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ucodegen
Participant[[email protected]].[/quote]
It is interesting how the ‘quote’ operator is coming up with this mish-mash. I was expecting something like:Maybe it is that you are trying to put an Email address in your name and there is a spam harvester block on this site, that makes it harder for web-crawlers to harvest Email addresses for spamming. Notice that the ‘@’ is done as an image.
From your response here
I would have to ask: “Cat got your tongue? Or maybe briansd1 got your tongue?”We practice our debating skills on each other here.. and in the process learn to find supporting data within minutes. Bill-so-called-FHA-guru, if you weren’t so busy trying to spam blog sites to further your mortgage broker business, you would have realized that this site might be a bit dangerous to spam. The ‘piggs’ have uncovered several people behind masks, more recently:
http://piggington.com/how_do_i_go_about_investigating_this
Throw in that some of us also visit sites like calculatedrisk.. and you would have realized that this site might end up being toxic to you. You were given a ‘pass’ the first time.. the piggs didn’t unmask you. Repeat offenders tend to get unmasked.
Participant[[email protected]].[/quote]
It is interesting how the ‘quote’ operator is coming up with this mish-mash. I was expecting something like:Maybe it is that you are trying to put an Email address in your name and there is a spam harvester block on this site, that makes it harder for web-crawlers to harvest Email addresses for spamming. Notice that the ‘@’ is done as an image.
From your response here
I would have to ask: “Cat got your tongue? Or maybe briansd1 got your tongue?”We practice our debating skills on each other here.. and in the process learn to find supporting data within minutes. Bill-so-called-FHA-guru, if you weren’t so busy trying to spam blog sites to further your mortgage broker business, you would have realized that this site might be a bit dangerous to spam. The ‘piggs’ have uncovered several people behind masks, more recently:
http://piggington.com/how_do_i_go_about_investigating_this
Throw in that some of us also visit sites like calculatedrisk.. and you would have realized that this site might end up being toxic to you. You were given a ‘pass’ the first time.. the piggs didn’t unmask you. Repeat offenders tend to get unmasked.
ParticipantThe bailout schemes were supposed to help restore the “intrinsic” values of the securities.
Actually it was to insure proper capitalization ratios so that banks would not have to immediately liquidate assets that were under attack.
It would like a neighbor’s house going into foreclosure, and another neighbor selling his house because of unemployment. Pretty soon, you can’t refinance your house because you no longer have equity. Then you can’t send your daughter to college or buy a new car, etc…
Unless you are trying to use the house as an HELOC ATM, there would be no need to refi your own house. Part of the problem was that HELOC ATM was in overdrive and people shaped their lives around it. This is why many of the people who went through the Great Depression are not having a problem (they didn’t equity-out at every possible chance), while those that didn’t go through the Great Depression didn’t have any equity left. They lived off their house appreciation.
ParticipantThe bailout schemes were supposed to help restore the “intrinsic” values of the securities.
Actually it was to insure proper capitalization ratios so that banks would not have to immediately liquidate assets that were under attack.
It would like a neighbor’s house going into foreclosure, and another neighbor selling his house because of unemployment. Pretty soon, you can’t refinance your house because you no longer have equity. Then you can’t send your daughter to college or buy a new car, etc…
Unless you are trying to use the house as an HELOC ATM, there would be no need to refi your own house. Part of the problem was that HELOC ATM was in overdrive and people shaped their lives around it. This is why many of the people who went through the Great Depression are not having a problem (they didn’t equity-out at every possible chance), while those that didn’t go through the Great Depression didn’t have any equity left. They lived off their house appreciation.
ParticipantThe bailout schemes were supposed to help restore the “intrinsic” values of the securities.
Actually it was to insure proper capitalization ratios so that banks would not have to immediately liquidate assets that were under attack.
It would like a neighbor’s house going into foreclosure, and another neighbor selling his house because of unemployment. Pretty soon, you can’t refinance your house because you no longer have equity. Then you can’t send your daughter to college or buy a new car, etc…
Unless you are trying to use the house as an HELOC ATM, there would be no need to refi your own house. Part of the problem was that HELOC ATM was in overdrive and people shaped their lives around it. This is why many of the people who went through the Great Depression are not having a problem (they didn’t equity-out at every possible chance), while those that didn’t go through the Great Depression didn’t have any equity left. They lived off their house appreciation.
ParticipantThe bailout schemes were supposed to help restore the “intrinsic” values of the securities.
Actually it was to insure proper capitalization ratios so that banks would not have to immediately liquidate assets that were under attack.
It would like a neighbor’s house going into foreclosure, and another neighbor selling his house because of unemployment. Pretty soon, you can’t refinance your house because you no longer have equity. Then you can’t send your daughter to college or buy a new car, etc…
Unless you are trying to use the house as an HELOC ATM, there would be no need to refi your own house. Part of the problem was that HELOC ATM was in overdrive and people shaped their lives around it. This is why many of the people who went through the Great Depression are not having a problem (they didn’t equity-out at every possible chance), while those that didn’t go through the Great Depression didn’t have any equity left. They lived off their house appreciation.
ParticipantThe bailout schemes were supposed to help restore the “intrinsic” values of the securities.
Actually it was to insure proper capitalization ratios so that banks would not have to immediately liquidate assets that were under attack.
It would like a neighbor’s house going into foreclosure, and another neighbor selling his house because of unemployment. Pretty soon, you can’t refinance your house because you no longer have equity. Then you can’t send your daughter to college or buy a new car, etc…
Unless you are trying to use the house as an HELOC ATM, there would be no need to refi your own house. Part of the problem was that HELOC ATM was in overdrive and people shaped their lives around it. This is why many of the people who went through the Great Depression are not having a problem (they didn’t equity-out at every possible chance), while those that didn’t go through the Great Depression didn’t have any equity left. They lived off their house appreciation.
ParticipantYes, you can let housing become overvalued by ten trillion dollars, and lend against the overvaluation by another few trillion, and the problem is the “infection” of letting the values come back down to earth.
This is what down payments were originally for.. the event of a decline in the value of the property. This is why the traditional Fannie/Freddie product was a 80%LTV maximum (20% down, 80% financed). The down prevents a ‘cascade’ of defaults because the value of the house exceeds the outstanding loan even if house prices drop a bit.
ParticipantYes, you can let housing become overvalued by ten trillion dollars, and lend against the overvaluation by another few trillion, and the problem is the “infection” of letting the values come back down to earth.
This is what down payments were originally for.. the event of a decline in the value of the property. This is why the traditional Fannie/Freddie product was a 80%LTV maximum (20% down, 80% financed). The down prevents a ‘cascade’ of defaults because the value of the house exceeds the outstanding loan even if house prices drop a bit.
ParticipantYes, you can let housing become overvalued by ten trillion dollars, and lend against the overvaluation by another few trillion, and the problem is the “infection” of letting the values come back down to earth.
This is what down payments were originally for.. the event of a decline in the value of the property. This is why the traditional Fannie/Freddie product was a 80%LTV maximum (20% down, 80% financed). The down prevents a ‘cascade’ of defaults because the value of the house exceeds the outstanding loan even if house prices drop a bit.
ParticipantYes, you can let housing become overvalued by ten trillion dollars, and lend against the overvaluation by another few trillion, and the problem is the “infection” of letting the values come back down to earth.
This is what down payments were originally for.. the event of a decline in the value of the property. This is why the traditional Fannie/Freddie product was a 80%LTV maximum (20% down, 80% financed). The down prevents a ‘cascade’ of defaults because the value of the house exceeds the outstanding loan even if house prices drop a bit.
ParticipantYes, you can let housing become overvalued by ten trillion dollars, and lend against the overvaluation by another few trillion, and the problem is the “infection” of letting the values come back down to earth.
This is what down payments were originally for.. the event of a decline in the value of the property. This is why the traditional Fannie/Freddie product was a 80%LTV maximum (20% down, 80% financed). The down prevents a ‘cascade’ of defaults because the value of the house exceeds the outstanding loan even if house prices drop a bit.
ParticipantArraya we absolutely agree on that… yes I would agree that as of about 2003 Wall Street and even companies like AIG knew that for sure it was a no lose bet. Either you win and make money or you lose and get bailed out.
I think that Arraya is more pissed off at Goldman than AIG. He should really be pissed off at AIG. They were a primary insurer for MBS(s). Goldman recognized that a problem was coming down the pike and extricated themselves as best they could. AIG continued to do business as usual (They even tried to pay themselves as usual too). The result was that risk was mis-priced everywhere (AIG was considered an ‘expert’ at CDS(s)). This is why I feel AIG should be liquidated. To prevent systemic risk.. the gov would have to step in and make good on any CDS(s) that were in force for a period of time (duration of the existing contract). The liquidated portions of AIG should go up for bid and the money from the purchasers should go to cover as much of the cost as possible.
ParticipantArraya we absolutely agree on that… yes I would agree that as of about 2003 Wall Street and even companies like AIG knew that for sure it was a no lose bet. Either you win and make money or you lose and get bailed out.
I think that Arraya is more pissed off at Goldman than AIG. He should really be pissed off at AIG. They were a primary insurer for MBS(s). Goldman recognized that a problem was coming down the pike and extricated themselves as best they could. AIG continued to do business as usual (They even tried to pay themselves as usual too). The result was that risk was mis-priced everywhere (AIG was considered an ‘expert’ at CDS(s)). This is why I feel AIG should be liquidated. To prevent systemic risk.. the gov would have to step in and make good on any CDS(s) that were in force for a period of time (duration of the existing contract). The liquidated portions of AIG should go up for bid and the money from the purchasers should go to cover as much of the cost as possible.
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