San Diego Housing Bubble News and Analysis

What's next - gamblers in Las Vegas who lose money are going to get government funds to pay off their debts? Sheesh, who would have ever thought that we'd come to a place where anyone would expect the government to step in and not only fix everything, but also foot the bill!

Seems to me that the people who were involved in making this crisis occur should be able to figure out a way out of it. The banks, lenders, realtors, and bond folks all got really creative in finding a way to make money before, why not force them to fix what they created without passing the losses onto the rest of us who were responsible and didn't cause this mess!!!!!!!!!!!!!!!! AAAAAAAAAAARRRRRRRRRRRRRRGGGGGGGGGGHHHHHHHHHHHHHHHH

- Doug

If Bernanke, Bush and Congress don't stop tinkering with the economy, the problem is going to get worse than it otherwise would have. Now, Bernanke has indicated that he'll keep chopping interest rates....................WELL, Whoop de doo! When they get them down to zero and the economy is worse than ever, what will they do then? I sit in my home, scratching my head in disbelief that these fools are actually in charge of the USA. It's truly discouraging for anyone who has acted responsibly, saved their money and now has to watch these fools destroying the value of the U.S. dollar. Did they really believe that homes could just keep appreciating into infinity and that people could miraculously make the payments on these homes? It was as obvious as the nose on your face that people with household incomes of $60k-$70k could not pay for a $600k-$700k home...................but they gave them loans anyway. So, now they're defaulting and a whole lot more of them are going to default and they want to throw more crazy solutions that will only make the matter worse. And, how did some of your Congressmen spend their day, today? They grilled Roger Clemens about using steroids years ago.

Congress=Home of the truly stupid.

To be fair, Congress is only trying to provide some "comfort" to the people who "suffered." It's like taking medicine when you get a cold. It makes you feel better but you're really wasting your money.

The laissez-faire attitude of Greenspan and his failure to regulate the financial markets caused more much more harm and got us to the point we are today.

There are more people who didn't buy during the bubble than did. I find the idea that the govt could do a mass bailout to be highly ludicrous at best. The bond markets would have a fit.

Josh

My tax dollars helping gamblers.
Grrrrr.

I'm going to Boston and protest.
Anyone want to join me in a tea party?

Josh that is the point. The government can't do a bailout. Note I am making these postings not to crow that the decline will stop, or that these are good ideas. All this is doing is delaying things, is postponing inevitable problems, and most important preserving solvency of all the investors of funds that people don't seem to want to believe are important.

In essence, our government is willing to spend whopping amounts of money to try to keep things afloat. The foreclosures don't mean a thing. What is readily transparent to most of us here is not to pretty much everyone. That is, the reason things need to be preserved is more then likely due to the fact that there will be some pretty ugly solvency issues with many many investing entities that most of us didn't realize invested in these vehicles we always talk about.

SD Realtor

a bailout is inevitable. the type of bailout will determine who gets shafted and who gets pie. and i have no illusions about who's getting what.

JWM in SD

Don't laugh at this, but the next is probably to put a Moratorium on price declines. Just make it illegal for house prices to decline from current levels.

Sound crazy?? Just watch, some idiot politician will suggest this and be serious about it.

These politicians trying to get elected say the dumbest things. Putting a moratorium on foreclosures, giving 30-day reprieves, etc. - all completely miss the point. People are losing their jobs, have massive credit card debt, the money they have is losing its buying power when corn, soybeans, cocoa, gold, platinum, petroleum, and other goods are hitting or flirting with record high prices. The foreclosure on a home is a SYMPTOM of our current problems, not the root cause!

Let's get real and deal with what's causing these problems, not talk about retribution on banks for the loads of folks who never even glanced at the terms of the mortgage loans. Why not talk about this for a change? At least in the "House of Cards" on 60-Minutes when they interviewed the second couple the guy was open and frank enough to admit he never read the terms of his contract. And, even if he did read them, he didn't seem to care - he wanted something better for his family, and gambled his family's well being on a chance that property values would continue on the hyper-increasing trend.

Don't confuse me with saying it's all the borrower's fault, cause I'm not. I'm saying everyone played the game to come out ahead with lots of money, and when people start losing value on their homes they cry foul - and that's not right. You gamble, you lose, you pay.

I sympathize completely with those who are losing their homes due to reasons beyond their control. But, the rest are not entitled to receive my tax dollars to bail them out of a gambling debt.

- Doug (getting off his soapbox...for now!)

I totally agree with you DoJC,

We need some intelligent leadership that looks at the cause rather than the symptom, but who will be the one to step up? (okay, Ron Paul, but how about some more mainstream guys)

I was watching a program the other day about the Inland Empire & towns like Riverside getting a brutal beating. They had their congressman walk the reporter through streets with half the homes foreclosed or abandoned.

I wish I could remember the congressman's name. He actually said the troubled borrowers where like the people in Mississippi who suffered from Katrina! My sister & her young family lost their home in Biloxi (& everything else) in Katrina. I wish I could have reached into the TV at that moment.

What a amazing insult to these people! Comparing the catostrophic loss of a hurricane to irresponsible borrowers being foreclosed on... this is the kind of completely asinine rhetoric that these morons are trying pitch to the American people.

It's just unbelievable.

My rent is too high, when will the government give me a free month and help rework my lease?

DoJC "These politicians trying to get elected say the dumbest things. Putting a moratorium on foreclosures, giving 30-day reprieves, etc. - all completely miss the point. People are losing their jobs, have massive credit card debt, the money they have is losing its buying power when corn, soybeans, cocoa, gold, platinum, petroleum, and other goods are hitting or flirting with record high prices. The foreclosure on a home is a SYMPTOM of our current problems, not the root cause"

I'M VOTING FOR YOU !!