Risky Mortgage Bonds Are Back and Delinquencies Are Piling Up • Hacker News Board

Re: Risky Mortgage Bonds Are Back and Delinquencies Are Piling Up

#131

Post by bobongo » Wed, Nov 06, 2019, 9:55 PM UTC

YourMatt wrote: post #61

diminoten wrote: post #44

Earlier quoted context omitted.

Going through mortgage application now, they grill the shit out of you on every little detail of your life now. They're aware of the last crash, and have done a lot to compensate.

On the other hand, I recently sold a house that received a lot of offers. Only one person actually had the down payment money. Everyone else's loans were approved, but most were people were coming with low cash and lower income than I would have expected. Some looked like irresponsible loans to me.

I don't have any experience in this.

When you sell a house and the buyer is paying via mortgage, do you get paid cash by the mortgage company in full (the purchase price) at once, or do you receive a monthly amount from the mortgage company that sums up to the house price you sold for?

Re: Risky Mortgage Bonds Are Back and Delinquencies Are Piling Up

#132

Post by YourMatt » Wed, Nov 06, 2019, 9:56 PM UTC

diminoten wrote: post #107

YourMatt wrote: post #61

Earlier quoted context omitted.

On the other hand, I recently sold a house that received a lot of offers. Only one person actually had the down payment money. Everyone else's loans were approved, but most were people were coming with low cash and lower income than I would have expected. Some looked like irresponsible loans to me.

Why would you be involved in their loans at all, if you're the seller of the house? How would you know what they were putting as down payments or what their incomes were?

I was given the information to help base my decision on which offer to accept. The idea is that the better qualified buyer has a better chance of actually closing. I thought it was a little strange as well. Each of my offers came with details about their financing, and in a few cases, the buyer's income information.

Re: Risky Mortgage Bonds Are Back and Delinquencies Are Piling Up

#133

Post by llamataboot » Wed, Nov 06, 2019, 10:11 PM UTC

harimau777 wrote: post #84

bryanlarsen wrote: post #62

Earlier quoted context omitted.

> "they will recover" If you invested in 1914 German stock market, it didn't recover until 2014.

Wasn't that more or less a societal collapse situation? I'm not sure that almost any investment vehicle is going to be reliable through two world wars.

Yes, I mean at some point you have to just accept you are in the same boat as everyone else with or without investments in that situation

Re: Risky Mortgage Bonds Are Back and Delinquencies Are Piling Up

#134

Post by Vysero » Thu, Nov 07, 2019, 8:46 PM UTC

maximente wrote: post #83

Vysero wrote: post #69

Earlier quoted context omitted.

I think the general trend has been an increasingly healthy stock market since around 09 correct? That was 10 years ago, how much longer can this balloon rise? Currently I am about 70/30 stocks/bonds perhaps I should just stay put considering I really don't know.

don't take this personally, but you don't sound ready to invest in stocks. losing huge amounts of money is going to happen. there's nothing you can do to avoid it, other than not invest in stocks. the tradeoff is that it always comes back higher. being risk averse will actually cost you hundreds of thousands of dollars in the long term. research cFIRESim and plug the numbers in yourself: the portfolios most likely to…

So you just hope to god that nothing bad ever happens in your life that would require you to pull your money out? That sounds incredibly foolish to me considering the chances of something going terribly wrong in your life are incredibly high. People get diagnosed with brain cancer every single hour of every single day. Better hope it doesn't happen when the markets down I guess.