In Twentyfive Words or Less
Would you please explain to me the current economic crisis our country is in? I can't seem to find the reasons in my newspaper or on the news. Whats going on or does anyone know exactly. What is going to be done about it. How did we get so screwed up in the first place. Briefly please, it can't be that complicated - can it
http://www.performanceboats.com//showthread.php?t=19280
Post number 5 is the best I can do.
Answer to your question on under 25 nope.
Its probably the sixties fault. Drugs, booze, free love, they just moved it to the financial sector.Originally Posted by Dirty Old Man
How's that?Government is not the solution to our problem. Government is the problem
Freedom Without Authority is Anarchy.
Authority Without Freedom is Tyranny
“The trouble with socialism is that you eventually run out of other people's money”
–Margaret Thatcher
Should be easy, the whole government draft was only a page & a half...
WTF, 1 1/2 pages to write off 700 BILLION ?
25 words or less.
Hmmmmmmmmmm
Banks loaned morgages to people they should not have.
Investors bet on high risk loans.
under 2% of mortgages forclosed on (about 15 of every 1,000).
Press went crazy with doom stories
Stupid people cried (at banks, and investment houses, AND the home-not-owners).
Govt going to spend 3 fortunes to take everyone's pain away.
Sorry, 39 words best I can do.
"As democracy is perfected, the office of president represents, more and more closely, the inner soul of the people. On some great and glorious day the plain folks of the land will reach their heart's desire at last and the White House will be adorned by a downright moron."
H.L. Mencken
OBAMA: Some people deserve this.
The rest of us are being dragged along kicking and screaming.
The piece missing is the tidal wave of foreclosures on the horizon due to 20-50% drops in areas that were overbuilt in a fast pace and HELOC's.
You may not see it in Kansas but its here and Nationwide.
2 yr arms are the ones that hit in 2007-2008, the ALT-A's are all hanging in the wind.
I think you have to live in it to see it.
Not just see what the news reports.
We'll have to wait and see on the "tidal wave" coming up, I don't believe so.
Every 10 years or so house prices fall, then climb back up again. Been going like this for many decades. House prices don't cause forclusures.
People who get mortgages they cannot afford cause forclosures.
Successfuly paying your mortgage when your home value drops simply forces you to keep the home (if upside down) (or sell for less of a gain), then you wait for the price to go back up to sell.
Getting an ARM when interest rates were way down is stupid, unless you plan to keep it for a short time only.
Fixed rate at low interest, Adjustable at higher levels, so it can come down if/when interest rates do.
What that tipping point is is your call.
The previous Fed Chairman had a paranoia about inflation, which was NOT being reflected in the economy anywhere, yet kept pushing the rates higher, and higher.
Apparently peeps with the "teaser-rate" ARMs weren't paying any attention to what their rate was GOING TO BECOME, their fault, and stupid to do.
Yes, Ks housing market has no real issues, no vast waves of forclosures, no huge drops in values, no huge excesses in unsold but already built homes. I cannot believe 49 other states are about to implode while KS is the surviving island.
AREAS have problems, like arround Vegas, various areas that WERE high popularity & obscenely high growth, overbuilt, values falsely high due to crazy demand (and fools thinking house prices will never fall).
Now reality has set in, and the system corrects itself.
Unfortunately the govt. is going to reward the stupid this time.
Last edited by SmokinLowriderSS; 09-27-2008 at 06:45 AM. Reason: Typo
"As democracy is perfected, the office of president represents, more and more closely, the inner soul of the people. On some great and glorious day the plain folks of the land will reach their heart's desire at last and the White House will be adorned by a downright moron."
H.L. Mencken
OBAMA: Some people deserve this.
The rest of us are being dragged along kicking and screaming.
https://www.nationalcity.com/content...ts/0908fmo.pdf
This is just one Economist's prediction on the housing.
I have followed him for quite sometime.
How is this for smart. This guy does a housing market analysis quarterly.
National City /First Franklin are who approved my loan with full doc. In 2005 The Chief Economist of that bank already knew by his 300 area anaylsis of the US what areas were overvalued and by how much.
In 2005 Riverside County was overvalued by 50 some %. Peaked up through the beginning of 2006. At that time he stated that a NORMAL overvalutaion would be about 14%. This could be due to location, a view,upgrades, school etc...demand to a specific spot.
The Chief Economist, the people loaning the money who are the professionals, gave me an 80/20 loan minimal cash down maybe 11k in 7-05 in Riverside County. Appraiser came from Orange County and did appraisal. I was told the house appraised and I was running into other buyers at every house I looked at. The sky was high.
Anyway National City sells off its one division to Merrill Lynch (the really smart guys who wanted a piece of the pie)...that was the shitty piece that turned into toxic waste.
These are all the smart people. Even smarter is the MPI companies that insured the 80/20 for the Bank.
The only reason I would face foreclosure is because I am not on a 30yr and values are down 50% making it impossible to refi into a traditional loan that was marketed to me.
More accurate predictor of whats to come would be to get the figure of ALT-A loans that are due to reset in individual areas. It is a big number...if the mortgage payment doubles and the income did not they will have no choice but to walk.
Everyone in that industry has predicited this to be bigger than the subprime which has already hit.
This is why no one knows what to do and or how big it is.
how about 1 word?
Greed
And no shortage of it.
"As democracy is perfected, the office of president represents, more and more closely, the inner soul of the people. On some great and glorious day the plain folks of the land will reach their heart's desire at last and the White House will be adorned by a downright moron."
H.L. Mencken
OBAMA: Some people deserve this.
The rest of us are being dragged along kicking and screaming.
here's another response in less than 25 words-
watch this <---- only 2 words
it goes a little fast to see the fact sheets so you may want to pause it once in a while
Love it!!!!Did you make it?
Last edited by Ms Understood; 09-27-2008 at 11:01 AM.
nope, the link was sent to me via email, just thought I'd share it hereLove it!!!!
it is rather good
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