When You’re In A Hole, You Quit Digging
Some housing bubble news from Wall Street and Washington. CNN Money, “New construction of single-family homes fell to a 17-year low in January, according to a government report. Starts of single-family homes fell to an annual rate of 743,000 in the tenth straight monthly decline. The level of single-family home building is down 5 percent from December, 34% from a year earlier and 60% from the record high reached only two years ago.”
“Building permits for single-family homes - often taken as a sign of builders’ confidence and a better look at the future of the market - fell to an annual rate of 673,000. That also marked the tenth-straight month of decline for that measure and, like the single-family starts, was a 17-year low.”
“A separate Census Bureau report showed a record 195,000 completed homes for sale at the end of December, the supply of all new homes available for sale, including those under construction and those not yet started, stood at a 9.6 month supply. That glut of new homes for sale is cutting into the value of both new and existing ones.”
“The January level for housing starts is down an annualized 40.4% versus the fourth quarter average. This result indicates that residential investment will be a significant drag on 1Q real GDP growth, according to Gary Bigg at Bank of America Securities.”
“Builders have been aggressively cutting both prices and starts of new homes but tighter mortgage lending has been working against them. ‘We’re not even taking in 50-60% of the people who inquire,’ said Bob Munson, president of the Americana Mortgage Group.”
“Even as the Fed has been cutting its target Fed funds rate, the rate on an average 30-year fixed rate loan has gone up three quarters of a percentage point, so Munson says ‘I think the worst is yet to come.’”
The Associated Press. “The U.S. thrift industry on Wednesday reported a record $5.24 billion loss in the fourth quarter of 2007 - the biggest quarterly loss since federal regulators first started collecting quarterly data.”
“The Office of Thrift Supervision said about $4 billion of the overall losses in the fourth quarter was tied to write-downs in the value of assets affected by the downturn in the housing industry. Another $2.2 billion loss was tied to a restructuring charge by a single institution.”
“The agency also said thrifts set aside $5.1 billion in loan loss provisions, or 1.35 percent of average assets.”
From The Star. “The Bank of Montreal announced it would begin 2008 with a $490 million pre-tax charge against its first-quarter earnings. It also pledged about $12 billion (U.S.) in financial support for its two struggling structured investment vehicles or SIVs.”
“The bank said in November that it would provide no more than $1.6 billion for its SIVs.”
“Karen Maidment, BMO’s former chief financial and administrative officer, told a conference last September the bank’s total exposure to structured vehicles was ‘under $300 million,’ both in terms of equity and liquidity.”
From Reuters. “Standard Chartered on Wednesday dropped initial rescue plans for its $7 billion Whistlejacket structured investment vehicle which was forced into receivership last week, drawing criticism from analysts.”
“Asia-focused bank Standard Chartered said its decision to drop the plans was the result of a number of factors including ‘the pace of continuing deterioration in the market for certain asset classes.’”
“Ratings agencies had given the OK to Standard Chartered’s plans to support the SIV, saying they would not affect the bank’s ratings or strain its balance sheet.”
“A Standard Chartered spokesman, however, played down talk of a reputational hit to the bank, saying: ‘Investors in Whistlejacket are mature investors and are aware they are just caught up in current market dislocation.’”
“Neville Kahn, the partner in charge of the receivership at Deloitte, said it would be exploring all the options available for Whistlejacket.”
“‘That includes alternative financing, whole book solutions or holding these assets to long-term maturity,’ Kahn said. ‘But I can confirm that there is no need for a fire sale of the assets. Absolutely categorically no need.’”
From Bloomberg. “SIVs typically invest in asset-backed securities and bonds sold by banks and insurance companies with high credit ratings.”
“Whistlejacket invested about 44 percent of its assets in financial company debt, according to Moody’s Investors Service. About 20 percent is in mortgage-backed bonds and 10 percent in collateralized debt obligations, notes that pool other securities.”
“Standard Chartered blamed the ‘impracticality of completing any proposal within the confines of the receivership’ for withdrawing its refinancing plan, in a statement today.”
“A year ago $20 million would have gotten Luminent Mortgage Capital Inc. access to $640 million in loans to buy top-rated mortgage-backed securities. Now that much cash gets the firm no more than $80 million.”
“‘There’s nobody out there trying to lend money on securities,’ said Luminent CEO Trezevant Moore. Six lenders are offering five times leverage on what the San Francisco-based company has contributed, while a year ago, 20 banks extended 33 times, he said.”
“‘The banks themselves, because they owned so much of this different kind of affected paper ranging from leveraged loans to mortgage-backed bonds, have simply got their snoot full,’ said Roy Smith, a former Goldman Sachs Group Inc. partner who teaches finance at New York University’s Stern School of Business. They ‘don’t have their usual amount of room to step up.’”
“The ability of mortgage bond buyers such as Luminent to use leverage with their investments has diminished.”
“Investors in the most senior commercial-mortgage securities could typically borrow 33 times the amount of their investment at a cost of 0.03 percentage points above the one-month London interbank offered rate in January 2007, according to a JPMorgan Chase & Co. report last month.”
“At the start of this year, an investor might only be granted 10-to-1 leverage, and pay 20 basis points above Libor.”
The Guardian. “Three mortgage lenders yesterday pulled the plug on deals that allow home buyers to borrow as much as 125% of a property’s value - the day after Northern Rock came under fire for offering similar deals.”
“Alliance & Leicester and Coventry Building Society announced within hours of each other that they were withdrawing their 125% mortgage products. Meanwhile, Abbey said a pilot scheme to test 100%-plus mortgages launched last autumn would end on Friday.”
“Melanie Bien, a director at mortgage broker Savills Private Finance, said: ‘The death knell for 125% loan-to-value (LTV) mortgage products was sounded when the government nationalised Northern Rock. How can the government be seen to encourage borrowers to take on such high LTVs, particularly when house price growth is slowing and prices are falling in some areas?’”
“She added that there was risk enough associated with taking on a loan that was more than 100% of the property purchase price when prices were rising, ‘never mind when they are falling and the risk of negative equity is so much greater.’”
The Wall Street Journal. “Sens. Hillary Clinton and Barack Obama sparred over housing policy yesterday, revealing some differences in their approaches to economic policy.”
“As the Democratic presidential candidates look to the March 4 primaries, when voters go to the polls in Ohio, a state hit hard by housing-market declines, Mr. Obama called his colleague’s plan to freeze mortgage rates ‘disastrous.’”
“Mr. Obama said the proposal was shortsighted because it would make lenders less willing to approve new loans or modify existing ones. ‘A blanket freeze … will drive rates through the roof,’ he said.”
“In regions of the country such as Ohio, where home prices are still declining, delaying foreclosure could force banks to watch home values drop further before they can seize homes.”
“‘Lenders are not going to recover their costs if it’s in an area of declining value or high unemployment,’ said Bud Carter, VP of a consulting concern that advises lenders. That could put further pressure on home values, experts say.”
“Obama said Clinton’s plan to freeze the monthly rate on existing adjustable rate mortgages did not target ’struggling homeowners’ who need help the most.”
“‘It will reward people who made this problem worse but it will also reward people who are wealthy and don’t need it,’ Obama told a small group gathered to discuss the economy in San Antonio.”
The Cherokeean. “In a campaign swing through East Texas last Friday, former President Bill Clinton…predicted that another one million ‘of your fellow citizens’ are facing foreclosures on homes because of the current mortgage meltdown.”
“Mr. Clinton called his wife’s plan the most aggressive of any of the candidates running for president. ‘She wants to freeze monthly payments for 90 days, and give $30 million to states,’ in order to implement a bailout plan.”
“‘We’ll tell the mortgage companies: you eat 20 percent, we (the government) will eat 20 percent, you won’t foreclose on these people,’ he said. ‘When you’re in a hole, you quit digging.’”
“For months, we’ve fretted about the Armageddon that will hit when subprime adjustable rate mortgages start resetting to much higher interest rates. What’s happening is even worse: Many of these loans are defaulting well before their rates increase.”
“Defaults for subprime loans issued in 2007 - none of which have reset yet - hit 11.2 percent in November. That represents perhaps 300,000 households, and is twice the default rate that 2006 loans had 10 months after being issued, according to Friedman, Billings Ramsey analyst Michael Youngblood.”
“Many borrowers were approved for mortgages that they had little chance of affording, even at the low-interest teaser rates. ‘I was rather shocked by the characteristics of the 2007 loans,’ said Youngblood.”
“These mortgages were doomed from the start. For instance, in both 2006 and 2007, well over 40 percent of subprime borrowers were awarded mortgages with either little or no documentation of their ability to pay.”
“And even when borrowers did go on the record about their earning power, it didn’t bode well. Both 2006 and 2007 saw a large proportion of loans with high debt-to-income ratios (DTI), which indicates the percentage of gross income required to pay debt. In 2007 subprime originations, the DTI hit 42.1 percent, up from 41.1 percent in 2006. Borrowers were simply taking on more debt that they could afford.”
“By late 2006, lenders knew that the housing market was heading south. And home prices began to drop. But instead of cutting back on risky loans, lenders kept lending. Why?”
“‘Because investors continued to buy the loans,’ said Doug Duncan, chief economist of the Mortgage Bankers Association.”
“Despite their quality, subprime mortgages were as profitable as any other for lenders like Countrywide and Wells Fargo, who were able to quickly securitize the loans and sell them in the secondary market. The loans sold easily because they carried the promise of high yields.”
“‘As long as you could sell the loan, you made the deal,’” Duncan said.”
“And, to outside analysts, there appeared to be nothing wrong with loan quality. ‘There were very few overt changes in industry underwriting guidelines,’ said Youngblood. What did change, he said, was that lenders made more exceptions to their standard practices, approving people with poor work histories or insufficient proof of income.”
“‘These exceptions generally amounted to no more than 5 percent [of subprime loans] before 2006,’ said Youngblood, ‘but they represented the majority of these loans issued in 2006 and 2007.’”
The Shelby Star. “With foreclosures skyrocketing, it’s hard to imagine that half the homeowners who stand to lose their homes through the process don’t try to stop it.”
“But according to Tim Adams, Mid-Atlantic District Director for NeighborWorks America, one out of every two homeowners who face foreclosure makes no effort to stop it.”
“‘You have to reach out and make a call,’ Adams said. ‘The banks don’t want to be in the real estate business. They would rather be in the lending business.’”
The Coloradoan. “One pocket of Larimer County is seeing foreclosure sales four times higher than the county average. Glacier View Meadows, a 5,000-acre mountain subdivision 35 miles northwest of Fort Collins, has suffered the last two years with rising foreclosure rates.”
“Forty percent of the 35 homes sold in Glacier View last year were either bank-owned sales or short sales, according to records compiled by Steve Koeckeritz of Lone Pine Realty.”
“Already this year, with 34 homes on the market in Glacier View, nine are being sold by the banks that foreclosed on the mortgages, Koeckeritz said. Many of the homes sold at auction last year were modulars and priced under $230,000, which is in the lower half of market for Glacier View homes, Koeckeritz said.”
“The subprime debacle, rising commuting costs and a sluggish manufactured home market have all contributed to the problem, Realtors say. Others walked away from their homes when they didn’t sell for the asking price, said Bob Isaacson, Realtor with Ponderosa Realty Associates, which has an office in Glacier View.”
“‘They set their expectations way too high. They see their home is not going to sell and they won’t take less and just say goodbye or go somewhere else. Foreclosure doesn’t seem to bother them,’ he said.”
“Steve Horsmon, president of the Glacier View Association, said the people going through foreclosure are primarily second-home owners who got in trouble with increasing gas prices, the long commute to Fort Collins and the cost of mountain living.”
“‘It got unmanageable, and they walked away,’ Horsmon said.”
‘With foreclosures skyrocketing, it’s hard to imagine that half the homeowners who stand to lose their homes through the process don’t try to stop it. But according to Tim Adams, Mid-Atlantic District Director for NeighborWorks America, one out of every two homeowners who face foreclosure makes no effort to stop it. ‘You have to reach out and make a call,’ Adams said. ‘The banks don’t want to be in the real estate business. They would rather be in the lending business.’
I don’t know why the industry keeps trying to sound amazed at the rate of folks that don’t try to stop a foreclosure. It’s been that high as long as I’ve been doing this. They always try to insist that if there was just some toll-free hot-line, or outreach program, it would all work out.
And then there’s always the line, ‘the lenders don’t want your house.’ Well, the FBs don’t care what the lenders want.
My wife and I talked about this last night.
When you rent, you need a security deposit along with first and last month’s rent. How are these FB’s going to come up with that when they are thrown out? If I’ve accepted the fact that I’m losing the house, I’d stop sending money to the bank and start saving to rent.
Even FB/UHS/landlords, like the woman who took her tenants coffee pot and shower curtain in the Florida thread yesterday. She hadn’t made full payments for a year, and was still collecting rent!
That story about the old lady “stripping this mother” really made an impression on me. If I were still in the landlording biz, I would find out if a prospective tenant had been foreclosed . I wouldn’t want some destructive spiteful jackass inhabiting my property.
Evidently, the FB’s don’t want them either.
(at the current price/payment, anyway……)
Maybe someone needs to invent a “House Shelter”, where lost, abandoned houses go to be adopted by new owners. After they have been neutered, so they don’t reproduce.
Phillygal:
“If I were still in the landlording biz”
I would want to know if the landlord is a DEADBEAT……should we as tenants do a credit check on landlord before we sign a lease? I don’t want to know 2 months later i have to deal with some MORON’s foreclose
It’s definitely a New Paradigm when it comes to apt. hunting. If your initial feelers tell you that your prospective LL is a deadbeat, by all means, do a little investigation on the status of the property. (liens outstanding, amts, if any, etc.)
I am about to rent a house and the first thing I did is search to see when the house was bought, if there were any loans taken out on it and how long the last tenant stayed there (when it’s less than a year it makes me think something might have been wrong with it) Bought the house 20 years ago, no refi, last tenants were 10 years and had triplets so moved someplace bigger.
I WISH I could do a credit report on them but hey, I think this will do.
Don’t worry, they’re starting to save alright. And they’ll have a great variety of rentals to choose from - credit won’t matter to a sea of desperate accidental landlords.
Methinks that those accidental landlords will soon drive a trend that we’ve been anticipating on the HBB. It’s the “Housing is a Terrible Investment” trend.
This one will start to spread when the accidental landlords start dumping their properties back on the resale market. And, oh, boy, will that ever drive the comps down.
Maybe one could lowball a landlord that’s going to get foreclosed for cheap rent. I know someone who’s renting a house for $650 in Florida. They know the bank will kick them out soon, but they don’t care as the rent comps run around $2000. The landlord knows it’s $650 a month free money for the next several months
Hah! Aren’t people great!
RE: credit won’t matter to a sea of desperate accidental landlords.
LMAO…once a deadbeat always a deadbeat.
All these accidental landlords are in for a surprise.
They’ll find out in short order what the term-”vacancy and collection loss” means on a FNMA income and expense statement.
Takes a court action to get a tenant out in these days of tenant rights. And you can really forgettaaboutit if the female tenant is pregnant.
Desperate Landlords — should be a great reality TV series.
Assuming they don’t cash out everything including 401k’s to stay in the house and assuming they stay rent free as long as possible, and assuming they don’t spend their “mortgage payment” on other crap, they should be in a far superior cash position when they are ready to enter the rental market.
Of course, too many assumptions can get one into deep doodoo.
Yes. Unfortunately, the smartest move if you are underwater and facing foreclosure is to not pay the lender another penny and live there free until you are kicked out. Not an ideal situation, but by making high LTV loans in states that dont allow them to sue for deficiencies, this was the deal the banks struck with the borrowers. I could say we need more regulation as I have in the past, but the market has already fixed that problem itself at this stage so it will be meaningless until they forget.
Let’s say that I’m a landlord. And some prospective tenant comes to me with the “I got foreclosed out of my house! Rent to me!” story. Now, do you think I’m going to forgo doing a credit check on that character? No way!
IIRC, Leigh Robinson’s book, Landlording, advised that you ask each prospective tenant for a personal financial statement. Not because you’re going to review it and give them tips on improving things. That’s not your job. You just want to see where they stand now so that you can decide if it’s worthwhile to rent your property to them.
There are potentially 2 million “homeowners” who will become renters with bad credit history. Will the fact that a bank once gave you a mortgage matter to landlords? Or will the just see a bad score and leave it at that?
Landlording is not for me, but I know of one who uses a rather unconventional background check. He says he checks out the renter’s car (inside and out) - says he can tell a lot about a person by the condition of their car.
My aunt used condition of teeth for similar reasons.
RE: Landlording is not for me
So said a lot of attorney’s, accountants, engineers, real estate broker’s, and ordinary citizens after the “multi unit” ownership craze collapsed in the bust ‘90/’91.
You gotta be some kind of glutton for punishment to be a landlord these days.
You gotta be some kind of glutton for punishment to be a landlord these days.
Depends on your definition of glutton… if you mean net earnings of 15% (12% when taking into account TVM loss of down payment) then I am a glutton… and don’t forget deductions and depreciation. Nothing like the government (read taxpayers) subsidizing rental property owner’s maintenance and improvements on property…
No risk, no reward. Just keep saving your cash in CD’s and money market accounts earning at or below inflation. How well has that been working for the Japanese in a ZIRP economy?
The funny thing is that I’ve never paid last month’s rent on any rental. I always just pay the security deposit and first month’s rent. Renting is so easy, I just don’t see why ANYONE would try to hang on to their rapidly depreciating stucco box when all they have to do is walk away and rent and be free.
You legally can’t in California. Its either last month or deposit. Not both.
Surprised responses to the ongoing carnage is starting to bug me too. First, we told them there was a bubble and they ingnored us. Then, we told them it wasn’t too late to get out; cut prices 5-10 pct below the comp and sell. Finally, we warned them it was too early to buy but they did. Now, prices are down 20 plus pct in some markets and everyone acts surprised.
I’m waiting to see FB’s that bought on the way down get foreclosed on. I suspect a lot of these homes where still purchased with 10% or less down. If housing prices drop another 20-30% these people will walk also. And of course we are now getting the traditional recession/job loss foreclosures starting up which is a strain even in good times.
I’m not buying until I can reasonably sell a home.
Since you put up some articles on the Presidential race, can you let us know who you think will be better at solving this mess.
Vlad the JT Impaler
Given what economic conditions are going to be like, when I go in the voting booth it will be as if Gozer has just asked me to “choose the form of the destroyer.”
“…many Shlubs and Zules knew what it was like to be roasted in the belly of the gaint Sloar that day, I can tell you!”
Or something like that…it’s been years since I saw that flick.
UGH!
Seriously. I know you hate to have politics discussed here, beacuse it is a losing battle, however…
I am a registered Republican, however, there is NO WAY I am voting for McCain. 100 more years in Iraq - NFW! My dad and uncle went to VIetnam, only my Uncle came back. War for no good reason is overrated!
When it’s relevant, I don’t care. In this case, this is the first time I’ve seen anyone talking about ‘eating’ 20%. (Ahem..MSM, a scoup here).
From a housing bubble perspective, I don’t think there is any question. There is only one candidate who would keep the government out completely, and I think everyone knows who that is.
That 20% comment is a pretty specific policy point for someone who isn’t supposed to be “co-president” to making.
I think this is still a great country, so whoever wins the “world will not end”.
That said, I am very suspicious of McCain who is now trying to suck up to the right wing, neCONS, of the party. I despise the hypocrosy of the Limbaughs, et al.
Would that “eating 20%” be some kind of bailout???
Crispy, sometimes you have to suck it up and take one for the team.
Think of the ramifications of an Obama presidency.
Think of the ramifications of an Obama presidency.
Restoring our credibility in the world? Stopping torture, illegal detentions, warrantless wiretaps and a money-and-life-sucking useless war? Yeah, that sounds really horrible. Plus, Obama is actually making sense on the housing issue compared to Hillary, and he’s surrounded himself with competent free-trade inclined advisors. Not all of us liberals are protectionist or favor heavy handed interventionism in economics, you know.
Ben is right, from a housing bubble perspective. But don’t forget that it’s Congress that controls the money.
“Think of the ramifications of an Obama presidency”
As opposed to 8 years of shrub & “Dickey Boy” Cheney?
I have an east coast friend highly connected within the old-guard Republican establishment and he is reporting that Obama has tapped many influential Republicans for their advice/expertise. My impression is that Obama is going to be far more independent of party dogma than McCain, who lost my vote when he threw his lot in with the fringatic fundamentalists.
My expectations are so low following 8 years of Bush that I
would welcome Obama as president simply because he is eloquent, can give a speech, and won’t look quite as stupid representing America on the world stage. Sad but true.
TXchick….. I’m surprised…. and disappointed. Phillygal too for that matter.
What’s your take on these “neocon” hypocrites?
http://freedomagenda.com/iraq/wmd_quotes.html
Obama is an empty suit - “articulate” without substance or experience governing or managing anything.
Another Republican here who can’t see himself voting for McCain, for other reasons.
No matter who wins, there’ll be a Democrat in the White House. My vote counts even less this year than usual, so I don’t even see the point.
McCain’s a Democrat?
You been listening to the hillbilly heroin man
anyone remember when McCain was a fiery no bs guy in congress. I mean he used to shout and scream stuff. He’s either well coached or on downers.
Waste of time. Fat man, black man or fat woman?
It’s like choosing between different kinds of turds.
Should I get the dark one or the light one? Will the loose sprayin’ kind be better than the tight cigarillo-shaped one? Which one is best for the nation?
Exactly, that’s why I’m voting for Ron Paul.
None of them, because it is a cultural problem not a public policy problem, though public policy didn’t help.
“Obama said Clinton’s plan to freeze the monthly rate on existing adjustable rate mortgages did not target ’struggling homeowners’ who need help the most.”
Could it be that Obama is so naiive that he doesn’t understand what is really going on, and who politicians really want to help? I think’s that’s why so many people like him.
Im opposed to anyone that describes homeowners that took on too much debt as stuggling or victims. There are a few homeowners that are deserving of compassion such as those diagnosed with serious illness and/or disability but those cases have nothing to do with the bubble and burst thereof, and to tie them to this housing mess is a disservice to those trying to intelligently examine the issue. Why is taking on too much housing debt viewed as more acceptable and understandable than taking on too much credit card debt by the mainstream?
Because housing is Necessary. And housing debt is okay because it’s about Nesting and The American Dream and Owning Something Of Your Own.
Credit card debt is Unnecessary. It’s the pair of Manolo Blahniks or the Plasma you bought on impulse. Credit is about Not Listening to Grandma Who Lived Through The Depression.
Obama understands that a rate freeze for current homedebtors will only cause a huge rate hike for potential homedebtors, thereby freezing the market altogether and hastening the decline. That’s a pretty complex concept for a politician to grasp and communicate. I think Obama is the best candidate for us.
IMO, anything the government does in this situtation will only make matters worse. But since when was that new?
Whoever wins will quickly learn to regret ever deciding to run. Being the president that has to tell Americans that their standard of living has been irrevocably dimished will be the most reviled in history, they always shoot the messenger.
Depends on how bad it gets by Jan 20. I suspect that the Shrub is auditioning for the part of Hoover, not Obama.
Sure hope he (Obama) doesn’t turn into an FDR.
Obama has it right. How in god’s name is Hillary’s idea of freezing the interest rate for 90 days going to help anyone? These sorry souls are mostly likely months behind on their payments and in debt over their heads. So what happens on the 91th day when the rate continues to go up? Oh, I know these homeowners will have received huge wage increases and paid down their existing debt in that 90 days and all will be well. Sounds like Kudlow with his Goldilocks theory. Give me a break.
Vote Obama 2008!
Every time I hear an Obama story, I think, “Please don’t be as incompetent as Jimmy Carter. And have more self-control than JFK, LBJ, or Bill Clinton.”
We definitely don’t need this kind of post.
Go Obama!!!!!
Forget McCain!!!!
Good bye Bush!!!!!
“Vote Obama 2008!”
That is Deep….
Yea, but who would Britney vote for?
Even as a Britney Spears proponent, I have to admit that I doubt she votes, and I’m grateful for that.
No she told me she’s voting for Obama, after she picks up some oxys from El Rushbo
Ok, so you are a Britney and a Obama proponent. Why do I have a feeling there are many folks like you?
Maybe you get that feeling because there are. Obama is the most popular Presidential hopeful, and Britney is the most popular tabloid personality. They’re both great if you ask me.
“Ok, so you are a Britney and a Obama proponent. Why do I have a feeling there are many folks like you?”
answer; because most people would rather be entertained than educated.
wow, where’s your myspace
sheesh . . .
Time to repeal Twenty-Sixth Amendment.
Hi BP, it’s me again.
I take it you want to deny those 18-20 years of age the right to vote? Why? Because that would disproportionately benefit the wealthy? Because then you could draft men at age 18 even though those men can’t vote? Because you think Big V would be excluded if that were the case? Wrong, BP. Big V is older than 21, so you still have to put up with my vote, SO THERE!
You are over 21! Oh Gawd it is worst than I thought. Jack Daniels here I come.
Funniest thread I’ve read in some time.
Like wow. Hope man. Hope. Y’know. He’s like so about hope and stuff.
Yeah, well, look where compassionate conservatism has gotten us. Oh, yeah, two C’s, which stand for crony capitalism. ‘lil bush just stands by while rome burns and his buddies can get gov’t contracts/bail outs at 1000% mark-ups. Hope AND sacrifice sounds good to me.
Just about all the comments above are living and breathing reason why we should just avoid politics on this board.
Sorry, but once we logged in it got political. You think this blog is just about amusing ourselves making fun of stupid FBers and conjuring Joshua Tree positions? I have better things to do. I think it’s healthy to have this discourse, even when we curse and bloody eachother with our own political biases and rhetoric and name calling. Let’s in some fresh air.
RE: Vote Obama 2008!
I’ve been tested quite a few times. My teachers kept getting shocked at my abilities, so they just kept testing me and putting me in gifted classes. Then, when I grew up, I kept telling people things like “Gas prices will go up, so a Prius is a good choice” and “George W. Bush Jr. is a terrible idea” and “House prices will fall so people shouldn’t buy anything soon”.
Throughout my life, I have had to contend with people of average intelligence or worse who cannot understand that my opinion is based on something far more complex than average. It’s just a fact that I’m smarter than most, so I get a little irked whan I am told that my political opinions identify me as “stupid and shiftless”, especially when it is so OBVIOUS that those with opposite opinions have caused this great nation to recently deteriorate.
Go read some geo-political commentary about Peak Oil.
You Obama voter’s need to be ridin’ bicycles and heatin’ your houses with methane gas generated by a mega pile of pigshit in your backyards.
I have bad news. You’re not actually as intelligent as you think you are.
Your post was so badly written, I have no idea what you meant to say.
“A year ago $20 million would have gotten Luminent Mortgage Capital Inc. access to $640 million in loans to buy top-rated mortgage-backed securities”
Is this capitalism at it’s best? Is that filling society’s needs?
A little leverage sometimes is ok, but 30+ times?? Holy cow.
Why “holy cow”? That’s 3% down, man! Show me a strawberry picker who can do that well!
” Now that much cash gets the firm no more than $80 million.”
Unwinding of the overleveraged debt collapse.
Not really, remember the ‘haircut’ under Basel II regs was $0.50 per $100 on AAA assets and went to $5.00 on BBB assets. The risk was if you were margined at $0.50 and the MBS was marked down to BBB, come up with mucho dinero, we’ll escort you to the bank with a couple of security guards.
…it will also reward people who are wealthy and don’t need it,’ Obama…
Good group to tap for funding.
I won’t get an economic stimulus check because I made too much money last year. This year, business is bad - down over 20% - one kid in grad school, one kid in private school, illnesses, family loans, and lease up on the car… yeah, I don’t need it. I don’t need anything. Thanks, Obama.
actually the stimulus check will be based on 2008 earnings. So when you do 2008 taxes next year and you qualify you will get the money then.
So you made over 150k last year. Kudos!
one kid in grad school and working?
one kid in private school oh noes! public schools!
illnesses 150k and no insurance?
family loans never loan money you expect to be repaid. ESPECIALLY by family members.
lease up on car So you deserve a tax break for making an unwise financial decision in leasing a car?
Not trying to be mean, but c’mon. I’m not getting a check either, and I fully expect my family income to drop by 50% in the next year. They can keep the dang money. They should have kept it all, raised taxes, froze SS, cut expenses, and stopped robbing the future.
“Many borrowers were approved for mortgages that they had little chance of affording, even at the low-interest teaser rates. ‘I was rather shocked by the characteristics of the 2007 loans,’ said Youngblood.”
C’mon Michael. Stop it. You knew.
“Mr. Clinton called his wife’s plan the most aggressive of any of the candidates running for president. ‘She wants to freeze monthly payments for 90 days, and give $30 million to states,’ in order to implement a bailout plan.”
“‘We’ll tell the mortgage companies: you eat 20 percent, we (the government) will eat 20 percent, you won’t foreclose on these people,’ he said. ‘When you’re in a hole, you quit digging.’”
———————
Sure thing there Slick - ” we (the government) will eat 20 percent”, oh you mean the US TAXPAYER will eat 20 percent, you socialist scumbag???? Will I get a 20% cash refund, courtesy of the US taxpayer, for the price of the house I bought and paid for with my own money?
Of course, what else would a liberal come up with than a way to transfer wealth from hardworking taxpayers to shiftless losers who took on more debt than they could handle. Of course, the stupid and shiftless make up the base of the party HRC is so desperately trying to represent.
I almost hope those socialists get what they ask for, then Atlas will shrug.
Hi AZ Owner:
Funny thing is, I don’t think Bill would have ever proposed something like this. It’s totally Hillaryesque, but it’s his job as her spouse to stick up for her, I guess.
What I hate the most about this 20% meal is that it’s a double-edged sword. First, our $$ goes to pay for their houses. Then, their houses don’t drop in value to a sane number, further burdening the younger generations (under 35). It just really bothers me a lot.
Vote Ron Paul if you must, but remember that a vote for Ron Paul is a vote for McCain. I still say “Vote Obama”.
That’s funny because I’ll probably vote for Paul as well and my argument against is that a vote for Paul is a vote for Obama.
Hi Dude:
You’re right. I screwed up. I meant to say “A vote for Paul is a vote for Obama” because he siphons votes from the Republican party. Cerebral flatulence, I suppose.
Oh, and BTW, I think Republicanism is terribly destructive, and my IQ is over 120. That puts me in the top 5% of all people on Earth. What’s yours?
Get retested.
lol
I’ve been tested quite a few times. My teachers kept getting shocked at my abilities, so they just kept testing me and putting me in gifted classes. Then, when I grew up, I kept telling people things like “Gas prices will go up, so a Prius is a good choice” and “George W. Bush Jr. is a terrible idea” and “House prices will fall so people shouldn’t buy anything soon”.
Throughout my life, I have had to contend with people of average intelligence or worse who cannot understand that my opinion is based on something far more complex than average. It’s just a fact that I’m smarter than most, so I get a little irked whan I am told that my political opinions identify me as “stupid and shiftless”, especially when it is so OBVIOUS that those with opposite opinions have caused this great nation to recently deteriorate.
Really, BP, I think the Republicans of the world ought to take a little more responsibility for their own actions. Let the Democrats take over for a while and show the world how it’s done.
Vote Obama 2008!
Somebody quick cue Ann Scott so she can tell us all about her advanced degrees.
Your opinion is just that, boyo.
Yeah, it too bad that all these “Wrath of Khan” castaways have to deal with all us dumb-asses.
Maybe they should just put themselves in charge, and send all us untermenshen to the resettlement camp.
After all, “Arbeit Macht Frei”..
Gulfstreamer:
Were you referring to my statement of personal intelligence, or to AZ Owner’s claim that Democrats are stupid and shiftless? Don’t hate me for being smart.
Big V,
I suspect you may be a small fish in a big pond here on this blog regarding intelligence level.
Big V = a beautiful mind. LOL
I feel like Big V, is being smart the new black in America? I get so depressed that even Fox Business news wont even interview me because i am way too old to be around little chicky-poos fresh out of school….
Oh well, what else can someone do in America, EEOC is a joke.
Were you referring to my statement of personal intelligence, or to AZ Owner’s claim that Democrats are stupid and shiftless? Don’t hate me for being smart.
—————
I said the “base” of that party is the S&S crowd. The leadership is much smarter - how do you think they keep the base in line? Dumb and Dependent wins many an election for the Demos.
Look at the voters HRC and BO are fighting over in Ohio and Texas now - it’s not the college educated, I can assure you.
As far as IQ - if you have to tell people what yours is, it’s not high enough to really matter.
Anyway, where’s my 20% refund for my house? Gimme my money!
RE: Somebody quick cue Ann Scott so she can tell us all about her advanced degrees.
Bravo!
Look guys, I’m a smart cookie. If you all have a problem with that, then I’m up for a good fight. Small fish I am not. Newbie, troll, dimwit, Republican I am not. Anyone calling me stupid will be corrected, K?
I suspect you may be a small fish in a big pond here on this blog regarding intelligence level.
Well said.
Yeah, that prius suggestion is a real winner.
Your fascination/obsession with Brittney speaks volumes about your intelligence, and its obvious what you two share:
Small mind, big V.
The Prius was a winner, amoney. You must have been one of the common fools who thought that the Prius was a fad, or that gas prices would never rise above $2/gallon. Too bad you were wrong and I was right. As the owner of a 2002 Toyota Prius, I consider myself to be “just better” than those of you who drive around your oversized SUVs, deny that man is causing the Earth to quickly warm up, and refuse to admit that the Prius was a winner, even though it’s the best-selling Toyota. You and Emmi should shack up together. Priceless.
And you are just jealous of Britney.
BWAHAHAHAHA!!!!!!!!!!!
Smart is as smart does. IQ tests simply gauge your ability to take IQ tests, nothing more.
Big V: Maybe you should buy a bicycle. All motorized vehicles pollute and eat up energy. A Pruis out-pollutes a Hummer. Building a Toyota Prius causes more environmental damage than a Hummer that is on the road for three times longer than a Prius. The Prius is partly driven by a battery which contains nickel. The nickel is mined and smelted at a plant in Sudbury, Ontario. This plant has caused so much environmental damage to the surrounding environment that NASA has used the ‘dead zone’ around the plant to test moon rovers. The area around the plant is devoid of any life for miles.
For the record: you do seem smart. Have you looked into getting a (good) education?
My experience is that person that brag about how “smart” they are, don’t know NEARLY as much as they think they do.
Your statements about the Prius just confirmed it. The Prius is a “worst of both worlds” solution.
Look up “smug” in Webster’s…….all it shows is some jackass sitting in a Prius.
And……..don’t confuse the current Administration with real Republicans.
Hi Lost:
Buying a Prius = smart
Not voting for the Dub = smart
Not buying an overpriced house = smart
Not letting the Republicans out there sell us Democrats short = smart
“Smart is as smart does”. There seems to be a correlation.
Comment by phillygal
2008-02-20 14:07:37
‘Somebody quick cue Ann Scott so she can tell us all about her advanced degrees.’
Oh, philly, you’re funny!
Nope, Big V, smart is as smart does isn’t what you think it means.
Careful, all. Big V may tell you to shut up or even threaten to sic her (pw’d) husband on you.
My last response to Magic Kat never showed up, so I’ll just strike that one and say this:
I graduated summa cum laude with special distinction from the best small research organization in the nation (according to Lipper and Frank).
And you have those views in spite of being “in the top 5% of all people on earth”? A mind is a terrible thing to waste!
Excuse me, I believe we’re in the middle of an IQ pis$ing contest…
Carry on.
Sorry, normal male competiveness.
Don’t get me wrong, I’m enjoying this.
*just playing.* It’s snowing here outside beautiful downtown Philadelphia. What’s the weather in your neck of the woods?
Hey, do you think houses cost too much lately?
While we are in an IQ contest, mine is around 137, putting me in the 99th percentile
139 b***ches.
Of course, I still regard myself as incredibly stupid. I think that is about the only smart thing anyone is really capable of.
It’s kindof a Zen thing.
Phillygal
In Riverview, Fl (east of Tampa), overcast, 75 degrees.
No problems at all with housing and home prices here in central Florida! Ther’s nothing here to see; move along.
Phillygal, The weather outside is snowy inside its nice and cozy, I’ve really no place to go let it snow.
# Tonight: Some clouds. Low -9F. Winds WSW at 5 to 10 mph.
# Tomorrow: A mix of clouds and sun in the morning giving way to a few snow showers during the afternoon. High 16F. Winds SW at 10 to 15 mph. Chance of snow 30%.
# Tomorrow night: Snow showers early with a chance of lingering snow showers later. Low 3F. Winds SSW at 5 to 10 mph. Chance of snow 40%.
I guess my IQ is REALLY low, cause I was stupid enough to read through all this crap about IQs.
Godalmighty. Where’s Olygal when we need her, or Aladinsane? People with REALLY high IQs have a good sense of humor and don’t have to brag on themselves.
My IQ must be like 34 since I don’t know what my IQ is…
Cracker: very nice, temperate and mild. Hoping to enjoy some of those warm temps over Easter wknd.
Hoz: BRRRR (our snow is lame compared to yours)
There’s a lunar eclipse tonight. I hope the clouds don’t
obscrueobscrewmess it up.after all rental watch you rent and throw your money away you must be dumb
(sarcasm off for those of us unaware of our iq’s or just too embarassed to admit them)
Hoz, Phillygal, LOL!!!
Supposed to snow on Long Island…….
….ummmmmm, guys, I thought it’s different here.
QUIT THE BICKERING AND MOVE ALONG!!!
People that freely tell you how smart they are, usually aren’t.
Ok, I’ll play. 153
(putting on asbestos vest to protect from certain flamethrowing)
I totally feel your pain Big V. My greatest trial in life has been that I don’t suffer fools gladly, and I’m surrounded by comparative fools. One of my most commonly thought (but unspoken) phrases is, “I told you so!”
If I may just expand a bit and give an example of how my above average mind has changed my life. I work designing complex electromechanical systems with embedded logic controls. When comfronted with issues of design and troubleshooting I can visualize the system of multiple inputs and outputs, including the mechanics and how they interact, Quite often this is with a system that isn’t a physical reality yet. The people I work with can’t understand how I can solve the problem, or see problems they haven’t discovered yet.
The downsides? I walk the edge with regards to sanity and it’s very difficult to find and connect with peers.
Yes, dude, a man after my own mind. Just for the record, my own brother is much smarter than I am. He’s the only other person (besides you now) that understands.
hey big v last i heard that high iq and $2 gets you a ride on the nyc subway
there are plenty of smart cookies here but not too many of them post their iq or tell everyone what a genius they are
the beautiful mind comment and the mind is a terrible thing to waste as well as the retest comment were classics
Big V:
“Pride goeth before the Fall”
Just a hip-tip; here in blog town we try to never talk about how smart or above average we are. It scares the kids and irritates the old people.
Hey, Mormon Tea:
I don’t buy all that “Don’t let anyone know you’re smart” nonsense. Tall people don’t get any flack about admitting their tallness, why should I take insults to my intelligence? My IQ provides objective evidence that I am not “stupid”, as AZ Owner suggested. Anyone who has a problem with my intellectual abilities should bite me and take a hike while they’re at it.
Crikey, it’s two bucks to ride the NYC subway these days? Thanks for the heads up - I was beginning to think there was no useful info on this thread.
My IQ provides objective evidence that I am not “stupid”
I know I shouldn’t, but…
No, it doesn’t prove anything about your intelligence. It doesn’t prove anything about how “smart” you are.
All it proves is that you took a test about pattern recognition and logic, and did pretty well one particular day.
And I say this as someone who does rather well on those tests.
It means you have an aptitude to be a computer programmer, and nothing more. It doesn’t even mean you have an aptitude to be a lawyer, or a doctor - those professions require excellent memories, which aren’t measured by the test.
I’ve found that people who have to fall back on their test scores to prove self worth typically have nothing else to fall back on.
Seriously, show you’re truly intelligent, and stop talking about your IQ.
Forever.
Dear Jim D:
Please do more research on what IQ tests actually measure. They measure analytical, verbal, comprehension (that’s partially memory), and math abilities. A person with a high IQ will most likely NOT become a computer programmer, since it doesn’t take that much intelligence to program computers.
You should not assume that I need my IQ score to justify my self worth. You should know, however, that I will use objective evidence to support my position whenever possible. I refuse to pretend that I’m not smart just because intelligent people threaten you. Just accept it and move on.
A person with a high IQ will most likely NOT become a computer programmer, since it doesn’t take that much intelligence to program computers.
Really? How interesting. Then why is it that all of the good programmers I know have IQ’s a lot higher than yours?
You know, all this talk about IQ tests amounts to so much blather.
Everyone here should be quite pleased that few people score well on IQ tests. Why? Because if many people were as naturally gifted as Big V, little would get done.
No, that’s not an insult you should take personally, Big V. It’s just been my observation that a great many Really Bright individuals accomplish squat. That, Big V, also explains your support and wont of/for socialism. When the dim masses are led by the Really Bright, the latter need do nothing other than pontificate and defecate. And often at the same time and out of the same orifice!
If you find yourself bored tomorrow (Thursday), go stream some Evan Sayet speeches off the ‘net and prove to yourself that you’ve the guts to consider ideas that you apparently are predisposed to find abhorrent. Write down Sayet’s ideas as you hear them (you won’t like them) and then respond in writing. Do this for yourself so that you can determine whether your thought processes are driven by logic or by political propoganda. From my obviously limited vantage point, it seems to be the latter.
Don’t do this for me, do it for yourself. Don’t do it for me as I actually don’t give a shit. For now at least, your mind is too littered to be of interest.
Thanks.
dude = Bobby Fischer.
I’m pretty sure Bobby F was a savant of some sort. I’m a lot like him, only not dead, and not nearly as crazy, and not an expert at chess, and I don’t hate Jews; so yeah, I’m alot like him.
So you’re saying you’re a half-mad nerd?
Here’s something for you to chew on:
If the newest theory of the universe being in an endless cycle of expansion and contraction is true, then that would possibly mean that the physical manifistations of each cycle would be exactly the same every time down to the location of each atom at each moment, to preserve the total energy of the system. So next time the universe contracts and expands again, there will be another housing bubble, and in the next 2006 none of us (except maybe txchick57) will be able to short Countrywide or Toll, or be able to call Cramer on CNBC to tell him the end is near, because we won’t remember any of this. Darn.
See you right back here next time around, I guess.
I’d say about 23% mad, but not a nerd. I hid my gifts by jockdom and got average grades because I didn’t do any homework but got high grades on all tests. Needless to say, but I’ll say it anyway, this did not do me any good in college.
Got my turkey avacado & soughdough roll…going outside to take photos of spring first blossoms…this thread is too “deep” for this one wandering on a spinning planet…
Chapter Three:
Not exalting the gifted prevents quarreling.
Not collecting treasures prevents stealing.
Not seeing desirable things prevents confusion of the heart.
The wise therefore rule by emptying hearts and stuffing bellies,
by weakening ambitions and strengthening bones.
If people lack knowledge and desire,
then intellectuals will not try to interfere.
If nothing is done, then all will be well.
Tao Te Ching
by LAO TSU
Translation by Gia Fu Feng
and Jane English
Big V has a mild case of asperger’s syndrome.
The worst thing about being smarter than everyone else is falling into perpetual laziness and procrastination.
Ignorance is true bliss.
PS.
Anyone with an IQ of 120 should know that the best choice would be a late 80’s mercedes 4 door converted biodoesel, when the phit hits the shan.
Long term ownership of a Prius depends on large scale industrial battery production and the willingness of Toyota to stick it out in the US in a depression.
GM had to stop some production because 1 (one!!!!!) plastic mold supplier went under. What do you think will happen when commercial credit vapor lock becomes more widespread?
Well, dude. My own rather high IQ indicates but one possible conclusion here: you are a freakin’ mutant. I mean that in a super good way.
Especially with that ‘visualize the system of multiple inputs and outputs, including the mechanics and how they interact’ thing. Wouldn’t it be easier just to pray?
(I believe you once indicated that you were a Mormon bishop, but I believe you aren’t one anymore, so I hope it’s okay to jest about the praying advice. If not, just say so–please don’t shoot out a directional death-ray from your mind or something.)
And what’s this nonsense with the UNSPOKEN ‘I told you so’. One of the pleasures of my life is a loudly and distinctly delivered ‘I told you so’. Sometimes I even go ahead and say it in Sanskrit, or Russian or whatever, just to be sure.
Oh, and one more thing–can you levitate bottle caps with your mind?
Don’t even bother to write your answers out–just beam them right into my brain. I’m the blonde one, sitting at a desk in Olympia, WA, eating a bag of Pixie Stix from the DollarTree, and not working.
And I’m wearing red shoes.
Also–I can’t speak Russian or Sanskrit. I just said that to sound smart. I used to speak Spanish, but I forgot it.
I do still want to know if you can levitate bottle caps.
Olygal - there you are!!! ROTFLMAO!!
Thanks OG, you brought a smile to my face as well.
I’ll keep my aluminum foil cap on so as to avoid accidentally incinerating anyone with my powerful brainwaves.
I am almost certainly a mutant of some sort but whenever I try levitating bottlecaps they always hit me in the eye. I think it may be some sort of self-hatred thing.
BTW, I think my religion has been of great benefit in staying safe.
LOL…thanks OlympiaG.
Big V: That puts you in the top 10%, not top 5%. Assuming a standard deviation of 15 points and a mean of 100, you can check this in Excel:
=NORMDIST(120,100,15,1)
120 does, but mine is over 120.
Top 5% is greater than about 124.
That’s ok, I’m a member of Densa myself.
“ You eat 20 percent, we will eat 20 percent……”
Sounds great. I would assume then, this means the value on all real estate, coast to coast, will drop 40%? Since this plan “revalues” the property, the future appraisal paradigm will be prior sale (comps), minus 40% (or, the ‘eaten’ amount).
All in favor? (come on sellers, raise your hand …. we’re tryin’ to save housing).
ROTFLMAO,
yes. It is effectively saying real estate will drop 40% nominally.
Now I’d be happier if it penalized those who wrote the bonds that are going to zero.
Looks like they let the cat out of the bag.
Got popcorn?
Neil
While I disagree with the “socialist scumbag” sentiment, I agree with everything else. It makes my blood boil to hear these candidates talk about how the rest of the country should bail out these deadbeat “neighbors.” Let them rot.
“These mortgages were doomed from the start”
No kidding! I hated that ‘refi later’ BS line buyers were given. Refi into what? They already had a low teaser rate with a low initial payment. If they had a hard time with the initial low payment, what product is/was out there to help them out?
None.
For a lot of people that bought, the only way out was/is thru foreclosure.
And they conveniently forgot to mention that refinancing isn’t free. Back in 2005, I was toying with refinancing. So, I called a reputable local guy in the mortgage biz. I was told that it would cost me around $2,000 in closing costs.
I didn’t proceed with the refi. I had many other things to do with $2k.
The 4.75% interest rate I got with my $1400 refi has long since paid off.
A home is a hole you throw money into
(with apologies to Mark Twain)
[i]“In a campaign swing through East Texas last Friday, former President Bill Clinton…predicted that another one million ‘of your fellow citizens’ are facing foreclosures on homes because of the current mortgage meltdown.”
“Mr. Clinton called his wife’s plan the most aggressive of any of the candidates running for president. ‘She wants to freeze monthly payments for 90 days, and give $30 million to states,’ in order to implement a bailout plan.”
“‘We’ll tell the mortgage companies: you eat 20 percent, we (the government) will eat 20 percent, you won’t foreclose on these people,’ he said. ‘When you’re in a hole, you quit digging.’”
[/i]
Disgusting, naked populist pandering for the “what will you give me” vote. 1 millions homeowners are NOT facing foreclosure because of the current meltdown, they are facing foreclosure because they took on mortgages they could not afford.
Watch Obama and Hillary especially pander for votes, effectively offering to bribe voters via morgage bailouts. I expect the populist garbage to really ring loud for the next few months as long as the Dem nomination is undecided.
Full disclosure, I will be voting for McCain whether its Hillary or Obama. I predict Hillary gets really nasty and steals the nomination from Obama at the convention. I am not sure what McCain will eventually propose regarding the current housing bubble bust, but I am hopeful it will be a minimal token gesture, and not involve any payouts of my tax dollars.
With McCain your tax dollars will be paid out to Iraq.
By the time US troops pull out of Iraq, American taxpayers will likely owe over $1.3 trillion. America budgets over $623 billion every year for the military, but troops often don’t have the body armor, bullets, and anti-strike vehicles. But we have enough money to have a show of force by knocking down dead satellites from the heavens. Plus I haven’t even begun to say anyhing about the loss of lives resulting from this stupid war.
The rest of the world combined spends a little less than 500 billion a year: China spends $65 billion, Russia spends $50 billion, and N Korea spends 5 billion, and yet those countries, we are told, are a threat to the American way of life. McCain wants to continue the war for another 100 years… I’d like to see our troops come home, and the money spent here: on new bridges, roads, schools, hospitals, etc. I think we’d be money ahead if America tried to feed, clothe and provide homes, schools and hospitals for Iraq, Afghanistan instead of tearing their countries apart. BTW: heroin poppy production in Afghanistan is at an all time high.
see those pictures from uae the other day? to get those infrastructure, they probably will be spending less than what we spend in iraq the past two years.
“I predict Hillary gets really nasty and steals the nomination from Obama at the convention”
Yes, if the “Billary Machine” goes this route…McCain will win…the Obama voters will protest by not voting…that’s how old Abe got elected…split the party.
Rumor has it that McCain would select good ‘ol Condy for VP. Imagine that, ring in the old.
Rumor and common sense are two different things. She’s a political lightweight, never having been elected to any office, and her strength is McCain’s main strength. Because of McCain’s age, which will be an issue, it has to be someone of presidential caliber. Romney. (Reagan didn’t like Daddy Bush either.)
Really amazing. It’s like you didn’t even read what Obama said. Which is what everybody on this blog, I would think, would applaud. Yeah, McCain sure why not. more Bush than Bush. Astounding.
““‘They set their expectations way too high. They see their home is not going to sell and they won’t take less and just say goodbye or go somewhere else. Foreclosure doesn’t seem to bother them,’ he said.””
With that herd mentality, it’s no wonder foreclosures are skyrocketing. When all your neighboors walk away, there no longer is much of a stigma walking away too and following the sheeple.
Let them walk away, the banks will be selling them cheap
“The U.S. thrift industry on Wednesday reported a record $5.24 billion loss in the fourth quarter of 2007 - the biggest quarterly loss since federal regulators first started collecting quarterly data.”
Any questions?
why is the rum gone?
with apologies to drunken sailors.
Bill Fleckinstein is sporting a new mullet hairdo.
He’s cute but that’s a bi level cut.
I should know, I did hair.
Bill and Herb Greenberg are my dream men. I’d take either one
Bill Fleckenstein is a hottie! Plus, he’s sarcastic and appears to be deeply annoyed by just about everyone else–that always excites me.
I don’t know about the mullet thing, though. I’ll have to see it before I pass judgement.
Funniest condo quote of the day, and it wasn’t even from the HBB.
“Yes, the condominium inventory is rising, but that is because well-informed owners are pricing correctly and waiting for the informed buyer.”
Saw this on Crib Chatter - a local (Chicago) RE blog. It’s from a used house salesperson. Someone help me with the logic at work here - my forehead is pounding!
….
It’s simple:
They are waiting for the NAR to “inform” the buyer by saying… “buy now, or be priced out forever”.
By definition, a correctly priced item does not have to wait long for a buyer. It sells within some historically normal time frame, and doesn’t stick around draining it’s owner of maintenance costs.
wow you really are smart
sorry i could not resist
lol
But Big V, that would mean that market forces were allowed to work on the downside… the NAR doesn’t believe in that.
Got Popcorn?
Neil
“Despite their quality, subprime mortgages were as profitable as any other for lenders like Countrywide and Wells Fargo, who were able to quickly securitize the loans and sell them in the secondary market. The loans sold easily because they carried the promise of high yields.” … “As long as you could sell the loan, you made the deal…” “…And, to outside analysts, there appeared to be nothing wrong with loan quality….”
Cue the lawyers.
Who has the HBB carp? Can you please overnight to me?
I have a friend who believes cheap dollars and foreign buyers will keep NYC prices high forever. I obviously need the HBB carp to smack this gentleman about his face and whatnot.
We HBB-ers use Txchick’s 20-pound trout, not carp. And here’s a virtual 20-pounder for your. Smack away!
If I remember correctly, someone thought trout are too pretty and thus suggested carp. In any case, if it’s slimy and smack-worthy, I need it.
How ’bout an eel?
There’s been a lot of “carp”ing on HBB lately. Different big fish for different applications.
Arizona Slim:
Will you be attending this weekend’s (sold-out) REIC smack-fest at ASU?
LOL…
http://www.cnbc.com/id/15840232?video=656362011&play=1#
It’s safer to give your kid to Britney Spears for child care than to buy a NYC Office REIT.
Hey guys. On our way out of Iraq can be burn the oil fields like Saddam did? We’ll get even with those pesky Iranians and Russians while they’re pulling in.
I guess you think “Oil” can’t go higher than $101.00 per barrel
Interesting tidbit…
http://money.cnn.com/2008/02/20/real_estate/loans_failing_pre_resets/index.htm
The 50% walk away rate without even trying to hold on to the house are mostly people that lied in the buying/refi process. They’re hoping that it just all goes away without further problems.