tag:blogger.com,1999:blog-27697009.post847971491234248394..comments2024-02-29T03:21:35.007-08:00Comments on The Great Depression of 2006 : Obama's Plan to Save the "Homeowner" (Note Holder)Jim in San Marcoshttp://www.blogger.com/profile/09435296419912935381noreply@blogger.comBlogger15125tag:blogger.com,1999:blog-27697009.post-68474911683915938762012-03-03T22:44:45.535-08:002012-03-03T22:44:45.535-08:00Hi Anon 12:35
I used your comments in my latest p...Hi Anon 12:35<br /><br />I used your comments in my latest post.<br /><br />Thank you for your comments, It's nice to read a fresh face.<br /><br />Take careJim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-39315929216987463092012-02-29T00:35:18.218-08:002012-02-29T00:35:18.218-08:00Due to job transfer, I'm trying to buy a house...Due to job transfer, I'm trying to buy a house in Oregon (Portland metro). Fannie/Freddie/et. al. are trying to "stabilize" prices by offering homes above market and refusing to negotiate. To lure in buyers, they offer 0% down, no closing costs, no appraisal loans. Sound familiar? HAFA short sales dictate price, but pay the seller cash to move out and offer deed in lieu if the short sale doesn't work out. And Fannie/Freddie/et. al. don't disclose serious defects. I tried to buy a Fannie home - turned out to be in a flood plain - no disclosure. So the house goes in and out of contract, with Fannie hoping to find the sucker who doesn't discover the flood plain. If they wait 'til summer, when the waters recede until next winter, they'll probably get their wish. Kicking the can, indeed.<br /><br />Meanwhile, realtors are back to their old games. Every property "has an offer coming in," and agents swear that most houses sell within 2 days of list unless they're seriously defective. Half the inventory is short sales. There's another 100% of current inventory somewhere in the foreclosure process.<br /><br />The risk in a low-rate environment is that buyers generally buy on payment - when rates rise, payments have to rise or prices have to fall. 4% mortgages are far below historic norms. We are creating a new generation of underwater homeowners, with NAR collecting their 6% tip as the housing Titanic takes on water. Low rates are a godsend if you're going to stay put for 30 years, but the average homeowner will be short-selling in 7 years when rates revert to normal and salaries haven't kept pace with rising rates and inflated home prices. How long can the 3% loan keep the ship afloat? I am actually hearing agents repeat 2006 asking prices (so high that houses didn't sell even in the greed bubble of 2006!) and saying "look what a bargain it is now!" Are buyers still that stupid?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-7457687065249852802012-02-17T22:19:50.604-08:002012-02-17T22:19:50.604-08:00I'd love to see more of those in their 20s and...I'd love to see more of those in their 20s and 30s be able to afford a home when the prices are low. Too many still owe quite a lot on college loans and thus can't really take on a mortgage. The solution? Jobs.Maggie@SquarePennieshttp://www.squarepennies.blogspot.comnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-89858438355066493472012-02-16T21:03:43.047-08:002012-02-16T21:03:43.047-08:00Check out this interview with Lacy Hunt. He really...Check out this interview with Lacy Hunt. He really tells it like it is and lets you know what to expect based on some very interesting charts and statistics. You can get snippets of it from the site below and from there you can get a link to read the whole interview.<br /><br />Congress, Obama and Bernanke have us on a runaway train heading off a cliff. This is surreal.<br /><br />http://globaleconomicanalysis.blogspot.com/2012/02/face-music-road-back-to-prosperty-is.htmlAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-72123776355585361062012-02-15T11:06:12.724-08:002012-02-15T11:06:12.724-08:00... and because morality has gone down the drain. ...... and because morality has gone down the drain. The hard worker, saver, planner, fair player, law abider, etc.is punished and the lazy, zombie, spender, borrower, taker, etc. gets the attention and support from the government.<br /><br />The old rules and maxims have been thrown out the window. It's a new immoral world based on instant gratification. The time tested and proven laws of survival are being ignored.<br /><br />Take the Economics 101 law that is the keystone of financial survival "income must always be greater than outgo" -- how long has it been since Congress has followed and adhered to that rule?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-45050709413111289252012-02-14T21:32:29.579-08:002012-02-14T21:32:29.579-08:00anon 4:51,
bc you are in the minority and the oth...anon 4:51,<br /><br />bc you are in the minority and the others in the majority. that's how a democracy works, so join the crowd next time and spend away ;)Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-49259208372587002322012-02-14T19:38:37.900-08:002012-02-14T19:38:37.900-08:00Anon 4:51
Because Obama is the boss of YOU. He li...Anon 4:51<br /><br />Because Obama is the boss of YOU. He lives in the biggest white house in the country and has an army and prisons. And thanks to the National Defense Authority Act that he just signed he can put you in prison, for as long as he wants without a trial or a lawyer and no habeas corpus. Any other questions?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-75716187326271567742012-02-13T04:51:28.811-08:002012-02-13T04:51:28.811-08:00I sure would like to ask the "president"...I sure would like to ask the "president" Obama why I need to contribute to bailing out the homeowner when i sold my house in 2007 and rented ever since. Since when is it the place of the government to punish people like me.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-88177280063815617022012-02-12T19:06:01.765-08:002012-02-12T19:06:01.765-08:00Hi Survival & Pros
I don't think the hous...Hi Survival & Pros<br /><br />I don't think the housing market can be looked at on a national level. Certain states have really hit bottom and gone even further below it. Other states like California think that this drop is a buying opportunity.<br /><br />Here in San Diego, either rental rates have to double or housing still has to drop 50 percent in value.<br /><br />I'm not as confident as Calculated Risk as to a bottom. If the Federal government wasn't supporting Fannie and Freddie things might happen faster in California. The FHA thinks that a starter home in California is 729K, and it makes me wonder how poor can you be, to buy a house costing that much? <br /><br />I thought the mission statement of the FHA was to make housing affordable to everyone-- I guess that includes rich people.Jim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-43948684642529747502012-02-12T18:30:53.176-08:002012-02-12T18:30:53.176-08:00Hi AIM
You might have something there. Our next ...Hi AIM<br /><br />You might have something there. Our next big Gulp might not be the one we buy at 7-Eleven. I'm not as pessimistic. 5 years downside I could live with, but 20 years would be a real nightmare.Jim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-46111880357687793892012-02-12T11:16:48.590-08:002012-02-12T11:16:48.590-08:00Great post. With government programs/bailouts and ...Great post. With government programs/bailouts and banks slowly-releasing foreclosures back onto the market to artificially prop up housing prices, do you think market forces will ever prevail here, resulting in even lower prices down the road? I noticed the Calculated Risk blog is calling a bottom in prices in March 2012.SurvivalAndProsperity.comhttp://www.survivalandprosperity.comnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-51620936695234476622012-02-12T07:28:06.423-08:002012-02-12T07:28:06.423-08:00I fixed the link. I originally wrote the link usin...I fixed the link. I originally wrote the link using MS Word. Some extra formatting transfered when I uploaded it to publish.<br /><br />Thanks for pointing out the error.<br /><br />If you are reading from a second source, the link is <a href="http://greatdepression2006.blogspot.com/2009/08/federal-reserve-madoff-manuer-maneuver.html" rel="nofollow">The Great Depression of 2006: The Federal Reserve's Madoff "Manuer" Maneuver</a>Jim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-24885651277030689362012-02-12T00:01:29.666-08:002012-02-12T00:01:29.666-08:00Sorry, I meant "A great read."Sorry, I meant "A great read."Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-44255509913277307822012-02-12T00:00:06.093-08:002012-02-12T00:00:06.093-08:00A grsat read. (I couldn't get the link to the ...A grsat read. (I couldn't get the link to the 2009 letter to work though)Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-55722706477711026362012-02-11T20:15:35.021-08:002012-02-11T20:15:35.021-08:00Well said Jim. Obama is going to be pulling all so...Well said Jim. Obama is going to be pulling all sorts of nutty ploys like this "save the homeowner" plan that will screw the economy up even more, all so that he can get re-elected. We the people just don't seem to get the fact that it's been a very very long time since we've had leaders and Congress people that really cared and worked for the future of our country. We're all paying now for our lack of vigilance. Morality has eroded in every aspect of our culture.<br /><br />What do we have to look forward to in the next 20 years? Gulp!AIMnoreply@blogger.com