Should we blame the GREEDY real estate market for our economic mess?

No I think the housing market is just a symptom of a great problem.

In Nov 2006 I wrote an article predicting the coming depression:-

I've gone further predicting this current economic woes is the tip of the iceberg and we are likely to have the depression:-

I think we are about to see a major readjustment.

 

There are so many factors involved, not just the real estate market. The banks were doing some pretty bad stuff too. My dad is an attorney and he has a client that is 71 years old and lives only on social security. Her husband had too bad of credit so they wouldn't loan him the money. Instead, they loaned this woman $300,000 when she makes near nothing and with no job. Now she is unable to pay the money back. Whether that was her fault for trying for the loan or not, the bank should not be lending people with no job that much money.

 

Was the loan backed by her house or something?

 

Read this report: "Report of the Special Examination of Fannie Mae" from http://www.ofheo.gov

It explains exactly how it happened and who is to blame.

 

Everybody wants to go with the "mainstream" reason why this problem happened but I think everyone should think of this from a different perspective. Sure, some of these lending companies were probably mismanaged but that doesn't mean it's the overall reason why people bailed out on their mortgages. The fact of the matter is that property is just too darn expensive in the U.S compared to what it used to be.

 

It gets into the deiberate and intentional manipulation of accounting, earnings targets, and the management (man of whom are on the Obama campaign team now) attempts to interfere with the independent examination of Fannie.

The report is not partisan. But it is easy to see the partisan participation in the fraud that was taking place. Where is Raines now? Well, he along with James Johnson of Fannie are the ones that have been given Obama economic advice on the housing market. Johnson was also on Obama's VP search team. The head of it infact. Oh, BTW, Johnson got a golden parachute leaving Fannie as well!

This report is from 2006 btw.

From that report:

Remember, this was a government run and government sponsored institution, not a private business. Meanwhile at this same point in time you have people like Barney Frank and Maxine Waters claiming all is fine and Raines is God... Blah, blah, blah...

 

Actually, I think you can blame the economy that Bush created more than you can blame these loan companies. If it wasn't for the bad economy with high gas prices, inflation, and lost jobs, these companies could've managed themselves without new government regulations and probably would've done just fine. However, they didn't change as the economy changed which is why they got themselves into this mess.

 

Bush is the easiest to blame

 

But of course. Hell, I stubbed my toe this morning on the coffee table, and I blamed Bush. It was raining today; Bush.

When the sun goes super nova? Bush.

 

Yeah what the heck are we thinking.

Hey can you guys name some stuff that Bush has done that is so great for the economy and has us living in splendor as we are now? I'm just a little fuzzy.

Yay Bush! Anybody want to pitch in with me to get him a going away present?

 

Bush lowered taxes and our economy grew. Unfortunately the greed of a few both in Washington and on Wall Street, coupled with the irresponsibility of many on main street toppled much of that growth.

I'd take a closer look at The study called "Report of the Special Examination of Fannie Mae," and the corruption caused by democrats like Raines and Gorelic. Among these, the false overstating of earnings, huge senior bonuses to people like Raines and his other democratic buddies.

You can read more here: www.ofheo.gov

After Clinton took office, between that and the recession in the 90's, I lost my home, my job, basically did not have a pot to piss in. And to make matters worse, Clinton made my taxes from the previous year retroactive, replealing previous Bush/Reagan tax cuts...

I'm in a home today because I never gave up, went back to school, built a business and received tax cuts and incentives that allowed me to buy my home, hire employees, and otherwise spend more of my own money in places where I felt it would do us best, not where someone felt it should be spread too.

I honestly do not want to relive the Clinton or Carter years again.

I am still pissed at Bush for making it rain today though. Its things like that about him that irritate me the most.