Guest Guest Posted March 3, 2009 Report Share Posted March 3, 2009 The good news is that the gov't is going to give AIG even MORE money....and the only reason they keepbailing them out is because that is who has the senator and congressmans retirements and 401k's. Big shock that the gov't will bail their butts out AGAIN. I know you don't want to hear this, but we are so far into AIG now that if it were to fail the consequences would be staggering. It does not only affect the USA it would be a world wide catastrophy. I watched the news tonight (ABC) and I was wondering, all of the people losing their homes to forclosure have to go rent somewhere right? Why doesn't the bank rent out their homes to them and work on negotiating with them? I just don't understand.... One thing I am starting to understand is the correlation between Nostrodamus (sp?),the Mayan calendar, the book of Revelations and the year 2012..... Link to comment Share on other sites More sharing options...
Ignorant Poster Posted March 3, 2009 Report Share Posted March 3, 2009 I know you don't want to hear this, but we are so far into AIG now that if it were to fail the consequences would be staggering. It does not only affect the USA it would be a world wide catastrophy. I watched the news tonight (ABC) and I was wondering, all of the people losing their homes to forclosure have to go rent somewhere right? Why doesn't the bank rent out their homes to them and work on negotiating with them? I just don't understand.... One thing I am starting to understand is the correlation between Nostrodamus (sp?),the Mayan calendar, the book of Revelations and the year 2012..... If it's such a global problem, why are we the ones paying for it? Isn't a mortgage more or less renting to own? The bank technically owns the house do they not? What happens if you fail to pay it...? Owning a house isn't a right, it's a privilege. The idea that everyone should be able to own a house is part of what got us into this mess. Link to comment Share on other sites More sharing options...
Guest Guest Posted March 3, 2009 Report Share Posted March 3, 2009 If it's such a global problem, why are we the ones paying for it? Isn't a mortgage more or less renting to own? The bank technically owns the house do they not? What happens if you fail to pay it...? Owning a house isn't a right, it's a privilege. The idea that everyone should be able to own a house is part of what got us into this mess. IP I usually agree with everything you post but I can't see what would be the harm in letting these people stay in these houses? At least they wouldn't be sitting empty and falling prey to vandals and becoming drug havens. People who are paying their mortgage don't need this type of neighborhood to add to their already fallen home value. These people have to have a place to live and they will go rent from someone else anyway. Link to comment Share on other sites More sharing options...
Ignorant Poster Posted March 3, 2009 Report Share Posted March 3, 2009 IP I usually agree with everything you post but I can't see what would be the harm in letting these people stay in these houses? At least they wouldn't be sitting empty and falling prey to vandals and becoming drug havens. People who are paying their mortgage don't need this type of neighborhood to add to their already fallen home value. These people have to have a place to live and they will go rent from someone else anyway. I agree, without a doubt it's a double edge sword. My issue is the lack of personal responsibility helping some of these people. Granted, not everyone is at fault for taking out mortgages, I completely understand that some people fall on hard times. The problem is, this is such a widespread problem, and at the very heart of this crisis that it's more people taking out mortgages they couldn't afford, and less people falling on hard times. The harm in bailing out everyone having trouble paying their mortgage is that up front, this money is putting us further into debt forcing a higher tax burden on people who were able to budget correctly. A lot of financial institutions are willing to work with people to adjust the terms of their loans if they have an issue come up, they'd rather get their money than be stuck with an asset they have to take care of. People shouldn't be relying on the Government to bail them out. Link to comment Share on other sites More sharing options...
Beck Posted March 3, 2009 Report Share Posted March 3, 2009 I agree, without a doubt it's a double edge sword. My issue is the lack of personal responsibility helping some of these people. Granted, not everyone is at fault for taking out mortgages, I completely understand that some people fall on hard times. The problem is, this is such a widespread problem, and at the very heart of this crisis that it's more people taking out mortgages they couldn't afford, and less people falling on hard times. The harm in bailing out everyone having trouble paying their mortgage is that up front, this money is putting us further into debt forcing a higher tax burden on people who were able to budget correctly. A lot of financial institutions are willing to work with people to adjust the terms of their loans if they have an issue come up, they'd rather get their money than be stuck with an asset they have to take care of. People shouldn't be relying on the Government to bail them out. I saw this video and I think it explains the entire issue very concisely. I do not believe it is left or right facing. It is very matter of fact. It does not place blame on any one party. I think it might be worth the view a bit. http://vodpod.com/watch/1379685-video-the-...imply-explained I found it very educational. Link to comment Share on other sites More sharing options...
BlackSven Posted March 3, 2009 Report Share Posted March 3, 2009 I saw this video and I think it explains the entire issue very concisely. I do not believe it is left or right facing. It is very matter of fact. It does not place blame on any one party. I think it might be worth the view a bit. http://vodpod.com/watch/1379685-video-the-...imply-explained I found it very educational. Good video. Puts it into layman's terms. Link to comment Share on other sites More sharing options...
Ignorant Poster Posted March 3, 2009 Report Share Posted March 3, 2009 I saw this video and I think it explains the entire issue very concisely. I do not believe it is left or right facing. It is very matter of fact. It does not place blame on any one party. I think it might be worth the view a bit. http://vodpod.com/watch/1379685-video-the-...imply-explained I found it very educational. That sums it up pretty well and enforces what I said. That's a very simplified version of it though, there's also problems in how the CDOs were packaged and sold. Another part of the problem is the shift to Mark-to-market accounting which valued the houses at their fair market value rather than their book value. While this gives a much more accurate reflection of the asset in the market, this can cause wild swings and show losses and gains when they actually haven't been sold yet. Link to comment Share on other sites More sharing options...
BlackSven Posted March 3, 2009 Report Share Posted March 3, 2009 That sums it up pretty well and enforces what I said. That's a very simplified version of it though, there's also problems in how the CDOs were packaged and sold. Another part of the problem is the shift to Mark-to-market accounting which valued the houses at their fair market value rather than their book value. While this gives a much more accurate reflection of the asset in the market, this can cause wild swings and show losses and gains when they actually haven't been sold yet. I think it boils down to one word, which is greed. My thought has always been to find every one from the originator up to the actual lender and confiscate their property to pay back the debt. It basically amounts to stealing on a semi-legal basis. Why not take it back from them? Link to comment Share on other sites More sharing options...
Ignorant Poster Posted March 3, 2009 Report Share Posted March 3, 2009 I think it boils down to one word, which is greed. My thought has always been to find every one from the originator up to the actual lender and confiscate their property to pay back the debt. It basically amounts to stealing on a semi-legal basis. Why not take it back from them? There needs to be personal responsibility as well on the side of the people who took out loans just because they were told they could. It is greed all around, but don't forget, the people making $50,000 taking out a no money down loan on a $500,000 house is just as much to blame as the people offering the loan. Link to comment Share on other sites More sharing options...
Beck Posted March 3, 2009 Report Share Posted March 3, 2009 I think it boils down to one word, which is greed. My thought has always been to find every one from the originator up to the actual lender and confiscate their property to pay back the debt. It basically amounts to stealing on a semi-legal basis. Why not take it back from them? I agree. The problem though is because of the way the market is. You foreclose on a house. The value goes down. It also goes down on all the surrounding houses. My brother...in his wisdom.. decided to purchase a house with the intent on "flipping it". His house is now half the value. Whole neighborhoods loose cash. The banks in turn lose their investment and up the chain. Basically, greed amongst a bunch of groups has created our mess. Yay entitlement. Scene... "I Deserve a house...because that is the American dream." "well we can give you a mortgage despite the fact that you are over extended in your credit cards and work for walmart." "YAY...how much?" "500K...have fun" 2years later "Wait...I have to pay? Thats not fair." This has happened all over. Link to comment Share on other sites More sharing options...
BlackSven Posted March 3, 2009 Report Share Posted March 3, 2009 I agree. The problem though is because of the way the market is. You foreclose on a house. The value goes down. It also goes down on all the surrounding houses. My brother...in his wisdom.. decided to purchase a house with the intent on "flipping it". His house is now half the value. Whole neighborhoods loose cash. The banks in turn lose their investment and up the chain. Basically, greed amongst a bunch of groups has created our mess. Yay entitlement. Scene... "I Deserve a house...because that is the American dream." "well we can give you a mortgage despite the fact that you are over extended in your credit cards and work for walmart." "YAY...how much?" "500K...have fun" 2years later "Wait...I have to pay? Thats not fair." This has happened all over. Yet the ones who have sold and re-sold the loans made the money. That's where it is and I think it should be taken back. jmo Link to comment Share on other sites More sharing options...
Beck Posted March 3, 2009 Report Share Posted March 3, 2009 Yet the ones who have sold and re-sold the loans made the money. That's where it is and I think it should be taken back. jmo Problem is...they don't have the cash. They loaned it...or invested it. And now we see where the problem is. I like the discussion how we almost were invested back into the stone age back in September. An electronic run on the bank almost cost us a couple of TRILLION dollars. That didn't hit press until this year. A virtual bank panic. And it almost cost the planet. Link to comment Share on other sites More sharing options...
BlackSven Posted March 3, 2009 Report Share Posted March 3, 2009 Problem is...they don't have the cash. They loaned it...or invested it. And now we see where the problem is. I like the discussion how we almost were invested back into the stone age back in September. An electronic run on the bank almost cost us a couple of TRILLION dollars. That didn't hit press until this year. A virtual bank panic. And it almost cost the planet. It ain't over yet, unfortunately. I predict the Dow bottoming out at about 5,000, but I pray to God I'm wrong. @ Link to comment Share on other sites More sharing options...
Guest Guest Posted March 3, 2009 Report Share Posted March 3, 2009 More confirmation from a newly posted thread that Obama's liberal socialist entitlement high tax big government solutions to our problems is causing the market to tank. Thanks for that great post. Here's the link to Jim Cramer's comments (link). Obama. Please take a breath & don't to anything except try to reverse the liberal damage you have already done. Please, for the sake of my kids and the future of this once great country. @ Link to comment Share on other sites More sharing options...
Guest Guest Posted March 3, 2009 Report Share Posted March 3, 2009 It ain't over yet, unfortunately. I predict the Dow bottoming out at about 5,000, but I pray to God I'm wrong. @ Pray for investor confidence because what they are seeing and hearing is giving them NONE. Link to comment Share on other sites More sharing options...
BlackSven Posted March 3, 2009 Report Share Posted March 3, 2009 Pray for investor confidence because what they are seeing and hearing is giving them NONE. The truth is hurting everyone. Link to comment Share on other sites More sharing options...
Guest Guest Posted March 3, 2009 Report Share Posted March 3, 2009 The truth is hurting everyone.The truth???? What exactly are you trying to say? Do you even have an idea? Link to comment Share on other sites More sharing options...
BlackSven Posted March 3, 2009 Report Share Posted March 3, 2009 The truth???? What exactly are you trying to say? Do you even have an idea? Yes, I do. We are not being lied to as far as the state of the economy. Link to comment Share on other sites More sharing options...
Guest Guest Posted March 3, 2009 Report Share Posted March 3, 2009 Yes, I do. We are not being lied to as far as the state of the economy.Who was saying that we were? The stock market and the employment numbers tell you all you need to know. Everyone can see the economy is tanking. So yes that's the truth and yes it scares me. I only can see there is no one fixing the problem and the government is only taking advantage of the situation to put things in place that aren't helping and will hinder us for generations. Link to comment Share on other sites More sharing options...
Ignorant Poster Posted March 3, 2009 Report Share Posted March 3, 2009 Yes, I do. We are not being lied to as far as the state of the economy. http://www.youtube.com/watch?v=fVl2nqjLVeA Pelosi saying 500 million Americans losing jobs every month http://www.ksla.com/global/video/flash/pop...mp;rnd=59061751 Joe Biden claiming 400 jobs are lost in Louisiana every day http://www.reuters.com/article/governmentF...749084220081008 Obama saying we're in the worst economic crisis since the depression, the numbers still aren't as bad as the 1980 recession. Those are 3 of the top people in Government saying these things if that's not lying, I don't know what is. Link to comment Share on other sites More sharing options...
BlackSven Posted March 3, 2009 Report Share Posted March 3, 2009 Who was saying that we were? The stock market and the employment numbers tell you all you need to know. Everyone can see the economy is tanking. So yes that's the truth and yes it scares me. I only can see there is no one fixing the problem and the government is only taking advantage of the situation to put things in place that aren't helping and will hinder us for generations. And what would your proposal for a fix be? Link to comment Share on other sites More sharing options...
M_Sable Posted March 3, 2009 Report Share Posted March 3, 2009 I agree, without a doubt it's a double edge sword. My issue is the lack of personal responsibility helping some of these people. Granted, not everyone is at fault for taking out mortgages, I completely understand that some people fall on hard times. The problem is, this is such a widespread problem, and at the very heart of this crisis that it's more people taking out mortgages they couldn't afford, and less people falling on hard times. The harm in bailing out everyone having trouble paying their mortgage is that up front, this money is putting us further into debt forcing a higher tax burden on people who were able to budget correctly. A lot of financial institutions are willing to work with people to adjust the terms of their loans if they have an issue come up, they'd rather get their money than be stuck with an asset they have to take care of. People shouldn't be relying on the Government to bail them out. Down here in Northern Virginia the bulk of the homes that are in foreclosure range from $300,000 - $500,000. Many were speculatory.....with the housing market booming people thought that they could buy a house for $300,000, have some work done, and turn it around for $450,000 in a year. Then the bottom fell out. These are not naive people who got bamboozled....they are people who took a gamble based on greed, and lost. That or they are people who had two really good-paying jobs and over-extended themselves. When we bought our house here we took into consideration the fact that one of us might be layed off at some point, and so only took what we could handle with a few month savings and a buffer. It's sad, and the banks should work with people to renegotiate, but we're a little PO'd that we make our payments on time every month, and someone who doesn't may get a much lower interest rate. Interesting, to say the least. Don't blame it all on Obama, if you care to respond. It's a systemic problem that goes back for years and it is very complicated. Link to comment Share on other sites More sharing options...
Ignorant Poster Posted March 3, 2009 Report Share Posted March 3, 2009 Down here in Northern Virginia the bulk of the homes that are in foreclosure range from $300,000 - $500,000. Many were speculatory.....with the housing market booming people thought that they could buy a house for $300,000, have some work done, and turn it around for $450,000 in a year. Then the bottom fell out. These are not naive people who got bamboozled....they are people who took a gamble based on greed, and lost. That or they are people who had two really good-paying jobs and over-extended themselves. When we bought our house here we took into consideration the fact that one of us might be layed off at some point, and so only took what we could handle with a few month savings and a buffer. It's sad, and the banks should work with people to renegotiate, but we're a little PO'd that we make our payments on time every month, and someone who doesn't may get a much lower interest rate. Interesting, to say the least. Don't blame it all on Obama, if you care to respond. It's a systemic problem that goes back for years and it is very complicated. I guess there is no precedent for dealing with a situation like this, in terms of the mortgage crisis. Most of my anger rests in the CEOs and the people in government who knew this would happen. If they didn't know it was going to happen, they should be jailed for holding such positions and being that incompetent. I dislike how many people who just weren't responsible are going to get bailed out by the people who are. I'd just like to see a system other than the government bailing people out. Link to comment Share on other sites More sharing options...
M_Sable Posted March 3, 2009 Report Share Posted March 3, 2009 I guess there is no precedent for dealing with a situation like this, in terms of the mortgage crisis. Most of my anger rests in the CEOs and the people in government who knew this would happen. If they didn't know it was going to happen, they should be jailed for holding such positions and being that incompetent. I dislike how many people who just weren't responsible are going to get bailed out by the people who are. I'd just like to see a system other than the government bailing people out. Agreed. Not sure what the solution is. Link to comment Share on other sites More sharing options...
Jon Posted March 3, 2009 Report Share Posted March 3, 2009 Devalue the US Dollar. Your exports will soar, and those who fled offshore with a Golden Parachute will have a thumping great hole torn in it. They'll be forced to spend their nest-egg back into the US economy where it would at least count for something. @ Link to comment Share on other sites More sharing options...
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