Examining the home price boom and its effect on owners, lenders, regulators, realtors and the economy as a whole.
Post off-topic ideas, links, and Craigslist finds here.
Posted By: Ben Jones @ 12:25 am
I tried my best to keep this business trip for going into a third day, but I’m stuck away from my desk, so there won’t be a desk clearing post today. Maybe I’ll put something together tomorrow. Thanks for your support and have a good weekend!
Ben - when you return - please comment on this from the Economist - I cannot get to the American Cities index as I don’t have an account - I am too cheap to do that!!!
“HOUSE prices are going through the roof. They are rising in 18 of the 23 economies that we track. And in eight of them, prices are increasing at a faster pace than three months ago. Yet there are also weak spots, particularly in Europe. Prices in Spain, which had one of the biggest property bubbles before the crisis, are still falling. They have kept declining in France and Italy too. In contrast, housing markets are buoyant in some northern European countries, notably Britain and Sweden, and especially so in their capital cities (see article).
Since some form of recovery was bound to occur after the housing slump, how worrying are the renewed signs of exuberance? To assess whether house prices are at sustainable levels, we use two yardsticks. One is affordability, measured by the ratio of prices to income per person after tax. The other is the case for investing in housing, based on the ratio of house prices to rents, much as stockmarket investors look at the ratio of equity prices to earnings. If these gauges are higher than their historical averages then property is deemed overvalued; if they are lower, it is undervalued.
Based on an average of these measures, houses are at least 25% overvalued in nine countries. Judged by rents, the most glaring examples are in Hong Kong, Canada and New Zealand. The overshoot in these economies and others bears an unhappy resemblance to the situation that prevailed in America at the height of its boom, just before the financial crisis. Explore the data in our interactive chart below (updated on August 27th 2014) and try to spot which bubble might pop next.”
Minus the “financial crises,” rising housing prices would have continued, unhindered right through till the present. Right?
It’s such a shame that bad old “financial crisis” happened and screwed up our housing investments.
“The overshoot in these economies and others bears an unhappy resemblance to the situation that prevailed in America at the height of its boom, just before the financial crisis.”
Sad panda boo-hoo for the well-known ending to this saga.
If you don’t clear you desk for a whole week, you might not be able to find it again!
Try not to get stucco.
Falling Housing Prices Are Causing Violent Protests In China
By Matt Schiavenza
on August 27 2014 1:49 PM
Falling house prices have caused alarm — and even some unrest — in China. Reuters
In a sign of growing public concern over fluctuations in the country’s housing market, homeowners in two Chinese cities gathered over the weekend to demonstrate against plans by property developers to make steep price cuts even as the industry has recently struggled to attract buyers.
According to website MarketWatch, a crowd of homeowners surrounded the Shanghai sales office of property developer Greentown China Holdings Ltd. to protest a 25 percent drop in home values owned by the company. Meanwhile in Jinan, capital of Shandong Province, owners unfurled banners to protest a similar cut and clashed with counter-protesters organized by the real-estate company.
China’s economy, the world’s second largest behind the United States, is highly dependent on its real estate sector, which accounts for between 16 percent and 20 percent of China’s gross domestic product growth. Because of strict capital controls and a volatile stock market, Chinese citizens invest a significant portion of their surplus income into real estate: Despite widespread rural poverty, China’s homeownership rate is 90 percent (compared to 65 percent in the U.S.). Meanwhile, local governments lend money to property developers, whose investment in steel, cement and other commodities fuels politically desirable GDP growth. As a result, rows of apartment buildings — often lacking residents — dot the landscape in China’s major cities, creating widespread concerns of a bubble.
The Chinese government last year imposed limits on purchases of multiple homes, as well as higher down payment requirements. The measures worked: A June survey found that 55 of 70 major Chinese cities reported a months-long slump. While Beijing has since relaxed some of these measures, this weekend’s protests illustrate just how little the Communist Party wants to deal with a sustained drop in home values.
to demonstrate against plans by property developers to make steep price cuts even as the industry has recently struggled to attract buyers.
They like this market economy… right up until they don’t.
Funny how none of these buyers were protesting when prices were going nowhere but up!
The asymmetric psychological response to rapidly rising and falling prices is one of the most fascinating aspects of mania psychology.
Seems we have a mania that is ricocheting ’round the globe, with where it stops, nobody knows.
It might help if there was concerted effort to stop it.
It’s like the wooden banana. My family has been passing it around as a joke gift for decades. It always sucks when you end up with the wooden banana, but no one will throw it away. We secretly love it. It makes us feel great when we trick someone else into accepting it. We like to make each other suffer!
Sometimes I wonder if the billionaires of the world actually do this stuff for the same reason.
I’m sure you’ve had some delightful times with your wooden banana.
I’m not the one who came up with it.
“It might help if there was concerted effort to stop it.”
Too bad so many of the high-level PTB are actively and openly making a concerted effort to keep the mania going as long and far as possible.
This can’t be true. ABQDan assured us that Chinese people have eerily high IQs, thereby ensuring them world dominance and a utopian society. Their temporary status as a third-world country was actually caused by the devil himself, but they’re much better now.
A collapse of the Echo Bubble is great news, as it heralds the dawning of a New Era of affordable housing in the U.S.
Real Estate and the Recovery
Why a Slowdown in Housing Prices Is Great News
AUG. 26, 2014
There was some glumness in the latest news on housing prices. There shouldn’t be. Slower home price rises — and in some markets, outright declines — are a sign the housing market is starting to move past the boom-and-bust cycle of the last dozen years toward a market where sensible prices driven by local economic conditions prevail.
The S.&P./Case-Shiller home price index showed prices rose 8.1 percent in 20 major cities in the 12 months ended in June, the lowest rate of increase since 2012. Compared with May’s prices, national home prices actually declined oh-so-slightly, by 0.1 percent, with six major metropolitan areas reporting price declines of more than 1 percent. (Those would be Atlanta, Boston, Chicago, Cleveland, Detroit and Minneapolis.)
Why is this good news? Because the new data offer hints that a disastrous era for housing may be ending.
To plagiarize Geroge Lucas, these are not the stats you’re looking for. All this is saying is that home price appreciation is decreasing to return to its historical trend of simply following inflation. 2-3% per year, stay in the house 3-4 years to break even etc. At this point the only way I can see house prices decreasing lower than their 2011 low is if interest rates rise significantly, like over 7%. And that would have to happen within 5 years.
Ehhh no Donk. It clearly indicates a price reversal.
No, it indicates a price increase reversal. Second derivative, my gooey little cream pie.
Which is a price reversal no matter how much you clap your hooves.
A persistently negative second derivative almost surely will eventually result in a negative first derivative.
No, it indicates a price increase reversal. Second derivative, my gooey little cream pie ??
No need to respond to him…Common sense need not apply…He will say some of the most ignorant things just to get a response…Ignore him…
Donk doesn’t have the intestinal fortitude to do that…… and neither do you.
I vote for price reversal, STAT.
+1. -dx/dt, pronto!
Don’t miss the fact that the second derivative and first derivative of prices are endogenously related. The farther down a negative second derivative drives down the first derivative, the more fly-by-night investors move from the demand side of the market to the supply side. But this in turn continues to hold the second time derivative of prices to the negative side of zero.
Thus proceeds a financial economic death spiral.
That’s like saying you are going to tax yourself into prosperity…..
No it’s not like that at all.
Sux for states that rely on ever-inflated home prices to extract ever-high property taxes.
why do we rely on ponzi schemes in assets such as stocks and homes to say the economy is doing well?
Remember. … falling housing prices to dramatically lower and more affordable levels is positively bullish and good for the economy.
Mom says no more X-Box until you bring all the dirty dishes up out of the basement. And you need to call that manager back about your job application at Wendy’s.
Right after you fetch my Cheetos now get to woman. Move!
Your engagement with enragement is causing your derangement
How many homes will 16 bil purchase - Ask the dude at DOJ - Holder - and most likely the response will be crickets.
Madness to start your day there peeps. We live in a corrupt Fascist coporatocracy!!!
Flagstaff home prices drop below $300,000
(Jake Bacon/Arizona Daily Sun, file)
17 hours ago • SUZANNE ADAMS-OCKRASSA Sun Staff Reporter
With an 11-month supply of homes for sale, the Flagstaff market is seeing sellers reduce their prices in order to close the deal.
After cracking the $300,000 mark for the first half of 2014, the median price for a single-family house in Flagstaff fell below that threshold in July as home sales slowed.
The Northern Arizona Multiple Listing Service showed a total of 102 homes sold in July vs. 112 homes in July 2013. The multilist also showed a 4 percent decrease in housing prices, from a median price of $309,000 in July 2013 to a median price of $295,500 this July.
That is nearly $100,000 below the peak median July price of $392,000 reached in 2006.
The median price during the first six months of 2014 was $305,000 and in June alone it was $322,000.
Century 21 Flagstaff real estate agent Stephen Brighton said while prices were down, amount per-square-foot of house increased by about 5 percent to $175 per-square-foot and the number of homes on the market increased.
There is now an 11-month supply of homes for sale on the market, he said.
The news presents a good opportunity for those looking to buy, Brighton said.
“Due to the market run-up there are now a lot of properties for sale, with some being quite overpriced,” he said. “There are an awful lot of property owners that want to sell but they have to get a certain dollar figure in order to close escrow and not have to write a check because of how much they owe on their mortgage.”
Added Brighton: “Obviously some will not get sold and their owners will continue to try through winter and/or again next year. Owners (who) are able to reduce their prices will have to lower (their prices) in order to get their places sold because of the high inventory levels. It’s a very good opportunity for buyers.”
Brighton said it was too early to tell if this was the start of a new trend in the Flagstaff housing market.
At a national level, fewer Americans bought new homes in July, evidence that the housing sector is struggling to gain traction more than five years into the economic recovery.
Flagstaff… Where are the $100K household incomes to support these $300K houses?
Certainly not serving Grand Canyon tourists. It sure isn’t 911 dispatch either, that pays just above minimum wage!
Not exactly sure where those jobs come from.
Where are the $100K household incomes to support these $300K houses ??
3 times gross ?? Seems to me you can easily afford that house…
Remember, as the income goes up the metric will change…Someone who makes 1-mil a year buying a 3-mil house is a no-brainer…On the other hand, someone making 25k per year probably cannot afford a 75k house…
“Flagstaff… Where are the $100K household incomes to support these $300K houses?”
The people buying the houses aren’t the local wage slaves. They are wealthy speculators from out of the area. Same with all the second home mountain areas. These types of places used to be where blue-collar families built modest cabins for weekend getaways. Those cabins have bulldozed, replaced by 6,000 square foot compounds.
Those cabins have bulldozed, replaced by 6,000 square foot compounds ??
I agree…Some of the most repulsive examples of people throwing around money…
And almost all of those “wealthy speculators” actually live in Phoenix, where the median wage is about $16/hr. Most of the specuvestors can’t afford to make full mortgage payments, so they got i/o teaser loans during a time of historically low rates.
Of those that can afford to pay, they would rather walk away if they’re underwater.
Metro Detroit home prices were up 10 percent in June
on August 27, 2014 at 7:34 AM, updated August 27, 2014 at 7:52 AM
DETROIT, MI - Metro Detroit home prices rose 10.3 percent year-over-year in June, according to the latest report from the S&P/Case-Shiller Home Price Indices.
Among the 20 largest metro areas tracked by S&P/Case-Shiller, just four regions saw higher annual growth rates than Detroit in June, including Las Vegas (up 15.2 percent), San Francisco (up 12.9 percent), Miami (up 11.5 percent) and Los Angeles (up 10.5 percent).
Detroit remains the only region on the 20-city index to have home values below the January 2000 level.
This headline is straight out of the book, How to Lie with Statistics.
South Florida home prices rose 11.5% in June
Aug 28, 2014, 7:15am EDT
South Florida home prices rose 11.5 percent in June from a year earlier, according to S&P/Case-Shiller data.
South Florida home prices rose 11.5 percent in June from a year earlier, according to S&P/Case-Shiller data.
Home prices inched up 0.6 percent from May to June in Miami-Dade, Broward and Palm Beach counties, not seasonally adjusted. That compared with a 1.2 percent increase between April and May, according to the Miami Herald.
The slower pace of increases for Florida matched that of the national slowdown of price gains, the report said.
The cash is leaving the market here in South Florida. Investors have determined enough is enough.
I’m interested to see what happens when the inventory picks up as people try to cash in their “equity.” Let’s not forget when the banks decide they’ve held off long enough on the distressed supply.
London Property Market Stalls as Buyers Resist Higher Prices
By Emma Charlton Aug 28, 2014 11:19 PM PT
Photographer: Jason Alden/Bloomberg
Pedestrians walk past a row of residential properties in the Perivale district of London, U.K.
London’s property market stagnated for a second month in August as buyers became reluctant to accept high asking prices amid the prospect of increasing borrowing costs, Hometrack Ltd. said.
The survey of real-estate agents showed values were unchanged in a “stark” change from the sharp increases over the past year that helped propel national prices to a record. Across England and Wales, values grew 0.1 percent, bolstered by gains in commuter towns in the southeast. Nationwide Building Society offered a more upbeat assessment today, with its national index showing prices up 0.8 percent this month.
There’s “evidence of growing resistance to rapid price rises in the London market,” said Richard Donnell, director of research at Hometrack. “Talk of a housing bubble and warning from the Bank of England have impacted sentiment.”
Las Vegas Home Prices Surge 15%
By Paul Ausick
August 26, 2014 10:20 am EDT
The only U.S. city to post a year-over-year home price increase of more than 15% in June was Las Vegas, where prices rose 15.2% from June 2013. The city’s home prices have gained about 35% over the past 24 months, compared with the Case-Shiller U.S. national index that shows a gain of more than 66%.
The S&P/Case-Shiller home price index for June increased by 8.1% for both the 20-city and the 10-city composite indexes. The national index rose 6.2% year-over-year, and all three indexes continue to demonstrate smaller price increases. Month over month, the national index rose 0.9% and the 10-city and 20-city indexes rose 1.6%, the largest increase since June of last year. The consensus estimate for month-over-month seasonally adjusted growth was 0.1%.
The index tracks prices on a three-month rolling average. June represents the three-month average of April, May and June prices.
Average home prices for June are back at their levels in the spring of 2005.
Good thing the rents are so low here…oh wait.
we haven’t seen prices reach june 05 in 22151
even w the Bamu hiring up a strom
Rising home prices in a locale where the water supply is drying up? The stupid, it burns.
Brad and Angelina no got stucco….
I started laughing when I heard on TV that they swore they would not get married until all state passed gay marriage laws…Like anyone should give a rats a$$ if they get married…
LMAO at your comment - so very true!!!
I think we should replace the ice bucket challenge with a get-the-heck-out-of-the-media-already challenge. If we amass a million bucks for Save the Children, Brangelina will promise not to call a press conference next time they adopt another one. If we build a hundred homeless shelters, Miley Cyrus will put on some clothes, buy a jewel box house in Oil City, homestead black raspberries, and never appear on stage or at a party in LA again.
And for the holy grail: if we get gay marriage in all 50 states, Kim Kardashian will retreat into a convent, take vows of poverty chastity and silence, and disappear into history. <— heck THAT one might spark a church-inspired gay pride parade in Provo.
Are you worried rising rates will hammer your bonds?
Jeff Reeves’s Strength in Numbers
Opinion: With bond boom ending, switch into these alternatives
Published: Aug 28, 2014 6:10 a.m. ET
Rising rates will punish bonds, making REITs, MLPs and other vehicles more attractive
By Jeff Reeves
It’s been a pretty good year for bond investors, considering. Sure, yields are in the cellar, but thanks to a dip in interest rates since January, people have actually made money on bond investments.
Consider the iShares Barclays 20+ Year Treasury Bond, which has soared 15% this year, double that of the S&P 500 Index of the largest U.S. stocks.
The thing is, though, bonds aren’t going to be a great investment for long.
It’s almost certain that the Federal Reserve will raise rates in the next year to 18 months, given the pace of the economic recovery. Inflation is relatively low based on the Fed’s preferred measure of personal consumption expenditures, but is indeed above the central bank’s 2% target; furthermore, unemployment continues to improve and the current rate of 6.2% is below the Fed’s previously stated target of 6.5%.
unemployment continues to improve and the current rate of 6.2% is below the Fed’s previously stated target of 6.5% ??
BS…Unemployment is higher….Much higher….Chronic Under-employment is the new elephant in the room…Its been manifesting itself for 20 years now…Accelerating along the way due to technology advances..The great recession was the “tide that went out” that delivered the crushing blow…Short of a new deal WPA effort, I don’t think we can get back to what we previously understood as normal…
I have mentioned this before and I believe it to be true…I see a complete tax code re-write…It will be simple and progressive…All the tax loopholes go bye-bye…Phased in as to not cause market turmoil…
We know Hilary is running barring some event that changes that…I am coming to believe that Romney is going to make a 2nd bid…I think both campaigns will have tax reform as a major theme…Romney, being very wealthy, can make a very strong case to the center left that he is in favor of taxing himself much more through tax reform…If you think about it, if your already worth 200-mil why the hell should you care if your income taxes go up…You got everything you need and you can buy anything you want…
Clinton vs. Romney…I think its going to be closer than I would have thought just 6 months ago…
Romney, being very wealthy, can make a very strong case to the center left that he is in favor of taxing himself much more through tax reform…If you think about it, if your already worth 200-mil why the hell should you care if your income taxes go up…You got everything you need and you can buy anything you want…
Romney will never make that case. First, Ann could never get by on a mere $11 million/year. Secondly, Romney wouldn’t be caught dead agreeing with Warren Buffet on personal income tax. Thirdly, even low-income redstaters were defending Romney’s tax situation. The talking point was: He paid $3 million in taxes… do YOU pay $3 million in taxes… isn’t $3 million enough in tax…
Only the little people pay taxes.
I disagree. If you have 200 million you are distorting the income picture for everyone else . That 200 million needs to be taxed to the point that the rest of the population does not suffer because of the amount of wealth he has. That’s where a 90 percent tax bracket comes in for the top slice of that income.
Isn’t $30k/yr enough in income?
Romney will never make that case ??
Then, like last time, he will loose and loose badly or if he can’t bring himself to it then he won’t run at all…If the Republicans don’t turn to the middle in a significant way, they will get “boat-raced” by Hilary…
isn’t $3 million enough in tax ??
No….Not when you have all the loopholes to shelter what you really should pay like the average Joe does…You know…Like…Romney’s 100 million dollar IRA…
Only the little people pay taxes ??
Relative to their income the answer is a resounding YES !!!
That 200 million needs to be taxed ??
The 200 million is a asset, not income…Ultimately, if tax reform does its job it will be taxed to some degree…No avoidance through Trusts & Generation skipping…Why do you think the Kenned’s and many other families remain wealthy for generation upon generation…It ain’t about jobs & income…its about assets…
That’s where a 90 percent tax bracket comes in for the top slice of that income ??
90%…Really ??…Don’t you think thats way over the top if you don’t have deductions ?? That 90% tax bracket had a plethora of tax loopholes…It really was not even close to 90% effectively…
Isn’t $30k/yr enough in income ??
In most places in America the answer is yes…
Dani and scdave, I hope you aren’t disagreeing with me. I’m just pointing out how the wealthy see it.
The “Isn’t 3 million enough” is a talking point spoon fed to the stupid masses. Romney makes $19 mill, pays $3 mil in taxes. The Rushbots don’t see that Romney paid only 22% in taxes, they are trained to latch onto that $3 mil as a lot of money, an absolute. They don’t understand that Romney probably doesn’t even know it’s there. If you try to explain the concept that it’s not what you pay, it’s what you have leftover, well that’s libtard commie talk and where’s the birth certificate.
The concept reminds me of Reverend Purpose-Driven-Life, whatever his name was. He was doing some interview about how good it felt to “give” 20%, 30%, and felt even more good to give 35%, 40%. He was up to 90% giving and wouldn’t it be great if everyone could feel as gooood as he did when he was giving 90%. I almost put an ax through the TV. I’m sure he had 10 times as much money in the bank even at 90% giving as most of the population would have at 0% giving.
And no, 90% tax is not unreasonable for only the top slice. e.g. If a rich dude makes $21 million, he’d pay 90% tax on only the top $1 million. Rich people will say that’s an incentive to quit. It’s not. It’s an incentive quit at $20 million. I guess the reasoning is that if you’re making more than that, at that point you’re not “producing” much. You’re probably cheating somewhere.
These guy they know they have enough money. They — or, their tax lawyers — just want to show off how wooden their banana is by bragging that THEY stuck it to Uncle Sam. (yeah, the same Uncle Sam that creates millions of jobs which allows customers to buy the stuff that gave them the $20 mil in income in the first place.)
I don’t have a problem with people becoming extraordinarily wealthy. I do have a problem, however, with fraud, corruption, and ill-gotten gains, and that seems to be how most of these people have amassed such wealth.
I think both campaigns will have tax reform as a major theme
Why do you think this? Have either of them said anything about this?
For some reason, people with that kind of money do care and don’t even want to pay a few more percent of their income to reduce the deficit. Those super-rich people on Wall Street, the oil industry, etc. were major contributors to Romney’s campaign last time around. It would be awfully risky to antagonize them by suggesting the elimination of carried interest or the other loopholes that they benefit from.
It would be awfully risky to antagonize them by suggesting the elimination of carried interest or the other loopholes that they benefit from ??
Risky why ?? He lost last time catering to them…And, I might add, lost to a freshman senator…
Risky why ??
He would need their money to fund his campaign.
no cause the FED wont let it happen.
Dont you listen, Dont fight the FED!
They want to loan more money to uncle sam.
Outside the Box Get email alerts
Opinion: Beware the enormous bubble in bonds
Published: Aug 29, 2014 6:00 a.m. ET
The only question now is: Who will take the losses?
Nonfinancial debt has reached 250% of U.S. GDP.
There’s a saying on Wall Street: Stocks are for show, but bonds are for dough.
The flash, sizzle and focus of financial reporting typically center on stocks. But the real action and the biggest players are over in the world of bonds.
While there are a fair number of warning signs now that the free money policies of the world’s central banks have given us another stock bubble, they’re outnumbered by the flashing red lights we see over in the bonds market.
In short, all prudent investors ought to have their eyes firmly glued on bonds today.
Global bond markets total over $100 trillion in size. And the derivative plays that are layered on top are several multiples of that. There’s just a tremendous amount more capital at play with bonds relative to stocks.
In a normal, non-bubble, environment, we’d expect that more supply coupled with lower credit-worthiness would lead to higher yields. But in the midst of a bubble, we often see the reverse. And today, we are.
Take Italian debt, for example. Italy’s gross domestic product is actually smaller than it was in 2008, and it has issued bonds at a furious pace to keep its economy afloat. As a result, it now sports a frighteningly high debt-to-GDP ratio of over 135%. And yet the yield on its 10-year bond has sunk from 7.1% in 2012 to just 2.4% today.
Rising bond issuance, sinking prospects, and falling yields — an unnatural trio of circumstances that only a bubble-blowing central banker could cheer.
Corporations are on track to issue more than $1 trillion of new bonds in the U.S. in 2014 alone — a new record. And junk bonds are also in record territory: the highest issuance, lowest yields and highest proportion of covenant-lite bonds ever. As in all of history.
Sometimes it’s good to be setting records. This is not one of those times.
It’s little wonder that the smart money — the main broker-dealers for bonds — has quietly halved its exposure to bonds because, presumably, these insiders see the writing on the wall.
Major funds, such as the biggest Denmark pension fund ATP, are also trimming their bond exposure for similar reasons.
Adding additional cause for concern, there’s been a very worrisome decline in the amount of market liquidity for bonds, both in the U.S. and Europe, over 2014.
Put that all together — rising issuance, falling credit quality, fewer creditor protections, diminishing yields, insider selling, and evaporating liquidity — and our dashboard is blinking with warnings of risk, risk, and more risk.
The illogical current environment and its associated risks are courtesy of the world’s major central banks: the Federal Reserve, the Bank of England, the Bank of Japan, and the European Central Bank. Instead of using 2008 as a watershed moment to distance themselves from the failed past policies of issuing too much debt, they instead doubled down.
And so here we are, facing another bubble. One larger than any we’ve yet lived through.
And as with every bubble, the only remaining question of any value is: Who’s going to eat the losses?
Treasury yields edge up
Published: Aug 29, 2014 8:54 a.m. ET
NEW YORK (MarketWatch) — U.S. bond yields rose modestly and German yields moved off their historic lows Friday as investors digested economic data on both sides of the Atlantic.
U.S. Treasury yields edged up after data showed U.S. consumer spending fell for the first time in six months in July. The 10-year bond yield rose to 2.3510% from 2.34% at Thursday’s close. Bond yields move inversely to prices.
In Europe, inflation slowed to the lowest rate in five years, and the question remains as to whether the reading was weak enough to push the European Central Bank into launching new easing measures at its policy-setting meeting next week. The annual inflation rate in the 18 member states of the euro zone grew by a meager 0.3% in August, in line with analysts’ expectations.
The German 10-year bund yield moved up slightly to 0.9000% from 0.89% late Thursday.
French, Italian and Spanish 10-year bond yields were flat after the European inflation data.
The Italian government bond yield traded at 2.4320%, essentially level with late Thursday levels. The French 10-year bond yield was at 1.2540% Friday, while the Spanish 10-year bond yield was at 2.2430%, also essentially unchanged on the day.
Thank you, Republicrats, for open borders and unrestricted immigration policies and the vipers you’re letting into our midst.
What happened to the dead terroist’s wife? Did she go bye, bye?
No word on her in months!!!!
We haven’t heard about the live suspect either. It seems that “officials” are making the friends and family of the suspect disappear, while somehow managing to keep him silent on the issue.
What happened to the dead terrorist’s wife? Did she go bye, bye?
No word on her in months!!!!
All is good - they vote straight democrat
Despite trillions in QE from the Fed (much of which went to foreign banks) and the ECB, the Eurozone still isn’t “fixed.”
how does printing pieces of paper solve anything?
It’s not preventing the ongoing deflationary spiral.
I am not seeing your so-called deflation showing up in the spending power of my dollars.
Shouldn’t they be increasing in value during a deflationary spiral?
Why would it given the price fixing and bottlenecking?
isn’t it amazing that no leader in the history of the world have ever thought to do this?
Massive debt and printing money = prosperity and jobs
obama is truly our smartest president
After all, when the Weimar Republic did the same thing, it led to economic prosperity and social stability.
Yellen’s non-existent inflation showing up at grocery stores this Labor Day.
That’s not inflation.
Renter for life.
Honk Honk Donk
Falling prices would benefit most Europeans - especially unemployed and underemployed young people - but the banksters and their corporate statist politicians must print moar money to inflate away their debts and liabilities.
If you like your eastern Ukraine, you can keep your eastern Ukraine. Meanwhile, markets are pricing in “de-escalation.”
They trusted Clinton! And now they trust obama!
Even Clinton couldn’t get his own democrat senate to ratify this treaty…
The Budapest Memorandum on Security Assurances is a political agreement signed in Budapest, Hungary on 5 December 1994, providing security assurances by its signatories relating to Ukraine’s accession to the Treaty on the Non-Proliferation of Nuclear Weapons. The Memorandum was originally signed by three nuclear powers, the Russian Federation, the United States of America, and the United Kingdom. China and France gave somewhat weaker individual assurances in separate documents.
You mean that they trusted Russia. Perhaps that was Ukraine’s mistake.
What a rigged central-planners market looks like.
what will be the excuse to tank the market again? another crisis where bankers got overleveraged?
Stock buybacks baby!
A new English-language Al Qaeda magazine called Palestine–Betrayal of the Guilty Conscience Al-Malahem is suggesting terror attacks in California, New York and Las Vegas.
“The magazine, which is published by AQAP, the media wing of Al Qaeda in the Arabian Peninsula, uses language that implies an attack will come very soon.
Instructions for making car bombs are accompanied by a list of possible terror targets–including public places such as Times Square in New York City and casinos in Las Vegas, as well as military venues such as the Georgia Military College and the U.S. Air Force Academy. Other targets listed include oil tankers and trains.”
Jihad is coming to the US. Are you ready?
‘are you ready?’
keep pimping the fear.
here’s a repost of the foreign policy solution according to goon. let all the israeli jews immigrate to the united states. the secular/modern ones can resettle anywhere they want. the fundamentalist nutjobs will be restricted to resettling in south carolina, which will be subsequently seceded from the united states, and reformed as a nation of rapture.
israel was a well intentioned but failed experiment, it’s time to pull the plug. the 5 million israeli jews are literate and accustomed to first world living standards, would present little problem integrating into american society, and would contribute more culturally and economically than the mass importation of 20+ million illiterate third world peasants.
and after this, not a penny more to any middle eastern nation in aid. the muslims can fight it out over whose interpretation of sky wizard is better, and it’s not america’s problem anymore.
“Keep pimping the fear” ????
I’m merely trying to spread some noteworthy news that I doubt the MSM is covering. We should all have a plan I believe.
Besides, aren’t you the the guy with bug out bags, supplies hidden along the big out route and a Kalishnikof? Things could go south anytime, although I don’t think they will.
Those preps are for defensive actions against DHS, not Al Qaeda.
Muslims will never get along with Christians, with Jews, and in many cases, with other Muslims.
A quote from a recent, lengthy, and excellent New York Times piece about libertarianism says that radical Islam is like herpes, but it is not AIDS.
When we stop having a foreign policy based on oil and on delusional End Times theology (Christian Zionism), they will have less reasons to hate us.
Odd. I had a Muslim neighbor and a Jewish neighbor at the same time. We all got along just fine, as did our kids. Funny how just being good neighbors and respectful of fellow human beings transcends dogmas like Muslims will never get along with Christians or Jews.
Google “mulimss kill infidels” and “Beslan” and “mumbai”
It is coming to a school and/upscale mall near you.
It is what muslims do.
The left and democrats will blame America and try to understand/appease muslims even more.
And ban some guns.
First of all, you stole my idea. Secondly, you messed it up. The Isrealis can all move to Montana. Why not?
I don’t understand why Vegas would be a target (except symbolic). If Las Vegas was gone tomorrow, who else but those who live and work here care? An attack here would never equal the impact of another in New York.
I am concerned though, since we live less than 10 minutes away from the Strip and both my husband and brother work there. I’ve heard that employees at the Venetian wish Adelson would keep his mouth shut so he doesn’t get them all killed.
Still, it’s better that we flood the police in Vega with millions of dollars of military gear. Perhaps hire 10,000 more police to work the Strip with machines guns and rocket launchers.
It’s the only way to be safe.
more natty light tonight?
Another holiday weekend in mom’s basement playing World of Warcraft.
He wanted to play Diablo III but didn’t have the funds for the RMAH.
* inside gamer joke. RMAH is the real money auction house. Diablo III was created on the watch of a greedy beeyotch CEO who thought that revenue from buying the game just wasn’t enough for him. So the game was designed such that in the advanced levels, you can’t find swords or armor which is good enough to kill the monsters. This forced gamers to go to the online RMAH and buy the gear with real cash. Gamers were justifiably livid, and on the Amazon reviews board they panned the game almost out of existence. The company had to go back and redo the whole thing.
I just ordered the new version for my PS. I can’t wait to get it.
I won’t get Diablo III for PC because it is entirely online, which I really don’t like. I don’t want to spend the bandwidth. I liked the standalone game where I was safe from duping and PKing.
And online gaming made it possible for the gamemakers to go in and change the rules half way through. They were famous for destroying farming spots, inflating gold, and nerfing items. And yeah, I had to look all that up.
Another holiday weekend in mom’s basement playing World of Warcraft ??
Well, he probably does not even pay rent then right…No wonder he’s against home ownership…I guess I would also if I lived somewhere for free…
is there a price possessive county in the us for 3rd quarter
I could find out, if I knew what “price possesive” was. Google didn’t turn up anything.
Has Ben identified the market to which he moved to invest in real estate by feeding on the carcasses of busted speculators?
The catastrophically-missnamed Holy Spirit (Espiritosanto) Bank in Portugal implodes amidst standard bankster shell games.
Auntie V Fed and I were having a discussion yesterday about who is Gen X, Gen Y, and Millenials. It appears to be rather murky, but wiki has a decent summary sentence in the Gen X entry:
“George Masnick wrote that the “Census counted 82.1 million” Gen Xers in the U.S. The Harvard Center uses 1965 to 1984 to define Gen X so that Boomers, Xers and Millennials “cover equal 20-year age spans”. Masnick concluded that immigration has filled in any birth year deficits during low fertility years of the late 1960s and early 1970s ”
Boomers were born 1946 to 1965, Gen X were born 1965-1985, and Gen Y Millenial is 1985 to 2005, which sounds about right. If a gereration is only 20 years, then no one generation can really claim to be the parents of another generation. I have a hard time believing that there are over 80 million Gen Xers. Everywhere I look, there are tons of people 15 years older than me and 15 years younger than me and almost nobody the same age.
i don’t know any of them that actually read books, or have anything original to say that isn’t a regurgitation of pop culture or whatever the facebook meme of the day is.
Are you a boomer hater too?
Donk…. genx’ers are fast approaching 50 and will be offloading excess empty housing units en mass in another 15 years. Further, regardless of immigration, US population growth has stagnated for years and is now at the lowest level in US history.
Find another method to explain away 60 million excess empty houses.
Indeed they will. And most of them will be selling homes which are too big, or too far out, or attached product, or floating boxes of air with heavy condo fees to pay for the yoga studio.
You know what’s selling well now? Houses under 1800 sq ft where the square footage is devoted to bedrooms and bathrooms. On a bus line.
Nothing is selling now Donk.
You know that basement you’re living in, with the cheap Home Despot bathroom and illegal windows? Not sure if you knew this, sweet babyberrypuff, but a homeowner can let someone live there and collect money for it. They can then use that money to help pay the mortgage.
Yeah, that’s why buyers are affording these houses.
You’re angry tonite Donk. A little too much clopety clop clopping.
A generation doesn’t span 19 years. That doesn’t jibe with population dynamics. It’s mumbo jumbo.
21 years. Subtraction, addition, it’s all the same to me.
The MBA last month lowered its forecasts for purchase originations in the third quarter to $159 billion compared with $195 billion in the same period a year earlier. In January, the trade group had predicted the quarterly figure would reach $202 billion.
“We were told through a directive from the Department of Justice (DOJ) that we were not to question or verify – attempt to verify these ages,”
Mayor: Adult Illegal Aliens With ‘Graying’ Hair Enrolled in Public Schools
August 27, 2014 - 3:52 PM
By Penny Starr
(CNSNews.com) – The mayor of Lynn, Mass. says that some of the illegal aliens from Guatemala who are enrolled in her city’s public schools are adults with graying hair and “more wrinkles than I have.”
“They are not all children,” Judith Flanagan Kennedy told reporters at a press conference at the National Press Club in Washington, D.C., on Wednesday.
“One of the things that we did notice when we were processing some of these students coming in was that they were adults,” she said.
She added that the federal government will not allow school officials to verify their ages, even though one of the students turned out to be 35 years old.
Kennedy said that the majority of those from Guatemala who are enrolling in the Lynn Public Schools claim to be between 14 and 17 years of age.
“But there were people with graying temples, hair around the temples,” said Kennedy, adding that although she did not see these individuals in person, she saw photographs of them in registration paperwork. “There were people with more wrinkles than I have around their eyes.”
However, the school district was directed by the federal government not to verify the age of the foreign enrollees, Kennedy said.
“We were told through a directive from the Department of Justice (DOJ) that we were not to question or verify – attempt to verify these ages,” Kennedy stated at the press conference, hosted by the Center for Immigration Studies (CIS).
Kennedy said that she and the school superintendent in Lynn wanted to know why the number of students from Guatemala “almost doubled” from 56 who enrolled during the 2012-13 school year to 101 during the 2013-14 school year.
When CNSNews.com asked whether she could be more specific about how they determined the ages of those enrolled, Kennedy replied that while school personnel cannot ask for age verification, they have confirmed that some of them are in fact adults.
“We have no ability to confront a student directly and demand an accurate age,” Kennedy said. “Every once in a while, we’ll be able to determine that someone is well above the age at which they would be entitled to an education in the Lynn Public Schools.
“For example, if a student does not show up for a few days of classes, we will send our truant officers out to find out what’s going on at that home,” Kennedy explained.
“One example: the woman who answered [the] door said, ‘He’s 35 years old — he’s not going to show up at school….But we cannot, per DOJ guidelines, we cannot ask them for any more verification of age,” Kennedy said.
“It does become very frustrating,” she added.
cnsnews.com/…/mayor-adult-illegal-aliens-graying-hair-enrolled-public-schools - 49k -
they showing up for free lunches?
Cold tater tots and stale hamburgers?
I don’t think so, I wonder if there is a state aid attached to the number of children attending school?
This is the fundamental transformation that you were promised. Thanks, Obama.
And if you object to your 14 year old daughter dating a 21 year old freshman student MS-13 gang member, you are a racist.
Better that than a realtor, I guess.
Seems that DOJ might be using that 16 bil from the banksters to affect eh? Check the link posted above.
Are you planning to work straight through your “retirement years”?
Why so many retirees work in retirement
Published: Aug 29, 2014 5:00 a.m. ET
Over half of those polled either went back into the workforce or started their own businesses.
By Art Koff
When planning for retirement, or how to live in retirement, it’s often helpful to consider what others have done or are doing.
In February, an informal poll of roughly 400 RetiredBrains visitors revealed varied directions. It would seem that a life of leisure should lead the list; however this was in fact one of the smallest areas our questionnaire revealed.
of course there is no retirement, its a fantasy unless you get a pension.
a lot of the people I see retired are to broke to do anything but sit around and watch tv all day.
At least they can afford a home and a teevee to watch.
keep working so you dont have to work someday?
“At least they can afford a home and a teevee to watch.”
+1 Every trailer park across eastern Washington has more satellite television dishes than dandelions.
only gov workers can retire
Or workers who are unionized…most retires I deal with have some sort of pension, military, teacher, etc. as well as retirement savings.
most retires I deal with have some sort of pension, military, teacher, etc
As he said above, gov workers
Hope they are not retirees of long term public union goon controlled cities.
They are ALL going bankrupt.
And their pensions will be cut.
Q. What is the first thing a public union goon does when he/she retires?
A. Moves to a low tax and right to work state.
detroit wiped bond holders and union goons only took a 45? hit
Detriot retirees do not get Medicare or social security…so that’s a positive.
They may collect a retirement, but by the time Yellen and the Fed are finished, that “fat” retirement check might buy them a cup of coffee.
Are your unaffordable house payments making you too broke to buy a car?
Americans cut spending in July, save more
Published: Aug 29, 2014 8:57 a.m. ET
Outlays drop for first time since January as income growth slows
Customers wait in line to self-checkout at a Home Depot Inc. store in Torrance, Calif.
WASHINGTON (MarketWatch) — Consumers cut spending in July for the first time in six months, a surprising drop that could lead to sharply lower third-quarter growth unless outlays rebound quickly.
Consumer spending dropped a seasonally adjusted 0.1% last month, the Commerce Department reported Friday. Economists polled by MarketWatch had predicted a seasonally adjusted 0.1% increase.
The decline in spending was widespread. Consumers bought fewer cars than they did in June and they spent less at department stores and other retailers.
One reason consumers might have spent less: Income growth slowed to a 0.2% gain from 0.5% in each of the prior two months. That was the smallest increase since December.
Consumers also saved more. The savings rate climbed to 5.7% from 5.4% and reached the highest level since the end of 2012.
my car is an infiniti with 185k miles. U cant go wrong with nissan or honda. I’m a chevy man but these imports last a long time.
I have a little nissan generator that was made by honda. about 30 years old and still runs.
Honda best generator
husqvarna best chainsaw
You get what you pay for at harbor freight.
Why pay a few thousand for cheap import generators when you can rent a real on from United for $100?
I dont rent small stuff like that cause I use it a lot. Certain things I do rent at rental yard.
harbor freight is only good for disposable things of modest quality. for example, i’ll get paint rollers or drop cloths there to paint a rental house, but I’ve never understood the people who buy their tool brands. just holding them in your hands, you can tell they are flimsy.
What do you think of the Home Despot brands? I like that HD offers two, sometimes three levels of quality for a lot of stuff.
My lawn mower is a husqvarna with a honda engine. It’s a beast. A beast, I tell you.
I have some HDX stuff for quick jobs. I try to get things like that on sale. Sometimes the price differential is enough that you’re better off buying cheap stuff than Milwaukee/Dewalt brands. I have some Ryobi cordless toolslike this–some on a shelf in my basement and some stashed in a rental house basement. It would never work for doing serious work but is treat for simple things. It’s lasted 3 yrs so far, so even if it falls apart soon I feel like I got my money’s worth. I would never ditch Dewalt stuff in a random basement and leave it there. Obviously if you’re in the business or use the tools heavily, I think getting the top brands makes sense.
When you see poorly done flip jobs, it’s pretty easy to see all the cheapest HD items. It’s like a time capsule of “what was on sale at HD at the time this was done”. Meaning fixtures, vanities, cabinets, tile, laminate, etc.
that is painting with too broad a brush on the Harbor Freight stuff, the quality ranges from absolute crap (lots of it) to pretty damn good (some of it)…FWIW the made in Taiwan hand tools (i.e. sockets, wrenches, etc. ) are generally good quality and a bargain. For many other items I only go HF if it is something I will only use once or twice AND I check out the reviews at their site first before buying…they appear to be uncensored as there are LOTS of bad reviews and what I read generally jibes with my personal experience when I buy something there.
My neighbor had a new pickup in his drive.
It is nice and I got to talking with him.
For a nice Ford pickup.
Clown car dummies are a dime a dozen.
Probably gets to burn a lot of gas on daily commute. LULZ.
Think it’ll ever be paid for?
Most of the cars and trucks I repossessed had enormous balloon payments due. I doubt that the auction yard sales fetched enough either. Another huge scam.
today’s drudge links are pimping the fear that another 9/11 is right around the corner, playing into the hands of sh1tbags like john mccain and lindsey graham, who’ve never seen a war for israel they didn’t like. links include:
the washington times
the uk daily mail
breitbart dot com
the jerusalem post
also note that any time you see a link to a regional subdomain of cbslocal (ex: www dot cityname dot cbslocal dot com), it is a drudge link. cbslocal is a sh1tty website with minimal content and maximum advertising.
a notable exception to drudge’s preference to link to sh1tty websites is infowars dot com.
our illustrious AG, after reading every goon post:
remember during the 2012 pres campaign when McCain and Lindsey graham were trying to say that Obama should be arming the Syrian opposition? And McCain went and met with the sunni opposition leaders (”freedom fighters”) and assured us that he “saw into their hearts” or somesuch and they definitely weren’t extremists or religious types at all?
“remember during the 2012 pres campaign when McCain and Lindsey graham were trying to say that Obama should be arming the Syrian opposition?”
McCain is one of those silly CFR members.
Hillary Clinton admits that the CFR runs the Government - YouTube
http://www.youtube.com/watch?v=LYq3TaBik64 - 156k -
McCain and his lapdog Miss Lindsey never met an AIPAC/neo-con war they didn’t salivate over.
I was quite surprised when NBC named Chuck Todd as the new host of Meet the Press. They should have just appointed McCain the host and saved on travel and wardrobe costs.
Clickbait for the sheeple.
and now for some housing news as reported by (dianne feinstein approved) real journalists
for these lucky ducks, the rent is too damn high
the rent is too damn high ??
Not if you live in moms basement…
That could be a problem in California, where homes don’t have basements
EVERYONE MUST CHECK IN
“you can check out anytime you like, but you can never leave”
“Chiggity check yo self before you wreck yo self” — Ice Cube
I had a dream last night that went like this….
PBear and compliment RAL on his suit and ask who he’s wearing (Zegna, btw). Rio shows up in a Prius, slim_az shows up on a bike that has the same basket as mine (props to her), and northTeasterner shows up late due to traffic in a huge gas guzzling suv driven by AqDan that says “clown car commuter” on the side and was paid for by oil lobbyists. All the posters have hot dates, the women have nice shoes and the men have stylish undercuts. Ben gets a lifetime achievement award and gives a shout out to Bob Renny in his speach. Colorado wins for “most normal” poster, which is presented by oxide and polly (Colorado appears to be drunk and kisses polly on the lips rather than cheek). TV cameras cut to an upset wife in the audience. The show closes with an emotional video, produced by alena, recalling the illustrious posting career of highway50, complete with kooky $uBt1tleZ. Mike from Bend hosts the afterparty, with music by nycdj, and generously shares his medical marijuana.
OK that didn’t post right. First sentences should be:
PBear and goon are hosting the HBB Awards. I’m doing the red carpet and compliment RAL on his suit and ask who he’s wearing (Zegna, btw).
OK maybe I really do need to take some meds? Or at least not type this on smartphone.
“I had a dream last night that went like this….”
Don’t stop taking your medication, change your dosage.
Good Morning Region IV
I will be out of cell phone tower range without phone or internet access this weekend, but will not be leaving Region VIII
Region X here; all is well.
Region X > Region VIII
Are you forgetting that we are both transplants from Region V?
You can take a boy out of his Region, but you can’t take a Region out of the boy.
Regions VIII-X rule, Region V droolz (and drags it’s knuckles).
Blackstone to list 42 story NYC office building for > $2 Billion.
** My note: Bloomberg is using an old picture of that building in this article. This building was completely redone 7 or 8 yrs ago (before Blackstone bought it, actually). It looks like this now: http://www.equityoffice.com/buildingdetail.asp?PortfolioID=888077
Blackstone has hired Eastdil Secured LLC to market the 1.2 million-square-foot (111,500-square-meter) property, said one of the people, who asked not to be identified because the plans are private. The building, soon to be the headquarters of Verizon Communications Inc., may sell for about $2.25 billion, the person said.
Blackstone, the world’s biggest alternative investment manager, bought the tower in 2007 as part of its $39 billion acquisition of Sam Zell’s Equity Office Properties Trust, then the largest U.S. office landlord. The building, between 41st and 42nd streets and now known as 3 Bryant Park, houses insurer MetLife Inc.’s administrative offices in addition to Verizon, which will make the tower its headquarters on Sept. 1.
Christine Anderson, a spokeswoman for New York-based Blackstone, declined to comment on plans to sell the building. A telephone call to Martha Wallau, an Eastdil spokeswoman, wasn’t immediately returned.
The highest-valued building in the U.S. is New York’s General Motors Building, according to property-research company Real Capital Analytics Inc. The families of Chinese real estate developer Zhang Xin and Brazil’s Safra banking empire bought a 40 percent stake in the tower for about $1.4 billion last year, implying a $3.4 billion value for the 50-story property.
They want $2.25 B for it, but probably can’t get a dime for it, right?
Remember Liberace….. you can ask $100k for your flamboyant costume but where is the buyer at that price?
Excuse me, you’re the one who wore Zegna to the HBB Awards. I only wore Canali.
Late registration is still open at community college, it’s not too late to register for fall semester. If you take classes next summer too, you could finish your associate’s degree by December 2015.
I want to take this Saturday AM community ed class on HVAC at the nearby cc. It doesn’t begin until October, though, and only runs 8 sessions.
No, they can get $600 million for it. Do the math.
RAL could find several acres near by, secure the air rights, secure the zoning changes, secure the easements, and build the same building for $50/sq ft (or does he claim $100/sq ft for commercial class A?).
Nation of Privilege Versus Rule of Law
These days, the word “privilege” has been reduced to a trite buzzword. That’s a shame, because it used to mean more than just being born into advantageous circumstances. The word, which means “private law” in old French, originally referred to a system in which different groups of people had different rights under the law.
If there’s one political idea most people agree on these days, it’s the rule of law. We argue endlessly about income inequality, wealth inequality, or inequality of opportunity, but we take it as given that equality under the law is a prerequisite for a just society. And the consequences of private law are dire. The original system of French privilege was one of the main causes of that country’s bloody, chaotic revolution.
Now here’s the problem: The U.S. is looking more and more like it has a real privilege system. We are enforcing laws differently based on race, but also based on class. This is un-American, and it has got to stop.
First, there is race privilege. The tragic shooting of an unarmed black teenager by a police officer in Ferguson, Missouri, has put this issue front and center, but the facts bear repeating. Our police officers enforce the law differently for different races. They arrest a much higher percentage of black people for using drugs, even though blacks and whites use illegal drugs at about the same rates and whites use the most harmful drugs — cocaine and heroin — at higher rates. That is an injustice.
Our courts are no less of a problem. Blacks are 30 percent more likely to be thrown in prison than whites who were convicted of the same crime. Furthermore, our Constitution guarantees citizens the right to a trial by a jury of their peers, but many black defendants are prosecuted by all-white juries, which are significantly more likely to return a guilty verdict against blacks. Finally, racial profiling is so rampant that black Americans who have committed no crimes at all have to live in constant fear of getting stopped by the cops. White Americans don’t have to live with this fear.
So if you are white, you literally live under a different legal systemthan if you are black. The laws are the same on paper, but that doesn’t matter to someone who gets pulled over and harassed by the cops. It doesn’t matter to someone who gets thrown in prison.
White Americans can be complacent about racial disparities in law enforcement, thinking that at least they themselves are safe. Except that in modern America, the law now seems to be different for people of different income levels as well.
In 2010, Martin Erzinger, a private-wealth manager for Morgan Stanley Smith Barney, was the driver in a hit-and-run of a bicyclist in Eagle, Colorado. The victim suffered spinal injuries and brain bleeding. But the prosecutor dropped felony charges against Erzinger, giving the following justification:
Felony convictions have some pretty serious job implications for someone in Mr. Erzinger’s profession, and that entered into it,” [prosecutor] Hurlbert said. “When you’re talking about restitution, you don’t want to take away his ability to pay.
So a rich guy got a lighter sentence because a heavier sentence would prevent him from being rich. Obviously, this get-out-of-jail-free card isn’t available to someone from the middle class, even if he or she is white.
Nor is this case unique. Earlier this year, Texas teenager Ethan Couch drove drunk and killed four people, but was punished only with rehab and probation. Part of Couch’s defense was that, having been raised rich, he didn’t know any better — a condition some are calling “affluenza.”
Other cases of affluenza seem to be popping up. Earlier this year, an heir to the du Pont fortune got little more than a wrist slap after raping his 3-year-old daughter. The reason:
A judge who sentenced a wealthy du Pont heir to probation in the rape of his three-year-old daughter said in court documents that he would “not fare well” in prison, reports Delaware’s News Journal.
And then there was the recent case of wealthy Washington state businessman Shaun Goodman, who got a minimal sentence for his seventh DUI, for the following reason:
According to Washington Courts, anyone with a BAC above .15 with two or more prior offenses, must face mandatory jail time of 120 days…However, Judge Christine Schaller gave Goodman a year of work release. Defense attorney Paul Strophy argued that Goodman’s business would fail and his client’s employees would be out of a job if Goodman wasn’t present for work.
Again, that is a get-out-of-jail free card that middle-class Americans, white or black, can never use.
All this adds up to one ominous conclusion: The U.S. is slowly becoming a country where income and race determine the degree to which a citizen is bound by the law of the land. That’s true privilege. That’s the dangerous kind. Dangerous for those on the bottom of the privilege system, but ultimately dangerous for those on the top as well.
Kill 4 people? Rape a 3 year old? Get a 7th DUI?
Just some examples of the 0.1%ers doing “God’s work” indeed, LOLZ
And then there’s this guy.
Couch’s father got arrested for impersonating an officer of the law last month. Affluenza must run in the family LOL!
Bureau of Justice Statistics data show that from 1976 to 2005, white victims were killed by white defendants 86% of the time and black victims were killed by blacks 94% of the time.
Overall, more than half the nation’s homicide victims are African-American, though blacks make up only 13% of the population. Of those black murder victims, 85% were men, mostly young men.
How do you deal with passive-aggressive people who continuously ask you why you don’t “just buy a house”? Note that these people are all underwater debt freaks who can’t keep money because it burns holes in their pockets. They have to make payments to the freaking dentist, even though they have dental insurance. They drive beater cars, but always have new shoes and the latest off-road or lake-faring vehicular toys. You can’t go to lunch with them because it always has to turn into a shopping trip, and they get mad if you don’t join them in purchasing useless trinkets for entertainment.
Do you just pretend not to be annoyed? Contrive an even better passive-aggressive dig? Simply state that the housing and job markets have never been right for you personally to buy a house without losing money on it? Tell the person that they are too stupid to understand?
It’s starting to get to me.
Do you just pretend not to be annoyed?
Easier solution: don’t hang out with people like that?
Show them this:
I’m in debt up to my eyeballs…
Har! An ad for Lending Tree…ie - we don’t actually want to get you out of debt; what we mean by “help” is extending your terms so you’re only in debt up to your pie hole.
You think that’s bad? Try being a bubble sitter while actually working in the real estate industry (as an investor). For years, I had to put up with colleagues saying “you invest in RE professionally, and you don’t own your home? What’s wrong with you?”
I found solace with a few folks who thought the same way that I did. You’ve got to find those folks.
I got tired of telling people of the bubble (it just got into a debate that went no where). So ultimately, my comment to people was that I was saving up a much bigger down payment and looking at different neighborhoods, so when I did decide to buy, I could buy exactly what I wanted, where I wanted, and not ever need to move. I hate moving.
Over time, they stopped asking. And then it all came crashing down…and I kept my mouth shut as based on their demeanor, I didn’t need to say “I told you so.”
I have a somewhat interesting SIL who used to constantly nag her sister and me about how we should buy a SoCal home. This was during the post-2005 run-up to the pre-crash peak bubble price blowout. Meanwhile she and hubby were leveraging upto $500K plus McMansionville in Happy Valley UT.
Fast forward to now: They have been divorced and foreclosed for several years already. And my wife and I remain relatively carefree, happy renters. And my SIL never bothers us about buying a home anymore these days.
Rand Paul is a pale imitation of his father, but he’s a damned sight better than neo-con corporate statists like McCain, Romney, Ryan, or (retch) Hillary.
The most overpaid NBC “contributor” in history, spawn of the embodiment of crony capitalism, Bill and Hillary Clinton, is quiting her day job. My, what a gap that will leave in NBC’s hard-hitting journalist coverage.
While the oligarchs escalate their looting of the 99%, ordinary people are finding it harder and harder just to get by in the Obama/Yellen/Wall Street economy.
how do you afford these rates unless you’re selling dope or wymin?
the biggest draw for P2P loans are their interest rates — as low as 7% for borrowers with stellar credit. The average Lending Club interest rate is around 14.7% (slightly higher than the national average for 13%). Considering that the average borrower on the site typically carries debt with a 20.7% interest rate, it can be a much cheaper option to consolidate that debt and go the P2P lending route. That being said, the more risky a borrower appears, the higher their rates will be — just like a traditional mortgage lender or credit card issuer. (Lending Club’s rates go as high as 24.63%, while Prosper’s interest rates are as high as 35.36%).
The UK is reaping the fruits of its globalist financial and political elites insistence on unrestricted Third World immigration.
Bullish for housing!
I remember seeing something on some site a few years ago that had 2 pictures of 2 different families. One family was sitting around a table in their dinning room having a nice dinner, under that picture it said ” Long term unemployed homeowner”. The other family was sleeping in a car in a parking lot and under that picture it said “Long term unemployed renter”.
Evictions Soar in Hot Market; Renters Suffer
By SHAILA DEWANAUG. 28, 2014
For tens of thousands of renters, life has become increasingly unstable in recent years, even as the economy has slowly improved. Middle-class wages have stagnated and rents have risen sharply in many places, fueled by growing interest in urban living and a shortage of rental housing. The result is a surge in eviction cases that has abruptly disrupted lives, leaving families to search for not just new housing that fits their budgets but new schools, new bus routes and sometimes new jobs.
In Milwaukee County, for instance, the number of eviction cases filed against tenants leapt by 43 percent from 2010 to 2013, according to figures gathered by the Neighborhood Law Clinic at the University of Wisconsin Law School. Other parts of the country have seen similar, if less drastic spikes — and not only in high-cost cities like San Francisco.
Landlord-tenant laws and housing market conditions vary widely, and evictions are not surging everywhere. And a court filing does not necessarily result in eviction; some cases are resolved through payment plans or other agreements. But from 2010 to 2013, Maine experienced a 21 percent increase in eviction filings, Massachusetts 11 percent and Kentucky 8 percent. In the fiscal year that ended in June, New Jersey, which has some of the strongest tenant protections in the country, had one eviction filing for every six renter households. In Georgia, where court statistics do not differentiate between tenants evicted by a landlord and homeowners evicted after foreclosure, filings soared to almost 270,000 last year, a 9 percent jump since 2010. Over the same period, according to the research firm CoreLogic, the number of foreclosures dropped by half.
Perhaps the simplest explanation for the rise in evictions is a severe shortage of rental housing caused by a lack of new construction during the recession and the wave of foreclosures that turned homeowners into renters and occupied housing into abandoned blight.
A vast majority of renters live in cities, but evictions are not limited to urban settings. Rural areas like western Oklahoma, where an oil and gas boom has increased demand for housing, have also seen an increase in eviction filings.
The rising demand for, and tight supply of, apartments means landlords can now afford to be more exacting in their standards, if not outright aggressive in replacing renters with those who can pay more. In the second quarter of this year, the rental vacancy rate sunk to its lowest in almost 20 years, while rents, in inflation-adjusted dollars, remained close to their peak. Some advocates for tenants said that court filings were just the tip of the iceberg — many renters have been displaced by rising rents, threatening letters, one-time payoffs and condo conversions, without ever going to court.
Q: Why don’t you just buy a house?
A: My new boss is control freak. She prohibits me from participating in social media, and she stabs backs. Everything that anyone does is wrong, but there is never an answer as to what would have been right. Follow-up questions just make her mad. If a higher-level person advised you to do something a certain way, then she will roll her eyes and accuse that person of being incompetent. You must bend to her will. If the higher-up gets mad, she blames you. Then you nod and agree. When this becomes intolerable, I will move on, regardless of whether or not the company still wants me. For I rent.
learn to kiss her @ss and be happy u have a job.
How can your boss prohibit you from participating in social media (unless you’re doing it on company time)?
DOJ TO GIVE MONEY FROM BANK OF AMERICA SETTLEMENT TO LIBERAL ACTIVIST GROUPS
Judicial Watch president: ““This is a wealth redistribution scheme disguised as a lawsuit”
by AARON BANDLER | DAILY CALLER | AUGUST 29, 2014
The Department of Justice is giving liberal activist groups money from a $16.6 billion settlement with Bank of America, Judicial Watch reports.
The groups benefiting from the lawsuit, according to Investor’s Business Daily, are the National Council of La Raza, Operation Hope, National Community Reinvestment Coalition and Neighborhood Assistance Corporation of America. The money also went to “delinquent borrowers” in Chicago, Oakland, Detroit, Philadelphia and other major “Democrat strongholds.”
“This is a wealth redistribution scheme disguised as a lawsuit,” Tom Fitton, president of Judicial Watch, told The Daily Caller. “And who benefits from the distribution? Interest groups the administration relies on, outside interest groups, allies and politicians in communities trying to benefit as well.”
Fitton noted that these liberal groups are basically what’s left of the Association of Community Organization for Reform Now (ACORN) network, and that President Barack Obama has ties to ACORN.
I am Jack’s total lack of surprise.
Poway, CA Housing Prices Crater 19% YoY; Inventory Billows 42% As Housing Demand Collapses Statewide
Is now the time to buy in Poway?
Establishment GOP scumbag and Wall Street fluffer Senator Mitch McConnell caught up in a bribery scandal. There’s a shock.
“Asked: Another Real Estate Bubble? - Regarding Phoenix, AZ. In a nutshell the Real estate cheerleader columnist Catherine Reagor reminds us that since 2011, 100,000 houses have been bought up and most of them turned into rentals. The biggest buyers, such as Blackstone, used Wall Street money to finance the purchases.
Riding on the City Of New Orleans
Illinois Central, Monday morning rail
Fifteen cars and fifteen restless riders
Three Conductors; twenty-five sacks of mail
All along the southbound odyssey - the train pulls out of Kankakee
And rolls along past houses, farms, and fields
Passing trains that have no name, and freight yards full of old black men
And the graveyards of the rusted automobile
Good morning, Region V, how are you?
Say, don’t you know me? I’m your native son
I’m the train they call the City Of New Orleans
I’ll be gone five hundred miles when the day is done
Dealing card games with the old man in the Club Car
Penny a point - ain’t no one keeping score
As the paper bag that holds the bottle
Feel the wheels rumbling ‘neath the floor
And the sons of Pullman Porters, and the sons of Engineers
Ride their father’s magic carpets made of steel
And, mothers with their babes asleep rocking to the gentle beat
And the rhythm of the rails is all they feel
Night time on the City Of New Orleans
Changing cars in Memphis Tennessee
Halfway home - we’ll be there by morning
Through the Mississippi darkness, rolling down to the sea
But, all the towns and people seem to fade into a bad dream
And the steel rail still ain’t heard the news
The conductor sings his songs again - the passengers will please refrain
This train got the disappearing railroad blues
Good night, Region IV, how are you?
Say, don’t you know me? I’m your native son
I’m the train they call the City Of New Orleans
I’ll be gone five hundred miles when the day is done
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