GDP: US Economy grows at fastest pace in nearly two years. God Bless Bidenomics.

Joe Capitalist said:

Your effort to school PostMortemPolyp is commendable but methinks he still doesn't comprehend it.
Remember, you're talking to someone who voted for Trump twice and swallowed and fomented his Big Lie which proves he ain't
Real good at processing simple facts.
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you are right.......I can't comprehend people as stupid as you folks......
 
Concart said:
Yep, they just endlessly parrot the talking points, but they don't understand any of them. CRA. Glass-Steagal. Fannie and Freddie. Barney Frank. Bank bailout bad. I would wager they don't understand anything about the mortgage business and how those mortgages are bundled and sold. But they pretend to be economic experts. It's laughable. It's like a five year old explaining why Patrick Mahomes sucks.
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why should bankers be rewarded with bailouts for their treachery?

explain it.

you're just a corrupt evil fascist.
 
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PostmodernProphet said:
why?.....that is exactly what would have happened.....instead, nobody gave a fuck whether the loans were good, bad, or fraudulant because some idiotic government official made taxpayers guarentee them......in a non-stupid world the loans woul either have never been made or the person who bought them would have lost his money......instead, in the world created by stupid demmycrats, the person who bought them lost OUR money.....
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Ya you just have no clue how securitization or debt bundles work and how banks utilize leverage all of which is done without any "Federal Guarantees'.

It seems there is no business sector you understand.

I know there is no way to explain this to you anymore than you could teach math and logic to Marjorie Greene but here is one more attempt.

You could go out and make your own personal asset bundle and buy up private mortgages across all credit rankings from Prime to Subprime and if you personally buy that using bank leverage on your own funds, and you extend yourself and then find out you bought a significant percent of fraudulent loans that all explode at once, your entire personal portfolio is going to crash even though there is no 'Federal Guarantee' forced on you. The banks are going to collapse your entire portfolio and force you to monetize it until it is all gone or back in compliance with whatever remains.

There simply is NO PATH to just let the bad loans go and not have them impact the other ones in the same bundles.
 
LV426 said:
Cawacko, the reason they wanted the rate hikes was not because of inflation, or monetary policy...it was because workers had too much power in the wage market.





of course and now we have the vague warnings that something bad might happen at some point, but none of you can really say what those warnings actually are and when it would actually happen.

I seem to remember the same Very Serious People saying in 2009 that if the ARRA was passed we'd see hyperinflation....and when we never did, people like Cawacko just keep moving the goalposts back and back.
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"We certainly have a very resilient economy on our hands," Powell said in a discussion at the Economic Club of New York. "Many forecasts called for the US economy to be in recession this year. Not only has that not happened; growth is now running for this year above its longer-run trend.
 
Joe Capitalist said:
Same here. I bought my first home in 1984 and the mortgage interest rate was around 9%. My father bought the home I grew up in in 1963 when the interest rate is 5% and I remember my dad saying "You'll never see the interest rates this low in your lifetime." I couldn't believe he got his mortgage for only 5%. I was so envious.

And a good thing about interest rates going up is now we can get decent returns on our fixed investments. The interest rates have been artificially low for over 10 years since the Bush Jr. Mortgage Crisis and Recession of 2008.
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Yup, I own 2 houses both with interest rates below 3%, one below 2%. I'm not looking to buy but I am looking to see a larger return on my 401K.;)
 
cawacko said:
The fallout we're seeing from the Fed keeping rates so low is many people feel like they can't move. When you have a rate locked in at say 3% why are going to move and get a new loan at 8% unless either you absolutely have to or you have so much money it doesn't matter.

The housing market was on an unsustainable pace due to low interest rates AND it was also a big driver behind these corporations getting into SFH. They were chasing yield and this is where they found it.
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I know how to avoid that high interest rate, pay cash. I am about to retire, sell both homes, move and pay cash for the next one.;)
 
PostmodernProphet said:
you are nearly as credible as a snail......and more slimey......
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Says the guy who claims to be a slum lord real estate lawyer who does not know if a person uses his own money, extended with lots of bank leverage to buy up all sorts of private mortgages in a cross collateralized bundle from Prime to Sub Prime and a significant amount in the sub prime area end up being fraud and collapse, that the ENTIRE bundle of mortgages is at risk of collapse and liquidation.

You are so stupid in the field of real estate you would tell your client not to worry, we will just pull the fraudulent ones out, let them go bankrupt and the banks will not touch the good ones.

That IS NOT how real estate law works. An area you should NEVER speak on, as you truly know nothing in the field and ALWAYS make mistakes.
 
QP! said:
Says the guy who claims to be a slum lord real estate lawyer who does not know if a person uses his own money, extended with lots of bank leverage to buy up all sorts of private mortgages in a cross collateralized bundle from Prime to Sub Prime and a significant amount in the sub prime area end up being fraud and collapse, that the ENTIRE bundle of mortgages is at risk of collapse and liquidation.

You are so stupid in the field of real estate you would tell your client not to worry, we will just pull the fraudulent ones out, let them go bankrupt and the banks will not touch the good ones.

That IS NOT how real estate law works. An area you should NEVER speak on, as you truly know nothing in the field and ALWAYS make mistakes.
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you don't actually understand what we are discussing, do you......of course if a person buys a package of bundled loans he risks losing his investment.....UNLESS some government official at the fed decides WE will guarantee he gets it all........then he doesn't give a fuck if the loans are high risk or not......THAT is the problem......cope......
 
PostmodernProphet said:
you don't actually understand what we are discussing, do you......of course if a person buys a package of bundled loans he risks losing his investment.....UNLESS some government official at the fed decides WE will guarantee he gets it all........then he doesn't give a fuck if the loans are high risk or not......THAT is the problem......cope......
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It is you who does not understand what we are discussing.

These mortgage bundles, these Securitization structures, pre 2008 and pre any Fed Guarantee, were ALWAYS cross collateralized and utilized leverage to the maximum.

What that ALWAYS meant, was if any of the groupings (from Prime to Sub Prime) performed far more poorly than the tolerance allowed for, it COULD and WOULD force the collapse of the ENTIRE bundle as the banks would seek to recoup their money from the failing loans, by liquidating the better performing loans.

There simply IS NOT the option, you seem to think exists, to simply pull out the block of bad loans and let them collapse, costing the banks money, and leave the better loans untouched for your own profit.

That is NOT how the system has ever worked and the Fed Guarantee has NO IMPACT on that aspect.


And believe me, I get that we are talking real estate law about 200 times over your pay grade and your only thought now is 'hurr durr, i just sign judgement documents against people who do not fight back', but you are wayyyy over your head here and, once again show absolutely zero comprehension of real estate law.
 
Port Tack said:
I know how to avoid that high interest rate, pay cash. I am about to retire, sell both homes, move and pay cash for the next one.;)
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Cash is certainly king and yes, is a great way to avoid high interest rates. Especially in California, but along the coasts, you see a lot of people selling and moving to inland states where they can now afford to pay cash for their new homes. The locals of these areas tend not to like it because they can't compete.
 
Port Tack said:
What a load of shit. Looking for excuses for your republican worst recession in history?
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LOL, there it is. The Barney Frank talking point. No surprise which fucking moron brought it up.

EIGHTY SEVEN PERCENT OF SUBPRIME LOANS WERE BOUGHT BY INVESTMENT BANKS. They were able to buy that many, because those loans could not pass Fannie and Freddie underwriting standards. The statement that Fannie and Freddie caused the issue is so ignorant it should just be laughed at. And that's what I'm doing. Laughing at the Fake Doc.
 
QP! said:
Says the guy who claims to be a slum lord real estate lawyer who does not know if a person uses his own money, extended with lots of bank leverage to buy up all sorts of private mortgages in a cross collateralized bundle from Prime to Sub Prime and a significant amount in the sub prime area end up being fraud and collapse, that the ENTIRE bundle of mortgages is at risk of collapse and liquidation.

You are so stupid in the field of real estate you would tell your client not to worry, we will just pull the fraudulent ones out, let them go bankrupt and the banks will not touch the good ones.

That IS NOT how real estate law works. An area you should NEVER speak on, as you truly know nothing in the field and ALWAYS make mistakes.
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This was simple. There was going to be a run on those investment banks, and they were leveraged far too much to be able to pay their investors off. They tried to dump that crap, but they couldn't. They had purchased credit swaps from AIG, but so had everyone else. AIG was ALSO way overleveraged, and the whole thing came apart. That's way over the heads of people like PMP and Fake Doc. So instead, they rush to their right wing sources and parrot their arguments. Which are all easily destroyed.
 
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