Subprime House Loan 2007

[carlsbadmike]

Back in 2007, we applied for a house loan that we didn't think we could qualify for because of the price, and we were SHOCKED to have gotten it approved. We didn't know at the time that they were basically giving anyone a loan for more than they could really afford, just to make a commission. Unfortunately, back then, I didn't know that the economy was going to tank the way that it has or that my income was going to be significantly decreased as a result of it. Last year we considered ourselves fortunate to be able to sell our house for $100K less than we had in it just to get out from under the house payments. We did this to protect my partners credit rating. I on the other hand, was in WAY over my head financially which led to me filing for BK7 this year which resulted in a discharge 2 months later. Now I am starting over. Yes, I take partial responsibility for applying for the house loan, but if the loan officer hadn't put it through, it never would have taken place.

[dumpinmydebt]

I take full responsibility for my actions that led to me filing Chapter 7. I don't blame anyone because in the end, it's my requirement to read my paperwork and educate myself on what I am getting into. It is also my responsibility to ensure I am borrowing within my means.

[carlsbadmike]

Shoulda, woulda, coulda for me. I made some bad decisions and I've learned from them. Hopefully oneday, I'll be able to own another affordable house.

[debee]

We got stung, well, more like 'devoured' by the drop in the real estate market too. We didn't buy a lot of house at the height, just enough to make the rest of our lives a task of letting our teeth rot in order to pay it off. Throw in an unexpected catastrophe, crippling medical expense that will only go away when the patient dies (a prospect even worse than being toothless in poverty), job transfer, and you get me hanging out at this forum.

I think self-improvement & self-directed honesty is healthy and keeps life interesting, but I think it's never a good idea to get the boxing gloves out and have at it with my own face. In the end we've all made stupid mistakes - in love, in money, in our careers, everywhere - and the only thing that really separates the winners from the losers is luck.

[carlsbadmike]

We had an interest only loan set up for 10 yrs with the intention of refinancing it at that time. Based on the previous 20 yrs, real estate in our area had gone up 5% per year so it seemed like a safe bet. Who knew!