rant · moment 10 of 21
106% Financing and the House He Lost
from Depths of Self-Deception · #30
Audio-only archive episode — no video to seek.
3 minTim explains how he bought his house with 106% financing during the mortgage boom, only kept it about two years, and jokes about visiting the new owners and fearing for his life.
- 21:11Banks charged Tim a thousand dollars in overdraft fees after one transaction bounced, then ran all the other transactions again.
- 21:50Tim used to cash paychecks at Sunrise Check Cashers in Freeport, New York, down the block from a mortgage company he worked for.
- 22:15Tim bought his house with 106% financing—borrowing the full value plus 6% for closing costs and fees.
- 22:35He paid the mortgage for about a year before walking away from the house after owning it for two years.
- 22:50When Tim recently visited the family now living in his old house, they had a check for him that had arrived there.
- 23:02Tim thought the new residents were going to kill him, worried they were his enemies coming to collect on the boiler he had damaged.