$10 Trillion Bailout
A Naybob of Realty sends me a property listing titled: THIS BANK OWNED TRIPLEX WILL PAY FOR ITSELF.
A run down REO triplex in an area of Long Beach, CA that you would not live in nor walk in at night, yet its priced at the lofty price of $297K...
My response was....
This is an absolute joke of a property and location... but then again California will be BK and riot central soon...
When the triplex you found me in 1998 hits 600K, we will have bottomed and that should be sometime in 2011-2012.
Meantime, buckle down, follow my words to the wise in today's 02/22/09 post which I sent you...
and buy under 50K and 100K properties in other states, instant cash flow and less downside risk.
My record stands, I have yet to be wrong on ANY of this, and have predicted much more than anyone ever expected, even myself.... and that scares me.
Our Naybob of Realty answers...
Got your message. Still find it so interesting that there are so many sales within the 30% of highest value in the “better area” California market.
The last two auctions we attended had a thousand people and properties that we earmarked all sold above our target price.
I guess I know how YOU factor that in…irrational behavior? I’m just not sure. Saturday morning Fox pundits still have constructive, albeit cranky, words.
The Nattering One muses...
Yes, a thousand fools and more, irrational behavior, irrational exuberance, and ebullient investors, all with more money than sense...
its like people that bought Enron or FNMA at 30 after it was 80 thinking, this is a steal...
money cannot buy you taste or brains, especially found money, which the bulk of this is...
witness the "real" housewhores of Orange County, who pay $500 per head to spit out Foie Gras and say "ew, yuck, what part of the chicken is that?"
Most of the major banks are now insolvent, were it not for taxpayer loans, we would be down to perhaps two banks...
the multiple LBO and insurer failures will be the icing on this shitcake, all coming in the next year or two...
the negative feedback loops are being numbed with the last of the dumb money, this is the end of the liquidity...
no jobs, no durable economy to fall back on (all outsourced to labor at the margin), no housing ATM... AND
$10 Trillion in bailout commitments to THE FINANCIAL INSTITUTIONS and every other greedy ass that is suddenly in need because of their own GREED AND IDIOCY...
THAT'S NO TYPO READ IT AGAIN... $1 Trillion under Obama; $9 Trillion under BUSH...
Tom Iacono at The Mess That Greenspan Made updates us on Bloomberg vs The Fed:
The $9.7 trillion in pledges would be enough to send a $1,430 check to every man, woman and child alive IN THE WORLD.
It’s 13 times what the U.S. has spent so far on wars in Iraq and Afghanistan, according to Congressional Budget Office data...
and is almost enough to... pay off every home mortgage loan in the U.S., calculated at $10.5 trillion by the Federal Reserve.
INSTEAD OF PAYING OFF ALL THE MORTGAGES AND ENDING THE PROBLEM....
THE MONEY IS COMMITTED TO THE VERY PEOPLE WHOSE GREED & MALFEASANCE GOT US INTO THE MESS IN THE FIRST PLACE.
What makes YOU or ANYONE think that the results will change or that they can manage themselves this time?
These idiots who pretend that they are in control and act like they know what they are doing, are spitting into a TSUNAMI.
I have seen the future and it DOES NOT WORK. This second wave down is going to be horrific.
A run down REO triplex in an area of Long Beach, CA that you would not live in nor walk in at night, yet its priced at the lofty price of $297K...
My response was....
This is an absolute joke of a property and location... but then again California will be BK and riot central soon...
When the triplex you found me in 1998 hits 600K, we will have bottomed and that should be sometime in 2011-2012.
Meantime, buckle down, follow my words to the wise in today's 02/22/09 post which I sent you...
and buy under 50K and 100K properties in other states, instant cash flow and less downside risk.
My record stands, I have yet to be wrong on ANY of this, and have predicted much more than anyone ever expected, even myself.... and that scares me.
Our Naybob of Realty answers...
Got your message. Still find it so interesting that there are so many sales within the 30% of highest value in the “better area” California market.
The last two auctions we attended had a thousand people and properties that we earmarked all sold above our target price.
I guess I know how YOU factor that in…irrational behavior? I’m just not sure. Saturday morning Fox pundits still have constructive, albeit cranky, words.
The Nattering One muses...
Yes, a thousand fools and more, irrational behavior, irrational exuberance, and ebullient investors, all with more money than sense...
its like people that bought Enron or FNMA at 30 after it was 80 thinking, this is a steal...
money cannot buy you taste or brains, especially found money, which the bulk of this is...
witness the "real" housewhores of Orange County, who pay $500 per head to spit out Foie Gras and say "ew, yuck, what part of the chicken is that?"
Most of the major banks are now insolvent, were it not for taxpayer loans, we would be down to perhaps two banks...
the multiple LBO and insurer failures will be the icing on this shitcake, all coming in the next year or two...
the negative feedback loops are being numbed with the last of the dumb money, this is the end of the liquidity...
no jobs, no durable economy to fall back on (all outsourced to labor at the margin), no housing ATM... AND
$10 Trillion in bailout commitments to THE FINANCIAL INSTITUTIONS and every other greedy ass that is suddenly in need because of their own GREED AND IDIOCY...
THAT'S NO TYPO READ IT AGAIN... $1 Trillion under Obama; $9 Trillion under BUSH...
Tom Iacono at The Mess That Greenspan Made updates us on Bloomberg vs The Fed:
The $9.7 trillion in pledges would be enough to send a $1,430 check to every man, woman and child alive IN THE WORLD.
It’s 13 times what the U.S. has spent so far on wars in Iraq and Afghanistan, according to Congressional Budget Office data...
and is almost enough to... pay off every home mortgage loan in the U.S., calculated at $10.5 trillion by the Federal Reserve.
INSTEAD OF PAYING OFF ALL THE MORTGAGES AND ENDING THE PROBLEM....
THE MONEY IS COMMITTED TO THE VERY PEOPLE WHOSE GREED & MALFEASANCE GOT US INTO THE MESS IN THE FIRST PLACE.
What makes YOU or ANYONE think that the results will change or that they can manage themselves this time?
These idiots who pretend that they are in control and act like they know what they are doing, are spitting into a TSUNAMI.
I have seen the future and it DOES NOT WORK. This second wave down is going to be horrific.
Comments
Amen, brother.
According to The Fed's data, from 1989 to 2004 household incomes rose by single-digit percentages, but household indebtedness rose by triple-digit percentages. That party wasn't going to last forever. So the big question is, was anyone at The Fed reading its own data?
More, yet simplistic details, at http://www.the-small-r.com/the-small-r/blog/Entries/2008/12/8_Entry_1.html