Mortgage Advisory Committee Release Report

Politics.ie’s head honcho David Cochrane has the details here:

politics.ie/economy/133162-f … tions.html

P.

Dealing with our national debt? If ya meant quadrupling it in the space of a year, ya might be right Eamo!

And indeed, who does want the recovery stifled by a legacy of the boom years… Oxymorons all over the place, Eamon in particular…

When Eamon comes out with that shite your inclined to wonder how he even managed to sell bikes…

Quite a move away from his original line towards homeowners in difficulty by Elderfield, and in a very short space of time.

Where is the bankruptcy reform? Is the likes of that too slow and complicated to be examined by this board?

The fix is in - under the guise of “protecting the family home” -as if an evil English landlord rather than their own choices put people in this position.

finance.gov.ie/documents/pub … arsjul.pdf

Basically, an effective moratorium on repossessions - resulting in greater losses for the banks (taxpayer funded) and “protection” for those who bought houses that they couldn’t afford along with more Social Welfare spending.

This will “freeze” the process of transferring homes from those who can’t afford them to those who can - at a rational price. We’re a nation of saps…

I hate to say “I told you so” to those who opposed a “you lose the house but get debt forgiveness” plans.

I am lost.

I scanned through the document, but failed to see any real measures that would assist home-owners who are in arrears. A one year moratorium on repossessions is not a bail-out in my books.

I think it’s fairly perverse that some people want to see others kicked out of their homes simply so they can buy them back for less.

I don’t follow your reading of this Wahoo. It says the 1 year moratorium is not to be extended beyond 1 year.

That’s tellin em :unamused:

That was my reading of it too.

Eamonn Ryan coming up shortly on TodayFM to discuss this

financialregulator.ie/press- … sions.aspx

It actually seems to me there’s nothing here at all. Which makes Ryan’s overblown press release look ludicrous.

P.

This is from the IT.

“It added that no legal action should be taken by financial institutions while mortgage interest supplement (MIS) is being paid and borrowers are continuing to cooperate with their lender” (e.g. constraint on taxpayer funded

Likewise, they are amending the means test for mortgage interest supplement to make it easier to receive (e.g. taxpayaer money to pay for someone elses house).

They are not their homes if they cannot afford to pay for them. There’s a rental market and you can rent a large family home in Dublin for €900 a month (maybe not where little Aubrey can play rugby) - and get social welfare up to 1100 a month to pay for it if you don’t have the means.

Last time I looked, an owner-occupier “family home” paid for by someone else is not a “right”. Or are you saying it should be? In which case, I will claim the “right” to own a car that I can’t afford (make it a porsche why don’t you…)

Numbers from Eamon Ryan:

750,000 mortgages in the country
30,000 people in arrears of 3 months or more of this 22,000 are 6 months or more.
Another 30,000 have re-negotiated terms of their loans.

He said so much yet so little

Fixed that for you.

This in turn creates a false floor in property prices thus forcing anyone that wants to buy a home now to borrow ridiculous sums of money from the bank, and when they run into trouble in future they will need to be bailed out too. The banks lent recklessly but yet they will get all their money back, it’s just another mechanism for taking money from the poor to give to the rich.

I’m all for debt forgiveness but at the expense of the banks, if they can’t afford it then let them go. Handing over money to people in negative equity is going straight into the pockets of the banks so it’s a further bank bailout at the tax payers expense, not a home owner bailout.

So 30,000 people in arrears out of a population of 5.5m are being helped at the cost of:

Continuing high property prices
Continuing high rental costs
Both of which help maintain our uncompetitive economy
Both of which are in the interests of not one single citizen in the country, save the 30,000
Both of which feed higher costs and prices across the whole economy
Taxpayer money being used to fund this entire fandango

Anyone that says opposition to this nonsense is only motivated by self interest is just talking shite.

And I don’t want to hear any of this fucking bollox about “kicking people out of their homes”. I have a home too you know, which I rent. I so fucking resent the implication that only people who have mortgages have a “home” and that “their” precious home is more of a home than mine, which is the unavoidable corollary when it is suggested that if these people rented that they wouldn’t have a home. Yes they fucking well would, the exact same kind of home I have - a nice rental property at half the price. This shit is going to go on for 20 years and it’s going to help suffocate the rest of our country in the process. I’m sorry, this makes my fucking blood boil.

From the IT front page today…

Let’s get this straight.
Restructuring a mortgage over a longer term or on an interest only basis means the bank squeezes more money out of the borrower. Simple as.

irishtimes.com/newspaper/frontpage/2010/0707/1224274192894.html

It is a racing certainty that the day the mortgage moratorium ends (February I think) there will be a deluge of applicants for this resolution process - not only from those technically “stressed”, but also from the tens of thousands who just need a breather from the remorseless grind of debt repayment. Which begs the question, will people be helped if they have enough money left after bills are paid for, say, dinner out once a month, or 3 pints once a week, or a family ticket to the zoo? Where does one draw the line between “stressed” and just, erm, stressed?

And on this:

Presumably if there is a debt forgiveness regime there will be some form of clawback on property sales? I can see people getting half their debt written off then trying to sell their 3-bed semi-d in Dundrum for €800,000 to pocket the ching-ching.