Does the fact that Bernanke is on national tv discussing: the subprime fallout; subsequent deliquencies; how borrowers can "avoid foreclosure"; how banks can avoid this problem in the future; wall street community "absorbing the problem"; federal reserve's job in all of this.......concern anyone?
Bernanke on delinquencies/foreclosures
- Thread starter Sponger
- Start date
It's like Goldman saying that BERNANKE WILL NOT RAISE RATES! in their opinion! 
The'y hoping prophesizing turns to reality...it's fucking disgusting and the markets are dumb enough to fall for it/play along.
It amazes me how most of the people who state there will be no problems with subprime, Alt-A loans, etc. have no, and I do mean NO, understanding of how ugly it can get.
The point people don't understand is that Coca-Cola may have a million distribution points(RE locations) in the world, but if their 10 largest(So. Cal, Florida, AZ, etc.) fucking collapsed and their sources of distribution(Loose loaning) were squeezed, the company would get their balls pinched like in a vise.
It'll all come down the pike eventually. The problem will be that places like So. Cal should have enough overpriced home to satisfy demand for a long time to come.
Consumer credit tightening, and we are talking about America, is a fucking death knell to companies.
The'y hoping prophesizing turns to reality...it's fucking disgusting and the markets are dumb enough to fall for it/play along.
It amazes me how most of the people who state there will be no problems with subprime, Alt-A loans, etc. have no, and I do mean NO, understanding of how ugly it can get.
The point people don't understand is that Coca-Cola may have a million distribution points(RE locations) in the world, but if their 10 largest(So. Cal, Florida, AZ, etc.) fucking collapsed and their sources of distribution(Loose loaning) were squeezed, the company would get their balls pinched like in a vise.
It'll all come down the pike eventually. The problem will be that places like So. Cal should have enough overpriced home to satisfy demand for a long time to come.
Consumer credit tightening, and we are talking about America, is a fucking death knell to companies.
Hahahaha. First of all, all is not well. And secondly, if you have too many mortgages and you are being foreclosed, well then maybe you deserve it! Who told you to buy a house that is beyond your means?
I saw an awesome news story on some kid who is 24 and bought 7 houses over the course of a couple of years thinking he would hold and simply resell at a higher price. He is now $2 million in debt, 4 houses already foreclosed and about to declare bankruptcy. What 24 year old can afford 7 houses? Maybe only Britney Spears (and even those would be trailers).
I saw an awesome news story on some kid who is 24 and bought 7 houses over the course of a couple of years thinking he would hold and simply resell at a higher price. He is now $2 million in debt, 4 houses already foreclosed and about to declare bankruptcy. What 24 year old can afford 7 houses? Maybe only Britney Spears (and even those would be trailers).
People were buying 30 homes a year in Arizona and Nevada just two years ago - all with 0% down and 'interest only' mortgages.
I know. I saw it with my own two eyes.
Many of these same homes, freshly built, are on the long list of ones being foreclosed on now that the flippers have flopped.
yea it concerned me over a year ago. The fact that the Fed is only openly concerned about it now leads me to believe they are either liars, sycophants or have their heads so far up their asses they weren't able to see the problem they created getting out of control in 2004-2005. Ron Paul knows the score:
http://www.house.gov/paul/tst/tst2007/tst031907.htm
Haha, it is so ridiculous that none of these people saw that this was a bubble.....it\'s like that famous (yet I believe untrue) story about Rockefeller\'s shoe polisher who asked for a stock recommendation. So he thought there must be a bubble when shoe polishers are trading stocks and he sold all of his shares. The shoe polishers were buying homes this time....it can\'t go well