Sonoma Housing Bubble

Pulling the cork out of Sonoma's bubbly housing foolishness

Saturday, March 17, 2007

No EFFING Bail Outs for FBs or Loser Lenders!!!!!



There is NO way I will go away quietly if one red cent of my money is used to bail out the stupid and incompetent that created this mess.

Might be a good idea to start writing your congresspeeps and representatives, because something crooked this way comes!

Andy Sobel (This Stupid guy again!!!) is selling his San Diego condo for $60,000 less than he owes on his mortgage. He’s six months behind on his payments, but it’s all he can do to avoid foreclosure. He’s also writing to Rep. Barney Frank, chairman of the House Financial Services Committee.”

“‘Please don’t let this happen to anyone else,’ Sobel says he’s writing, and will explain how he was ‘duped’ into buying his first home in 2004 with an adjustable-rate mortgage designed for him to pay only the interest each month, no principal.”

“‘I know there are a lot of people like me, families — this ruins some people,’ Sobel says. ‘If there is going to be any kind of bailout, we should be part of it.’”

“‘I have two public policy goals,’ said Senator Christopher Dodd, who is a presidential candidate. ‘One is to make sure that what’s been going on stops. That is the easier of the two issues to address. And the second is what can we do to keep people in these homes. What if anything can be done to prevent flooding the market with these delinquencies.’”

“‘I’m not averse to legislating on it,’ Mr. Dodd said. ‘My preference is to see whether it could be better managed by the regulators knowing that legislation can be so difficult to get through.’”

Tom Zimmerman, an analyst with the international investment company UBS who tracks the mortgage industry, said that lenders had not done adequate underwriting, that is, determining the risk of particular loans. ‘What was bad underwriting in ‘04 and ‘05, became atrocious in early ‘06,’ he said.”

“‘It was all about return, yield spread and profits,’ said Robert Simpson, president of Investors Mortgage Asset Recovery, which helps mortgage companies recover money lost to fraudulent borrowers. ‘Let’s be clear that what we’ve done is bury people in debt.’”

"Investors in mortgage loans, including investment banks, pension funds, and international bondholders, jumped into risky subprime mortgages because they were paid for that risk, getting higher interest rates than they would have received for investing in, say, Treasury bonds.”

“The reason that the risky mortgages paid more, of course, was that there was a very real possibility that lots of borrowers would default.”

“If the government, or its proxy, now steps in and purchases those mortgages, or otherwise systematically bails out borrowers, it will create a hazard for the future. The next generation of mortgage lenders won’t take the high risk of subprime home loans seriously, because they’ll expect that, in the event of another crisis, the government will step in and bail them out again.”

FB's, Loser Lenders and Shyster Real Estate agents... you made your bed! Now you lay in it!

"our lawmakers should not forget to call human nature to account. In 1886, 40 years before the birth of former Fed chief Alan Greenspan, the Great Plains was the scene of a terrific real-estate boom, financed by the most reckless kind of lending. There was no Fed, and there were no rating agencies, just lenders and borrowers taking leave of their senses. They returned to them, eventually. They always do.”'

11 Comments:

At 3/17/2007 03:39:00 PM , Anonymous tom stone said...

There is no money for a bailout.and chris dodd may be a megalomaniacal hypocrite (check out his donors) but he is also a political lightweight.it won't fly.

 
At 3/17/2007 03:43:00 PM , Blogger moonvalley said...

I hope not. That cartoon expresses my feeling exactly.

 
At 3/17/2007 04:50:00 PM , Blogger Marinite said...

This comment has been removed by the author.

 
At 3/17/2007 04:53:00 PM , Blogger Marinite said...

There is no way I will hand over one red cent to help pay out these FBs in our "oh I am such a victim" culture of ours. It's about personal responsibility and I refuse to take responsibility for other peoples' stupidity and foolishness.

In this so-called free market of ours we have to let the market correct. As it is, anyything and everything (or nearly so) has been done to keep this thing inflated. Market forces are starting to overcome the artificial inflation and if it extracts its due with a vengence then so be it.

I won't pay.

I encourage anyone who feels the same to write (both snail mail and email) their representatives. I know I am and will continue to do so.

 
At 3/17/2007 09:01:00 PM , Anonymous Anonymous said...

I wish all the idiots that wrote and spoke about the wonderful real estate market would come forward and say how wrong they were. Instead, they start writing and talking about bailouts. They TRULY ARE IDIOTS.

 
At 3/19/2007 12:56:00 AM , Anonymous waiting For Sanity said...

Hey Marinite,

So great to see you posting again!

I keep going to your site and I see the same frozen moment.
Did the bad guys win here?

At this point, your blog looks like an advertisement to prove that bullying can silence the truth.

I'm pissed that some A-hole was able to stop you from doing such brilliant work.

I don't blame you for going to the bunker.

I hope your blog comes back someday.

Back to the topic:

I will be very upset if there is a bailout of these irresponsible greedy idiots.

 
At 3/19/2007 05:48:00 PM , Blogger Dr Housing Bubble said...

The mainstream media is spinning this like a sob story. Are we going to bailout the sub-prime companies like we did with the S & L debacle? We need to send letters to our local editors and point them to other credible sites showing them the fraud and corruption in this industry.

I don't know about you but I'm contacting my local representatives letting them know that it isn't my fault Johnny and Mary wanted to buy a 800 square foot burrito bag just because they needed to feel the joy of ownership.

Even if you aren't buying, the massive inflation and decline of the dollar will hurt you. The Fed via the fractional reserve banking system has decimated our dollar to the point of, well go to your local market and doctor and you'll find out how much your green dough is worth.

This rhetoric sounds like the government wants to issue the maximum interest only no-doc loan to these corrupt companies. No way amigos.

Dr. Housing Bubble

 
At 3/20/2007 12:01:00 PM , Anonymous marinite said...

OMG! Check out this admission from the Bank of England:

http://tinyurl.com/39hh6g

You know it is true for the US as well.

Is this for real? It is almost too good to be true.

 
At 3/21/2007 10:22:00 AM , Anonymous Anonymous said...

The mainstream media is spinning this like a sob story.

"What about The Children, The Children, The Children, The Children, The Children..."

 
At 3/22/2007 01:05:00 AM , Anonymous waiting For Sanity said...

Marinite,

Re: the Bank Of England.

This sounds like another plea for a bailout.

"The terrible banks/government fooled us into buying what we could not afford."

I agree with you that it shows the truth, but it looks like more fuel for the bailout fire.

Those folks who bought in to the insanity will be rewarded for their stupidity/blind\insight.

Please tell me this isn't true.

 
At 3/28/2007 10:40:00 AM , Anonymous Anonymous said...

Scream and rant all you want, Athena.

The Fix Is In.

"LET THEM EAT CAKE!"
-- Our Betters

 

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