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| Government: Let's Screw More Homebuyers! in forum [Market-Ticker]
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Mayorquimby
Posts: 13909
Incept: 2008-09-18
The Archaic Past
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The next wave of bagholders will be RE investors.
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They who wish to hurt you, work within the law.
- Morrissey
Gold is theft.
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Steelhead23
Posts: 2042
Incept: 2008-09-09
Portland OR
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Amen. Now, if only we could teach this in our high schools. Look, I suspect some TFers are in RE - and who knows, they could be good people. But by and large RE has been the biggest hype of my lifetime. "American Dream", my ass. The business is not about helping people develop wealth, it is about extracting that wealth (fruits of our labor) to enrich a very few folks. Housing should cost about 10% more than the cost of production. The line of crap Americans have been fed for decades has destroyed their sensibilities.
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"Give me control of a nation's money and I care not who makes it's laws" —Mayer Amschel Bauer Rothschild Benjamin Bernanke
For-profit commercial banks are a menace and should be eradicated
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Muscleknight
Posts: 3991
Incept: 2007-06-26
Columbia, SC
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"The next wave of bagholders will be RE investors."
Its all a big ponzi scheme. How many more ideas to keep the ponzi going do they have left?
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Trades50
Posts: 4215
Incept: 2007-10-30
Land of Tax and Spend
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Quote: How many more ideas to keep the ponzi going do they have left? The same people that caused the housing bubble are out scheming new ways to extract wealth. Guess at some point they max out US debt. When interest on the US debt can no longer be serviced.
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When the people fear the government, there is tyranny. When the government fears the people, there is liberty. - Thomas Jefferson
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Crossthread
Posts: 4550
Incept: 2007-09-04
Wilmington, NC
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I don't know how "old" this is.. You REALLY will be "PO'ed"..... .Gov is getting desperate me thinks.. I noticed this change on the site last week... Quote:
SECTION 8 HOMEOWNERSHIP PROGRAM
The Section 8 Homeownership Program allows participants to convert vouchers from rental to homeownership. All participants are subject to the following guidelines:
•Must be an active lease holder with Section 8 for a minimum of one year or longer;
•Complete the Homebuyer’s Education and Credit Counseling workshops;
•Qualify for a mortgage loan based on the criteria outlined by the Lender;
•Pay one (1) percent out-of pocket down payment toward the purchase price of the home;
•Responsible for all homeownership expenses not covered by the housing assistance payment; and
•Responsible for locating eligible property they wish to purchase.
INDIVIDUAL DEVELOPMENT ACCOUNT PROGRAM
The Individual Development Account (IDA) is an asset-based strategy program designed to help low-income individuals and families build assets, build financial security and stability, along with stronger communities. The funds from this program will be used to assist homebuyers with downpayment and/or closing costs assistance.
Each participant will be required to save $1,000 of earned income, complete the Homebuyer’s Education and Financial Literacy (Money Smart) workshops in order to receive $2,000 in matching funds from the following agencies: North Carolina Department of Labor and North Carolina Housing Finance Agency.
IDA programs provide participants with the skills and knowledge necessary to make wise housing investment choices and to plan for the future. In addition, IDAs are making the American dream of homeownership a reality for hundreds of low-income North Carolina families.
http://www.wha.net/Housing_Programs/Home....
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“Cognitive Co-Dependency” is when a normal rational person, internalizes irrational illogical presentations, and somehow reconciles them to fit their scripted indoctrination of logical analysis.Quote:Samuel L. Clemens:There is NO Native Criminal Class; EXCEPT for CONgress
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Steelhead23
Posts: 2042
Incept: 2008-09-09
Portland OR
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Crossthread, OMG, freaking 1% down for folks on rental assistance?!! WTF? Guess who's money their handing out? Yours and mine buddy, yours and mine. I can just imagine what that class on credit is like. Maybe we could get Gen to write the curriculum.
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"Give me control of a nation's money and I care not who makes it's laws" —Mayer Amschel Bauer Rothschild Benjamin Bernanke
For-profit commercial banks are a menace and should be eradicated
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Crossthread
Posts: 4550
Incept: 2007-09-04
Wilmington, NC
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Steel, read what was "quoted" again... You CAN "port" your Sect 8 voucher, AND HAVE THE .GOV PAY YOUR HOUSE PAYMENT!Guess that woman wasn't far off, saying "O" is gonna pay My Mortage! (Disclosure: I look on there time to time, to try to find me a better area to live. Rentals listing(s), I noticed the homeowner thing last week added to the site.. http://www.youtube.com/watch?v=P36x8rTb3....
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“Cognitive Co-Dependency” is when a normal rational person, internalizes irrational illogical presentations, and somehow reconciles them to fit their scripted indoctrination of logical analysis.Quote:Samuel L. Clemens:There is NO Native Criminal Class; EXCEPT for CONgress
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Azusgm
Posts: 2406
Incept: 2010-12-02
East Texas
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Gen, what Crossthread posted needs to be tickered. My gosh, it needs to be bullhorned! This will be one more wash-rinse-repeat with the banks and Frannie selling the REO inventory, the taxpayers guaranteeing the loans, and the banks taking the guaranteed loan money with Timmay's help. Bubblicious Banana Republic Clower-Piven Marxist blow-up redistribution of wealth/freedom http://4closurefraud.org/2012/04/26/matt....Reason: slack-jawed disbelief
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Tdray
Posts: 249
Incept: 2008-12-11
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And folks wonder why "Doomsday Preppers" is getting such good ratings.
As for the banks, they're selling most of that crap to Freddie Mac as soon as it's written. They know the score.
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Mortgageguymn
Posts: 1566
Incept: 2009-03-09
North Coast
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Most states have Housing Finance Agencies. Most states also offer targeted bond-funded "first-time homebuyer" loans, some with downpayment assistance, etc. It's all a bunch of bull**** and I've lost Realtor relationships because I flat-out won't do any of those programs. It's bad enough that my industry is 97% socialized, but I won't go the last 3% to full-on communism. We only require 3.5% down for a 30 year fixed FHA loan @ 3.75% and that's not good enough for the ****ers? People who call looking for a deal for "first-time homebuyers" usually fall into two camps: financial losers who have no business buying a house or the children of wealthy liberals who just want to get whatever might be "free" or discounted. And real estate agents who wade into that cesspool of buyers tend to be ****ing granolas with whom I disagree on every aspect of life. The worst part, though, is the cost of the vast governmental apparatus that has to be maintained in order to give someone a "benefit" that is so minimal it's ridiculous. Our local housing finance agency is touting a rate that's only 1/4% below a normal market rate http://www.mnhousing.gov/. And for that we have to run a state agency at a cost of $76 million/year http://www.mnhousing.gov/idc/groups/admi.... which will only issue an estimated $660 million in total loans in this state in 2012. That's 11.5 "points" per loan! All to get a lousy 1/4% discount in rate. For 11.5 points, every loan should come with two year service of a concubine. Meanwhile I know someone who owns a $425k townhouse in DC for which the DC government gave him (his six-figure income notwithstanding) a $2,000 GRANT to install a sprinkler system in his 15' X 15' front yard. It's not even the grant that's so bad. It's that there's an agency that exists to give out a grant like that. |
Bagbalm
Posts: 4258
Incept: 2009-03-19
Just North of Detroit
Online
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Last night on Detroit local TV they had a straight shill for the Realtors item. They showed about 90 new homes will be built in the suburban areas of Macomb county. A third of them will go to corporate transfers. They pointed out buyers who can afford a home want new just like a car.
They declared: The market has bottomed and is going up. If you don't jump in now you'll miss the boat be shut out of the market forever as it rushes beyond your reach, and the wailing and gnashing of your teeth in torment will be a lesson to others.
Then this morning on CNN they were pumping real estate trusts as rocket ships.
They are selling it HARD.
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Mayorquimby
Posts: 13909
Incept: 2008-09-18
The Archaic Past
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For the ENTIRE post WW2 period - the elites/top/1% of this nation and the rest of the west were fortunate enough to get 99% of the sheeple to sign away their entire lives by overpaying for *everything* and they are*****ED that the cashflow is not increasing. Call hypertiger tin as much as you want but the top is demanding yield from the bottom that the bottom simply cannot provide.
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They who wish to hurt you, work within the law.
- Morrissey
Gold is theft.
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Crzymorse
Posts: 1191
Incept: 2010-06-25
Maryland
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Tdray,
Fannie/Freddie - the new circle route, buy bad loans, securitize, sell to investors/fed reserve, bill the treasury for the non-performing loans, treasury borrows the money then pays fannie, federal reserve/investors buy the treasury debt, which supresses long term rates that allow underwater owners to refinance to lower rates (bad loans) and sell to fannie/freddie.
The bailout of the rich (who think they are paying their fairshare of taxes)continues at the expense of all americans as a whole. If the system cleared their net worth drops in 1/2 immediately.
We don't recover till we clear the system. Look at Olympus Corporation (bad real estate investments) from decades ago just recently surfaced. There was no recovery in Japan just a country that can't confront it's own bull**** for a couple decades now.
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Joejohns
Posts: 694
Incept: 2010-09-09
Banned
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"This" "works" because the peeps that vote, the "homeowners" will not let go of the fact that the system they thought was going to gift them a golden unicorn was really a setup to rob them.
They thought(think) they are /were "in the club" and thus can't see any truth from anyone that is not willing to prop them up.
Simple, the ones who call the shots and give the money(those that have money to give) will not hear any thought that they did anything stupid and thus they will never vote for anyone that tells them they along with all others are going to have to take a big hit to right the home market.
Very simple very clearly the truth.
Clearly won't change until all of them die off or worse.
All for the children of course! bwhaaaaa.
In other words, don't trust the peeps.
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Ktrosper
Posts: 1500
Incept: 2010-04-06
ft collins co
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Gen wrote..When you take out a loan that goes into negative amortization, no matter what it is, the negative amortization portion unless backed by someone's actual hard capital (that is, it's a "hard money" loan) is pure inflation in the monetary system. Still trying to understand how most money comes into being and how money supply is affected... So when a loan is made (assuming not backed by "hard money") the CreditMoney spends out in the real world just hard money... It buys REAL stuff, just like hard capital. That CreditMoney stays in circulation, getting spent "down stream" from the point-of-sale (store buys another item to replace what you bought, pays employees, employees pay bills, etc.). But, as payments are made on the loan in the form of Principal + Interest, the Principal owed shrinks and as it shrinks the CreditMoney shrinks by the exact amount... Over time the Principal and CreditMoney reach zero, whether by full loan payoff or default/charge-off but the Interest paid back NEVER goes away. It remains in circulation forever, diluting the money supply... Right?
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The unexamined life is not worth living.-Socrates
The only stable state is the one in which all men are equal before the law.-Aristotle
Liberty exists now in the spaces government has not yet chosen to occupy.-Doc Zero
I anticipate that 10 Dallas Cowboys Cheerleaders will blow me this evening.-K.D
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Financial
Posts: 80
Incept: 2010-12-08
Iowa
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Sounds true enough. The main problem seems to be that in reality a lot of the principal is also never paid back but just gets rolled over. Such as sovereign debt staying in Treasuries or by re-structuring loans with lower interest or longer paybacks just to keep the money flowing to the banks rather than the debt being written off..
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Genesis
Posts: 130746
Incept: 2007-06-26
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Correct.
Most mainstream economists ignore debt because they assume it is all self-liquidating -- that is, identical to trade credit in the market.
Their assumption is factually wrong as can be trivially determined from a perusal of the Fed Z1 and GDP series.
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I don't care if it makes sense -- only if it makes money. -- Me
Bank (n): See scam, fraud and theft. Eat a bankster -- they're low-carb.
What part of "shall not be infringed" was unclear?
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Jymm
Posts: 73
Incept: 2012-01-22
Wisconsin
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Well, we have all been told inflation is good, and being in debt is better with inflation. We can pay off our home loans with cheaper and cheaper dollars.
The only problem is everything else has to adjust upwards, decreasing our ability to send and save. Oh, they forgot that part.
You have to be smarter and look out for yourself. Maximum down, pay more than the stated payment so the principle goes down. Also never borrow what you are told you can afford. You cannot. Don't fall for the max out the loan so you gain the most from inflation, you will lose your home.
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Financial
Posts: 80
Incept: 2010-12-08
Iowa
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You can also add here asset accumulation by banks. They foreclose on homes where no prudent person would have made the loan. Otherwise known as fraudulent conveyance.
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Widgeon
Posts: 13481
Incept: 2007-08-30
Region formerly known as the United States
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Holy Toledo Crossthread.
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Rasatm
Posts: 254
Incept: 2007-08-30
Redmond, WA
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Hehe Quote:I am a participant in Section 8 Homeownership Program, i.e. they pay a portion of my mortgage the same as when they paid a portion of my rent. They sent me a 1099-MISC for the amount that they paid ($10,062). I never had to pay taxes on the amount they paid for my rent. Do I have to pay taxes on the amount that they paid for my mortgage? http://www.asktaxguru.com/7130-section-8....
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fedupusa.org
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Soontobeexpat
Posts: 19
Incept: 2012-04-04
Nevada USA
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Too bad most of the population does not "get it" like you guys.
It took me a long time (and the financial meltdown of 2008-9) to realize that the western system is designed to extract, and is WRONG for us small people (the 99%, if you will).
I am working toward ridding myself of the vampires (banks and other money suckers) forever.
Having to constantly worry about taxes, inflation, money and debt is not a good quality of life IMO.
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Mo
Posts: 12158
Incept: 2007-06-26
Pa.
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Quote:"This" "works" because the peeps that vote, the "homeowners" will not let go of the fact that the system they thought was going to gift them a golden unicorn was really a setup to rob them. This is the essence of the problem. It truly IS a remarkable swindle the 1 percent have orchestrated, but they've made some mistakes and those mistakes will be their undoing in time.
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Welcome to Pottersville
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Harrisonact
Posts: 1754
Incept: 2010-10-04
canada
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Holy **** Crossthread.
This is truly "FREE HOUSES".
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bilge
My playbook speaks español. Deal with it. Im too lazy to fix it.
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