HOUSING Crisis....NO It is 100% Fraud!

looks like this passed the house already? I cant even get people to care about this stuff. you talk about how the very financial structure you depend on to survive in todays way of life is about to come crumbling down and people glaze over like a doughnut. But if you start talking about the iphone youll have a circle of people hovering over you anxiously waiting to tell you all about it.

you know that old saying if you cant beat em join em? well where the eff do i sign up to be on the NWO's side? at this rate id much rather be in a position to watch this air disaster known as the us economy plummet to the earth from a seat on the ground rather than one inside the fuselage. pardon the aviation metaphor. (and my name just went on 89 more govt databases).

Neg-Am Arm or an Arm and a Leg (Adjustable Rate Mortgage and a Loss of Equity Guaranteed).

one thing I can tell all of you.. owning a business that is directly related to housing.. we are know where near the bottom! we have been in a depression in housing for almost 3 years now and there is NO light at the end of the tunnel! all the talking heads are doing is blowing smoke up everyones arse!

as for me and my home, we shall worship the LORD

Just like the Housing Bill being RUSHED through Congress today... where is the money going to... Bank of America...wrote the bill and sure enough Bank of America and it's latest purchase Countrywide will be the largest benefactors of the $300 billion.

Just imagine your a corporation trying to sell houses that otherwise wouldn't be sold... and you have a buddy in the financing business that loans money... all you need is a sucker to complete the transaction... and thats the buyer.

Now once it the trap... the buyer takes the bait. The seller gets their money, the financier gets their money in the form of fees... and then they hurriedly package the loan and sell it off to some investment firm.

Now the investment firm, who probably bought this loan at a discount because of it's risk... but nevertheless puts it on the books at face value now finds it's a "bad loan". They hurriedly call the Federal Reserve and Treasury... for rescue... their losing money on their gamble...

Hank Paulson and Ben Bernacke say to them...don't worry when we can just print money for you and just tack it on the bloated budget and hell...somebody's grandchildren can deal with it!

And there you have the SubPrime Mortgage crisis. A total fraud on the American people. Now wasn't buying up all the media worth it! To pass this kind of fraud right under the nose of the American people and 95% don't even notice.

Mike
"Fire Team for Freedom", "Operation Daily Paul" and "Revolutionary Business"
visit www.mikeandjake.com

Just pulled this off yahoo news.

http://news.yahoo.com/s/a...

Whats a few trillion more dollars of debt anyway?

Please don't lump all the Realtors, appraisers and mortg. brokers in one category. I am a 28 yr. Realtor that never recommended a adjustable loan to a customer nor zero down. Many Realtors did this, yes, and got their customers to buy things that they couldn't really afford. The Realtors, appraisers and mortg. brokers did not know the market would fall like this either. But yes, in general, the info. you give is correct for a substantial many. Remember too that many of the Realtors, mortg. brokers and appraisers were new to the biz during this time and didn't really understand the consequences. Many of them did!

Remember too that the buyers and sellers got greedy thinking about profit and took loans they knew they couldn't afford, so it was all of these people and the banks.

Prices in general are definitely coming down on the whole, but there are pockets that are stabalizing where people see value. I believe that much of the market will decline in the next few years but people want a place to put their money and afraid of the stock market and the banks or cash with the inflation figure. What will also prop up the market some is the foreigners coming in and buying. This is rather sad as many Americans will not be able to afford homes as our wealth has been taken by inflation and the loss of jobs to overseas to things like NAFTA.....thanks Bill Clinton.....and George for the war and high inflation.

As for the tax base, yes, the local govt's will have trouble and will have to lay off or borrow from the Fed gov't. The lay offs will help reduce gov't, so will have some benefit. If they borrow more money to keep all their people, that means more money printing and more inflation.

By the way, they are probably looking for more revenue, so be careful when driving, etc. in order not to end up with tickets or in jail.

Of course it's fraud. If people would just take the time to understand how their mortgage works there would be a hot revolution by morning. I haven't read your article yet but the mortgage industry is another money from nothing scheme except they don't even have to print it.

So called fractional reserve is the key, we all know they supposedly only have to have 5 -10% deposited of what they loan so where does there other 90% come from that they loan you and millions of others for your mortgage? Out of thin air is where it comes from, why because they are agent banks of the FR.

This further inflates the economy but it's hidden because no money is printed its' just bits on a computer. So these people just took control of your property and enslaved you with 30 years of debt created out of thin air, then they take the note and sell it again over and over on top of it. to make even more on your stolen future labor.

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JM
are payable to the county where I live. And anyone that has ever owned any property knows what happens if you don't pay your taxes. The county where I live take possession of the property after a period of time if the taxes are not collected. If all these homes are abandoned I would think the mortgage holder would be the responsible one for payment of the taxes. If all the banks and mortgage companys fold, and the taxes arn't payed, I would think the county could stand a chance to auction the properties for non payment of taxes. But I'm not an expert on this, so, if anyone can explain what will happen if the taxes are not collected, I would like your input.....

The same thing is happening in Britain. A recent TV documentary over here exposed the way that mortgage salesman were lying to their employers and encouraging mortgage applicants to lie.

For example, let's say you are a janitor on minimum wage. No problem. The brazen salesman would tell you to write "schoolteacher" on your application form and multiply your salary by three. I'm serious. That kind of criminal collusion has happened alot.

The incentives to commit fraud were too high. A huge commision for the salesman and the perception on the part of the borrower that the growth of equity in their home would outstrip the re-payment costs.

And it seems that no-one read or understood the fine print about interest rates.

While the British sub-prime scandal is small potatoes compared to what happened in the states, the international fallout from the US mortgage crisis has been huge.

The Northern Rock bank in England collapsed after putting too many eggs in the US subprime basket. The government panicked that there would be a run on all the major banks. So the Bank of England stepped in to nationalise the Rock. Guess who pays the bill?

Taxpayers of course. No Bank Left Behind. Remember that "moral hazard" only applies to other peoples investments ;-)

-"Ron Paul cured me of my predilection for Che Guevara T shirts."

The market here is really frightening. I bought an investment condo with one of these loans. I put it back on the market right at the peak in late 2005. I priced it at $335,000, a good price for then. The market started plummeting shortly after that. I just barely got out one year later at $230,000 with 7000 other condos on the market in the area. Fortunately, I broke even about one week before my rates would have adjusted up. But the scary point of the story is that I just checked the prices that these condos have closed for recently. There were a few at $120,000 and one as low as $113,000. I hope we are not the canary in the coal mine for the rest of the country.

I'm a real estate agent in an area that didn't go through a bubble market but I've seen what happens to people when they see home prices shooting up.

Two emotions take over. Either greed or fear.

They see their friend's home go up $100,000 in a year and they want to be smart like them. Their friend tells them how easy it was and implies that anyone who doesn't take advantage of this is an idiot. So they are tempted by the possibility of easy money and just ignore the downside risk.

Or they fear that if they don't act now, they'll never be able to get into the home ownership game. When they hesitate and see that it's going to cost them more to buy that home than just a year earlier, they kick themselves for waiting so long.

Most people think they are so smart about things and when they are blinded by greed or fear there is nothing you can do to change their thinking. You're the one who's going to be seen as the one who made them miss their opportunity to be a home owner.

No one knew for certain that home prices were going to drop except maybe for Peter Schiff. But look how he is still marginalized on TV. He has called this perfectly and he still gets laughed at for being so negative.

I think there were a lot of bad mortgage salespeople who put people into bad loans because of the extra money but I don't think the average real estate agent did anything fraudulent or devious.

The rich get richer and the poor get poorer. We need to stop our government from bailing out the lenders. But I bet we can't.

and it was planned that way. You did a great job laying out a very complex event. Our whole monetary system is a fraud and we have to keep in mind that the Federal Reserve is owned by the very banks (who committed all the fraud in the mortgage industry) which they are now rescuing. Your article reminded me of Don Harrold's last video
http://www.youtube.com:80...
Thanks

You're using a VERY broad brush when you paint this picture. Let me clear a few things up for you.

I, too, know a little something about real estate and you're LEAPING to assumptions. If you know personally and for a fact that appraisers were lying.....Why didn't/don't you report it to the authorities?

As to how much each of the "players" got paid....Looks like you need to do a little more research. Those mortgage brokers mostly work on splits; as do most real estate agents. (Let me know if you need more info on that.) Any appraiser that gets paid 3x the going rate should probably be looked at closely by their licensing agency; again, did you report any of this if you knew it was dirty dealing?

You mention brokers and appraisers that own rental properties.....That's very common amongst those that work in the industry. They are uniquely positioned to take advantage of good deals when they come along. Don't people in the car business generally have the newest cars? Don't people in the computer business have the top-of-the-line computers? Don't the pawn shop people have the most jewelry? Why should it be so different in the real estate industry?

Yes, exploding ARMs (adj-rate & neg-am) and Liar Loans (NINAs, no-docs) were common in some areas; however, you fail to mention just how many people would take any loan they could get. They didn't qualify under traditional lending standards and they knew it. Most thought "something" would happen to keep them in that house...Keep in mind that some areas saw few, if any of these types of loans. Those are the high-profile loans that MSM talks about but those were only a small percentage of overall mortgages written.

Big lenders changed their underwriting guidelines....That was their choice to do so because they thought they were smarter than the rest of the world. Underwriting became automated; apparently no one actually verified anything. Now it's biting them in the arse and they're getting their friends in the gov't to bail them out. Also keep in mind that the federal gov't FORCED the banks to come up with these BS loans to satisfy provisions of the Community Reinvestment Act (again, let me know if you need more info).

Oh, and you forgot to mention. There have always been foreclosures due to death, illness, divorce, job loss and a myriad of other reasons. With so many jobs being outsourced (thanks to NAFTA, CAFTA, and all the other alphabet) the situation continues to worsen across the country, most especially in the area known as the "rust belt" where they've had foreclosure problems for quite a while now. MSM didn't start talking about this until it hit them in the face on the east & west coasts.

This is a repeat of what went on in the 80's when everyone made "can't lose" loans to Latin American countries.....And those countries then decided not to pay back the money.

I expect that we have NOT seen the bottom of the housing and REO woes. As job losses continue, combined with the rapidly rising costs of energy and food the situation likely will remain unstable for a while. This does not even mention the stresses all of the additional burdens put on families already struggling; even more divorces to push up that foreclosure rate....

Gawd, we really need Ron Paul for President!

Gotta read this tomorrow.

--Cliff, Sioux City, Iowa