HOUSING: Feds suspend anti-flipping rule

[an]

Yes, I agree speculation increase the magnitude of the bubble. I’m not denying that. I’m just saying it’s not the “big part” of the problem. If it’s a big part, then removing the “big part” of the problem will reduce the problem considerably. Do you think it would? I don’t. However, If you remove the loose lending, you’ll reduce the problem considerably. As we see between 2006-2009. Now, looser lending is back and guess what, problem is occurring again.

Once again, they happen together but loose lending comes first. People don’t speculate until there’s loose lending. A cause B to occur but B doesn’t cause A to occur.

[DWCAP]

Wow that was a long chicken and the egg debate. Was it loose lending, with the addition of some extra froth from flipping, that made the bubble so damaging? Or was it loose lending allowing flipping to drive costs to a bubble? Does it really matter? Both played this bubble. Do we really care if it was 60/40 or 40/60? Flipping wont work without loose lending, and loose lending will induce flipping in illiquid market like RE.

I prefer to think of it differently. Loose lending is like a gun, and flipping like a bullet. It was the bullet that killed someone, but only after being aimed and fired by the gun. Which one is to blame?
– Id argue the person who pulled the trigger. (Fannie/Freddie/Congress everyone is looking at you)

[DWCAP]

Wow that was a long chicken and the egg debate. Was it loose lending, with the addition of some extra froth from flipping, that made the bubble so damaging? Or was it loose lending allowing flipping to drive costs to a bubble? Does it really matter? Both played this bubble. Do we really care if it was 60/40 or 40/60? Flipping wont work without loose lending, and loose lending will induce flipping in illiquid market like RE.

I prefer to think of it differently. Loose lending is like a gun, and flipping like a bullet. It was the bullet that killed someone, but only after being aimed and fired by the gun. Which one is to blame?
– Id argue the person who pulled the trigger. (Fannie/Freddie/Congress everyone is looking at you)

[DWCAP]

Wow that was a long chicken and the egg debate. Was it loose lending, with the addition of some extra froth from flipping, that made the bubble so damaging? Or was it loose lending allowing flipping to drive costs to a bubble? Does it really matter? Both played this bubble. Do we really care if it was 60/40 or 40/60? Flipping wont work without loose lending, and loose lending will induce flipping in illiquid market like RE.

I prefer to think of it differently. Loose lending is like a gun, and flipping like a bullet. It was the bullet that killed someone, but only after being aimed and fired by the gun. Which one is to blame?
– Id argue the person who pulled the trigger. (Fannie/Freddie/Congress everyone is looking at you)

[DWCAP]

Wow that was a long chicken and the egg debate. Was it loose lending, with the addition of some extra froth from flipping, that made the bubble so damaging? Or was it loose lending allowing flipping to drive costs to a bubble? Does it really matter? Both played this bubble. Do we really care if it was 60/40 or 40/60? Flipping wont work without loose lending, and loose lending will induce flipping in illiquid market like RE.

I prefer to think of it differently. Loose lending is like a gun, and flipping like a bullet. It was the bullet that killed someone, but only after being aimed and fired by the gun. Which one is to blame?
– Id argue the person who pulled the trigger. (Fannie/Freddie/Congress everyone is looking at you)

[DWCAP]

Wow that was a long chicken and the egg debate. Was it loose lending, with the addition of some extra froth from flipping, that made the bubble so damaging? Or was it loose lending allowing flipping to drive costs to a bubble? Does it really matter? Both played this bubble. Do we really care if it was 60/40 or 40/60? Flipping wont work without loose lending, and loose lending will induce flipping in illiquid market like RE.

I prefer to think of it differently. Loose lending is like a gun, and flipping like a bullet. It was the bullet that killed someone, but only after being aimed and fired by the gun. Which one is to blame?
– Id argue the person who pulled the trigger. (Fannie/Freddie/Congress everyone is looking at you)

[DWCAP]

Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.

[DWCAP]

Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.

[DWCAP]

Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.

[DWCAP]

Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.

[DWCAP]

Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.

[CA renter]

[quote=DWCAP]Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.[/quote]

I agree with your sentiments on both of these posts, DWCAP. I’m not trying to single out anyone, especially SDR, whom I admire and respect for his civil posts and insight.

With the rewards going consistently to the biggest gamblers — at the expense of the taxpayers and savers — even I have been tempted to get into the flipping scheme. After waiting for so many years for “normalcy” to come back, it’s no wonder people are drawn into what works best. For now, what works is speculation. Who knows when or if that will ever change… Lord knows I’ve been waiting for a long, long time.

[CA renter]

[quote=DWCAP]Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.[/quote]

I agree with your sentiments on both of these posts, DWCAP. I’m not trying to single out anyone, especially SDR, whom I admire and respect for his civil posts and insight.

With the rewards going consistently to the biggest gamblers — at the expense of the taxpayers and savers — even I have been tempted to get into the flipping scheme. After waiting for so many years for “normalcy” to come back, it’s no wonder people are drawn into what works best. For now, what works is speculation. Who knows when or if that will ever change… Lord knows I’ve been waiting for a long, long time.

[CA renter]

[quote=DWCAP]Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.[/quote]

I agree with your sentiments on both of these posts, DWCAP. I’m not trying to single out anyone, especially SDR, whom I admire and respect for his civil posts and insight.

With the rewards going consistently to the biggest gamblers — at the expense of the taxpayers and savers — even I have been tempted to get into the flipping scheme. After waiting for so many years for “normalcy” to come back, it’s no wonder people are drawn into what works best. For now, what works is speculation. Who knows when or if that will ever change… Lord knows I’ve been waiting for a long, long time.

[CA renter]

[quote=DWCAP]Having said that, sd_r if you can play the game the way the rules are written, all the more power to you. Dont hate the player, hate the game. I blame the voters who keep voting idiots into congress who keeps making this game dumber and dumber.[/quote]

I agree with your sentiments on both of these posts, DWCAP. I’m not trying to single out anyone, especially SDR, whom I admire and respect for his civil posts and insight.

With the rewards going consistently to the biggest gamblers — at the expense of the taxpayers and savers — even I have been tempted to get into the flipping scheme. After waiting for so many years for “normalcy” to come back, it’s no wonder people are drawn into what works best. For now, what works is speculation. Who knows when or if that will ever change… Lord knows I’ve been waiting for a long, long time.

[Author]

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