tag:blogger.com,1999:blog-18675105.post115922390508991879..comments2023-12-30T10:06:37.450+00:00Comments on HousingPANIC - The Housing Bubble Blog with an Attitude Problem, 2005 - 2008: Let the blame game begin: How the Fed failed to prevent the housing bubblebloggerhttp://www.blogger.com/profile/06585266242070350399noreply@blogger.comBlogger18125tag:blogger.com,1999:blog-18675105.post-1160633033304094452006-10-12T07:03:00.000+01:002006-10-12T07:03:00.000+01:00Find The secret to the secret at http://loans4bill...Find The secret to the secret at http://loans4bills.com/. If you want to find out how you can get <A HREF="http://loans4bills.com/" REL="nofollow">california refinance mortgage loan bad credit home loans</A> help visit usAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159252239946268082006-09-26T07:30:00.000+01:002006-09-26T07:30:00.000+01:00The Fed has already said homedebtors are screwed a...The Fed has already said homedebtors are screwed and they won't be there to rescue them. Let's see if they hold true on this. I posted this just the other day on HP:<BR/><BR/>From March 2006:<BR/><BR/>The Federal Reserve has no intention of preserving all of the recent gains in home price values, said Federal Reserve board governor Donald Kohn on Thursday.<BR/><BR/>In his remarks, Kohn attacked the popular 'Greenspan put' theory that Fed policy would always protect investors from sharp asset market drops while doing nothing to restrain these markets when prices rise.<BR/><BR/>"This argument strikes me as a misreading of history," Kohn said.<BR/><BR/>"Conventional policy as practiced by the Federal Reserve has not insulated investors from downside risk," he said.<BR/><BR/>"Whatever might have once been thought about the existence of a 'Greenspan put,' stock market, investors could not have endured the experience of the last five years in the United States and concluded that they were hedged on the downside by asymmetric monetary policy," Kohn said.<BR/><BR/>"The same consideration apply to homeowners: All else being equal, interest rates are higher now than they would be were real estate valuations less lofty; and if real estate prices begin to erode, homeowners should not expect to see all the gains of recent years preserved by monetary policy actions," Kohn saidbloggerhttps://www.blogger.com/profile/06585266242070350399noreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159248696498990242006-09-26T06:31:00.000+01:002006-09-26T06:31:00.000+01:00As I've said before. I think the Fed will hold ra...As I've said before. I think the Fed will hold rates stable for longer than people are expecting. <BR/><BR/>No raise, and no cut.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159248590862173552006-09-26T06:29:00.000+01:002006-09-26T06:29:00.000+01:00Hold on hold on.The actual fault---those who commi...Hold on hold on.<BR/><BR/>The actual <B>fault---those who committed the sins</B> are first and foremost<BR/><BR/>* mortgage brokers<BR/>* mortgage bankers<BR/>* pushy real estate agents<BR/>* greedy flippers<BR/><BR/>No government institutions here. Fan & Fred, partially (mortgage bankers), but they are required by law to only have the best credit loans. The wholly private banks are the ones pushing the toxic waste. <BR/><BR/>Those who went along with the bubble profited greatly but were free riders:<BR/><BR/>* Homebuilders<BR/>* bubble sellers<BR/><BR/>Those who didn't stop the wreck when they should have<BR/><BR/>* big media<BR/>* Federal Reserve<BR/>* US Treasury (OFHEO)<BR/><BR/>What shoudl the fed have done?<BR/><BR/>Massively crack down on mortgage underwriting standards and loan loss provisions.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159245842804293672006-09-26T05:44:00.000+01:002006-09-26T05:44:00.000+01:00The time is neigh?to make the prolonged cry of a h...The time is neigh?<BR/><BR/>to make the prolonged cry of a horse <BR/>- neigh nounAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159238691336860332006-09-26T03:44:00.000+01:002006-09-26T03:44:00.000+01:00now i oknow why ou economy ?? you been drinkin?now i oknow why ou economy <BR/><BR/><BR/>?? you been drinkin?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159237892456191392006-09-26T03:31:00.000+01:002006-09-26T03:31:00.000+01:00"How the Fed failed to prevent the housing bubble...."How the Fed failed to prevent the housing bubble..."<BR/><BR/>I wonder if they promoted it because of all the countries around the world that were doing it. America had to prove that they could put more dollars out there than Briton could put pounds, etc...Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159235554607271662006-09-26T02:52:00.000+01:002006-09-26T02:52:00.000+01:00It is the Fed.'s fault. The changed the under wri...It is the Fed.'s fault. The changed the under writing criterion for people to qualify. Greenspan and the team made it so that all you had to do to qualify was to be able to make the first years payments. That is why we have the teaser low rates. They knew what they were doing!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159233988375729042006-09-26T02:26:00.000+01:002006-09-26T02:26:00.000+01:00now i oknow why ou economy is so f'ckd up. think a...now i oknow why ou economy is so f'ckd up. think about it, they cut the rates back in 2001 in the hope of stimulating the economy and avoiding the recession. however the recent run up in housing prices is caused by irresponsible borrowing and now, the fed will try to fix it by, probably, cutting the rates again. two wrongs don't make it right. i would rather see a recession and correct the mistakes that were made. tighten lending practices. no more exotic (bs) loans. definitely no more 24 yr. olds.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159232878733124602006-09-26T02:07:00.000+01:002006-09-26T02:07:00.000+01:00Oh, they'll cut rates allright. That's why they ha...Oh, they'll cut rates allright. That's why they had been raising them the last couple years, so that they have room to cut them again.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159232150134330692006-09-26T01:55:00.000+01:002006-09-26T01:55:00.000+01:00I'm not saying the fed will definitely not cut rat...I'm not saying the fed will definitely not cut rates, but we're at the top end of their inflation rate target now, are we not? They'll definitely be tempted to cut rates when the housing bubble further infects the rest of the economy but the fed has 2 main priorites: 1) inflation; 2) economic growth. In that order. That would be a serious lapse in judgement if they lower the interest rate target while core inflation is still approaching 3%.Paul E. Mathhttps://www.blogger.com/profile/03719759088047080921noreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159230679524471092006-09-26T01:31:00.000+01:002006-09-26T01:31:00.000+01:00A band-aid only serves as a small temporary fix-it...A band-aid only serves as a small temporary fix-it, it covers, but not meant to stop severe bleeding!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159230588763354922006-09-26T01:29:00.000+01:002006-09-26T01:29:00.000+01:00anon 1;27:45,well i guess if you put band aid over...anon 1;27:45,<BR/><BR/>well i guess if you put band aid over an existing one, it won't stick - right?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159230507775907542006-09-26T01:28:00.000+01:002006-09-26T01:28:00.000+01:00the blame game has already started between clinton...the blame game has already started between clinton admin and bush on why bin laden thing.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159230465588605552006-09-26T01:27:00.000+01:002006-09-26T01:27:00.000+01:00because they (fed) failed to prevent the bubble, t...<I>because they (fed) failed to prevent the bubble, they're gonna try to (band aid) fix the problem and will only get worse.</I><BR/><BR/>I thought this was the band aid for the dot com meltd own.<BR/><BR/>Government can't fix the problem becasue Government IS the problem.<BR/><BR/>Now if you'll excuse me, I need to go watch MNF. 246 million to snake the toilets and put a new roof on. Flip This Stadium. Good Gawd.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159229783344378422006-09-26T01:16:00.000+01:002006-09-26T01:16:00.000+01:00THIS IS AMERIKA...it's always the blame game!Every...THIS IS AMERIKA...it's always the blame game!<BR/><BR/>Everyone has an excuse!<BR/><BR/>But i'll be damned if i can be late on my quarterlies even if i have an excuseAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159228876576130662006-09-26T01:01:00.000+01:002006-09-26T01:01:00.000+01:00To understand who he was, you have to go back to a...To understand who he was, you have to go back to another time when the world was powered by the black fuel, RE flippers made big bucks on pre-construction deals, and the deserts sprouted great cities of pipe and steel. Gone now swept away. For reasons long forgotten, two mighty warrior tribes went to war and touched off a blaze which engulfed them all.<BR/><BR/>Without fuel they were nothing. They built a house of straw. The thundering machines sputtered and stopped. Their leaders talked and talked and talked. But nothing could stem the avalanche. Their world crumbled. The cities exploded. A whirlwind of looting, a firestorm of fear. Men began to feed on men.<BR/><BR/>On the roads it was a white line nightmare. Only those mobile enough to scavenge, brutal enough to pillage would survive. The gangs took over the highways, ready to wage war for a tank of juice. And in this maelstrom of decay, ordinary men were battered and smashed.<BR/><BR/>Except for one man armed with an AK-47, and a Honda full of silver. In the roar of an engine, he lost everything and became a shell of a man, a burnt out, desolate man, a man haunted by the demons of his past. A man who wandered out into the wasteland. And it was here in this blighted place that he learned to live again.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-18675105.post-1159228379204409672006-09-26T00:52:00.000+01:002006-09-26T00:52:00.000+01:00because they (fed) failed to prevent the bubble, t...because they (fed) failed to prevent the bubble, they're gonna try to (band aid) fix the problem and will only get worse.Anonymousnoreply@blogger.com