Comments by "romanmir01" (@romanmir01) on "Big Banks' Second Mortgage Foreclosure Game" video.

if you have a house that has 80,000 and 20,000 mortgages and you put in AT MOST 10,000 (most likely less than that), then you have no stake in that house. You are a RENTER, so a 'foreclosure' means your rent is up or your rent contract expired. In most cases in USA what actually happened was people were loading up on debt on the house they never even put a downpayment on, so they refinanced and refinanced and refinanced and took that money and spent it. The house to them is a credit card.
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The banks should have all failed because of all the insane lending they were engaged in, the gov't should have never intervened. However, the banks would not be in this situation in the first place if the gov't hadn't created the root reasons for all this nonsense: Federal reserve and money printing, FDIC and fake moral hazard of 'insurance', HUD with destruction of lending standards, F&F and FHA with fake housing insurance. Mostly it's the Fed that served the alcohol that the banks drunk.
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The so called 'home owners' use the houses as credit lines, pulling money out with one refi after another. Even when the bank forecloses, it's already a loss NOT TO THE SO CALLED 'HOME OWNER'. The bank has to eat the loss, which means it's mutual funds, it's pension plans, it's all sorts of investor and saver money that gets wiped out. Then the banks may get a bail out, when they go under, and then the houses with all that refi shit is on the tax payers.
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