Topic: Housing

[Libertas]

Excellent rundown courtesy of ZeroHedge -

http://www.zerohedge.com/news/will-america-ever-recover-housing-crisis-real-estate-infographic

Gobs of foreclosed properties not yet on the market, just rotting on bank books, millions of properties in delinquincy and on the road to foreclosure, millions more at risk of default...throw in the poor economy - unemployment, declining wages and higher costs of goods...and no effort at all to repeal any of the bullsh*t laws & regs accumulated the past 30+ years and F/F still not shut down...

Situation is still 100% porked!

 

[BMG]

And all that pork is now being funneled away from it's supposed target...as if we couldn't see this coming...

LINK

Hundreds of millions of dollars meant to provide a little relief to the nation’s struggling homeowners is being diverted to plug state budget gaps.

In a budget proposed this week, California joined more than a dozen states that want to help close gaping shortfalls using money paid by the nation’s biggest banks and earmarked for foreclosure prevention, investigations of financial fraud and blunting the ill effects of the housing crisis. California was awarded more than $400 million from the banks, and Gov. Jerry Brown has proposed using the bulk of that sum to pay the state’s debts.

[charlesoakwood]

California is sitting on billions and billions of barrels of oil.
They have so much oil that they spend tax money on equipment
and labor just to clean up the thousands of barrels of it that the
earth belches up on the Santa Monica and Santa Barbara beaches.

In a sane world they would be ridiculed as fools and idiots, spit
upon and told to go to work and exploit what is theirs.

Yeah, that's right, the platforms are there, the wells are dug, all
that's necessary is for them to turn them back on.  -Click-

[Libertas]

I got a letter in the mail recently from my bank, had this boldly highlighted -



 

There is just no fixing stupid...

[charlesoakwood]

In a NY minute I would buy (in an area certain to retain or recover value) and take that twenty five percent and reinvest it.  Anyone who receives this notice should consider values and circumstance in your local during Carter and the first three years of Reagan and evaluate your potential.  Romney is no Reagan but he has earned his own money and understands that paradigm well.

I do not believe we are headed for armageddon because as stupid as some Americans are they are not suicidal and elbozo is systematically alienating all but the sycophants; therefore a tangible asset plus free money appears a no brainer ---if you can make the note. 

[Libertas]

Agreed CO, but most people are not logical and rational beings...the concept of investing in their future is not even a consideration...all they'll do is get all of the house they can and max out their debt...

ETA - As for me I am halfway through my mortgage with no desire to get locked into another 30 year note, nor do I want to go for a 10-15 year note and take on a higher payment.  I locked at a low rate long time ago and I am OK not taking on any more debt.  The free cash flow I have now can be invested as I choose.

[AlanS]

We paid our house off 7 yrs ago. I'm just not thrilled with the thought of going in debt again.

[Weisshaupt]

Agreed CO, but most people are not logical and rational beings...the concept of investing in their future is not even a consideration...all they'll do is get all of the house they can and max out their debt...

ETA - As for me I am halfway through my mortgage with no desire to get locked into another 30 year note, nor do I want to go for a 10-15 year note and take on a higher payment.  I locked at a low rate long time ago and I am OK not taking on any more debt.  The free cash flow I have now can be invested as I choose.

I have a co-worker who is actively building a little real estate rental empire -  using all credit to do it.  He is full Ron Paul Libertarian, but (and these are his words) "if you know you're going to get bailed out you should take on as much risk as possible, no? because if things go right you make more than anyone else if things go wrong who cares?"  He is a bright young, hardworking guy -one of us at heart,  but I can't follow. The moral hazard makes it wrong, and I don't want to give anyone any excuse to F me up.  Yeah, I could take on more than I could afford, and probably come out better off materially in the end,  but I won't be able to look myself in a mirror. I do well, and God has blessed me with more resources than I thought I could count on. I will use those, get what I need, but I don't plan on taking on more debt if I can help it.  CO is right, there is probably a killing to be made, but I am just not willing to play.

[Libertas]

Agreed CO, but most people are not logical and rational beings...the concept of investing in their future is not even a consideration...all they'll do is get all of the house they can and max out their debt...

ETA - As for me I am halfway through my mortgage with no desire to get locked into another 30 year note, nor do I want to go for a 10-15 year note and take on a higher payment.  I locked at a low rate long time ago and I am OK not taking on any more debt.  The free cash flow I have now can be invested as I choose.

I have a co-worker who is actively building a little real estate rental empire -  using all credit to do it.  He is full Ron Paul Libertarian, but (and these are his words) "if you know you're going to get bailed out you should take on as much risk as possible, no? because if things go right you make more than anyone else if things go wrong who cares?"  He is a bright young, hardworking guy -one of us at heart,  but I can't follow. The moral hazard makes it wrong, and I don't want to give anyone any excuse to F me up.  Yeah, I could take on more than I could afford, and probably come out better off materially in the end,  but I won't be able to look myself in a mirror. I do well, and God has blessed me with more resources than I thought I could count on. I will use those, get what I need, but I don't plan on taking on more debt if I can help it.  CO is right, there is probably a killing to be made, but I am just not willing to play.

I heartily agree!

 

ETA - I once toyed with the idea years ago to leverage as much as I could and engage in some intense day-trading to make a bundle and pay off the paper and then run forward with the profit to live on.  I was convinced I could have done it and succeeded, but when push came to shove I just couldn't pull the trigger, for the very same reasons.  Since then I've played with a much smaller stack and have done pretty well.  I manage my sisters 401k and I have helped repair my folks retirement stash several times.  I've just never been an overly ambitious or overly greedy person.  Might make me odd but that is how it is.

[Libertas]

We paid our house off 7 yrs ago. I'm just not thrilled with the thought of going in debt again.

Good man!