Comments on: Wall Street and Housing Neurosis: The Real Cost of California Homeownership. Extreme Foreclosures, Option ARMs, Renting Utility Costs, and Breaking the Financially Twisted Psychology. http://www.doctorhousingbubble.com/wall-street-and-housing-neurosis-the-real-cost-of-california-homeownership-extreme-foreclosures-option-arms-renting-utility-costs-and-breaking-the-financially-twisted-psychology/ How I Learned to Love Southern California and Forget the Housing Bubble Thu, 09 Feb 2012 06:16:36 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Swiller http://www.doctorhousingbubble.com/wall-street-and-housing-neurosis-the-real-cost-of-california-homeownership-extreme-foreclosures-option-arms-renting-utility-costs-and-breaking-the-financially-twisted-psychology/#comment-43092 Swiller Tue, 08 Dec 2009 21:09:32 +0000 http://www.doctorhousingbubble.com/?p=2753#comment-43092 @ dfresh "It’s hard to argue that the efforts of the Fed, the Obama administration and shadow inventory managers have not had a real effect on stabilizing the housing market and providing some economic stimulous." No, it's not hard to argue the fact. Uncle Tom simply paid out Wall St. and the banksters at the expense of us all. The shadow inventory is waiting to crash upon the heads of every homeowner in the country, and the FED. Do you even realize that the FED is a private banking institution that is no more "federal" than federal express? Is it any wonder we are a nation of debt slaves? @ dfresh “It’s hard to argue that the efforts of the Fed, the Obama administration and shadow inventory managers have not had a real effect on stabilizing the housing market and providing some economic stimulous.”
No, it’s not hard to argue the fact. Uncle Tom simply paid out Wall St. and the banksters at the expense of us all. The shadow inventory is waiting to crash upon the heads of every homeowner in the country, and the FED. Do you even realize that the FED is a private banking institution that is no more “federal” than federal express?
Is it any wonder we are a nation of debt slaves?

]]> By: Swiller http://www.doctorhousingbubble.com/wall-street-and-housing-neurosis-the-real-cost-of-california-homeownership-extreme-foreclosures-option-arms-renting-utility-costs-and-breaking-the-financially-twisted-psychology/#comment-43091 Swiller Tue, 08 Dec 2009 21:03:54 +0000 http://www.doctorhousingbubble.com/?p=2753#comment-43091 Where are people getting the idea that "ir-responsible" homeowners are getting money handed to them? People like William spout off ignorant statements, and STILL miss who is getting their money. Dude....wake up, it's the BANKS that got "your" (don't forget, it's MY money as well) money, and they are NOT lending it out. They are NOT giving principal reductions, and they are NOT giving spectacular deals. Sure, some homeowners are getting a super low rate, but they are thousands and hundreds of thousands underwater. What should be done is all banks that were speculators should fail. Everyone that cannot afford their house should be foreclosed upon. The market should be allowed to drop 50% or more ACROSS THE BOARD, and those people who lsot their homes should re-purchase them for 50% less, get a standard 30 year amortizing loan, and continue with life. It will never happen that way, because you voted in your favorite republican/democrat, and their masters are not the public, their masters are the banksters on Wall St. Mammon, a very old god indeed. Where are people getting the idea that “ir-responsible” homeowners are getting money handed to them? People like William spout off ignorant statements, and STILL miss who is getting their money. Dude….wake up, it’s the BANKS that got “your” (don’t forget, it’s MY money as well) money, and they are NOT lending it out. They are NOT giving principal reductions, and they are NOT giving spectacular deals. Sure, some homeowners are getting a super low rate, but they are thousands and hundreds of thousands underwater.
What should be done is all banks that were speculators should fail. Everyone that cannot afford their house should be foreclosed upon. The market should be allowed to drop 50% or more ACROSS THE BOARD, and those people who lsot their homes should re-purchase them for 50% less, get a standard 30 year amortizing loan, and continue with life.
It will never happen that way, because you voted in your favorite republican/democrat, and their masters are not the public, their masters are the banksters on Wall St. Mammon, a very old god indeed.

]]> By: Mike M http://www.doctorhousingbubble.com/wall-street-and-housing-neurosis-the-real-cost-of-california-homeownership-extreme-foreclosures-option-arms-renting-utility-costs-and-breaking-the-financially-twisted-psychology/#comment-43039 Mike M Mon, 07 Dec 2009 14:32:10 +0000 http://www.doctorhousingbubble.com/?p=2753#comment-43039 Robert Cramer wrote: "The one thing you overlook, is that buying a house is a forced savings plan for most people. I know many people in the 60 to 70 age range that have NO savings, but own their house free and clear, with a value of $400,000. to $600,000,cold, hard,cash." I don't get that. Cold hard cash for the kids in the will if the kids can even sell the thing in today's market, but for the elderly couple, it's a liability, right? They can't extract the "cash" if they don't want to move, like most oldsters, and rising property taxes and maintenance and energy costs are just going to kill them. Figuratively speaking, of course. heh. Robert Cramer wrote:
“The one thing you overlook, is that buying a house is a forced savings plan for most people. I know many people in the 60 to 70 age range that have NO savings, but own their house free and clear, with a value of $400,000. to $600,000,cold, hard,cash.”

I don’t get that. Cold hard cash for the kids in the will if the kids can even sell the thing in today’s market, but for the elderly couple, it’s a liability, right? They can’t extract the “cash” if they don’t want to move, like most oldsters, and rising property taxes and maintenance and energy costs are just going to kill them. Figuratively speaking, of course. heh.

]]> By: OC Hunter http://www.doctorhousingbubble.com/wall-street-and-housing-neurosis-the-real-cost-of-california-homeownership-extreme-foreclosures-option-arms-renting-utility-costs-and-breaking-the-financially-twisted-psychology/#comment-42962 OC Hunter Sun, 06 Dec 2009 20:34:22 +0000 http://www.doctorhousingbubble.com/?p=2753#comment-42962 Certainly the impact of housing bubble burst has been reduced, but at what cost? Would it be better to endure a more severe, but shorter impact to the economy? Or is it better to soften the blow, but greatly extend the impact? Also, the approach to softening the impact is of course through introducing outside influence (the bailout). There is nothing wrong with this in principle, but any external influence will of course have winners & losers. In this case, the selected winners are mostly the finance sector. By failing to let the market punish those who bear the greatest responsibility for running the system, don't we encourage future shenanigans? While the home-owners are certainly at fault for engaging in risky behaviour, would it not be better to bail them out, and punish the people running the system so they do not make such foolish loans in the future? An interesting fact - if the bailout were applied to pay off mortgage balances, it would completely wipe out all mortgage debt. Certainly the impact of housing bubble burst has been reduced, but at what cost? Would it be better to endure a more severe, but shorter impact to the economy? Or is it better to soften the blow, but greatly extend the impact?

Also, the approach to softening the impact is of course through introducing outside influence (the bailout). There is nothing wrong with this in principle, but any external influence will of course have winners & losers. In this case, the selected winners are mostly the finance sector. By failing to let the market punish those who bear the greatest responsibility for running the system, don’t we encourage future shenanigans? While the home-owners are certainly at fault for engaging in risky behaviour, would it not be better to bail them out, and punish the people running the system so they do not make such foolish loans in the future? An interesting fact – if the bailout were applied to pay off mortgage balances, it would completely wipe out all mortgage debt.

]]> By: Dfresh http://www.doctorhousingbubble.com/wall-street-and-housing-neurosis-the-real-cost-of-california-homeownership-extreme-foreclosures-option-arms-renting-utility-costs-and-breaking-the-financially-twisted-psychology/#comment-42958 Dfresh Sun, 06 Dec 2009 17:46:06 +0000 http://www.doctorhousingbubble.com/?p=2753#comment-42958 It's hard to argue that the efforts of the Fed, the Obama administration and shadow inventory managers have not had a real effect on stabilizing the housing market and providing some economic stimulous. Those of us on the side-lines waiting to buy a house are being forced to wait longer than hoped. But, hasn't this orchestrated "soft landing" been better for all concerned than a precipitous market correction would have been? I'm frustrated sitting on the sidelines, seeing HELOC addicts who stole thousands, tens of thousands or hundreds of thousands of dollars walk away with temporary slaps on the wrists. But, again, we didn't slip into a depression, which was a very real possibility had not strong and swift intervention, along with market manipulation, wouldn't have occurred. It's frustrating because the most concientious, careful, and prudent are being ignored. Greed, indeed was good for the greedy. It’s hard to argue that the efforts of the Fed, the Obama administration and shadow inventory managers have not had a real effect on stabilizing the housing market and providing some economic stimulous. Those of us on the side-lines waiting to buy a house are being forced to wait longer than hoped. But, hasn’t this orchestrated “soft landing” been better for all concerned than a precipitous market correction would have been? I’m frustrated sitting on the sidelines, seeing HELOC addicts who stole thousands, tens of thousands or hundreds of thousands of dollars walk away with temporary slaps on the wrists. But, again, we didn’t slip into a depression, which was a very real possibility had not strong and swift intervention, along with market manipulation, wouldn’t have occurred. It’s frustrating because the most concientious, careful, and prudent are being ignored. Greed, indeed was good for the greedy.

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