But who are these bad mythical creatures, THE BANKS ?
Are they the shareholders (those that still have some) who lost most of the value of their shares ?
Are they the bank employees ?
Are they the bank management and directors (and the ones who primarily caused the mess have wandered off into the sunset with pensions and golden parachutes) ?
Are they the people/organisations that have lent money to the banks ?
Or are they the other bank customers (borrowers and depositors) and the people propping up the banks (through providing recapitalisation funds and buying crud loans) i.e. the taxpayers of this state ?
Make the banks cover delinquent mortgagors all the while leaving them with the asset, and the only ones that covers that cost will those mentioned in the last sentence above.
Sooner or later they will have to crystallise their losses.
What has been happening has been kicking the proverbial can down the road in the hope that prices go back to bubble levels.
Price have indeed gone back up because there isn’t a proper functioning market.
Even if with the banks waiting for prices to increase there still was not any proper movement on repossessions of hopeless cases where people just weren’t paying anything of making any effort with banks.
Some cases should have been dealt with years ago.
Granted it was politically unpalatable and the government have done everythign to try prevent it with moratoriums and such.
This came up on here before. Can’t remember the context (wasn’t specifically AIB think it was all banks). I have often asked why the “journalist” (letting Casino Owner David hall spout shite about there being no strategic default) never brings up this issue, and others
How many have equity? This could be used as a deposit to buy another (smallar in a less salubrious area) house. The kind of choices those renting are being made to make
I think it is fairly reasonable to assume 60% across the board. IBRC has a chunky enough PDH loan book (former Nationwide book) and it has an astronomical default rate. Then there is the subprime lenders etc who also have particularly high instances of default (albeit with the latter taking an aggressive stance)
“Listen, you morons giving out to Joe Duffy about repossessions meaning people are getting kicked out of their homes… Do you pay rent? Do you pay your mortgage? These cretins are getting away with paying NOTHING”.
I’d have thought that’s a fairly easy message. Hopefully this news will get it into the public eye.