First I would like to thank my brother for offering me this opportunity to throw something out there and have a discussion. Yesterday I was thinking of the whole retarded mess that the banks and lenders have put us into and the fact that I will be paying for these fuckups for awhile. So how about this. A 4.25 percent 30 yr fixed for everyone mandated by the government for those banks wanting or needing bailout monies. I know, I know, so let me be the first to play devils advocate and say the banks won't like it or won't go for it. Then I say fuck um. Fine, you don't get any money, how's that taste? But here's what I see as a plus. First those like myself that qualified for a loan can refinance and create jobs. Put more spendable income in my pocket so I can then put it back into the economy. Second, for those in trouble, reassess their house back to what they are really worth then refinance. Lower their payments and create jobs. Again I hear you, the banks and share holders won't like it. Fuck um. At 4.25 they will still be making money versus not making shit and carrying bad paper. For those who don't own at this time, offer a five year voucher for this rate so that when the housing prices stabilize they too can buy. For those that have lost their job, the same offer based on their previous job and skill level with a 12 month payment deferment program so they can get back on their feet. I was always taught that a roof over my head was shelter not a means to another shelter aka a long term investment. So lets get everyone into a shelter. The banks will still make money, though not as much. So what, they are greedy bastards anyway. Poke holes in this so I can get it out of my head.
Bustedsbro
Hey Busted...I hate to say it...but it really does sound like it makes sense to me. Sorta...in a wierd way!
ReplyDeleteI think...
i'm with you, busted.
ReplyDeletethe only reason i own this house that i can't afford is because rents were going up 15% a year, each and every year, from '93 till i bought in 2001.
figured to fix costs. ha ha ha ha ha.
boy was i fooled.
Y'all missed the part where this was my brother's post.
ReplyDeleteI aint that fucking smart.
Thank ya though!
Now say hello to Kevin.
HI KEVIN!!!
ReplyDeleteWelcome to the club.
Got decoder ring? *G*
I like yer take. Make it so.
Busted, this one's a keeper so don't fuck this up, he's good people . . LOLOLOLOL
N he fuckin talks just LIKE ya, too . . . .
hi busted's bro
ReplyDeletei like it - it makes sense, which of course, means it will never happen dood
I've been trying to wrap my head around the problem for some time now. What people don't seem to realize is that the problem is far bigger than it looks. This isn't a billion dollar problem or even in the hundreds of billions. This goes into the trillions and I'm not taking about just a couple. Just last year America lost 8 trillion in home values alone. I've heard estimates of 53 trillion on the world wide scale.
ReplyDeleteI'm all for helping out home owners where we can but this is like having a major house fire and trying to piss on it to put it out. There really isn't enough money out there to stop this thing.
When you say fuck them (banks) you are also saying fuck yourself because all of this is interelated. There's government bonds that suppost cities and states that are affected. There's business that can't do business because credit is frozen. And we're all afraid to do business because of layoffs which is creating a downward spiral.
So you see the real mess we're in right now. It may be necessary to set up a national bank. That's the only way I can think of of getting out of this mess and even then it will take some time.
Nice to see it runs in the family. Heh ... Good to meet ya, bro.
ReplyDeleteDemeur, the problem is not all the stuff you said. There is plenty of 'capital' (cash). The problem is the BANKS. They are hoarding it. They are refusing to lend it. The reason credit is frozen is because the BANKS have frozen it. Because they are hoarding the money to make their balance sheets look better.
ReplyDeleteThe problem is not that there is no money, or that the money numbers are huge.
The problem is the BANKS! So yeah,
F-em!
We should nationalize every single one that took any TARP money, rip out all the bad paper, put them back together much much smaller, re-regulate the hell out of the system, and then sell them back into the private market.
Most economists agree this is what needs to happen.
In the meantime - it would have been cheaper in the long or short run to have just bought up all the sub-prime mortgages and refinanced them through the FHA or some such than throwing all this money at the BANKS.