Asking For More Money Has Become A Nightmare
It’s Friday desk clearing time for this blogger. “The annual off-campus student housing boom near Missouri State University has a little more ooomph this year. Since the recession, new private development around campus has had an almost singular focus: amenity-rich apartment complexes. This month saw the largest increase in beds yet, thanks largely to the opening last weekend of Aspen Springfield. The complex recently posted that it only has ‘a few spots left’ — but there’s one sign that demand may have been, at least initially, lower than developer Aspen Heights expected. In October, an Aspen executive told the News-Leader that two-bedroom units would start at $694 per bed per month, with three-bedroom units starting at $664. As of this month, however, advertised prices were $599 for a spot in a two bedroom, and $589 for a three bedroom — a drop of 14 and 11 percent, respectively.”
“A mile away on Kimbrough Avenue, developer Bryan Magers is preparing for a one-year construction push within his Bear Village development. Every spring, Magers told the News-Leader, he finds himself wondering if this is the year that the area around Missouri State will be overbuilt — when there won’t be demand to match supply. ‘We are going to finish Bear Village, and we are hoping there are 375 more students that will be able to fill it,’ Magers said.”
“The development boom in Portland shows no signs of slowing. And for the first time in decades, the city has seen an explosion in market rate and luxury apartment buildings and condominiums. Southern Maine Landlord Association president Brit Vitalius, who also tracks the rental market, said in an email that this year’s rent increase is ‘less than half’ of the 2015 increase and that one large landlord is ‘actually reducing rents on a handful of units in Portland and South Portland due to current market conditions.’”
“Brooklyn development exploded in the last decade, but all good things must come to an end. A big concern came from Hornig Capital Partners managing partner Daren Hornig, who said the increasing difficulty of acquiring construction financing could make it almost impossible to find a deal to underwrite and be confident on absorption. While Slate Property Group’s fortunate to have repeat credible lenders, Slate managing director Michael Zampetti said, finding acceptable terms or asking for more money has become a nightmare.”
“Some Miami developers are trying to entice potential buyers to open their wallets by offering immediate amenities in some cases before shovels are even put into the ground. ‘We’re seeing this trend in many housing markets that have experienced a lot of development over the past several years,’ said Jonathan Miller, CEO of appraisal firm Miller Samuel. ‘The idea is to give that one final push to the buyer. Clearly when more of that is being offered to buyers, it’s a reflection of the market not being as white hot as a few years ago.’”
“Recent data has shown that the market across Miami has been softening over the past year amid an oversupply of luxury condos coming onto the market and weakening demand thanks to growing concerns over the global economy.”
“Proponents of a proposed ballot measure that would temporarily halt some large developments in the city of Los Angeles said Wednesday they are willing to withdraw their initiative if Mayor Eric Garcetti agrees to an alternate plan. Jill Stewart, the campaign director for the ballot initiative, said the media has focused on the ’sexy’ part of the measure — the ban on certain types of development — but ‘that is a small part of what we’re doing.’”
“‘That’s a wake-up call for the City Council,’ she said. ‘No more mischief, no more backroom meetings with developers during a two-year period. Take all that wasted time you’ve spent creating a luxury housing glut in Los Angeles and instead do your jobs, create a plan in L.A. that involves the public.’”
“Home sales in the Austin area tumbled almost 5 percent in July — the second month this year to see a sales drop — but prices continue to rise, according to the Austin Board of Realtors. Charles Heimsath, an Austin-based real estate consultant, said the sales decline ‘probably reflects a combination of ‘buyer fatigue’ due to multiple-offer competition, a change in demographics where potential buyers choose to rent, and excessive 100-degree heat’ that kept people inside.”
“Diane Johnson, team leader of Keller Williams Realty Austin, also cited buyer fatigue, saying many buyers ‘are choosing to stay out of the bidding wars. We expect they are waiting for the market to cool to buy.’”
“Arguing that the current rate of foreclosures is worse than anything Massachusetts has seen since the run up to the American Revolution in 1763, activists and homeowners pushed the Legislature to clarify the rights of municipalities to try to prevent foreclosures and minimize their damage. Esther Ngollu, a Beverly resident, told the committee that she has been trying for a decade to get the bank to sit down with her and agree to a loan modification so she can keep her house.”
“‘I got a predatory mortgage two years after I immigrated into this country and I’ve been fighting for my home for about 10 years,’ she said. ‘I have tried to apply for modification for more than 10 times within a period of 10 years.’”
“Every day, there are headlines announcing the housing crisis is over, that home prices are recovering and that Las Vegas is out of the woods (or nearly out). On the surface, these largely positive headlines are accurate, but it may be too early to celebrate.”
“A few sleeping giants in the mortgage and finance industry have started to stir. Ten-year notes are coming due, the Troubled Asset Relief Program is ending and the Nevada Foreclosure Mediation program is running out of funding. Our fragile economy might be able to shake off one of these events, but all of them at once? That’s not likely.”
“Year over year, housing prices in Las Vegas have risen, but they’ve been mostly flat or even slightly down this year. More important, upper-middle-class home prices are down nearly 40 percent from their peak values in 2006. This may not seem significant, but it’s important to remember that a favorite product of purchasers and refinancers in 2006 and 2007 was the 10-year, interest-only adjusted-rate mortgage. With this loan type now adjusting into principal and interest payments, borrowers are seeing their payments double or even triple overnight.”
“Under normal circumstances, homeowners would have several nontraditional programs available to them, such as loan modification, short sale and underwater refinance. These programs are still available, but time is running out. The government versions of these programs — the Home Affordable Modification Program (HAMP), Home Affordable Refinance Program (HARP), and Home Affordable Foreclosure Alternatives Program (HAFA)— all end Dec. 31, and they are unlikely to be renewed.”
“None of this spells certain doom for Nevadans. I’m cautiously optimistic that our federal and state lawmakers will see the confluence of events looming and take the necessary steps to ensure the economy can handle it. Until they do, or if they don’t, it’s important to remember that just before the last bubble popped, the headlines were pretty positive, too.”
’she has been trying for a decade to get the bank to sit down with her and agree to a loan modification so she can keep her house. ‘I got a predatory mortgage two years after I immigrated into this country and I’ve been fighting for my home for about 10 years,’ she said. ‘I have tried to apply for modification for more than 10 times within a period of 10 years’
How many payments has she made in these 10 years? Talk about a free lunch. Money is taking a weird turn anymore:
‘Confusion over when the Bank of Japan will buy exchange-traded funds after it almost doubled its annual purchase target is spurring volatility in the nation’s stock market.’
‘On Thursday, the Topix index slid 0.4 percent in the morning session, creating speculation the BOJ would buy in the afternoon. The BOJ tends to step in on days where stocks fall before the break. When signs emerged that officials had stood pat, the equity gauge extended declines, ending the day down 1.6 percent. While the central bank doesn’t say whether it bought ETFs until after the close, investors can tell if it did by looking at off-exchange cross trades.’
“They recently bought when the Topix fell 0.2 percent in the morning, so people were speculating that they’d purchase on Thursday afternoon, and stocks fell further when they didn’t,” said Masahiko Sato, an analyst at Nomura Holdings Inc. in Tokyo. “When we’re talking about a 70 billion yen purchase amount, that has a lot of impact. Many people take positions beforehand because of this impact, which exacerbates the effect on the market.”
Did you see that? The moment when markets ceased to be markets? How subtle and softly we slipped into la-la land. I wonder if anything bad could happen.
The answer, of course, is a free market.
No private bank that has to eat bad loan losses is going to let a FSA deadbeat live in a home for 10 years of not honoring their signed contract.
Why does a government buy stocks with taxpayer money or taxpayer debt? Let the free market sort out stock prices. But that might cause the party in power to lose power. Especially if they have accomplished nothing else.
‘Under normal circumstances, homeowners would have several nontraditional programs available to them, such as loan modification, short sale and underwater refinance.’
Normal circumstances. It’s normal for house loans to not be expected to be repaid. That some government thingy will step in and keep you from being foreclosed on. Over and over if need be. Oh but house prices are up and away! Far beyond what incomes have done. Who remembers the half a million over asking stuff? The 250 people at open houses? This is normal, dang it!
Underwater refinance? And we’re told there is no subprime. How much more subprime can you get?
“How much more subprime can you get?”
As if 3% down payment isn’t subprime enough.
Who remembers the half a million over asking stuff? The 250 people at open houses? This is normal, dang it!
Take the government and central bank supports out of it and suddenly it’ll become a lot less normal.
‘I got a predatory mortgage two years after I immigrated into this country and I’ve been fighting for my home for about 10 years,’
That’s a sweet ride on the Victim Train.
I know a dude who was fighting for his home (not making mortgage payments and living for free)for about 6 years up in Port St Lucie and he built a new home out of pocket (with the money he wasn’t paying the mortgage with) and by the time he was evicted he had a new home free and clear.
‘Some Miami developers are trying to entice potential buyers to open their wallets by offering immediate amenities in some cases before shovels are even put into the ground.’
This is getting bizarre. These guys are saying, you can go to our club or restaurant - for years! Years before we even build the air box. What exactly is going on here?
What is going on?
Always
Be
Closing
For me, while on the riding mower, my mantra is:
Always
Be
Cutting
They can’t get the money elsewhere to build the project; can’t convince lenders to lend, can’t find the equity investors, so they are trying to get money from buyers as early as possible.
You notice that you never hear these stories in CA? Because it’s illegal.
LOL….
It’s not heard of in California because it’s entrenched and the typical way of doing business there.
When Hillary becomes our next president and imposes her collectivist kleptocracy, neocon, corporate statist agenda, America will lurch from one crisis to the next. Meanwhile, the gargantuan debt and credit bubble built up by the Keynesian lunatics at the Fed and central banks is showing signs of systemic stress. It seems likely that at some point during the Hillary regime’s maladministration we will have a severe economic downtown or even a financial collapse. Prepare accordingly (except for you, Mikey).
http://www.shtfplan.com/commodities/in-the-next-emergency-these-key-items-will-be-completely-gone-from-shelves_08182016
You don’t understand.
Only bigger and bigger government with more and more regulations and higher and higher taxes can save us.
See examples of:
Housing market
Health care
Higher education
For how this works.
Hilary will raise your kids
everything free
Hillary say: “The debbil told me to do it.”
There will be a severe economic downtown or even a financial collapse no matter who the next president is.
The GOP makes it worse. Obama is the fiscal conservative in comparison. Like the great Bill Clinton!
Life is good!
“Great” and “Bill Clinton” said no one ever in the history of man kind.
Except for Goldman Sachs, Citibank, and the rest of the banksters that went on a speculative bender after Bill Clinton repealed Glass-Steagal.
Still waiting for the predicted collapse under Obama…
“Anyone claiming that America’s economy is in decline is peddling fiction.”
–obama 2016
Who knew trillions of debt can provide an illusion of “recovery”?
Some win, some lose (and complain). You can bet either way.
We’re living in a post apocalyptic wasteland pBear… you’re just too delusional to see the starving mobs that roam the landscape, trying to corrupt our precious bodily fluids.
Profit from it, you know you can go short.
Vancouver Housing Market Implodes: Average Home Price Plunges 20% In 1 Month - “The Market Is Devastated”
http://www.zerohedge.com/news/2016-08-18/vancouver-housing-market-implodes-average-home-price-plunges-20-1-month-market-devas
I saw that too.
They are blaming a foriegn transfer tax for it.
But easy to get around - like the way housing securities were bought and sold without transferring ownership here in America.
It is amazing how fast bubbles can burst.
I wonder if the investors will keep paying holding costs when their assets depreciates…
bame Bush
Brexit
waming
This can’t be right. We were told it’s basic economics real demand and supply.
Also everybody wants to live there.
Kapoom!
Economy
August 17, 2016 6:38 pm
DATA: Is the Metro Vancouver real estate market in free fall?
By Jill Slattery
Online Producer
Global News
Evidence from realtors and MLS data is showing the Vancouver real estate market is in the midst of a major slow down, with prices dropping and sales plummeting, but some experts say it’s too soon to tell.
While August is typically one of the slowest months for real estate transactions, MLS sales data from the first two weeks of the month shows what many have been hoping for during the last few years of escalating prices.
There were only three home sales in West Vancouver between Aug. 1 and 14 this year, compared to 52 during the same period last year. That’s a decrease of 94 per cent.
The numbers come from long-time realtor Brent Eilers, who’s been tracking the data with the same system since he joined the business in 1983. He studied MLS listings to count how many homes were sold so far this month.
“It’s pretty tough to go from 52 to three and pretend things are fine,” said Eilers. “That is a pattern that can’t go ignored.”
Eilers says he’s been warning of a real estate slow-down for at least a year due to the region’s unsustainable and unsupportable prices. West Vancouver, where he does a large part of his business, had a benchmark detached home price of almost $3.4 million in July according to the Real Estate Board of Greater Vancouver (REBGV).
The median household income in the region was $84,345 in 2011, according to the District of West Vancouver.
“The market in West Van is up 450 per cent since 2001. So is everyone making 600 per cent more income than they were so they can pay their taxes and buy their houses? Of course not. So how is this inflation been financed? By off-shore money and record debt.”
…
But did that Uber driver get his $3 Million for that lot by the freeway? I hope he didn’t settle on JUST $2 Million.
Is this The Big One?
Business Insider
Markets
Vancouver’s crazy housing market is melting down
Akin Oyedele
Aug. 19, 2016, 8:34 AM
Vancouver’s frothy housing market appears to be melting down.
Home sales in August are down sharply compared with a year ago, Jill Slattery at Global News reports.
Slattery cites data from MLS listings that shows that sales in West Vancouver fell 94% year-on-year from August 1 to 14. Three homes were sold in the area, versus 52 in the same period last year.
Meanwhile, the latest numbers from the Canadian Real Estate Association show that national home sales fell for a third straight month in July, led by Greater Vancouver and Fraser Valley.
But prices continued to rise.
Signs of a slowdown in sales could be a relief for economists who have been warning that the jump in Vancouver’s house prices is unsustainable. In West Vancouver, for example, Global News notes that prices are up 450% since 2001, but incomes have not risen by that much.
“At some point, there will be some mean reversion,” Gluskin Sheff’s David Rosenberg wrote in a July note about home prices, adding that Vancouver’s housing market was in an “outright bubble.”
…
The “worst since Lehman” indicators are starting to proliferate. Thankfully, we know anyone who says America is experiencing an economic decline is peddling fiction.
http://wolfstreet.com/2016/08/18/commercial-industrial-loan-delinquencies-jump-past-lehman-moment-level/
Can obama keep the plates spinning until the election?
And will the next president be able to pull an obama and blame obama for 7.5 years for all their problems?
Obama watches ESPN eight hours a day. Misses half of his “security” briefings.
You’re a bit hysterical, no?
It’s just another lie.
Obama doesn’t care about black people?
The “worst since Lehman” indicators are starting to proliferate.
They’ve allegedly been proliferating for years. You’ve probably already forgotten about the portentous decline of the all-important Baltic Dry Index from a couple of years ago.
But…but…every Oligpopoly media outlet said the sky would fall if the UK voted for BREXIT. Could The Narrative be…gasp…wrong?!!
http://www.telegraph.co.uk/business/2016/08/19/what-brexit-apocalypse-no-sign-of-economic-woe-after-the-referen/
The actual Brexit isn’t supposed to kick in for a couple years. The markets will wait until then to panic.
My prediction is that the bureaucrats will just kill time for a couple years, and then convince the Brits to hold another gee-are-you-sure-about-this referendum. By then, enough of the generally elderly rural Leavers will have kicked the bucket such that they are outnumbered by generally young urban Remainers. Brexit could well be just a sophisticated cry of wolf.
Of course the agents of elites would prefer nothing else.
Probably some UK elites were in favor of Brexit while others were against it. I’m not sure why there would be Americans who would care much about Brexit either way. It’s a strange, faraway country where they drink their beer warm and drive on the left side of the road. Who cares what they do?
Had O’care kept his mouth shot, Brexit would not have happened.
So you think that at least 2% of British voters were voting again President Obama? That sounds highly unlikely.
Have Yellen’s Ponzi markets reached their terminal stage? Will she have to announce QE4 to keep the Fed’s asset bubbles blown up until Hillary gets into office?
http://www.cbsnews.com/news/stocks-keep-going-up-and-investors-keep-saying-no-thanks/
I’m sure those massive derivatives exposures are nothing to worry about. The clever man on CNBC said so.
http://investmentresearchdynamics.com/derivatives-unexploded-financial-weapons/
The New York Fed assures us the middle class is vibrant and growing despite its .1% accomplices looting and asset-stripping the productive economy and off-shoring our manufacturing base. I feel so much better.
https://news.thestreet.com/independent/story/13679111/1/think-the-middle-class-is-dying-take-another-look-says-new-york-fed.html
It’s about time. The prison industrial complex is a national disgrace and an affront to the dignity and rights of every human being in the pennitentiary system.
http://www.independent.co.uk/news/world/americas/justice-department-plans-to-end-private-prison-use-a7197916.html
I heard that there are only 14 federal private prisons. The majority are state and local. So while this is a step in the right direction, it is a small step.
well if black people would commit crimes at the same rate as white people those prisons would close all by itself due to lack of prisoners.
I propose sending them back to Africa!
Have you heard of Liberia?
The very prescription our founding fathers had!
Black incarceration hasn’t been this low in a generation
https://www.washingtonpost.com/news/wonk/wp/2016/08/16/black-incarceration-hasnt-been-this-low-in-a-generation/
If you ain’t done some prenatal time you’re not a real gangsta.
The Comrades of Proven Worth cannot allow the existence of any media outlet that challenges The Narrative, fails to propagate DNC talking points, or calls out cucks and lapdog media for their slavish adherence to political correctness.
http://dailycaller.com/2016/08/18/hillary-campaign-vows-to-destroy-opposition-website/
Scratch a progressive and you find a fascist.
And those of you who went to public school, do look up the definition before responding
Scratch “let the freedom ring” crowd and you get what?
Here is a hint.
2banana’s Rule:
Conservatives are more than happy to live under the same laws and taxes they want for everyone else.
Liberals/progressives expect to be exempted from the same laws and taxes they want for everyone else.
I would like you to live under full American Military Invasion a la Iraq 2003.
Go ask Hillary about war with Iraq.
She supported it and voted for it.
And has never apologize for it.
Trump calls the war a mistake.
Not everything about is stupid politicians.
Look in the mirror, buddy! All the wars you supported, can you live under those?
You need to define who the “let the freedom ring” crowd are.
2Ban is one of them.
Yeah, I think that the theme song to Sean Hannity’s radio show is a country song in which “let freedom ring” is repeated a few times.
They hate us for our freedom.
You have to fight them over there so that we don’t have to fight them here.
How can Hillary and the Comrades of Proven Word herd ‘Muricans into serfdom on the incorporated neoliberal plantation if neoliberalism is dead?
http://www.businessinsider.com/joseph-stiglitz-says-neoliberalism-is-dead-2016-8
The Free Sh*t Army will do their jobs.
Given the pervasive role of government intervention to constantly throw monkey wrenches into the operation of the free market economy, how can one ever know how the free market would work without monkey wrenches jamming up the gears?
That’s easy, bear. Just look at the way people lived BEFORE government got involved, so to speak. How did seniors pay for health insurance? How did the poor but smart kids go to college, or even grade school? How did rural folks get phone service, or even the mail? What happened before minimum wage and labor laws? etc.
Good point Donk. Government drives up the price of everything.
The 20’s less gov = more growth
Btw next year the only strong market will be doc as Hilary hires feministas
HillOza brigades
Life was miserable back in the 1920s compared to today.
Irrelevant…
You’re choosing the 1920’s as a model of growth????
That’s another good point. The 1920s ended badly.
Hoover didn’t listen to mellon
Started Jamal at&t knock e mmm management of the economy,that is always bad
Given the pervasive role of government intervention to constantly throw monkey wrenches into the operation of the free market economy, how can one ever know how the free market would work without monkey wrenches jamming up the gears?
It sounds as if the free market economy has never actually existed. Considering that, and the fact that almost nobody wants it, why bother with the question at all?
I know lots of business folks who believe that government regulations are strangling their ability to afford to produce the valuable goods and services they are capable of providing to society. So long as we own a printing press that can be used to print the money needed to buy close substitutes from foreign producers, why worry?
And for even more fun, here is the article’s definition of neoliberalism:
“free trade, open markets, privatisation, deregulation, and reductions in government spending designed to increase the role of the private sector are the best ways to boost growth ”
So, IIUC, Neoliberalism is conservative, while (according to MacBeth) neoconservatism is liberal. No wonder people can’t get their definitions straight.
Government interference fails the public every single time.
+1
See how much Palm Beach County home, apartment prices will rise next year
August 19, 2016 |
http://realtime.blog.palmbeachpost.com/2016/08/19/see-how-much-palm-beach-county-home-apartment-prices-will-rise-next-year/
To the roof?
“That’s fine, because it’s a much more normal market,” Nikolits said.
They said the same thing in 2006.
Hillary Clinton hasn’t held a press conference in 257 days. That’s ridiculous.
By Chris Cillizza
August 18 at 1:31 PM
Donald Trump said lots (and lots) of thing during his hour-long town hall with Fox News’s Sean Hannity on Wednesday night. This one — Trump talking about Hillary Clinton — stood out to me:
She is so protected. They are so protecting her. She hasn’t had a news conference in, like, 250 days.
It couldn’t be that long since Clinton has talked to the press, I thought. So, I went to the handy-dandy tool that some guy named Philip Bump built to track how long it’s been since Clinton faced the press. And this is what I found:
Screen Shot 2016-08-18 at 12.43.53 PM
Almost 258 days! Trump undersold something!
Jokes aside, it’s beyond ridiculous that one of the two people who will be elected president in 80 or so days continues to refuse to engage with the press in this way.
But she does sit-down interviews! And she did a “press conference” with a moderator, um, moderating the questions!
There’s nothing like a press conference to put a candidate for president through their paces. If you don’t believe me, just watch how Clinton handled this presser — not well! — when she tried to put the email server controversy to rest
https://www.washingtonpost.com/news/the-fix/wp/2016/08/18/hillary-clinton-hasnt-held-a-press-conference-in-257-days-thats-ridiculous/ - -
“just watch how Clinton handled this presser”
Wow, a liar like that is tough to watch.
Oh well, on to the tax payer trillions in stimulus for roads, bridges and now I guess sewers that will go to Teachers Unions and other Democrat supporters where the fat gets trimmed off and the rest is sent back to the DNC completing the circle of life.
What difference does it make?
Corp media receives it marching order via different channel.
She could have a press event every day and nobody would come… Donald generates much better ratings with his traveling freakshow.
She’s pacing herself…
Hillary and the DNC have the lapdog media to disseminate their message 24/7. So a press conference seems superfluous.
Housing makes up, what, 30%+ of the CPI consumption basket? And rents and housing prices (imputed rents) have been going up like gangbusters, along with medical and educational expenses. Yet headline inflation remains subdued.
‘Tis a puzzlement!
As long as there is no inflation there is no need to cool the economy with rising rates.
U have to laugh at the jobs numbers too. All these people out of work and they say 5% unemployment, yeah bs.
They don’t count the increasing number of guys who have taken up permanent residency under bridges.
Wall street needs main street to take the baton but they dont want it. So wall street keeps the bull market alive hoping to finally unload sh@t onto retail. How long can it go on?
“The market can stay irrational longer than you can stay solvent.”
– Keynes
there u go
How will people be made out to be victims to justify sending them checks this time around?
I think it’s the central bankers outbidding each other.
Charles Heimsath, an Austin-based real estate consultant, said the sales decline ‘probably reflects a combination of ‘buyer fatigue’ due to multiple-offer competition, a change in demographics where potential buyers choose to rent, and excessive 100-degree heat’ that kept people inside.”
Lived in Austin for eight years and the only thing I didn’t do on the many 100+ degree days was mow the lawn. Real estate shopping isn’t really impacted by 100+ degree days of which there are many during the Central Texas summer. Soon they’ll be blaming it on the blowing snow.
Love Austin but summer’s too hot.
We’ve been really lucky the past week here in north texas with rain chances everyday and temps in the mid 80s. Very unusual for this time of year. There’s a chance we may have seen our last 100.degree day of the year already!
I remember a similar problem when I was a kid back in the 70s
Flip Wilson on The Ed Sullivan Show - YouTube
https://www.youtube.com/watch?v=0SLifea3NHQ - 255k -
THE DEVIL MADE ME BUY THIS DRESS!
Report: Clinton told FBI Colin Powell advised her to use personal email
Jane Onyanga-Omara, USA TODAY 7:17 a.m. EDT August 19, 2016
Democratic presidential nominee Hillary Clinton told federal investigators that Colin Powell, a former secretary of State, advised her to use a personal email account, the New York Times reports.
The newspaper said the information, from a three-and-a-half-hour interview with Clinton in July, is included in notes the Federal Bureau of Investigation gave to Congress on Tuesday.
I’m sure he did, then winked at conzi.
yellen should buy up all the underperforming student loans!
Why? The Government owns them already.
If the Fed can extinguish a mortgage crisis by purchasing the loans and burying them on its balance sheet forever, why not use the same approach to the$1.3 trillion student debt crisis? The money is free on the margin, other than the cost of adjusting the electronic balance sheet and announcing the policy.
Come to think of it, why can’t the Fed just wipe away any and all debt, given that no tax dollars are involved? Where is the line?
Line is drawn to cover 1%, DC Corridor, Wall street & Silly Valley.
This is the club you aint in it.
Why isn’t the discount window open for small businesses?
Because those big companies are a National Treasure ™ and allowing them to be subject to the vagaries of the free market would most assuredly destroy the nation.
Oh it will happen, you know it.
Add auto debts to the list.
Medical debts…that’s little ways out.
Since the Fed owns a printing press technology and no tax dollars would be spent, where is the downside?
Since the Fed owns a printing press technology…
Why even collect taxes?
Redistribution to keep nonworking props alive at the expense of worker bees?
i still wont accept keeping your degree if you want to get rid of the student loans. you may still have the knowledge but companies are raising the bar requiring you to have a 4 year degree to even apply. if a company wants you to prove your degree is valid and are up to date with your loans i dont have a problem with that.
Here’s the less often discussed issue:
Those with the most problems with student loans never got their degree.
Those who have their degrees have fewer problems paying back the loans.
Having free college isn’t the answer. It will be costly, distort the educate market (even further), encourage people who would be talented with their hands to avoid such fields of work. And at the same time wouldn’t improve graduation rates.
We still need price feedback for college, so we don’t educate a bunch of people for whom college is the wrong life path. What we DO need, is a better support system (mentorship, etc.) for those in college, to make it more likely that they complete their studies.
If you are a smart person coming out of a low income family, you may be able to get loans to pay for school, but you may not have the family support that others enjoy.
Working on developing such a support network would be far less costly and cause far less distortion in the education system than “free college for all”.
The payments are still a big burden for many of those who are making them.
Countries like Germany that have free tuition limit the number of places available per year to save money.
Expect a new box on job applications:
“Earned degree but forfeited it.”
So what if they repossess your diploma? For most graduates it was worthless to begin with.
Would-be California home sellers seem to have developed a collective case of pucker butt in the face of declining prices and sales.
California home sales and median price decrease in July as affordability crunch puts dent in housing market, C.A.R. reports
- Existing, single-family home sales totaled 415,840 in July on a seasonally adjusted annualized rate, down 4.1 percent from June and 5.1 percent from July 2015.
- July’s statewide median home price was $509,830, down 1.8 percent from June and up 3.9 percent from July 2015.
- Year-to-date sales are down from the previous year for the first time in more than a year and a half by 0.3 percent.
LOS ANGELES, Aug. 16, 2016 /PRNewswire-USNewswire/ — California home sales stumbled in July as low inventories and eroding affordability dragged down the housing market, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) said today.
Closed escrow sales of existing, single-family detached homes in California totaled a seasonally adjusted annualized rate of 415,840 units in July, according to information collected by C.A.R. from more than 90 local REALTOR® associations and MLSs statewide. The statewide sales figure represents what would be the total number of homes sold during 2016 if sales maintained the July pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.
The July figure was down 4.1 percent from the revised 433,600 level in June and down 5.1 percent compared with home sales in July 2015 of a revised 438,230. Home sales remained above the 400,000 pace for the fourth straight month, but sales have declined year over year for the fifth consecutive month.
…
Finally a path forward for the poorest state in America. It’s going to be a long slog…. rather a long way down for housing prices but it’s move in a positive direction.
As CA equity gains go , so goes the economy?
Remember az_donk… Nothing accelerates the economy and create jobs like falling prices to dramatically lower and more affordable levels. Nothing.
They can only hold back selling for so long - they’ve got retirements to fund but none of us can buy to fund their nest eggs.. ouch
That’s right. And it’s why homeownership rate is at 51 year lows and housing demand is at 20 year low.
In the meantime rent for half the monthly cost. Then by later after prices crater for 70% less
“Nightmare on Main Street”
“America’s housing system was at the centre of the last crisis. It has still not been properly reformed”
WHAT are the most dysfunctional parts of the global financial system? China’s banking industry, you might say, with its great wall of bad debts and state-sponsored cronyism. Or the euro zone’s taped-together single currency, which stretches across 19 different countries, each with its own debts and frail financial firms. Both are worrying. But if sheer size is your yardstick, nothing beats America’s housing market.
It is the world’s largest asset class, worth $26 trillion, more than America’s stockmarket. The slab of mortgage debt lurking beneath it is the planet’s biggest concentration of financial risk. When house prices started tumbling in the summer of 2006, a chain reaction led to a global crisis in 2008-09. A decade on, the presumption is that the mortgage-debt monster has been tamed. In fact, vast, nationalised, unprofitable and undercapitalised, it remains a menace to the world’s biggest economy.
http://www.economist.com/news/leaders/21705317-americas-housing-system-was-centre-last-crisis-it-has-still-not-been-properly
Properly reformed?
The only way to properly reform the housing market is to get government OUT of the housing market.
Banks need to eat their bad loans
Bankers need to go to jail for fraud and violating GAAP
The CRA needs to be repealed
Etc.
But that would mean government giving up power and could not buy as many votes.
So until democrats lose all power it will never happen.
+1
12? Gov agencies to observe housing
All kept their jobs and got raises
I was no fan of “too big too fail” either! Darn Democrats! We need a fiscal conservative like Reagan again! He only tripled the deficit and let in 3 mill illegals with amnesty…oh and sold weapons to Muslims illegally.
Now Bush had full control for 6 yrs, how did that go? How was the economy? Spending? Any immigration reform?
Know your party.
Ray-gun the idiot who brought in Greenspam….and the debt economy.
Know your party
How’s DNC in Philly?
I disagree - PROPER government oversight can be a very good thing.
Imagine if all home loans, or, heck, even 75% of them, were required to be held by the originating banks. Do you think that they would then have more of a vested interest in making sure that those debtors were properly vetted?
Trump campaign chairman Paul Manafort resigns.
http://www.zerohedge.com/news/2016-08-19/trump-campaign-chairman-paul-manafort-resigns
Gee, no one could have seen THAT coming. According to AP, his lobbying activities regarding Ukraine are about to blow up. And his ties to the Podesta Group, which backs the Clintons.
He did a good job of handling the delegate issues in the run up to the nomination, I’ll give him that. But he screwed the pooch on just about everything else, ever since San Jose. He should never have gotten into anything other than managing the delegates. He should never have cozied up to the kids, set them against their father and muscled Corey Lewandowski out. There was absolutely no reason he and Lewandowski couldn’t have both carried on separate duties within the campaign.
Poor Trump. Even his campaign chairman has jumped ship. You almost have to feel sorry for the guy.
Why feel sorry for Trump, even almost? Win or lose, he’ll be just fine.
And Manafort’s got his millions, so he’s fine. He did the job he was hired to do. Got the delegates and kicked the RNC into line.
Why feel sorry for Trump, even almost? Win or lose, he’ll be just fine.
That explains a lot. He doesn’t care whether he wins or not.
Still Hillarious will lose to him.
Nothing is more pleasurable than visiting The HBB for a daily dose of DebtDonkey Derangement. Nothing.
Not sure why the DebtDonkeys would be deranged over this. DD’s are generally D, and the implosion of the Trump campaign is only helping Hillary… and worse, helping the Democrats down ticket. As I said yesterday, Trump is going to turn centrist GOPsoff of voting altogether, and a no-show vote is even worse than a vote for Hillary.
Trump Imploding?
Ah more wishful thinking….LOL
I think that those “centrists” will hold their noses while they pull the Trump lever in the voting booth. They might hate Trump, but they hate Hillary even more.
How can one hate that lovely abuela?
Ah more wishful thinking….LOL
Yeah, the polls are all BS. Not even Rasmussen can be trusted this time around. Then when Trump loses badly, it will be because the election is rigged.
Trumps antics are far from over. I’m coming around to the idea is he was put forth as the only candidate people would choose Hillary over… and he just might not be able to pull it off.
Yep people will vote for a woman who needs 2 people to carry a few steps. Wikileaks…that will be the end of Clintons for good and that’s a good thing.
Ah the polls.
Sample 15% more democrats then you get the result you want, no?
Four years ago a guy in the New York Times predicted the electoral college outcome nearly perfectly by averaging the major polls. This year Albuquerque Dan will have a number of ghosts arguing that polls are all nonsense right up until Election Day.
Irrelevant
That same guy also said Trump will be gone by Thanksgiving 2015.
Yep people will vote for a woman who needs 2 people to carry a few steps.
It’s only people who already hate her that are aware of this story. It was the same thing eight years. People will never vote for that socialist Muslim guy who was born in Kenya.
You can fool some people some time, you can not fool all people all of the time.
It’s only people who already hate her that are aware of this story.
So you agree, corps media hides bad stuff from dems?
Nate Silver, who’s now at fivethirtyeight.com said that Trump would be out by last Thanksgiving. I doubt that. Supply a link if you can find one.
So you agree, corps media hides bad stuff from dems?
No, the right wing crackpot media makes up lies.
e right wing crackpot media makes up lies.
You can’t be that stupid, can you? After seeing her being helped in steps by 2 men, coughing fits, convulsions…those are all right wing media creation, right?
One thing is to support your candidate…it’s totally another thing to not even recognize what your lying eyes saw….you sir are a worthless partisan..no worthy of any meaningful discussion.
I didn’t bother to check all that wonderful stuff on YouTube, so I only have vague idea of what your talking about. It’s extremely unimportant in the first place. Besides, those crackpot right wing websites probably edited the video to paint a certain picture.
Just like so many others, you make the absurd assertion that I am a worthless partisan, blah, blah, blah, shortly after your ridiculous remarks about the polls.
What so ridiculous about my assertions about the polls?
Do you read the internals? or Just read the headline?
ight wing websites probably edited the video to paint a certain picture.
Again you are deflecting. Not everything is doctored by some right wing website. Clintons are as bad the the right wings media say and Trump is as bad as the left wing media say.
That’s the absolute fact in american politics. If you don’t recognize that and just want to deflect and obfuscate…then look in the mirror…you are the problem.
What so ridiculous about my assertions about the polls?
First you wrote this:
Sample 15% more democrats then you get the result you want, no?
Then you wrote this:
That same guy also said Trump will be gone by Thanksgiving 2015.
Even if that’s true, it wouldn’t have any bearing on my point, unless Mr. Silver based it on polls. And it’s probably not true in the first place.
This is why I call your assertions ridiculous. You have want to disregard or re-interpret the polling results because you don’t like them.
Ridiculous.
TRUDAT.
And Podesta remains as Clinton campaign manager.
Clintons are by far the most corrupt people in the world. This hubris will be their end.
Pal - this must make you sad. Trump is not showing us his “wisdom.” He says he is smart, but no proof.
lol@lola
Lots of people are telling him how smart he is. You wouldn’t believe it! People who know who smart people are, I’m talking about the best in the business! Unbelievable!
Apple In Trouble: “Demanding Cost Cuts From Suppliers After 30% Plunge In Orders: Digitimes”
http://www.zerohedge.com/news/2016-08-19/apple-demanding-cost-cuts-suppliers-after-30-plunge-orders-digitimes
Get to slashin’ them prices so we can get this dead economy moving again.
Maybe they’ll have to slash those 34% profit margins instead. Or shift production to North Korean slave labor camps.
It’s not a bargain until they ask you “how much are you willing to pay” after walking away…
Retail is for suckers.
Chinese officials: “Order more suicide nets for the factory dormitories!”
“The annual off-campus student housing boom near Missouri State University has a little more ooomph this year. Since the recession, new private development around campus has had an almost singular focus: amenity-rich apartment complexes. This month saw the largest increase in beds yet, thanks largely to the opening last weekend of Aspen Springfield.”
___________________________/
I took a business trip to that area about 25 years ago, back when the school was called Southwest Missouri State. Some in our office went to St. Louis and caught a Cardinals game at the end of the day. Others, including me, had to journey to Springfield, where there was nothing to do at the end of the day. Clearly I failed to detect the need for amenity-rich apartment complexes.
It makes sense then. It the town has nothing going on, people will spend more time at home.
People will be spending time at home, but they likely won’t be baking on a tanning bed or using the full volleyball court, which are two of the amenities everyone pays for at “Aspen Springfield.”
It’s interesting that the Aspen complex, which per its website is aimed at students, offers a study room, computer lab, pool and fitness center. Those facilities probably are far inferior to analogous university facilities the students already are paying for. And they may not be using those either.
We are gold-plating everything, in a time when many lack both interest in accoutrements and the money to pay for them.
and the money to pay for them.
This. There aren’t enough rich or willing to borrow a lot of money students to fill these apartments.
Do universities even have computer facilities anymore, except for upper class calculations and graphics? You don’t even need to fight for the printers anymore — just email your papers to the prof.
Universities don’t need to teach obsolete concepts like higher learning or critical thinking. No, my friends, what’s needed is more social sciences quackery like this:
http://www.dailymail.co.uk/news/article-3747572/Seattle-classes-white-fragility-sold-out.html
Yeah, teaching critical thinking is good and the social sciences are bad, blah, blah, blah. Then again, it’s physical scientists who are selling global warming, so regular old non-social science must be bad too.
I have a feeling that the term “critical thinking” must be popular on those wacky right wing websites.
You mean those brilliant physical scientists like Al Gore, Leonardo DiCaprio and the rest of the hollyweird puppets?
Scientists get paid to say what those writing the checks want them to say. A George Sorass paid lackey like yourself would not know these things having never studied or worked in the physical sciences.
Signed, a veteran of the scientific research community. Got out 13 years ago and damn glad I did. Corrupt, incompetent and populated by way too many immature people. But then anything government related tends to suffer from those characteristics. At least in the private sector there seems to be a lot less of that nonsense.
You have no idea what field or fields I’ve studied or worked in. And the private sector disagrees with you attitude about government-funded science, since they lobby Congress to pay for a lot of research that they then profit from.
And your reference to immature scientists is assuming when it comes shortly after a reference to George Sorass.
Irrelevant_
“And your reference to immature scientists is assuming when it comes shortly after a reference to George Sorass.”
Mighty
I don’t know what you are assuming but the George Sorass reference was amusing.
The more money I save the less I HAVE to work.
It seems every day CNBC has a headline that the FED is being eyed.
CNBC and the rest of the lapdog media have to pretend the Fed is a responsible central bank instead of a criminal private banking cartel engaged in ceaseless fraud and larceny against the 99%.
The headline makes it seem that the FED is the savior of the market and its direction is based upon what they do.
Its funny how printing pieces of paper can make us all wealthy. Doesn’t make any sense at all.
For the people that get all this free cash there is a loser somewhere.
“Take that sh!t to the suburbs!” CNN and the rest of the lapdog media can always be counted on to edit out anything that would disrupt The Narrative.
http://www.shtfplan.com/headline-news/take-that-sht-to-the-suburbs-what-to-do-when-civil-unrest-comes-to-your-hood_08192016
The power-mad Comrades of Proven Worth will cling to the reins of power even while their looted collectivist kleptocracies are sinking into dystopian hellholes. Forward!
https://www.yahoo.com/news/maduro-says-venezuela-coup-bid-meet-tougher-reaction-163259959.html?nhp=1
Despite the Oligopoly’s Project Fear to stop Britain from leaving the corrupt, autocratic EU, the sky has yet to fall.
http://www.dailymail.co.uk/news/article-3748708/So-happened-Project-Fear-emergency-budget-shares-crashing-dire-warnings-failed-appear-EIGHT-WEEKS-historic-Brexit-vote.html
Saccharinized credit is making cars and trucks 30% more expensive for us wanting to pay with cash!!! Grrrr!!
You’d think that the Chinese would seize this opportunity to sell affordable cars in the US. But for whatever reason, the Chinese invasion never happened.
We need to print some more fiat so it takes more of that fiat to buy risk assets and their prices go up. Its called the wealth effect. The guy dumping the asset gets more fiat and the guy buying the asset will most likely take on a loan with fiat credit created out of thin air.
That is how you stimulate growth!
The mass layoffs continue in our Obama-Fed-Goldman Sachs “recovery.”
http://wolfstreet.com/2016/08/19/biggest-u-s-mass-layoff-announcements-2016/
Jeh Johnson Tells Flooded La., ‘The President Can’t Be Everywhere’; ‘He Has a Very Busy Schedule’
By Susan Jones | August 19, 2016 | 8:00 AM EDT
President Barack Obama and Los Angeles Clippers point guard Chris Paul walk on the first green during a round of golf at Farm Neck Golf Course in Oak Bluffs, Mass., on Martha’s Vineyard, Sunday, Aug. 7, 2016.(AP Photo/Manuel Balce Ceneta)
(CNSNews.com) - Speaking at a news conference in flood-ravaged Louisiana on Thursday, Homeland Security Director Jeh Johnson said “the federal government is here, we have been here, and we’ll be here as long as it takes to help this community recover.”
Responding to criticism that President Obama has not interrupted his summer vacation on Martha’s Vineyard, Johnson said several times, “The president can’t be everywhere.”
Johnson also said the (golfing, vacationing) president “has a very busy schedule this fall and in the coming days,” hinting that Obama has no plans to go Louisiana.
“There’s been a lot of criticism about president Obama not visiting Louisiana. Will you be recommending that he come to Louisiana and visit?” a reporter asked Johnson.
“Well, of course the president can’t be everywhere. I can tell you that the president has been closely monitoring the situation here in Louisiana. He made the federal (disaster) declaration in a matter of hours — it was expedited, we’re up to 20 parishes now.
“I will be briefing him on what I see here and what the status of our recovery and response efforts are…So the president is closely monitoring the situation, through his cabinet, through his FEMA administrator, and is very much on top of it.”
The reporter again asked if Johnson would recommend that Obama visit:
“As I said, the president can’t be everywhere. I know he has a very busy schedule this fall and in the coming days, and uh, he is closely monitoring the situation. When you are the chief executive of the entire U.S. government, you can’t be everywhere, uh, including places you would like to be. Uh, but through me and through (FEMA Director) Craig Fugate, I know he is very much on top of this situation.”
Another reporter noted that Wednesday’s briefing from the White House press pool began with the announcement that the president was playing a round of golf: “And you sit there and say twice the president can’t be everywhere. The people of Louisiana are dying. How hard is it for you, as the Homeland Security director, for you to have your updates going to the president on the golf course?”
“Well, as I said, he is very much on top of the situation, and I know that he is aware of the level of federal assistance that can be provided and is being provided, and I’ll be briefing him myself right after this visit,” Johnson responded.
When Hurricane Katrina devastated New Orleans, President George W. Bush was excoriated by Democrats and the media for taking a helicopter tour of the flooded city instead of getting a ground-level view.
I think people were after Shrub for not attending some disaster or other too. What is he gonna do, wave the Obamawand he got from the Afromuslimtransexual god he worships and call a giant holy hair dryer from the heavens to dry everything up?
Where is it written that every time there is a disaster they get a visit from the president? It’s tooth fairy logic, and they’re bummed that their tooth fell out and they found it still under the pillow the next morning.
“How is wealth transferred by inflation? Money represents purchasing power. Creating money out of thin air, which is what central banks and commercial banks are licensed to do, confers purchasing power on those who are able to use the money first. For this new money to obtain purchasing power, it must rob little bits of purchasing power from all the other money in the economy. Purchasing power is transferred from those who hold money to those who create new money at close to zero marginal cost.”
http://www.zerohedge.com/news/2016-08-19/inflation-its-wealth-redistribution-scheme
“This explains how and why wealthy, creditworthy asset owners get richer while many poor people tend to resort to overconsumption and ultimately get poorer. Economist John Maynard Keynes, ironically a proponent of inflationary policies, famously noted that “by a continuing process of inflation, government can confiscate, secretly and unobserved, an important part of the wealth of their citizens.”
This is why you never, ever give up your guns, especially to collectivist kleptocrat regimes.
http://www.zerohedge.com/news/2016-08-19/after-confiscating-their-guns-venezuelas-maduro-has-another-warning-coup-plotters
Brady Bunch star Eve Plumb sells her Malibu beach house for $3.9 million.
Paid $55,000 in 1969.
9.5% compounded annual ROI over 47 years. Location, location, location!
http://abcnews.go.com/Lifestyle/brady-bunch-star-eve-plumb-closes-39m-sale/story?id=41482392
Only after dumping $5 million into per the article.
“Paid $55,000 in 1969.”
That was a lot of money in 1969… California minimum wage was $1.65/hr, IIRC. A friend bought a large old Victorian home in downtown San Jose, CA for $18,000, and another friend bought a fully spec’d Z28 Camero for $3,200. A guy could spend $20 on SAT night and have a great time… no aids to worry about either.
Doesn’t fit the narrative…best response you’re gonna get is:
Irrelevant
Santa Barbara, CA Housing Prices Plummet 12% As Mortgage Defaults Surge Statewide
http://www.zillow.com/san-luis-obispo-ca/home-values/
The Fed is on a teeter totter and there isn’t a formula they can think of to find the balance point.
That point is what will start the recession/possibly depression.
Because that point will be sudden and the USD will depreciate overnight as it is sold off. The counterfeited Euro and Japanese currencies will crash as they too become sold off. China’s stash of USD will become worth less than half - even against their pegged currency.
Investors will cause the sell off when that trigger is realized, and they will start talking about it soon. Pension, insurance, etc will all move their money where they feel it will be safe from devaluation - and in their panic will make it worse.
National interest rates will go up in an attempt to stem the outflow tide.
“What goes up must come down.”
Quite a narrative there.
200
Mack the Knife by Bobby Darin - YouTube
https://www.youtube.com/watch?v=cAjKZf54I7Q - 225k -