Desperate Homedebtors who listened to charlatans like Greg Swann and bought in 2005 and 2006 (or god forbid 2007 - are people really that dumb?) are probably about now realizing that they got taken, that they were had (yet their real estate clerk and mortgage broker of course got paid).
What does a person do who realizes that one mistake, just one, has now ruined his financial future? What does a Desperate Homedebtor looking at foreclosure, short sale or massive losses on his Phoenix condo do?
Lawsuits?
Refund?
Bankruptcy?
Arson?
Violence?
Who does he blame? What will he do?
I think we're about to find out.
29 comments:
gregs in trouble again
going after arizona realtors now
....tinyurl.com/24l6gn
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Kieth you are absolutly right!!!
And come MONDAY afternoon all will see that behind the curtan there was no wizard...
Just ALAN GREENSPAN
What will they do?
live in their home?
reaise their kids?
go outside and not spend all day reading blogs
have a life maybe?
So many options.
Yes - that Arizona Republic item says it all - here come the lawyers. . .this will keep them going for years - kind of like the BK of PennCentral fed lawyers for a decade (most of you are too young to remember THAT one). . .BUT, as I mentioned in an earlier post, there are STILL sheeple out there who think they need to buy "investment property" . . .don't these people even read the damn Union Tribune here in SD County??? Job losses, unemployment in the county was up, and housing prices are down. . . guess they didn't get the email.
Ah, the sheeple, buy Enron, dot com, real estate con, whatever. Screw thy neighbor. Get a no doc on a cash back, stick it to the man. Booyah!
How Expansions Die
http://tinyurl.com/2xhb37
Since the current expansion really started to cook in 2003, any number of overwrought reasons have been offered to predict that disaster was imminent: the budget deficit, energy prices, the trade deficit, the "tapped out" consumer, and so on. The economy has weathered them all.
However, we finally have a threat that really does bear watching--namely, a potential credit crunch precipitated by the housing downturn and rising default rates. As Federal Reserve Chairman Ben Bernanke noted in his Senate testimony this week, the economic damage from the real-estate slide has so far been contained to housing. But in addition to the pain that homebuilders have experienced, banks and mortgage brokers are increasingly feeling the pinch, especially in the sub-prime sector. And in a perverse sort of populism, lawmakers are making noises about reducing access to credit for the riskiest borrowers, which would only exacerbate the crunch and could help take the economy down into recession.
ml-implode.com: Implode-O-Meter jumps from 27 to 31, Fremont (#5 subprime lender) shut down by the FDIC.
The bulls were screeching the loudest right before its collapse, as we've all come to expect.
4 Words, er, sort of. is II a word?
The Great Depression II
Bankruptcy. The kind of people who bought at the height of the bubble are the same kind of "me me me" irresponsible people who will have no qualms about walking away from their responsibilities.
The new bankruptcy restrictions really aren't that bad. They only get you if you're trying to file even though you can pay. If you truly can't pay - and these homedebtors cannot - then you get your BK.
'Since the current expansion really started to cook in 2003, any number of overwrought reasons have been offered to predict that disaster was imminent: the budget deficit, energy prices, the trade deficit, the "tapped out" consumer, and so on. The economy has weathered them all.'
Bulls: always right, until they're wrong.
Bears: always wrong, until they're right.
This is why bulls always have to be replaced by a fresh batch after every "unforseeable event".
hmmm...eat their neighbors???
So when do we get a "Night of the Living Dead" post with a picture of those debtor zombies prowling about in search of 'untapped equity'= (ie. brain matter)?
Did anyone watch Mad Money with Cramer the day the market lost 400+ points?
He was a total imbecile telling people to buy anyway. It looked like he had been castrated. No yelling, booyaah, or anything else. I think he missed his calling as a realator or used car salesman.
The stock market is the next big con job that will collapse. All of that wealth there is exactly like the wealth of real estate with the same circle of buyers and sells jacking up the price selling to e/o and picking up suckers along the way to swindle.
I mean, you KNOW there's a big problem when mortage lenders are imploding on SUNDAYS!!! http://tinyurl.com/2xra6r
David Lereah Attacks David Lereah Watch
Lereah's Mom almost cries!
David
David Lereah Watch
If the sheeple are planning to sue realtors or mortgage brokers - good luck. . .they have all left the building. . .I counted two RE offices out of business - including the BIG Century 21 in Little Italy section of downtown San Diego. . .and three mortgage brokers are now empty storefronts. . .I walked past the big CountryWide loan office, and it is now closed weekends - a year ago, they were almost open 24/7!. . .not too many open houses this weekend - most owners have given up and are either in various stages of foreclosure, or the deep pocket people are renting out until the "market improves." Much like the owners of my new digs on April 1 - can't sell their place, so they are renting to me (a 16th floor view of the bay) for pennies on the dollar. . .they are in their mid-fifties, and had "hoped to fund their retirement with the two units they bought.". . .actually, they are funding MY retirement. If I bought the unit at asking price, it would cost me $5000 a month with loan, HOA and taxes.
One nice thing - the neighborhood is filling up with a lot of young people because of cheap rents - all the bellhops and waiters from the convention center area can now afford to live near work. . .
Okay, so the homebuilders have turned down markedly. The stock market has FINALLY begun to show signs of exhaustion. People I know who bought in 2005 and bragged like they were real estate moguls are now putting their home on the market. Still bragging though as they assure me they will make 75K or so on the sale. I think the denial phase is in it's final throes. We should know by June.
Demand and get expansion of gov't programs. The New Deal II.
Demand less freedom and higher taxes.
Dig their own graves, metaphorically.
WaPo today said to run in and refi. Some probably can pull that off.
will they bloodhound realty. no,no,wait they will hound blood
The sheep did not have the wool pulled over their eyes.
http://www.nowandfutures.com/key_stats.html
Check the growth of M3.
How long will prices stay this low?
Was there a silver standard back in the 1930's?
The war is more of a threat to our standard of living than Phoenix ordering more square footage than they needed, it might take years for them to straighten it out, but more than a hundred thousand a year of new people arriving in Arizona every year.
After the Pentagon was asked to draw up plans to attack Iran, things are a bit scary. It seems like the West Texas poker bluff does not always work in looking for WMD's, calculating a cool easy securitization of oil fields, and western Christian democracy in an area that is in a dark age of Islam.
An unwise government calculated the cost of the Iraqi war at about 50-60 billion dollars. Some prognasticators indicated it might cost well over a trillion dollars. What is a trillion dollars to a tired politician looking for special interest money?
They promised you this 50-60 billion dollar war, but what did they give you...another broken promise and a lot of tears for families whose sons went to try to defend the US against 9-11 hijackers.
It's Black Monday II tomorrow.
Was at the mall (yuck) near me on saturday. All over the mall where these contrators with a table trying to sign up customers. They looked realy depressed. I talked to a couple of them about how business was and they all told me ... bad that is why we are here.
The party is over everybody . What will the sheep do?
(1) file BK and pay the IRS bill .
(2) Resort to fraud to get out of their mess (attempted by many already in 2006)
(3) Some will hire a lawyer and claim they were taken by some crook employed by the Real Estate Industrial Complex .
(4) Some will live with their mistake and be a debt slaves for years in the future ,never being able to enjoy life ,waiting for the RE market to return .
(5) Some of the sheep will jump off a bridge or get in a car wreak because of the stress .
(6) Some of the sheep will not be able to retire when they wanted to because they will need to offset the loss on real estate and the stock market .
(7) People that are 15 years old right now will be able to buy cheap real estate in the future that will not be more than 30% of gross income .
(8) Some of the sheep will talk the lender into rewriting their sub-prime loan ,but they will still be stuck with higher payments than they wanted to be a slave to for years .
(9) And the sheep will learn to live within their means because nobody will lend them money anymore.
(10) Some sheep will actually go to jail .
And 20 years from now ,the sheep will engage in a new bubble .
Man it's begun panic selling - look at the futures - OUCH! Sell asap on Monday opening while you can - before trading is suspended.
Anonymous said...
Man it's begun panic selling - look at the futures - OUCH! Sell asap on Monday opening while you can - before trading is suspended.
March 05, 2007 11:58 AM
OK man you've posted this 4 times today. Take a valium or something. DOW is down 0.10% for crying out loud.
Typical of the HP set...every little thing you read means the end of the world. It's really annoying, stop it.
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