Option ARMs Threaten U.S. Housing Rebound as 2011 Resets Peak

Nice pot Omega.<<<<

yeah its Apollo 11- great indica. It'll blow your mind man....

Nice pot Omega.

That chart really shows just how seriously bad this whole situation is going to get.
These loans, defaults in most cases are going to create dead bodies for a filled cemetery.

With rising interest rates, which HAS to happen, these debts will be laughable and the only one left to pick up the tab for the banks and mortgage companies will be St. Obama.

Can the govt. really afford to do this all over again in the next 6-12 months? They have no choice now.

That is going to mean possible "probable" govt , ownership of some or a few very large banking entities(BAC?) to which these defaults will be poured into. Eventually, the servant population will pay for this all.

I'm curious that the pressure is being put the Fed, at least in some small way now. But I haven't seen it before. Could it be, the Fed, with over 2 trillion in assets(LOANING money to the USA is very good business) , could be assimilated by US Govt?

That would be a ballsy move by the administration. Almost like Godzilla vs. King Kong.

Watch the battle unfold as the music stops and the few chairs left are filled. Like the Titanics lifeboats, there aren't enough to go around and I expect chivalry will play no role in who gets on one. It's all for one and everybody for themselves now.

Expect a rocky ride for the next few years , prepare-prepare!

When this is all said and done you will NOT recognize America anymore.

"The consumer had a product pushed on them that they had no hope of understanding."

The loan documents clearly spell out the terms. People didn't care because they thought they could refinance. Anyone who truly didn't understand is too stupid to live.

The term in the industry is called a trash out.

LMFAO.




So if your house is getting foreclosed are the appliances yours to take while you still have posession?

In NY, it is illegal to take anything that is considered a fixture. You can't take a light fixture or drapes or the dishwasher. Trees included, but you can harvest them. But then again, once you are gone who is going to pursue it? The banks have enough on their hands.

Here's a great trash out story, I helped clean up the damage. Rather than let the house go to the ex, he let it go into foreclosure and spent two weeks before the auction trashing it (this guy was prosecuted in 99 or 00):

-Opened the heating oil tank in the basement, let it flood.

-Took a sledgehammer to all outlets, light switches, toilets, tubs, slate fireplace hearth, floor tiles.

-Squirted new and used motor oil on the walls, ceiling, carpet, etc.

-Took an ax to the counter tops and kitchen cupboards.

-Spray painted nasty messages to his ex on the walls.

-And my favorite: flicked boogers on the wall in the living room while he was lounging on the couch.

Wish I had digital photos that I could upload.

No way out but to inflate this mess. If home values don't rise the banks will be out of luck with the next round of resets coming. I have a feeling it's going to get out of hand though.

Haha, if Omega writes a post w/ more than a paragraph in it, it's like auto-post. Especially if he STARTS his own, christ.

Why?

Because if the mod's don't pin it, they know omega will hit that 'doggy bong' and shoot their ass w/ any number of his specialty after-market upgraded high caliber weapons.

Hell... he'll probably give each one of his daughters an uzi.

Haha, if Omega writes a post w/ more than a paragraph in it, it's like auto-post. Especially if he STARTS his own, christ.

Why?

Because if the mod's don't pin it, they know omega will hit that 'doggy bong' and shoot their ass w/ any number of his specialty after-market upgraded high caliber weapons.

Hell... he'll probably give each one of his daughters an uzi.


Pfffft.....


:bbygrls:

"The consumer had a product pushed on them that they had no hope of understanding."

The loan documents clearly spell out the terms. People didn't care because they thought they could refinance. Anyone who truly didn't understand is too stupid to live.


Actually some of these mortgage products were fairly advanced although many Americans (and illegals who obtained loans) are incredibly stoopid- and have no business *owning -lmao* a house.

Both sides have culpability here.

"The consumer had a product pushed on them that they had no hope of understanding."

The loan documents clearly spell out the terms. People didn't care because they thought they could refinance. Anyone who truly didn't understand is too stupid to live.


Actually some of these mortgage products were fairly advanced although many Americans (and illegals who obtained loans) are incredibly stoopid- and have no business *owning -lmao* a house.

Both sides have culpability here.

IMHO anyone taking out a loan that he cannot repay the very next day (within 24 hours) and at any interested, even .01% is incredibly stupid. Taxes and Mortages are the 1st and 2nd driver of inflation... and automatically increase inflation... the 3rd most powerful driver is Nature, and its destructive tendencies. Try REAL economy for once and forget the "financial monetary crap".

Liberty is the god given right to keep and bear and use everything you yourself have produced. Taxation itself is against Liberty.

"The consumer had a product pushed on them that they had no hope of understanding."

The loan documents clearly spell out the terms. People didn't care because they thought they could refinance. Anyone who truly didn't understand is too stupid to live.


Actually some of these mortgage products were fairly advanced although many Americans (and illegals who obtained loans) are incredibly stoopid- and have no business *owning -lmao* a house.

Both sides have culpability here.

IMHO anyone taking out a loan that he cannot repay the very next day (within 24 hours) and at any interested, even .01% is incredibly stupid. Taxes and Mortages are the 1st and 2nd driver of inflation... and automatically increase inflation... the 3rd most powerful driver is Nature, and its destructive tendencies. Try REAL economy for once and forget the "financial monetary crap".

Liberty is the god given right to keep and bear and use everything you yourself have produced. Taxation itself is against Liberty.

Just my -$100 Trillion Dollars worth.

“This loan is a perfect example front to back, bottom to top, of everything that has gone wrong over the last five to seven years,” [Cameron Pannabecker, the owner of Cal-Pro Mortgage] said. “The consumer had a product pushed on them that they had no hope of understanding.”
...
“The problem is, real estate values went down,” [Peter Paul of Paul Financial, the loan orginator] said.

fortunately this is by far the easiest kind of problem to fix were it not for one small glitch, RE values dropped after the loans were written.

Otherwise simple refinancing would have erased this pending problem. But with RE prices in the shitter that is impossible. And the waves of default only compound the problems.


And real estate prices could fall another 30% before it's all over......= death spiral.

Thanks man. All indications are California is toast.

I sense an Epic Bail followed by an Epic Fail.

Fail Bail. Someone make an emote of that lol.....

The term in the industry is called a trash out.

LMFAO.




So if your house is getting foreclosed are the appliances yours to take while you still have posession?

SURPRISE, Ariz. -- Police and prosecutors have warned those in foreclosure not to pick apart their homes just because they are losing them.

Surprise police said homeowners aren't getting the message, and now the city's first former homeowner is going to jail for stealing fixtures and appliances.

Police arrested Roberto Garcia, 34 and booked him on two felony counts. Police showed photos of Garcia's former home.

They said he removed almost everything that could be pulled out. The cook-top stove, the dishwasher, the refrigerator -- it was all removed.

In addition, police said Garcia cut a huge hole in the ceiling so he could remove the air handler They said he allegedly took the air handler to his mother's house.

"I'm sure he was upset," said Surprise Police Chief Dan Hughes. "But that doesn't give him a right to tear up a home. It devalues the community around it."

Investigators said Garcia also took outside lights and even a palm tree out of the backyard.

He's the first to be arrested in Surprise for stripping a home, but authorities promise he's not the last.

"We won't put up with the stripping of homes in Surprise," said Randy Oliver, Surprise city manager.

If convicted, Garcia could spend two years in jail.

Police said a good a rule of thumb if your leaving your home behind, it needs to be left in the same condition you purchased it.


[link to www.kpho.com]

No way out but to inflate this mess. If home values don't rise the banks will be out of luck with the next round of resets coming. I have a feeling it's going to get out of hand though.

It might be difficult to inflate out of this mess. So far there has been far more wealth destruction than all the of stimulus money combined. Its going to probably be deflation for the next 2 to 3 years.

Here in Pasadena, I see construction everywhere, people are working, retail expansion, homes selling. The pencil dicks I see suffering... speculators that bought shit in bad areas... the oh look, a nice condo under the runway at LAX types... and the "South Central is such a good investment" bankers.

My brother in Austin is struggling.
The real estate updates I get from my people in seven days a week show that in Michigan... rare lake properties continue to sit on the market.... they are giving that shit away. I'll be buying a nice island cottage on my own island ... off the grid and boat access only this fall.... for cash. And for not very much of it.

Here in Pasadena/Arcadia, on my street there have been three homes go on the market this year. They all got asking price in a week.

Hey look... BushTard is on TV... looking as stupid as ever.

California to come to a "grinding halt" by July 1st 2009.

[link to www.latimes.com]

Wooooo, this is going to be FUN.