People Who Invested Have Been Left High And Dry
It’s Friday desk clearing time for this blogger. “The Woodlands mansion with the ‘biggest closet in the U.S.’ is just not selling. The home is back on the market. This time for much cheaper. Originally, homeowner Theresa Roemer listed the residence at $12.9 million. It’s now on the market for $7.95 million. That includes the house’s 3,000-square-foot, three-story closet that cost $500,000 to build. While the opulent closet, and the home attached, might seem like a project Roemer completed to live in for good, she says that it was never meant to be a forever-home. ‘This house was never meant to be a house that we would live in together. It was always meant to be a house to flip,’ Roemer previously told the Houston Chronicle. ‘I want to build another one and build a bigger closet.’”
“Vacation rentals are becoming a big problem in beach neighborhoods across Pinellas County. People are renting out their homes and sometimes the renters are throwing rowdy parties in quiet neighborhoods. Terry Hamilton-Wollin lives two doors down from a house that often rents to big crowds. ‘They’re partying all night long and my next door neighbors have a newborn baby. One night a group of renters even put a port-a-potty in the front lawn. This is a nice, waterfront, quiet community. It’s a disgrace. We fought like cats and dogs to keep our island small and peaceful and now that’s irrelevant.’”
“Yet, homeowners who rent their properties have the right to do so under state law. Mary Wilkerson, who owns several licensed vacation rentals but also rents out her Indian Rocks home says while she agrees with the need for screening renters and making sure you are courteous to the neighborhood, ‘people need a way to continue to pay their mortgage and insurance.’”
“Palm Springs approved a sweeping new set of rules regulating the vacation rentals industry that will limit the number of times a home can be rented in a year, impose increased fines for violations, and beef up enforcement. Residents like Ed Todeschini bought a home in Palm Springs, and told his real estate agent he didn’t want a home with vacation rentals around him. However, over time, that changed. ‘Now, out of eight houses that touch our property line, seven are vacation rentals,’ said Todeschini, who stressed he likes all of his neighbors. ‘But the system as it is, isn’t working.’”
“‘Please do not enact measures which would force a financial hardship on so many of us who are good, responsible owners contributing to the local economy in so many ways,’ wrote Susan Berger in a letter to the editor at The Desert Sun. Berger owns a home in Palm Springs which she rents out as a part-time vacation rental.”
“The oversupply of apartments in the Brisbane and Melbourne CBD is forcing property investors to resort to Airbnb as an alternative to longer term tenants. Gold Coast-based property investors Jason Agnew and his wife Louise have taken that course for a 59-square-metre one-bedroom unit in the heart of Brisbane CBD. The couple, who run their own wealth advisory company Lyfe Property, turned to Airbnb because they were worried about not being able to find a long-term tenant quickly enough. ‘We’ve looked into it seriously through two different agencies. It’s quite unreliable because of oversupply of units up here, so we thought we would give Airbnb a shot,’ Agnew told AFR Weekend.”
“Managing director Oliver Lee of Sydney-based Hostmybnb said three out of four inquiries were now from Brisbane investors who can’t find long-term tenants. Lee said one potential client had to lower rent from $480 to $350 for a two-bedroom apartment in Brisbane’s South Bank. He said investment apartments often sit empty for two or three months. ‘We actually didn’t want to go to Brisbane to tell you the truth, but we started getting hammered with inquiries from investors,’ Lee said. ‘It’s a uniquely Brisbane problem because there is an oversupply of apartments. And the reason why they contact us is because they can’t find any tenants.’”
“Knight Frank is the latest agency to cut staff on the prime London sales side because of the downturn. In an announcement yesterday afternoon the agency announced that two senior staff would ’seek new challenges within the wider residential property market.’ Meanwhile some at the firm said, off the record, that the two departures were part of a larger cut in central London negotiators and senior management because of the sales slump. ‘There are quite a few but we don’t know how many - it was coming and we know other agencies are doing the same,’ one prime central London Knight Frank senior figure told Estate Agent Today.”
“While the government may be hopeful of reviving the economy by lowering the lending cost, the middle class, majority of whom already bought a house, may not be happy with the idea of the property prices coming down in the wake of demonetisation. People, who have invested in property, have been left high and dry with the housing prices falling up to 30 per cent. Realty experts expect a further fall in property prices in the secondary market.”
“It’s a catch 22 situation for one Amit Verma you booked a house in Greater Noida four years ago and is yet to get a delivery. ‘Now I can’t sell it for the lack of buyers. But how long will I continue to pay EMIs for something whose market value has fallen,’ says Amit, a media professional.”
“As the Calgary real estate market continues to struggle through tough economic times, one segment that’s improving is the high-end market – homes valued at $1 million or more. The Calgary Real Estate Board says there has been a marginal improvement in sales so far this year, compared to the first 10 months of 2015. And a big reason for that, according to the Calgary Real Estate Board’s Anne-Marie Lurie, is a sharper drop in prices. ‘We’ve seen there’s been much more price adjustments occurring in that higher-price segment and that’s likely encouraged some of this improvement in sales activity,’ Lurie said.”
“Lurie said high-end homes are down, on average, six to eight per cent – meaning there are some deals for luxury homes out there. But savvy buyers can do even better, according to Curtis Atkinson, a realtor with ReMax. ‘Some areas in Calgary, for the luxury market, are down up to 25 per cent,’ Atkinson said.”
“During an interview on the FOX Business Network, John Allison, former CEO of BB&T, said he would like to ‘get rid of the Fed,’ and blamed the central banking system for playing a ‘major role’ in the housing crisis of the mid to late 2000s. ‘They created negative real interest rates for years that incented the housing bubble, along with the government agencies Freddie Mac and Fannie Mae. So they started a fire; you can debate whether they put it out or not,’ Allison said.”
“‘I think the simple thing to do is go to some kind of rule like the Taylor rule, where they can’t just arbitrarily create money that creates bubbles and then try to fix it by holding rates too low. Yes, free markets are going to have ups and downs, but nothing like what I think monetary policy creates through the Fed,’ he said.”
‘Gold Coast-based property investors Jason Agnew and his wife Louise have taken that course for a 59-square-metre one-bedroom unit in the heart of Brisbane CBD. The couple, who run their own wealth advisory company…’
Hee, hee.
You are always good for a laugh. The jokes really do write themselves. And you know how to find them.
Hehe. Nothing says “wealth management” like cleaning bathrooms for someone else to use…
PS. Nice handle - not that it matters, but will I have to change mine to avoid confusion?
I will change my name once I come up with something suitable. I am a little slow. I have posted less than 5 times since I began following this blog in 2006 or some such year. But, I learn a lot from the words of others.
That article is limited to subscribers only, but I’ve lived in Brisbane. Not much to the place really. Not on the coast, although close. Kind of curious why it developed where it did because the gold coast to the south and the sunshine coast to the north are much nicer. Probably got its start as a mining town. I guarantee that just about everyone who lives/works in Brisbane also has property along the coast.
So much for the secrecy of crypto currency, looks like the IRS got the summons they wanted:
IRS Wins Summons To See If Digital Currency Users Pay Tax
By Chuck Stanley
Law360, Washington (December 1, 2016, 1:30 PM EST) — A California federal court Thursday authorized a John Doe summons by the IRS to obtain information from virtual currency exchanger Coinbase Inc. so it can investigate whether the company’s customers avoided paying taxes on transactions made through the company.
San Francisco-based Coinbase itself has not been accused by the IRS of engaging in nefarious activity, but the agency believes records of transactions made via the company’s currency exchange business could reveal the identities of individuals who have failed to pay taxes on transactions made via encrypted…
http://www.law360.com/tax/articles/867744/irs-wins-summons-to-see-if-digital-currency-users-pay-tax?nl_pk=f6948715-7e31-4edd-9508-f1773488e0d2&utm_source=newsletter&utm_medium=email&utm_campaign=tax
They must suspect yuuge under-the-table transactions. Because the IRS hasn’t much cared about black-market taxes before. (imagine charging 6% on cash at a garage sale…)
Realtors are liars.
so Seattle is the last one standing?
DC area awaits the human tornado
The trend has been rents soften first. Seattle’s already seen that.
I think some of this AirBnB activity will settle out after the owners learn how labor intensive it is. We rented this house in La Jolla, CA for a week and the owner was having no fun trying to make his money back. He bought it a second home with the idea he could make money renting it out short term. He sold it two year later for about the same price he paid, probably losing a bit on transaction costs.
http://www.zillow.com/homes/for_sale/545-seal-lane,-LaJolla,-ca_rb/?fromHomePage=true&shouldFireSellPageImplicitClaimGA=false&fromHomePageTab=buy
For most ‘re transaction cost is about 7%
6 in commission and 1% transfer taxes etc.
No one seems to consider that
$1.7M and $20k a year in real estate taxes
Then owner was working for state.
The public unions and their pensions thank him.
At $100 night - it took him 200 nights just to pay RE taxes assuming he cleaned the toilets and made the beds himself…
We paid $2,640 for a week. That included 7% occupancy tax and $150 cleaning fee. So he netted $2,300 for the week. $377 a night was quite a bit less than 3 hotel rooms in La Jolla.
The LL was pretty exasperated with the whole AirBnB hassle and lack of steady income, which was why he sold it.
That doesn’t even cover the mortgage payment my friend. Now Stack on losses to depreciation taxes insurance and on and on.
Really, AirBNB is nothing new as a concept. It’s just the way it’s done, online. Except for that, it’s just the hospitality business. We used to rent a house for a week or so at the shore during the summer, from people who were old hands at that sort of thing. Never had a problem.
AirBNB just opened it up to more amateurs.
We already saw this movie with Craigslist back in the day. I posted a hundred or more articles of FB’s getting foreclosed while they had ads online (often illegally). It’s just a form of speculation.
‘Really, AirBNB is nothing new as a concept. It’s just the way it’s done, online. Except for that, it’s just the hospitality business. We used to rent a house for a week or so at the shore during the summer, from people who were old hands at that sort of thing. Never had a problem.’
My neighbor was incredulous that people were renting out their Atlanta houses in summer 1996 for the Olympics for 10’s of thousands of dollars. He believed me when I showed him the New York Times ads for them.
Dug this up:
http://www.nytimes.com/1995/06/13/us/landlords-prospect-for-olympic-gold.html
There is an agency in town that brokers rentals of the lakefront cottages. It’s probably functioning pretty much the same way as it did before there was even phone service.
Renting out a rapidly depreciating house for a nite is no different than day rates at no tell motels.
Handing off the baton….
Friday’s jobs report had a huge surprise with a massive drop in the unemployment rate to 4.6%, the lowest since August 2007.
Remember, Obama was handed off wars for oil and 10% unemp.
Johnson had the lowest average unemployment rate across his presidency at 4.2 percent. Of the presidencies that have concluded, Ford’s saw the highest average unemployment rate at over 7.8 percent, followed closely by Reagan at over 7.5 percent.
‘Handing off the baton’
Yeah, that’s why we voted to undo everything he did.
I love that Trump is destroying both parties, but dont blow our lead. Not sure I would go to Jamie Dimon for advice.
“Not sure I would go to Jamie Dimon for advice.”
Obama calls on Jon Corzine for advice, IIRC.
That is some baton…
—
Since 2014 The US Has Added 571,000 Waiters And Bartenders And Lost 34,000 Manufacturing Workers
ZeroHedge - Dec 2, 2016
As another month passes, the great schism inside the American labor force get wider. We are referring to the unprecedented divergence between the total number of high-paying manufacturing jobs, and minimum-wage food service and drinking places jobs, also known as waiters and bartenders. In October, according to the BLS, while the number of people employed by “food services and drinking places” rose by another 18,900, the US workforce lost another 4,000 manufacturing workers.
This is the fourth consecutive month of declining manufacturing workers, and the 7th decline in the past 10 months.
Stop peddling of the fiction.
Our economy is a disaster. Obama has done nothing to fix it.
Raised taxes. Add the most in regualtions. Added the most to deficit. Added two wars on top of the wars he never ended. Etc.
He did allow men to pee in bathrooms with women depending on how they feel that morning . I will give him that.
Deficits matter for the next seven weeks. At that point they won’t matter anymore.
budget deficits always matter. eventually it will blow up, but no one knows when it will happen. no one knows when the chickens will come home.
2b is right. obama’s policies harm the economy. trump says he will reverse much of it and i believe him. his promises in the last few weeks of his campaign are especially encouraging.
he won’t get everything right, but he’ll get most of it right. that’s opposed to obama, who got everything wrong for the last 8 years.
Things will probably be great for rich people. The rest of us won’t see much improvement. Margaret Thatcher famously stated, “There is no such thing as society. There are individual men and women, and there are families.” The word society could be replaced with “the economy”.
Things will probably be great for rich people.
everyone will benefit, but the rich will notice it least. (does a man with 2 billion dollars drink more beer than a man with 1 billion dollars?)
the poorest will see the greatest margin of improvement.
Funny Mike brings up Margaret Thatcher. He sounds a lot like Simon Hughes going after her in 1990.
Mr. Hughes: There is no doubt that the Prime Minister, in many ways, has achieved substantial success. There is one statistic, however, that I understand is not challenged, and that is that, during her 11 years as Prime Minister, the gap between the richest 10 per cent. and the poorest 10 per cent. in this country has widened substantially. At the end of her chapter of British politics, how can she say that she can justify the fact that many people in a constituency such as mine are relatively much poorer, much less well housed and much less well provided for than they were in 1979? Surely she accepts that that is not a record that she or any Prime Minister can be proud of.
The Prime Minister: People on all levels of income are better off than they were in 1979. The hon. Gentleman is saying that he would rather that the poor were poorer, provided that the rich were less rich. That way one will never create the wealth for better social services, as we have. What a policy. Yes, he would rather have the poor poorer, provided that the rich were less rich. That is the Liberal policy.
Mr. Hughes: No.
The Prime Minister: Yes, it came out. The hon. Member did not intend it to, but it did.
well said.
If your excerpt is accurate, Mrs. Thatcher simply lied. The Hughes guy didn’t say what she accused him of saying.
If Trump is great for the rich, then he’ll be doing at least as good as President Goldman Sachs (aka Obama), who has been GREAT for the rich and connected
“does a man with 2 billion dollars drink more beer than a man with 1 billion dollars?”
No… which raises the question: why are the rich so stingy with their money if they won’t “notice” it? Why do they have to stash money in file cabinet in the tropics when they will probably never use that money? Why do they need to outsource millions of jobs for ever more and more profit and more and more wealth when they have nothing left to spend it on? Good gosh, they don’t have to give everything away, but seriously can’t they get by on say, $5-10 million/year, especially when all the toys are paid for?
Also, Thatcher’s policies resulted in massive de-industrialisation in manufacturing in the England’s North and Midlands. Good jobs in mines and mills and factories disappeared and there was nothing to replace them. These areas are similar to America’s Rust Belt.
If your excerpt is accurate, Mrs. Thatcher simply lied. The Hughes guy didn’t say what she accused him of saying.
No, but he meant what she accused him of meaning.
If Trump is great for the rich, then he’ll be doing at least as good as President Goldman Sachs (aka Obama), who has been GREAT for the rich and connected
That’s mostly because he came into office shortly after the stock market crashed. I read an analysis of the 20 years of FDR and Truman that said that they were really great for the wealthy. It was for the same reason.
BTW, before Thatcher, the tax on “unearned income” was over 90% in the UK (interest, etc.).
A friend of mine came to the US before Thatcher as part of the great UK “brain drain” of the time because of the socialist policies that were in place. His family brought their resources to the US and dramatically slowed their investment in the UK.
They are now naturalized US Citizens, and won’t be going back. Their investment capital is here to stay.
If Thatcher didn’t change the trajectory of the UK, many more family’s like my friends would have packed their bags.
why are the rich so stingy with their money if they won’t “notice” it?
what would they have to do to pass your test for not being ’stingy’? how much do they have to give away or not earn?
Why do they have to stash money in file cabinet in the tropics when they will probably never use that money?
why do you feel entitled to their money? you could spend it better? what if they want to pass it on to their family? do you think they’re entitled to?
Why do they need to outsource millions of jobs for ever more and more profit and more and more wealth when they have nothing left to spend it on?
what do you have against wealth and profit?
Good gosh, they don’t have to give everything away, but seriously can’t they get by on say, $5-10 million/year, especially when all the toys are paid for?
what about all those luxury yacht builders that would go out of business? don’t you care about them?
and what about all those people that can’t afford a brand new luxury yacht, but might be able to afford a used one? do you want to impinge on their happiness?
do you ever get tired of virtue signaling?
Virtue signaling is not quite the right term. Probably many more HBB participants would agree with you than with Oxide.
virtue signaling has nothing to do with agreement.
Virtue signaling is not quite the right term.
Call it “B.S.”, then.
She’s posing the question of why some billionaires never have enough money. It’s an interesting question, not BS.
The answer depends on the situation. If someone is in charge a public corporation, they have a fiduciary responsibility to earn as much profit as possible. It doesn’t matter how profitable the corp. is. Wall Street always wants more. It’s why you’ll see CEOs change their tune on things like environmental protection or outsourcing after they retire.
Why is it wrong to cap wealth at 1 Billion dollars?
We would NOT be stopping people from making more money. It would simply prevent them from ADDING to their wealth.
what’s the difference between ‘making more money’ and ‘adding to wealth’?
The stock market, unemployment report and happy people in my area disagree with you. Life is good for most of us. All you need is a skill or to graduate college and you will be fine. I cant help the toothless zombies, no one can.
Alone and unpopular, France’s Hollande throws in the towel
‘The withdrawal means the 62-year-old Socialist leader is the first president of France’s fifth republic, founded in 1958, to step aside after only one term. He is the most unpopular president in French polling history, a fact he tacitly acknowledged in his speech on Thursday.’
‘In January 2014, celebrity magazine Closer published pictures of him arriving on a scooter at an apartment near his official residence for secret trysts with a French actress, Julie Gayet. The revelations led to the break-up of Hollande’s relationship with partner Valérie Trierweiler, who went on to write an eviscerating book that claimed the president mocked poor people as “the toothless”.’
And you wonder why your candidate lost in a “biblical” defeat.
Here’s a question for anyone reading here (except from this guy I’m replying to): are all or most Democrats as delusional as same ol attitude about how they were repudiated?
The French and Germans have mindlessly bent over for globalism and the banksters for the last generation at least. Now that they’re reaping what they voted for in the form of mass Third World immigration and all the ills that brings, they are finally rediscovering their French identity and culture.
Trump is going to win 2020 in a landslide.
Progressives and liberals have learned nothing.
Hillary barely won Colorado, Maine, Minnesota, Nevada, NH and Virginia.
—–
The stock market, unemployment report and happy people in my area disagree with you. Life is good for most of us. All you need is a skill or to graduate college and you will be fine. I cant help the toothless zombies, no one can
Trump’s 2016 win was the definition of landslide victory.
Exactly. Next time it will be landslide-ier.
Trump’s 2016 win was the definition of landslide victory.
only in your head
The landslidiest ever…
I hope he wins in 2020, it will take 8 yrs to crush the Republican and Democratic party. Then, start over…
Yes Ben, the Dems were getting deluded. Thatcher wasn’t far off when she said that socialism is great until you run out of other people’s money. People will disagree on where to draw the line, but we are getting too close to where my line is.
The SJW’s, especially the retired ones, are ready for full-on socialism not only for citizens but for the entire third world. How will they pay for it? They don’t know and they don’t care, so long as that pension check keeps coming. I suspect that’s why Clinton lost so many votes. No matter how qualified she was, Clinton gave every indication that she was going to ramp up the moochery to the breaking point.
Hey Donk.
All you need is a skill or to graduate college and you will be fine. I cant help the toothless zombies, no one can.
Your attitude is known as the Just World Hypothesis. You look at the world around you, see that some people are employed while others are unemployed, some are rich while others are poor, some are healthy while others are unhealthy. You see all that and you assume that it is entirely due to the personal talents and virtues of the individuals.
OF course, that means that the Carrier workers who will lose their jobs must be lazy and incompetent, while those who keep their jobs are industrious and talented.
Trump he ruined the racial grievance industry
People are already saying Christmas out loud
Obama has done nothing to fix it.
Bush fixed it so good, Obama got no chance at all.
Just for kicks let’s bailout banks again.
Higher health care costs (insurance) and higher rent does not make a better economy. Unless you’re a 1%’er.
Here is why there is a drop in the unemployment rate. An historic RECORD amount amount of people are NOT EVEN COUNTED.
The legacy of obama in a nutshell.
—-
Record 95,055,000 Americans Out Of The Labor Force
The Daily Caller | 12/02/2016 | Caroline May
While the unemployment rate dropped and the economy added another 178,000 jobs, the number of Americans out of the labor force hit a record high last month.
According to the Labor Department, 95,055,000 Americans were out of workforce in November, meaning they were neither employed nor had made an effort to find work over the previous month.
The level of Americans outside of the workforce last month — due to retirement, education, discouragement, or otherwise — represented a substantial 446,000 increase over the month of October.
if you want a job and have some skills life is good. do you know any unemployed people? I dont. Hiring ads all over CA. You get paid what you deserve.
Retirement is the key word there. You should know that a very large number of Americans turn 65 every month. The Baby Boom was near its peak 65 years ago. You should ignore that 95,055,000 number. It’s meaningless.
A much larger and skyrocketing number of Americans are dying every day.
The Boomers aren’t dying off nearly fast enough.
You might want to check your facts on that Mike. The number of people over 65 working has been on the increase for years.
“More older Americans – those ages 65 and older – are working than at any time since the turn of the century, and today’s older workers are spending more time on the job than did their peers in previous years…”
http://www.pewresearch.org/fact-tank/2016/06/20/more-older-americans-are-working-and-working-more-than-they-used-to/
Yes, but there is still a major dropoff in labor participation from age 55 to 65…but the dropoff is less severe than it used to be.
You might want to check your facts on that Mike. The number of people over 65 working has been on the increase for years.
It’s probably not enough to make up for the fact that senior citizens, who mostly don’t work, make up a larger portion of the population every year.
I agree (shocking, huh?).
What matters is the participation rate by age cohort. Age 25-54 is the biggie. And we are still down a bit from “normal”–which seems to be in the 83-84% range going back to 1990. We are currently at a 81.5% participation rate (and just beginning to trend upward). So, with a population in that age cohort of about 125 million, that means there are about 2-3 million people who are not participating in the labor force, but historically should be.
If you add those non-participants back to the labor pool, you get an unemployment rate of between 5.8% and 6.4%, which seems more appropriate given the lack of wage growth despite a reported unemployment rate of 4.6%.
Of course that is just one way to look at the lack of participation in the labor force…many would say that even the 5.8% or 6.4% doesn’t take into consideration other factors too.
But it seems that you can pretty easily add 1%-1.5% to the unemployment rate if you just look at the lack of participation from that core group of potential workers.
I did hear Trump say yesterday that he was going to do something to help parents get day care at a reasonable cost. That would be something could increase participation. A lot of women who currently don’t have jobs would look for them if they could get affordable child care.
Does this labor participation include undocumented immigrants? That’s several million jobs that the 25-54 cohort used to do. (and yes, they did them.)
lot of women who currently don’t have jobs would look for them if they could get affordable child care.
Maybe couples who put their children in kiddie kennels, aka daycare, shouldn’t have kids in the first place if they don’t love them enough to raise them themselves instead of farming the job out to poorly paid daycare providers.
“several million jobs that the 25-54 cohort used to do. (and yes, they did them.)”
No, they didn’t.
These jobs were for the 17-21 cohort for beer and concert money.
Trump is truly a game changer.
The hard progressives and liberals on this board sound like the global elite 1% robber barons.
Trump sounds like a man of the people working class populist.
2020 landslide.
Unbelievable, reelection of Piglosi and now Hiliary/CreepytheKlown want to do a loser’s tour, it seems theyre hell bent on destroying whats left of the democrat party
https://twitter.com/dcexaminer/status/804680078785445890
Comments are comedy GOLD!
The Democrats are the party of corruption. Everyone who casts a vote for them is aiding and abetting that corruption.
The Baby Boom was Obama’s fault!
WSJ:
“Like the Nixon Administration, Donald Trump’s unpredictable, non-ideological policy-making will sometimes be disorienting for those who claim to believe in free markets. Some conservatives will be tempted to tolerate bad policies that appear to be popular that they’d never accept from President Obama. Many Republicans stayed silent or supported Nixon as he imposed wage-and-price controls and created the EPA, only to regret it later. They shouldn’t make the same mistake with Mr. Trump.
“The better strategy is to support him when his policies promote growth and try to block him when he veers into big-government cul-de-sacs. In that spirit, his Carrier shakedown is a short-term political victory that will hurt workers and the economy if it becomes the norm for the next four years.”
Saving jobs at Carrier will HURT the economy.
Your progressive tears are delicious.
If only Trump had been for the Hillary approved TTP. We would have shipped even more jobs overseas than NAFTA. I am sure you would have been impressed.
BTW. Trump uses a carrot and stick approach. Dealing with Trump is not like how the Iranians dealt with obama for their deal.
I am a libertarian. I want less gov, not corp welfare.
“I am a
libertariansocialist.”Let’s be accurate my friend.
gov is not here to give you a job! make your own way!
Allowing companies (or individuals) to keep more of their own, hard-earned money is not welfare, nor is it a subsidy.
Only sick socialists like you try to twist the meaning of language to suit your political agenda.
You need to pay to play… rds. airports, cops, firemen, safe food, water…. schools….u know the list
You don’t need government for any of these things. The first I’d start with is schools, and the Department of Education. Let people pay for their own kids’ education.
Trump will eliminate the Dept of Educ. Just like Reagan did.
“I am a libertarian.”
And voted for Hillary? That’s some cognitive dissonance right there, I don’t care who y’are. Geez.
“That includes the house’s 3,000-square-foot, three-story closet that cost $500,000 to build. While the opulent closet, and the home attached, might seem like a project Roemer completed to live in for good, she says that it was never meant to be a forever-home. ‘This house was never meant to be a house that we would live in together. It was always meant to be a house to flip,’…”
I never really thought about it before reading this, but it seems totally unhinged that we have a class of rich people and celebrities who voluntarily spend their free time fixing up flips and building spec houses to sell to other rich people. What, does reality tv make the service economy look so glamorous they all want in on jobs like lighting designer and construction supervisor?
Of all the things this woman could do with her leisure time and millions of dollars, she chooses this?
“Of all the things this woman could do with her leisure time and millions of dollars, she chooses this?”
Exactly. She could support the arts, education, wildlife habitat, etc., but no… just mindless consumption. Imagine living with her… hell on earth.
Yeah, I wonder how many Somali or Syrian refugees one could house in that closet . . .
Maybe they could convert the 3000 sq ft closet into a great big bathroom. Because they are going to take a bath on it, for sure!
LOL—nice one, PB!
DOW performance
Bush up 14% in 8 yrs
Obama + 130%
Clinton + 230%
Reagan +121%
Nixon minus 16%
remind me why I am supposed to be unhappy and broke?
Wind and solar power have nearly tripled, and now account for more than 5 percent of U.S. electricity.
Corporate profits are up 166 percent
‘why I am supposed to be unhappy and broke’
No one said you were. You are however delusional. Of course everything can seem great in California. You are enjoying a record housing and stock bubble at the same time. It’s the poorest state in the union but you don’t even get that. It’s the detached from reality that left Democrats stunned and weeping after the election. Stock are up, houses have never cost more! That wealth effect Bernanke and Yell cooked up has been rejected. It isn’t doing anything for most people. In many areas they are going backward. Bill Clinton said near the end that people haven’t had a raise in 10 years. Even he got that much. You? “La la la, past the baton.”
Obama told the crowds a Trump win would equate to a total repudiation of everything he “accomplished.” He said Trump would probably even dig up Michele’s garden! When people laughed he said, “you think I’m kidding.” The people just took the baton and gave Obama a good schlonging.
I wouldn’t want Trumps place for all the tea in China. Somehow we’ve got to step down from several bubbles these clowns created. I think that’s why he’s going all in on infrastructure. The air is coming out and we’re going to need some jobs quick. Look at the bond market: a few trillion went poof!
To be fair, Trump probably *would* dig up Michelle’s garden. I can’t seem to visualize Melania or Barron in jeans and T-shirts covered in shredded tree bark and cow poop. (which is what I look like a couple times a year.)
History will repeat. Jimmy Carter had solar panels installed on the White House roof. When Reagan moved in he had them removed.
MO’s garden is a great microcosm of what is right and wrong with government.
It think it’s fine and admirable that the first lady take up a cause like childhood obesity, and encourage healthy food choices, etc.
However, when it morphs into teachers telling kids what to eat and what not to eat based on the food choices that the government has determined to be “healthy”, they’ve gone way too far.
One size does not fit all.
My kids are very active, and in one case, too skinny (according to our pediatrician). So, we give them whole milk…they need the fat/calories.
So, when my third-grade daughter came home from school, explaining to me that we shouldn’t be giving them whole milk (as told to her by a teacher), I pretty much flipped my lid.
we shouldn’t be giving them whole milk (as told to her by a teacher), I pretty much flipped my lid.
Ask the teacher to show you her copy of her medical license, then.
“Somehow we’ve got to step down from several bubbles these clowns created. I think that’s why he’s going all in on infrastructure.”
That actually makes sense, and happens to be how at least some California construction workers stayed employed during the first wave of bubble collapse.
Swampmomster’s party on.
Goldman Sachs shares have been on a tear since last month’s presidential election.
The stock has gained about 25%, and on Thursday hit its highest level since 2007 — or before the financial crisis.
If Italians vote “no” on Sunday, the banking rally could come to a screeching halt.
The last thing we need is another neocon Secretary of State.
https://www.theburningplatform.com/2016/12/02/all-of-the-favorites-to-land-the-secretary-of-state-job-are-neocon-warmongers/
“Obama Legacy: Record 95 Million Out of Labor Force”
http://www.lifezette.com/polizette/obama-legacy-record-95-million-labor-force/
The labor force participation rate is now at a 28-year low.
Pass the baton…
I dont live in coal country, I dont see these walking dead. We have jobs out west.
go hire a toothless zombie, step up if you want to help.
I dont want my gov creating jobs for them. they made their bed, they can sleep in it now. next life, work hard!
https://fred.stlouisfed.org/series/LNU01300060
And it’s not purely demographically driven.
The 81.5% labor force participation rate for 25-54 year olds is slightly better than it was a few years ago, but still below where it was pretty much the entire time since 1990.
Peak level was while Bill Clinton was in the WH. I guess that was due to his economic policies, right? (Because everybody knows that whatever happens in the U.S. economy is solely due to the economic management of the current occupant of the WH…)
I’m glad you threw in the sarcasm.
Of course current economics are effected by prior administration’s policies. But you cannot have it both ways.
You can’t tout a president’s success in one breath for a certain topic, but then in the next blame their lack of success on their predecessor.
So, what is it? Was Obama great for employment? Or not?
He had 2 years to write whatever laws he wanted (a luxury that Reagan nor Bush #1 ever had)…and there were three biggies for which he got nearly no GOP support.
1. $787 Billion stimulus that created (at the high end), 3.3MM jobs (compare that math to $7MM for 800 jobs).
2. The ACA which isn’t doing what was intended;
3. Dodd Frank–whether you want to believe it is causal or not, we now have the fewest number of community banks since the Great Depression.
AND 6 years later, we still have 25+ year lows in participation rates for core working age population.
We have a dirty test tube.
If he didn’t pass the ACA and Dodd Frank, and we were still in this predicament (low participation rates, and stagnant wages), I think it could be easily argued that while perhaps Obama could have done more to help spur job creation, he didn’t impede the free market from self-help–in such case, blaming Bush is probably appropriate.
However, when you pass incomprehensible legislation that takes years to take effect in BOTH healthcare (upwards of 20% of GDP) AND the financial industry (which feeds capital to businesses around the country), it isn’t hard to see how job growth suffered because of his policies.
However, we are left with a debate, no clear answer.
Although if you were to ask people in manufacturing states whether Obama’s policies were good for their jobs, the election pretty clearly summed up their views.
You’re relying on that participation rate again too much. If you look at the portion of the people aged 25-54 who are employed, about 3/5 of what was lost in the brutal recession of 2008-09 has been recovered.
https://2.bp.blogspot.com/-mYaSa0HT2Hk/WEGBmGFfJoI/AAAAAAAApiY/TSVCMHE5PXA0XfdOGG6xeFfos1pIB8T8wCLcB/s1600/EmployPop2554Nov2016.PNG
On unique phenomenon of the Obama years is that the total number of government job has declined. This hasn’t happened in over 40 years.
Public Sector Jobs Added (000s)
Carter: 1,304
Reagan 1: -24
Reagan 2: 1,438
GHW Bush: 1,127
Clinton 1: 692
Clinton 2: 1,242
GW Bush 1: 900
GW Bush 2: 844
Obama 1: -708
Obama 2: 3741
Read more at http://www.calculatedriskblog.com/#tc3Wwk7Ub5Qrjtfv.99
I am happy that O shrank the gov.
On unique phenomenon of the Obama years is that the total number of government job has declined.
Ummm, using your own figures: minus 708 _PLUS_ 3741 is _declining_???!?
Using normal math, that’s PLUS 3033 thousands—in other words, INCREASING by 3 million, not declining.
You also need to keep in mind that people are counted as participating in the labor force if they’re either employed or looking for work. So if 2 million currently employed people lost their jobs next month but told pollsters that they were looking for new jobs, that would have no effect on the participation rate.
And that was true when the percentages were higher also…I’m struggling to see your point.
My point is that the participation rate is nearly meaningless by itself. When you used it earlier to come up with an alternate measure of unemployment, that was sort of useful.
Here’s another way to look at it. If 10 million Americans who are currently not working and not looking for work started looking for work next month, that would drive up the participation rate quite a bit. It wouldn’t be a sign of an improvement in the economy all by itself.
Look at all the gyrations ducking and weaving.
I was wondering today how many illegals work at Carrier?
Less than are helping to install their furnaces in new homes around the country . . .
You’ve never been to Indiana, have you?
Notre Dame in my blood.
When will the prices of homes come down for the first time home buyer?
Long Island Ny?
Rent for half the monthly cost. Buy later after prices crater for 70% less
you get paid what you deserve.
He’s like a fortune cookie.
You would be surprised how many people think they are entitled to more, “I am a waitress in Texas with 5 kids, I deserve a big tip!”
I wonder how much housing demand has been sacked by now due to rising interest rates?
Markets
Bond Market Slide Intensifies
Rise in yields since July has pushed the 10-year Treasury note up by more than 1 percentage point
Debt issuance since the election has been especially robust from financial companies, including Wells Fargo, which sold $7 billion of bonds Thursday.
Photo: John Taggart/Bloomberg News
By Sam Goldfarb, Matt Wirz and Aaron Kuriloff
Updated Dec. 2, 2016 7:37 a.m. ET
The worst bond rout in three years deepened Thursday, hammering debt issued in emerging markets and many U.S. states and cities, while sparing large companies the brunt of the impact.
The yield on the 10-year Treasury note rose to a 17-month high, at 2.444%, up from 2.365% Wednesday. Yields rise as bond prices fall.
The surge since July has pushed the 10-year yield up by more than 1 percentage point, only the fourth time it has risen so much so fast since 2009. Rising rates can reflect optimism about economic prospects, yet over time they can also slow growth by making borrowing more expensive for consumers and businesses.
Bonds issued by emerging-market countries like Mexico and Turkey have been hit hard in recent weeks, reflecting fears that a strong dollar and the prospect of slower global trade under a Donald Trump administration will hurt companies there. U.S. municipal bond prices also have declined amid concerns that tax cuts could erode the value of the debt’s tax breaks.
American companies are emerging as relative winners in the selloff. Yields are rising off such a low base that few economists or traders are concerned for now about ripple effects through the economy.
…
Brace yourselves. Mortgage rates are heading up, never to return to current levels over the course of your future lifetimes.
Mortgage Rates Hit 72-Week High: Freddie Mac
December 1 2016 Mortgage Rates
Mortgage Rates Rise…Again
30-year mortgage rates are at their highest levels since July 2015.
This week, Freddie Mac’s weekly survey of more than 100 mortgage lenders shows rates on a record run higher. Conventional 30-year fixed rate mortgages increased another 5 basis points (0.05%) from last week’s reading. Rates rose to 4.08% nationwide, on average.
In all, rates are up 51 basis points (0.51%) in three weeks.
The after-effects of the U.S. presidential election sent rates skyward, as the market absorbed proposed policies of the incoming administration.
Historically, though, rates are still low. The 30-year fixed rate has averaged more than 8% over the past 45 years. Rates are now around half that.
As a consumer, you are probably not yet priced out of a home purchase or refinance.
…
Interesting. So, if you are a mortgage broker should you be scared? No more re-fi’s. No more flipping.
Yes you should be afraid. Forecast for a HUGE drop in refinaces in 2017. Purchase forecast to be up. % depens on sources. I’ve seen from 2% to 12%.
Harrison, ID Housing Prices Crater 16% YoY
http://www.zillow.com/harrison-id/home-values/
Zillow said Bosie was up 8.5% last year, projected 3% this yr.
$400k home gained $32k, that is free living.
Falling prices my friend. Falling prices.
How is this a diplomatic “scandal”? Taiwan has been left to twist in the wind and Trump is re-instating ties. As he should. He’s sending a powerful message, not just to the commies in China, but the ones at home, too. Back to the future.
http://www.zerohedge.com/news/2016-12-02/trump-risks-major-diplomatic-scandal-china-following-taiwan-phone-call
Regarding the STR’s and VRBO’s in PS most of the owners could not afford their house hotels without the income. This anticipated income has inflated the price of homes beyond the market value. The house hotels have ruined neighborhoods and affected the quality of life for residence. I have friends who purchased in south Palm Springs and factored in the $300-$350 daily rental into the equation. What would that home be worth if the market fell out of the VRBO market? I would not want to live next door to one and neither would they.
The ending of this insanity will be epic.
Banks that lent to these folks should fail and thier CEOs should go to jail.
Oh no, I agree with Sarah:
(SP) joining in with a chorus of conservatives who have said it violates free market principles.
“Foundational to our exceptional nation’s sacred private property rights, a business must have freedom to locate where it wishes,” wrote Palin, the 2008 Republican vice presidential nominee. “In a free market, if a business makes a mistake (including a marketing mistake that perhaps Carrier executives made), threatening to move elsewhere claiming efficiency’s sake, then the market’s invisible hand punishes.”
“Thankfully, that same hand rewards, based on good business decisions,” she continued. “But this time-tested truth assumes we’re operating on a level playing field. When government steps in arbitrarily with individual subsidies, favoring one business over others, it sets inconsistent, unfair, illogical precedent.”
The deal included the state of Indiana offering Carrier $7 million in tax subsidies over 10 years to keep some of the jobs that were planned to be exported in the state.
Yeah, the next 4 years are gonna get real weird.
“California Is America’s Poorest State”
http://www.laweekly.com/news/california-is-americas-poorest-state-4177082
Yep, please stay in Buffalo, NY. Nothing but po’ folk out west driving Teslas.
Falling prices my friend. Falling prices.
Burlington, WA Housing Prices Crater 7% YoY
http://www.zillow.com/burlington-wa/home-values/
Kalaheo, HI Housing Prices Crater 12% YoY
http://www.zillow.com/kalaheo-hi/home-values/
64.9 million ‘Muricans voted for corruption and crony capitalism. They should all be shipped to Venezuela to live in the collectivist kleptocracy they’d like to foist on the rest of us.
http://www.independent.co.uk/news/world/americas/us-elections/jill-stein-green-party-votes-exceed-donald-trump-margin-handed-presidency-hillary-clinton-michigan-a7451641.html
Unhinged
Shouting Match Between Aides Erupts as Clinton Campaign Team Says Trump Gave Platform to White Supremacists, Blames FBI’s Comey and Wikileaks for Her Defeat
Published December 2, 2016
At one point, Clinton campaign communications director Jennifer Palmieri told Trump’s team, “I would rather lose than win the way you guys did.”
“The platform that they gave to white supremacists, to white nationalists, is a very, very important moment in our history,” Palmieri said.
“Do you think I ran a campaign where white supremacists had a platform?” shot back Kellyanne Conway, Trump’s campaign manager.
“You did, Kellyanne. You did,” an emotional Palmieri responded.
The exchange was one of several tense moments during the traditionally cordial post-election review hosted at Harvard’s John F. Kennedy School of Government.
http://nation.foxnews.com/2016/12/02/shouting-match-between-aides-erupts-clinton-campaign-team-says-trump-gave-platform-white
Catfight! I love that Palmieri and her ilk are blaming everybody but themselves and their horrible candidate. It means they won’t learn a thing from this election and will get beat next time around by an even bigger margin.
Conway was probably too busy mopping the floor with dem tears en route to a Trump victory so she probably didnt get a chance to read wikileaks, but it would have been nice for her to cite the emails that show how much disdain Palmieri had for “boss” $hillary.
heh, great minds think alike. I just wrote a post to that effect. I don’t know who was worse, Palmieri or Tanden. Couple of spittin’ witches.
The bi-coastal Democrat elites and their donors in their hubris and arrogance show no indications of recognizing how loathed they are in the heartland. By 2020 the numbers of aware and aware Americans will be hitting new highs, especially if Trump fails to drain the swamp. Then even more hardline populist-nationalist candidates will be running, while the DNC goes with the same discredited, corrupt water carriers for the globalist oligarchs.
The left are delusional.
They have learned nothing.
Their tears will be delicious for the next four years.
Super landslide in 2020….
After catching a load of Palmieri’s performance via wikileaks, I’m surprised even her own associates talk to her, or can even stand to be around her. She is one nasty, catty individual.
Nuclear winter is creeping across the Vancouver housing bubble. Will we look back at this city as the Stalingrad of the central bankers’ asset bubbles and Keynesian delusions?
http://wolfstreet.com/2016/12/02/vancouver-house-price-bubble-collapses-sales-crash-for-sale-signs/
Enragers, Pick your favorite Star Trek character and email me.
Hah, I just watched an episode of TNG a little while ago. I am really torn between Data and Jean Luc Picard.
Best.prank.ever.
https://www.indy100.com/article/woman-pranks-husband-wild-coyote-photoshop-7452641?utm_source=indy&utm_medium=top5&utm_campaign=i100
Thanks, Ray K. That was awesome. Even more awesome was to see the obvious affection between the two, even between all the freaking out and cursing. Made my day.
With soaring health care costs, how can ‘Muricans - especially the growing army of Type II diabetes / Hillary supporter types - ever hope to afford decent housing?
http://www.montereyherald.com/general-news/20161202/us-health-care-tab-hits-32-trillion-fastest-growth-in-eight-years
This house was never meant to be a house that we would live in together. It was always meant to be a house to flip,’ Roemer previously told the Houston Chronicle. ‘I want to build another one and build a bigger closet.’”
I’m starting to understand the whole MGTOW movement. What guy in his right mind would want to live with and support the kind of harpy who has such a galactic sense of entitlement that she needs a 3,000 sq ft closet?
Nigel Farage savages the biased media to their faces at media conference
https://www.youtube.com/watch?v=HfajEW_BNSo
25 years of persistence against enormous odds. In some ways, I have more respect for him than Trump evn, because he’s suffered the slings and darts for far longer, not to mention 2 attempts on his life. He’s faced down the slithering idiots of the EU and has spoken truth to power without the resources that Trump has had.
One of my favorite moments here on the blog was the night of Brexit.
And his appearance in Mississippi with Trump was one of the best moments of Trump’s campaign:
https://www.youtube.com/watch?v=oj4K9fr_WgY
I especially enjoyed the truth spoken from 3:44 - 4:20
Seems like a tune that Dread Zeppelin would tackle:
https://youtu.be/RXF1MdH8u1I?t=34m12s
Ike Willis on vocals:
https://www.youtube.com/watch?v=3Mb-AWqfBD4
Trump Treasury pick made millions after his bank foreclosed on homeowners
Steven Mnuchin’s OneWest filed to take a 90-year-old woman’s house after a 27-cent payment error.
Donald Trump wasn’t the only person to see opportunity in the 2008 housing collapse. As the economy recovered from the rubble of failed banks, foreclosed homes and government bailouts, Steven Mnuchin emerged a winner.
That success is coming back to haunt the hedge fund manager and Hollywood producer who is Trump’s choice for Treasury secretary. OneWest, a bank Mnuchin and his partners established during the collapse, has taken steady fire from regulators and consumer advocates for myriad failures ever since.
In Florida, the company foreclosed on a 90-year-old woman after a 27-cent payment error. New York Gov. Andrew Cuomo singled out the lender for squeezing Superstorm Sandy victims. Last month, the company’s successor, CIT Bank, was accused of discriminating against minority borrowers.
“We’re just coming out of a foreclosure crisis and a serious economic downturn. It’s not the time to appoint someone who sided with corporate America over real people,” said Alys Cohen, an attorney with the National Consumer Law Center. “Mr. Mnuchin comes from Wall Street and has served monied interests over homeowners.”
http://www.politico.com/story/2016/12/trump-treasury-foreclosed-homes-mnuchin-232038
http://www.wildmind.org/blogs/quote-of-the-month/ann-landers-resentment
When I was a kid, the local newspaper that we got had Ann Landers’ column next to the comics. I thought that that made sense.
Falling housing prices my friend. Falling housing prices
In all fairness to Munchkin, somebody had to put the FBs out of their defaulted mortgage loan misery. He just happened to be the guy with that job at that point in time.
“OOPS! Antarctic sea ice has not changed for more than 100 years.”
Do 1901 Expedition Logbooks Confirm There Is No Global Warming?
by Tyler Durden
Dec 2, 2016 10:40 AM
This further demonstrates that the global warming created by man is just a fraud to get more taxes. Scientists have looked over the logbooks of polar explorers Robert Falcon Scott and Ernest Shackleton from their expeditions during 1901-1904 and 1907-1909. The theory that sea ice has declined post-1950 because of man cannot be supported.
http://www.zerohedge.com/news/2016-12-02/do-1901-expedition-logbooks-confirm-there-no-global-warming
Foot of snow forecast for the summits of the mountains in Hawaii. Get out the skis!
http://www.usatoday.com/story/news/nation/2016/12/02/up-foot-snow-forecast-summits-hawaiis-big-island/94800450/
Red China is having a nervous breakdown over Trump.
http://freebeacon.com/national-security/china-flight-tests-10-df-21-missiles/
“The sun looks like a proud, happy dad with a huge smile in new photos beamed back to Earth by a sun-staring spacecraft.”
http://mashable.com/2016/12/02/sun-smiley-face-dad-photo/#i26rQARUtkqZ
Wut? Looks more like a still shot from a colonoscopy to me.
crushing _housing_losses
Isn’t it about time for the Fed to pop the Trump stock market bubble?
The Trump rally in the stock market may be turning into a bubble
By Sue Chang
Published: Dec 3, 2016 8:00 a.m. ET
Rotation from large caps to small caps is expected to continue
AFP/Getty Images
The Trump rally is turning the stock market into one giant bubble.
Donald Trump has made the stock market great again with major indexes logging their best performances in months in November. But that frothiness is prompting warnings that the market is getting too bubbly, setting up investors for a disappointment in coming weeks.
The S&P 500 index’s forward price-to-earnings ratio, a key metric to measure valuation, has jumped to 16.9 multiples at the end of last week from 16.4 multiples on Nov. 8 while the P/E ratio for the small-cap S&P 600 soared to 19.9 from 17.4 during the same period, said Ed Yardeni, chief investment strategist at Yardeni Research Inc., in a report.
…
it is short covering
Will the populist-nationalist uprising against the globalist elites and their bankster oligarch masters chalk up another major victory in Italy tomorrow?
http://www.nytimes.com/2016/12/02/world/europe/italy-referendum-matteo-renzi.html?_r=0