United States Heading towards a Depression?

Yeah, if they don't pay a dividend they will be in more trouble than if they pay something they can barely afford. They would go bankrupt in almost minutes.

 

What happened to your really hot avatar? After reading this response, I'm convinced you have brains and looks!

 

Banks will continue to feel pressure on their mortgage backed securities:

The number of U.S. homes receiving at least one foreclosure filing jumped 57 percent in March to 234,685, compared with 149,150 properties a year earlier.

750,000 and 1 million bank-owned properties will hit the market this year

Adjustable-rate loans resetting to higher rates will crest in May and June. And that's expected to push more homeowners into default and foreclosure in the third and fourth quarters of this year

http://news.yahoo.com/s/ap/20080415/ap_on_bi_ge/foreclosure_rates;_ylt=AvKZTOrf8p8rBwEwevHwWyKyBhIF

 

China is about to run into their own subprime mess.

 

http://blog.mises.org/archives/008025.asp

 

Define Irony?

Subprime mess - talks of recession - foreclosures, etc.. blah, blah, blah...

I decided to stop throwing my junk mail away for just 6 days. I had no less than 17 offers for mortgage/re-fi offers, 26 credit card offers, including 6 from my existing retarded card company, and 3 offers from local realtors to sell my home.

Think of that what you will, but how many more trees have to die to continue this madness????????????

 

Good God, $113 oil is going to really hurt the consumer.

 

This is all stemming from Nixon. The death of Gold.

 

I think it is Thomas Jeffersons Fault!!!

 

US Government Immorality Will Lead to Bankruptcy

YouTube video featuring U.S. Comptroller General David M. Walker.

 

To even evoke the name of Thomas Jefferson negatively is to woefully neglect the history of his contributions and ideas toward a more prefect union of states and economic theory.

 

From tomorrow's NYT

Retailing Chains Caught in a Wave of Bankruptcies
http://www.nytimes.com/2008/04/15/b...=1&partner=MYWAY&pagewanted=print&oref=slogin

Excerpt

NOT GOOD!

 

NO END IN SIGHT FOR CALIFORNIA FORECLOSURE MESS

March sees record levels of California Foreclosure Filings

Discovery Bay, CA, April 15, 2008 – ForeclosureRadar (www.foreclosureradar.com), the only website that tracks every California preforeclosure with daily auction updates; today issued it’s California Foreclosure Report. March data indicates California’s foreclosure crisis is accelerating and suggests that the normalization of the state’s real estate market is still far from complete.

High-level findings include:

-Notices of Default – the first step in California’s foreclosure process – jumped 14.3 percent during March, reaching a record high of 42,704. (this is 200% greater than the total homes sold on CA the month prior and shows difinitively the the worst is yet to come) .These new entries into the foreclosure pipeline will produce a jump in foreclosure sales and bank owned (REO) properties for months to come.

-Notices of Trustee Sale, which are issued approximately 3 months following a Notice of default, jumped 47.9 percent in March setting a record high of 27,571 (7k more than the total homes sold in CA in Feb) filings.

-Foreclosure sales at auction declined 6.5 percent in March to 15,833 with a combined loan value of $6.87 Billion (likely to due lack of financing and fear). Lender inventories continue to swell as they failed to sell 97.7 percent (only 2.3% sell at auction!)of these properties despite offering an average discount of 21 percent off of loan value.

"Unfortunately, the foreclosure crisis in California is still deepening" said Sean O'Toole, founder of ForeclosureRadar. "The record jump in defaults last December are just now showing up in early April foreclosure sales, and the new record level of defaults this month won’t begin to appear at auction until July.” Continues O’Toole, “We see the housing pain in California continuing through the end of this year, as the market shakes off the effects of the credit mess and rampant overbuilding. As devastating as this may be, we do think that the end result – greater housing affordability for the average Californian, using conventional loan products – will benefit consumers and the housing industry alike.

The largest discounts offered at auction were available in Merced County (32 percent off loan value on average), San Joaquin County (31 percent), and Monterey County (29 percent). Lenders offering the deepest discounts included Wilshire Credit Corp. (43.1 percent on average), World Savings (32.8 percent) and Downey Savings and Loan (30.4 percent).

Properties are sold, on average, 145 days after the Notice of Default is recorded, up 13 days from March 2007. Total time to foreclosure can vary by Lender, for example, World Savings takes an average of 158 days from Notice of Default to sale at auction, while Indymac completes the foreclosure process in just 121 days on average.

 

RealtyTrac showed U.S. home foreclosure filings jumped 57 percent in the year to March, with bank repossessions up 129 percent

 

yeah realtytrac is pretty cool, if you look at Miami you have really limit your search and zoom way in otherwise it goes over the 300 maximum foreclosures, all of south Florida is awash in foreclosures. But there are still people here who think it will turn around in a year of so, lol

 

yeah that article is scary, it will be interesting to see the next unemployment numbers

 

Unemployment is fudged anyways. People drop off the measure, so consistently high unemployment comes across as consistently mid-range. It's garbage IMO.

Watch the dollar, it will tell you everything you need to know.

Found this article this morning,


Ron Paul Sees Bailout Writing on the Wall
http://www.usnews.com/blogs/the-home-front/2008/4/15/ron-paul-sees-bailout-writing-on-the-wall.html

GOOD READ.. PAUL'S ON THE HOUSE BANKING COMMITTEE.

 

The high inflation in the cost of food, medical and energy is sure to push more people into forclosure.

A bailout may cause a dollar crash

 

Medical is not the major problem.. Tort/Insurance, etc. are.

Energy is always flakey and the rise in food costs can be directly attributed to the rise in energy costs.

As for foreclosures, I still contend that the vast majority of foreclosures are direct result of people living beyond their means, not a rise in any other cost, though it certainly cannot help.