Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Mr. K
THIS IS THE ROOT OF THE HOUSING MELT DOWN

When you include some miniscules and some sense, you will come to the realization that this is not the root of the housing meltdown. The root of the housing meltdown is 30 years of rampanant financial skullduggery that inflated the price of real estate to high multiples of its economic value. The Federal Reserve created the liqudity entirely intentionally and the banking system participated, not becaus there was a gun to their heads, but because they could make lots of money securitizing this junk and passing the risk on to others (the taxpayers it turns out).

Everyone played a part. Cuomo sure played a part as did other politicians, but everyone who knowingly and willingly participated in this ponzi scheme is responsible, and that happens to be most of the American public who still thought you could get something for nothing, all the geniuses in California or Boston or Chicago or Washington who thought you could borrow money, buy a house, and make a gazillion when it doubled in "value." Well, the value of this stuff has not changed,except through what is now an oversupply, but its price sure has, up and then whoops, who knew, back down again.

Actually it isn't down as much as it should be because Uncle Ben is rapidly running the printing press trying to keep the falling pieces from landing on our collective heads.

31 posted on 10/16/2010 7:32:37 AM PDT by AndyJackson
[ Post Reply | Private Reply | To 1 | View Replies ]


To: AndyJackson

Banks do not loan money they think they will lose.

Period.

It was ONLY after a lawsuit by Cuomo, and then the GUARANTEE by FANNIE and FREDDIE that they would cover these loans that they jumped into this.

THEN the back and forth sales and inflation of prices happened. If you were to look at a price graph and compare the dates to this info you will see a massive upturn after Cuomo and Barney Frank and Dodd and CLinot did this.

What are you here for? To help democraps?


33 posted on 10/16/2010 7:46:12 AM PDT by Mr. K (Job #1 of next Congress- DEFUND THE LEFT (#2 repeal obamacare))
[ Post Reply | Private Reply | To 31 | View Replies ]

To: AndyJackson

I guess you didn’t see CPAN in ‘04 when the R’s where confronted Barney about these loans and he and a few other ‘rats defended their actions - quite nastily, also!

So you are most UNINFORMED with your attempt to bring ‘everyone’ into it. You must be the last to know - even the ‘rats know what they did.


40 posted on 10/16/2010 8:04:19 AM PDT by presently no screen name
[ Post Reply | Private Reply | To 31 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson