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JWM in SD
ParticipantMaybe Richard is a Troll……
ParticipantMaybe Richard is a Troll……
ParticipantMaybe Richard is a Troll……
ParticipantMaybe Richard is a Troll……
May 2, 2008 at 2:01 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #197921ParticipantOn the consumer side it is all about the ability to service debt and that relies on incomes and job stability. Anyone who really thinks that is going to get better anytime soon is not paying attention. This is the universal truth that brought most people to this site 2-3 years ago. Everyone here sensed that the house prices could not continue to go up without outstripping the ability of the general public to service the growing debt.
As far as the credit crisis goes, from the banking and lending perspective, it is a bad collaterol problem that creates an insolvency situation. This is why I keep stating the old Accounting formula which is the basis for balance sheets: Assets – Liabilities = Owners Equity. The reason for all of the off-balance sheet shenanigans is to prevent the impact to that equation. Any major write downs in loan values as a result of impaired collateral affects that equation.
May 2, 2008 at 2:01 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #197957ParticipantOn the consumer side it is all about the ability to service debt and that relies on incomes and job stability. Anyone who really thinks that is going to get better anytime soon is not paying attention. This is the universal truth that brought most people to this site 2-3 years ago. Everyone here sensed that the house prices could not continue to go up without outstripping the ability of the general public to service the growing debt.
As far as the credit crisis goes, from the banking and lending perspective, it is a bad collaterol problem that creates an insolvency situation. This is why I keep stating the old Accounting formula which is the basis for balance sheets: Assets – Liabilities = Owners Equity. The reason for all of the off-balance sheet shenanigans is to prevent the impact to that equation. Any major write downs in loan values as a result of impaired collateral affects that equation.
May 2, 2008 at 2:01 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #197984ParticipantOn the consumer side it is all about the ability to service debt and that relies on incomes and job stability. Anyone who really thinks that is going to get better anytime soon is not paying attention. This is the universal truth that brought most people to this site 2-3 years ago. Everyone here sensed that the house prices could not continue to go up without outstripping the ability of the general public to service the growing debt.
As far as the credit crisis goes, from the banking and lending perspective, it is a bad collaterol problem that creates an insolvency situation. This is why I keep stating the old Accounting formula which is the basis for balance sheets: Assets – Liabilities = Owners Equity. The reason for all of the off-balance sheet shenanigans is to prevent the impact to that equation. Any major write downs in loan values as a result of impaired collateral affects that equation.
May 2, 2008 at 2:01 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #198007ParticipantOn the consumer side it is all about the ability to service debt and that relies on incomes and job stability. Anyone who really thinks that is going to get better anytime soon is not paying attention. This is the universal truth that brought most people to this site 2-3 years ago. Everyone here sensed that the house prices could not continue to go up without outstripping the ability of the general public to service the growing debt.
As far as the credit crisis goes, from the banking and lending perspective, it is a bad collaterol problem that creates an insolvency situation. This is why I keep stating the old Accounting formula which is the basis for balance sheets: Assets – Liabilities = Owners Equity. The reason for all of the off-balance sheet shenanigans is to prevent the impact to that equation. Any major write downs in loan values as a result of impaired collateral affects that equation.
May 2, 2008 at 2:01 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #198045ParticipantOn the consumer side it is all about the ability to service debt and that relies on incomes and job stability. Anyone who really thinks that is going to get better anytime soon is not paying attention. This is the universal truth that brought most people to this site 2-3 years ago. Everyone here sensed that the house prices could not continue to go up without outstripping the ability of the general public to service the growing debt.
As far as the credit crisis goes, from the banking and lending perspective, it is a bad collaterol problem that creates an insolvency situation. This is why I keep stating the old Accounting formula which is the basis for balance sheets: Assets – Liabilities = Owners Equity. The reason for all of the off-balance sheet shenanigans is to prevent the impact to that equation. Any major write downs in loan values as a result of impaired collateral affects that equation.
May 2, 2008 at 1:09 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #197866ParticipantYes HLS, but the Realtor Triad here claims that lots of San Diegans have tons of cash (regardless of sources) to get that nasty DTI ratio down to conforming levels. Surely that should have made the difference in the popularity of the new conforming standards???
Sarcasm Off
By the way, thanks for acknowledging my consistency. Many others here like to dismiss my posts as doom and gloom when they engage me in debate and lose.
May 2, 2008 at 1:09 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #197902ParticipantYes HLS, but the Realtor Triad here claims that lots of San Diegans have tons of cash (regardless of sources) to get that nasty DTI ratio down to conforming levels. Surely that should have made the difference in the popularity of the new conforming standards???
Sarcasm Off
By the way, thanks for acknowledging my consistency. Many others here like to dismiss my posts as doom and gloom when they engage me in debate and lose.
May 2, 2008 at 1:09 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #197929ParticipantYes HLS, but the Realtor Triad here claims that lots of San Diegans have tons of cash (regardless of sources) to get that nasty DTI ratio down to conforming levels. Surely that should have made the difference in the popularity of the new conforming standards???
Sarcasm Off
By the way, thanks for acknowledging my consistency. Many others here like to dismiss my posts as doom and gloom when they engage me in debate and lose.
May 2, 2008 at 1:09 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #197953ParticipantYes HLS, but the Realtor Triad here claims that lots of San Diegans have tons of cash (regardless of sources) to get that nasty DTI ratio down to conforming levels. Surely that should have made the difference in the popularity of the new conforming standards???
Sarcasm Off
By the way, thanks for acknowledging my consistency. Many others here like to dismiss my posts as doom and gloom when they engage me in debate and lose.
May 2, 2008 at 1:09 PM in reply to: Gee, I guess those new conforming limits haven’t really helped much…. #197990ParticipantYes HLS, but the Realtor Triad here claims that lots of San Diegans have tons of cash (regardless of sources) to get that nasty DTI ratio down to conforming levels. Surely that should have made the difference in the popularity of the new conforming standards???
Sarcasm Off
By the way, thanks for acknowledging my consistency. Many others here like to dismiss my posts as doom and gloom when they engage me in debate and lose.
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