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VoZangre.
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February 1, 2008 at 11:58 PM #147270February 2, 2008 at 4:59 PM #147258
bsrsharma
Participant0% interest, 600K “free money” are all fun to talk of; but the way the cookie will crumble, in my opinion, is through a robust and sustained inflation (helped on with robust and sustained devaluation of $). By eventually creating a perception that US $ has doubtful value, people will be forced to go back and buy up real estate to lock in whatever wealth they may have. This is Bernanke’s monetary philosophy and he has been truthful to his belief so far. His mantra – “Full steam ahead, inflation be damned”.
BTW, if anyone thinks I am cynical etc., I completely agree with BB on this! The most rational solution to our national problem now is a dose of robust and sustained inflation so that our debts, public and private, become lower in real value. This will also make our products and factors of production internationally competitive. Just ask yourself – how many of you will buy a Honda or Toyota when it costs $50K, $100K …. How many will buy a BMW or MB when it costs 100K, 200K ….
February 2, 2008 at 4:59 PM #147504Participant0% interest, 600K “free money” are all fun to talk of; but the way the cookie will crumble, in my opinion, is through a robust and sustained inflation (helped on with robust and sustained devaluation of $). By eventually creating a perception that US $ has doubtful value, people will be forced to go back and buy up real estate to lock in whatever wealth they may have. This is Bernanke’s monetary philosophy and he has been truthful to his belief so far. His mantra – “Full steam ahead, inflation be damned”.
BTW, if anyone thinks I am cynical etc., I completely agree with BB on this! The most rational solution to our national problem now is a dose of robust and sustained inflation so that our debts, public and private, become lower in real value. This will also make our products and factors of production internationally competitive. Just ask yourself – how many of you will buy a Honda or Toyota when it costs $50K, $100K …. How many will buy a BMW or MB when it costs 100K, 200K ….
February 2, 2008 at 4:59 PM #147526Participant0% interest, 600K “free money” are all fun to talk of; but the way the cookie will crumble, in my opinion, is through a robust and sustained inflation (helped on with robust and sustained devaluation of $). By eventually creating a perception that US $ has doubtful value, people will be forced to go back and buy up real estate to lock in whatever wealth they may have. This is Bernanke’s monetary philosophy and he has been truthful to his belief so far. His mantra – “Full steam ahead, inflation be damned”.
BTW, if anyone thinks I am cynical etc., I completely agree with BB on this! The most rational solution to our national problem now is a dose of robust and sustained inflation so that our debts, public and private, become lower in real value. This will also make our products and factors of production internationally competitive. Just ask yourself – how many of you will buy a Honda or Toyota when it costs $50K, $100K …. How many will buy a BMW or MB when it costs 100K, 200K ….
February 2, 2008 at 4:59 PM #147537Participant0% interest, 600K “free money” are all fun to talk of; but the way the cookie will crumble, in my opinion, is through a robust and sustained inflation (helped on with robust and sustained devaluation of $). By eventually creating a perception that US $ has doubtful value, people will be forced to go back and buy up real estate to lock in whatever wealth they may have. This is Bernanke’s monetary philosophy and he has been truthful to his belief so far. His mantra – “Full steam ahead, inflation be damned”.
BTW, if anyone thinks I am cynical etc., I completely agree with BB on this! The most rational solution to our national problem now is a dose of robust and sustained inflation so that our debts, public and private, become lower in real value. This will also make our products and factors of production internationally competitive. Just ask yourself – how many of you will buy a Honda or Toyota when it costs $50K, $100K …. How many will buy a BMW or MB when it costs 100K, 200K ….
February 2, 2008 at 4:59 PM #147605Participant0% interest, 600K “free money” are all fun to talk of; but the way the cookie will crumble, in my opinion, is through a robust and sustained inflation (helped on with robust and sustained devaluation of $). By eventually creating a perception that US $ has doubtful value, people will be forced to go back and buy up real estate to lock in whatever wealth they may have. This is Bernanke’s monetary philosophy and he has been truthful to his belief so far. His mantra – “Full steam ahead, inflation be damned”.
BTW, if anyone thinks I am cynical etc., I completely agree with BB on this! The most rational solution to our national problem now is a dose of robust and sustained inflation so that our debts, public and private, become lower in real value. This will also make our products and factors of production internationally competitive. Just ask yourself – how many of you will buy a Honda or Toyota when it costs $50K, $100K …. How many will buy a BMW or MB when it costs 100K, 200K ….
February 2, 2008 at 6:28 PM #147325BuyerWillEPB
Participant“I’m sorry for the kids who will be forced to leave their homes, other than that, I’m not sorry at all.”
————————————————–Marion, don’t let anyone fool you with that line of “they’ll be homeless.” The parents will find tons of other places to rent that are just as good, and for half the cost.
In fact, this housing bust forcing people to rent again will end up saving their skins. They could never afford to pay 80% of gross to live above their means. The crazy lenders just loaned them so much money they “thought” they were rich. Going back to renting at a cost they can actually afford will relieve a lot of stress in their future.
February 2, 2008 at 6:28 PM #147571Participant“I’m sorry for the kids who will be forced to leave their homes, other than that, I’m not sorry at all.”
————————————————–Marion, don’t let anyone fool you with that line of “they’ll be homeless.” The parents will find tons of other places to rent that are just as good, and for half the cost.
In fact, this housing bust forcing people to rent again will end up saving their skins. They could never afford to pay 80% of gross to live above their means. The crazy lenders just loaned them so much money they “thought” they were rich. Going back to renting at a cost they can actually afford will relieve a lot of stress in their future.
February 2, 2008 at 6:28 PM #147598Participant“I’m sorry for the kids who will be forced to leave their homes, other than that, I’m not sorry at all.”
————————————————–Marion, don’t let anyone fool you with that line of “they’ll be homeless.” The parents will find tons of other places to rent that are just as good, and for half the cost.
In fact, this housing bust forcing people to rent again will end up saving their skins. They could never afford to pay 80% of gross to live above their means. The crazy lenders just loaned them so much money they “thought” they were rich. Going back to renting at a cost they can actually afford will relieve a lot of stress in their future.
February 2, 2008 at 6:28 PM #147607Participant“I’m sorry for the kids who will be forced to leave their homes, other than that, I’m not sorry at all.”
————————————————–Marion, don’t let anyone fool you with that line of “they’ll be homeless.” The parents will find tons of other places to rent that are just as good, and for half the cost.
In fact, this housing bust forcing people to rent again will end up saving their skins. They could never afford to pay 80% of gross to live above their means. The crazy lenders just loaned them so much money they “thought” they were rich. Going back to renting at a cost they can actually afford will relieve a lot of stress in their future.
February 2, 2008 at 6:28 PM #147674Participant“I’m sorry for the kids who will be forced to leave their homes, other than that, I’m not sorry at all.”
————————————————–Marion, don’t let anyone fool you with that line of “they’ll be homeless.” The parents will find tons of other places to rent that are just as good, and for half the cost.
In fact, this housing bust forcing people to rent again will end up saving their skins. They could never afford to pay 80% of gross to live above their means. The crazy lenders just loaned them so much money they “thought” they were rich. Going back to renting at a cost they can actually afford will relieve a lot of stress in their future.
February 2, 2008 at 11:06 PM #147370patientrenter
ParticipantBuyerWill is exactly correct. There is no reason for a collapse in home prices to create any net increase in homelessness. If all home prices dropped by 90% tomorrow, there would be exactly the same number of houses as there are today. All that would happen is that people would pay different amounts to live in them, and maybe some people would buy more houses (investors), and others would rent more (residents-to-be without downpayments).
Patient renter in OC
February 2, 2008 at 11:06 PM #147619ParticipantBuyerWill is exactly correct. There is no reason for a collapse in home prices to create any net increase in homelessness. If all home prices dropped by 90% tomorrow, there would be exactly the same number of houses as there are today. All that would happen is that people would pay different amounts to live in them, and maybe some people would buy more houses (investors), and others would rent more (residents-to-be without downpayments).
Patient renter in OC
February 2, 2008 at 11:06 PM #147644ParticipantBuyerWill is exactly correct. There is no reason for a collapse in home prices to create any net increase in homelessness. If all home prices dropped by 90% tomorrow, there would be exactly the same number of houses as there are today. All that would happen is that people would pay different amounts to live in them, and maybe some people would buy more houses (investors), and others would rent more (residents-to-be without downpayments).
Patient renter in OC
February 2, 2008 at 11:06 PM #147653ParticipantBuyerWill is exactly correct. There is no reason for a collapse in home prices to create any net increase in homelessness. If all home prices dropped by 90% tomorrow, there would be exactly the same number of houses as there are today. All that would happen is that people would pay different amounts to live in them, and maybe some people would buy more houses (investors), and others would rent more (residents-to-be without downpayments).
Patient renter in OC
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