No HELOCs
So there you have it. This homeowner went to the housing ATM 8 times over a 5 year period and pulled out $820,900. Now they have a property priced at a WTF asking price hoping they can find some knife catcher to come pay off their bills. Even if you wanted to buy this house, would you do it knowing that you were about to pay for $820,900 worth of consumer spending (They may have spent $200,000 on the renovation, but please spare me the BS about investment or illness or any of that crap. Look at the pattern of withdrawals. They spent it, and you know it.) I suppose the lender can always hope these people stashed some of this money away somewhere to cover the shortfall at the closing table. Doesn’t seem very likely, does it?
Consumed by greed, the homedebtors will be seeking forgiveness for their debts and sins. Our major religions believe forgiveness is a good idea, or should this behavior remain unforgiven?
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which art in heaven,
Hallowed be thy name.
Thy kingdom come.
Thy will be done
in earth, as it is in heaven.
Give us this day our daily bread.
And forgive us our debts,
as we forgive
our debtors.
And lead us not into temptation,
but deliver us from evil:
[For thine is the kingdom, and the power,
and the glory, for ever. Amen.]
The Lord’s Prayer — Matthew 6:9-13
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I bet you didn’t think I could get Metallica and the Lord’s Prayer in the same post and have it make sense.
😉
That concludes another week at the Irvine Housing Blog. Come back next week as we continue chronicling ‘the seventh circle of real estate hell.’ Have a great weekend.
🙂