MY EXPLANATION
http://whythishappened.com
WHY THIS HAPPENED
How long must we sing this song?
Ok all, if you notice some of my titles come directly from U2 songs. It's amazing how far ahead of the curve the band has been. Their songs have taken a whole new meaning for me with the current World Wide Economic conundrum we are in. Ok, I have been saying depression for over a year now. It just recently came to light TODAY that the U.S had gone in to a recession in Dec. 2007. What a freaking shock!
Since the News media outlets report what is told, very few even questioned what our economic leaders ARE saying. Hank Paulson should be thrown in jail. All of this money that is being thrown in, is just a band aid on a carotid. The end result is a tremendous blood loss that leaves you weak and disoriented.
So the question is how long must we sing this song? What is it going to take for everyone to open up their eyes so we can truly accept the reality. Let's start with the utmost important, our homes. What are they really worth?
I'll tell you, about one third of its current market value minus the payments that you have made. For instance, I refinanced my house for the business and took out 120k. Out of the money that I took I made 50k in payments in one year, yeah it was ridiculous. So a year later the house gets a market value of 300k, subtract the 50 its only worth 250k. This was earlier this year, now factor that I lived in a neighborhood were some people had lived in their homes for over 15 years. The old folks who had their homes paid off, started a massive sell off because the young guys moving in were raising the property tax. So even if my house had a market value of 250k the banks were automatically taking another 5 to 10 percent off the top for the next year of losses.
So we take the old folks who are dumping their homes below market value because they can afford to do so. And now add the banks only giving you a 80 percent loan to value what is the house really worth?
250k - 10% = 225k
80% LTV on 225k = 180k
So I made a cash offer on the house of 180k, the bank has me go through the whole process. Mind you I spoke to several foreclosure "advisers" and I knew more then they did. Well after weeks of sending in market analysis and market trends with comparables that proved what the house was only worth. What do you think happens?
I call in one day and they tell me that they had just finished their analysis and the house came in at 156k. Great, the cash offer is good, what is next? One last person to sign off on it and its a done deal, I avoid a foreclosure and since I have proof that the house isn't worth anything above 156k they can't hit me with the loss because they haven't loss any money, get it?
Well, what do you think happened. The last person that was supposed to approve the final check list told me that they had made a mistake. Do you really think they did? The answer is no, but as long as the government continues to use our tax dollars to give them money on homes that aren't worth what they say it is. They have an automatic incentive to FORECLOSE on the property.
read this, so it makes better sense of the whole balance sheet debacle.
Garbage = AAA Rating
HOW LONG MUST I SING THIS SONG?
WAKE UP PEOPLE OPEN YOUR EYES THIS IS THE BIGGEST FLEECING OF AMERICA IN HISTORY, IT IS UNPRECEDENTED!!!!!
CLOSB
Since the News media outlets report what is told, very few even questioned what our economic leaders ARE saying. Hank Paulson should be thrown in jail. All of this money that is being thrown in, is just a band aid on a carotid. The end result is a tremendous blood loss that leaves you weak and disoriented.
So the question is how long must we sing this song? What is it going to take for everyone to open up their eyes so we can truly accept the reality. Let's start with the utmost important, our homes. What are they really worth?
I'll tell you, about one third of its current market value minus the payments that you have made. For instance, I refinanced my house for the business and took out 120k. Out of the money that I took I made 50k in payments in one year, yeah it was ridiculous. So a year later the house gets a market value of 300k, subtract the 50 its only worth 250k. This was earlier this year, now factor that I lived in a neighborhood were some people had lived in their homes for over 15 years. The old folks who had their homes paid off, started a massive sell off because the young guys moving in were raising the property tax. So even if my house had a market value of 250k the banks were automatically taking another 5 to 10 percent off the top for the next year of losses.
So we take the old folks who are dumping their homes below market value because they can afford to do so. And now add the banks only giving you a 80 percent loan to value what is the house really worth?
250k - 10% = 225k
80% LTV on 225k = 180k
So I made a cash offer on the house of 180k, the bank has me go through the whole process. Mind you I spoke to several foreclosure "advisers" and I knew more then they did. Well after weeks of sending in market analysis and market trends with comparables that proved what the house was only worth. What do you think happens?
I call in one day and they tell me that they had just finished their analysis and the house came in at 156k. Great, the cash offer is good, what is next? One last person to sign off on it and its a done deal, I avoid a foreclosure and since I have proof that the house isn't worth anything above 156k they can't hit me with the loss because they haven't loss any money, get it?
Well, what do you think happened. The last person that was supposed to approve the final check list told me that they had made a mistake. Do you really think they did? The answer is no, but as long as the government continues to use our tax dollars to give them money on homes that aren't worth what they say it is. They have an automatic incentive to FORECLOSE on the property.
read this, so it makes better sense of the whole balance sheet debacle.
Garbage = AAA Rating
HOW LONG MUST I SING THIS SONG?
WAKE UP PEOPLE OPEN YOUR EYES THIS IS THE BIGGEST FLEECING OF AMERICA IN HISTORY, IT IS UNPRECEDENTED!!!!!
CLOSB
It Reeks BLACK OPS
Ok so we all got to see what happened in INDIA. Does anyone see what a coincidence it happened on a day were the entire US was home for the holidays.
It was a hugely orchestrated attack, extremely organized. See below
OIL, OIL, OIL
Wake up people, these guys are out of control!
It was a hugely orchestrated attack, extremely organized. See below
OIL, OIL, OIL
Wake up people, these guys are out of control!
Perpetual Debt!
Ladies and Gentlemen, you must watch and pass it on to everyone you know. Here is the explanation on "Why This Happened".
www.zeitgeistmovie.com
They have known, they always knew. IT WAS INTENDED!
Wake up people, open your eyes and educate yourself. EMPOWERMENT!
CLOSB
www.zeitgeistmovie.com
They have known, they always knew. IT WAS INTENDED!
Wake up people, open your eyes and educate yourself. EMPOWERMENT!
CLOSB
Some days are better then others!
Well, I said it before and I will say it again. History is repeating itself in every single aspect. Most of you might remember the 90's. Tech start-up galore, everything was a new DOT.COM we enjoyed many dividends in the tech sector. All while these startups reported losses, we continued to buy their stock on the "hopes" they would eventually turn a profit.
Ladies and Gents the key word is HOPE. Our DOW is strictly speculation on the future all while ignoring the inherent truth. Stocks go up if a company doesn't have the losses we thought they would have (what was speculated). This is short of rolling the dice and hoping it hits your lucky number.
This isn't good, it's the same when we say home sales are up 10 percent from the past month. Well if you look at the numbers half of those sales came from "foreclosed properties". Last I checked the bank had already wrote down the losses for these homes; so is it really a benefit or a sound reason for the stock to go up? It is only now that people are learning to look at the economic indicators that truly reflect how our economy is doing. Still no change!
Gas is down which is great news, you would think people would be out on the streets more? Nope reports show that we have driven "15 billion" miles less this year then last year. Simple maths tells us that 15 billion miles at say 3.00 per gallon is another 45 billion dollar loss for our economy. This is just in gas, let's look at the numbers for restaurants, retailers, etc. What about the auto industry, the factories, yahoo, and so on. Get the picture, no one is doing well everyone has taken a hit. Yes this is all our fault not just the government, we are just as guilty for taking out these loans and wasting the cash. Where has it all gone to?
Ladies and Gents the key word is HOPE. Our DOW is strictly speculation on the future all while ignoring the inherent truth. Stocks go up if a company doesn't have the losses we thought they would have (what was speculated). This is short of rolling the dice and hoping it hits your lucky number.
This isn't good, it's the same when we say home sales are up 10 percent from the past month. Well if you look at the numbers half of those sales came from "foreclosed properties". Last I checked the bank had already wrote down the losses for these homes; so is it really a benefit or a sound reason for the stock to go up? It is only now that people are learning to look at the economic indicators that truly reflect how our economy is doing. Still no change!
Gas is down which is great news, you would think people would be out on the streets more? Nope reports show that we have driven "15 billion" miles less this year then last year. Simple maths tells us that 15 billion miles at say 3.00 per gallon is another 45 billion dollar loss for our economy. This is just in gas, let's look at the numbers for restaurants, retailers, etc. What about the auto industry, the factories, yahoo, and so on. Get the picture, no one is doing well everyone has taken a hit. Yes this is all our fault not just the government, we are just as guilty for taking out these loans and wasting the cash. Where has it all gone to?
I told you so!
Ratings agencies 'put system at risk,' CEO says
I am not a Rocket Scientist
Well there is much to do about nothing with the way the stock market has been playing out for the past few weeks. The best thing to do is not to look at it, a friend made a reference to "follow the bouncing ball".
What we have to remember is, the people making money in the market right now are the same people that put us in this mess. The brokers, look I said it before and I have been saying it for the past two years. Our government hasn't done much for us. I had a government contract and was successful at it. When I needed help the most, the Government failed me the most.
At the time when I had money in the bank, BOA would not give me a simple line of credit. This was mostly due to the fact that no credit was being handed out unless you had property with equity. Well we all know what happened, and now we know "why this happened". BOA processes 80 percent of the loans here in Florida for SBA and the numbers are staggering, according to watchdogs only about 10 percent of those loans go to small business. Hey isn't it the Small Business Administration?
When you have people like GENERAL MOTOR ACCEPTANCE CORP. who normally only financed Vehicles getting in to home mortgage, do you really need an explanation as to why we are in this mess (THEY ARE ALMOST BANKRUPT). I said a few months ago, that recession had come and go and now we were facing a depression.
http://whythishappened.com/2008/03/19/bear-sterns.aspx
When the top major banks start to fail then depression is eminent. Where is all this money coming from, billions are now in the hands of the same people that put us in this mess. What happens when there is too much money in circulation? Well the value of the dollar decreases. If you have money in the market get it out and put them in CD's! Now that the banks are owned by the government your money is definitely safer there then the market. You won't make what you where making in the market for the past five years but all of that is gone anyways! You can not continue to ignore bad news, everyone is losing money and more job cuts are eminent.
Let's review really quick what has happened. Banks have failed creating even bigger banks that now can not fail and will always have the protection from the government, with our tax dollars. So you think you had problems before, wait now that the government owns the bank where your money is. This is the same thing that happened when they DE-REGULATED ma bell. Last time I checked she resurrected and now is the largest Telephone provider in the nation (AT&T). BIG BIG BIG, these conglomerates are at the point were no matter what they do, the government can not and will not let them fail.
THINK ABOUT IT PEOPLE AND OPEN YOUR EYES! ANOTHER GREAT DEPRESSION IS AMONG US!
CLOSB
What we have to remember is, the people making money in the market right now are the same people that put us in this mess. The brokers, look I said it before and I have been saying it for the past two years. Our government hasn't done much for us. I had a government contract and was successful at it. When I needed help the most, the Government failed me the most.
At the time when I had money in the bank, BOA would not give me a simple line of credit. This was mostly due to the fact that no credit was being handed out unless you had property with equity. Well we all know what happened, and now we know "why this happened". BOA processes 80 percent of the loans here in Florida for SBA and the numbers are staggering, according to watchdogs only about 10 percent of those loans go to small business. Hey isn't it the Small Business Administration?
When you have people like GENERAL MOTOR ACCEPTANCE CORP. who normally only financed Vehicles getting in to home mortgage, do you really need an explanation as to why we are in this mess (THEY ARE ALMOST BANKRUPT). I said a few months ago, that recession had come and go and now we were facing a depression.
http://whythishappened.com/2008/03/19/bear-sterns.aspx
When the top major banks start to fail then depression is eminent. Where is all this money coming from, billions are now in the hands of the same people that put us in this mess. What happens when there is too much money in circulation? Well the value of the dollar decreases. If you have money in the market get it out and put them in CD's! Now that the banks are owned by the government your money is definitely safer there then the market. You won't make what you where making in the market for the past five years but all of that is gone anyways! You can not continue to ignore bad news, everyone is losing money and more job cuts are eminent.
Let's review really quick what has happened. Banks have failed creating even bigger banks that now can not fail and will always have the protection from the government, with our tax dollars. So you think you had problems before, wait now that the government owns the bank where your money is. This is the same thing that happened when they DE-REGULATED ma bell. Last time I checked she resurrected and now is the largest Telephone provider in the nation (AT&T). BIG BIG BIG, these conglomerates are at the point were no matter what they do, the government can not and will not let them fail.
THINK ABOUT IT PEOPLE AND OPEN YOUR EYES! ANOTHER GREAT DEPRESSION IS AMONG US!
CLOSB
Holy bad loan Batman
How does this still manage to happen? Do we need experts to tell us that they knew exactly what they were doing? I don't think it takes more then an eighth grade education to figure out that they dumped a bad loan.
Read here
http://www.marketwatch.com/news/story/wachovias-commercial-loans-not-just/story.aspx?guid=%7BC8DA2CA1%2D8312%2D4BE1%2D9457%2D7A57A34CEF3A%7D
"The bank then sold the debt on to investors including Philip Falcone's $20 billion Harbinger Capital hedge-fund firm and the Missouri State Employees' Retirement System"
Dude, my parents retirement just went out the door. Well at least there is a bright side, they can now work for Walmart.
Walmart
Clos
Read here
http://www.marketwatch.com/news/story/wachovias-commercial-loans-not-just/story.aspx?guid=%7BC8DA2CA1%2D8312%2D4BE1%2D9457%2D7A57A34CEF3A%7D
"The bank then sold the debt on to investors including Philip Falcone's $20 billion Harbinger Capital hedge-fund firm and the Missouri State Employees' Retirement System"
Dude, my parents retirement just went out the door. Well at least there is a bright side, they can now work for Walmart.
Walmart
Clos
Stuck in a moment
Our local economy here in south Florida has been fueled mostly by greed, and corruption at all levels. If we weren't prospering in health care it was real estate.
We had a good run, close to 10 years of solid growth and expansion. Growth and expansion are an understatement. The organized crime rackets were rampant, in the past few months we have made headlines in both sectors. Apparently we take first place in both, now this is nothing to be proud of.
Recent Articles
Medicare fraud fugitives evade capture
A former scam artist tells how it works
Medicare fraud rampant in South Florida
Those are three in the past few days, it's an everyday thing. It barely makes the front page. I am in the healthcare industry, I have been in for almost 5 years. If you are a young Hispanic doing healthcare you are automatically stereotyped to being a scammer. I was even told when I first got in, that there was no way to make money the legal way. I have managed to prove people other wise, but guess what? I'm broke!
That's a whole another story for another day. While in the industry you heard of the heavy hitters the "magnets" in health care.
The following three articles are about two "Health Care Magnets".
Fallen brothers once pillars of the community
Pharmed scam began in 1980s, documents claim
Pharmed bilked Kendall hospital since 80s, documents claim
Wow, this was a great blow to the hispanic community, these guys had a lot of respect.
What happened?
Clos
We had a good run, close to 10 years of solid growth and expansion. Growth and expansion are an understatement. The organized crime rackets were rampant, in the past few months we have made headlines in both sectors. Apparently we take first place in both, now this is nothing to be proud of.
Recent Articles
Medicare fraud fugitives evade capture
A former scam artist tells how it works
Medicare fraud rampant in South Florida
Those are three in the past few days, it's an everyday thing. It barely makes the front page. I am in the healthcare industry, I have been in for almost 5 years. If you are a young Hispanic doing healthcare you are automatically stereotyped to being a scammer. I was even told when I first got in, that there was no way to make money the legal way. I have managed to prove people other wise, but guess what? I'm broke!
That's a whole another story for another day. While in the industry you heard of the heavy hitters the "magnets" in health care.
The following three articles are about two "Health Care Magnets".
Fallen brothers once pillars of the community
Pharmed scam began in 1980s, documents claim
Pharmed bilked Kendall hospital since 80s, documents claim
Wow, this was a great blow to the hispanic community, these guys had a lot of respect.
What happened?
Clos
Daddy's going to pay for your crashed car.
Ok so here is a headline a lot of people won't see but they will hear about it one way or another because it has a direct effect on all of us.
TRICKLE DOWN ECONOMICS, came out of the Reagan era. It was supposed to be good, the wealth would all trickle down to all of us. Instead we have this to deal with;
Deficit for next year to hit $482 billion amid sagging economy
Here is more that will trickle down;
Starbucks to cut 1,000 non-store jobs
Bennigan’s parent files bankruptcy, will close
Mervyns files for bankruptcy, will stay open
So I wake up this morning, there is no coffee, and the place I have lunch at is now closed. It's a good thing that I was going shopping after work with the extra money I saved from this morning and lunch. Wait aaaaaaahhhh now Mervyns is closed.
WTF!
Clos
TRICKLE DOWN ECONOMICS, came out of the Reagan era. It was supposed to be good, the wealth would all trickle down to all of us. Instead we have this to deal with;
Deficit for next year to hit $482 billion amid sagging economy
Here is more that will trickle down;
Starbucks to cut 1,000 non-store jobs
Bennigan’s parent files bankruptcy, will close
Mervyns files for bankruptcy, will stay open
So I wake up this morning, there is no coffee, and the place I have lunch at is now closed. It's a good thing that I was going shopping after work with the extra money I saved from this morning and lunch. Wait aaaaaaahhhh now Mervyns is closed.
WTF!
Clos
Is it getting better or does it feel the same?
Well, we keep hearing how the economy was supposed to get better the later half of the year. I don't know what model they used to forecast those predictions.
Let me show you the model that I use, maybe you have heard of it "COMMON SENSE". Well you know what they say about common sense right? It ain't so common, here's why;
GM, Ford Scale Back
No more easy leasing, this means less car sales, less dealers more people out of work.
"While stocks are the world's largest thermometer, the credit markets are the backbone of our system. Therein lies the true agenda of the government, to navigate prices to levels that would allow corporate America to issue secondary offerings. Do that, they hope, and the credit markets will scramble"
Read the entire article here;
http://www.marketwatch.com/news/story/we-trading-against-hank-paulson/story.aspx?guid=%7BBD5A1713%2D1CDC%2D41B8%2DB5E8%2D6053741240D9%7D
How will this intervention from your government really help us?
Mortgage applications drop; fixed rates move lower
http://www.marketwatch.com/news/story/lower-fixed-rates-fail-draw/story.aspx?guid=%7BC27A7304%2D5290%2D4610%2DB0A8%2D60B2A3EB0C9D%7D
Of course they have dropped who is trying to buy a home when the majority are losing their home. It is the time to buy but banks just aren't lending.
Now read what Jim has to say;
A Revealing Day In The Systemic Problem Known As Our Financial System
More to come.
Clos
Let me show you the model that I use, maybe you have heard of it "COMMON SENSE". Well you know what they say about common sense right? It ain't so common, here's why;
GM, Ford Scale Back
No more easy leasing, this means less car sales, less dealers more people out of work.
"While stocks are the world's largest thermometer, the credit markets are the backbone of our system. Therein lies the true agenda of the government, to navigate prices to levels that would allow corporate America to issue secondary offerings. Do that, they hope, and the credit markets will scramble"
Read the entire article here;
http://www.marketwatch.com/news/story/we-trading-against-hank-paulson/story.aspx?guid=%7BBD5A1713%2D1CDC%2D41B8%2DB5E8%2D6053741240D9%7D
How will this intervention from your government really help us?
Mortgage applications drop; fixed rates move lower
http://www.marketwatch.com/news/story/lower-fixed-rates-fail-draw/story.aspx?guid=%7BC27A7304%2D5290%2D4610%2DB0A8%2D60B2A3EB0C9D%7D
Of course they have dropped who is trying to buy a home when the majority are losing their home. It is the time to buy but banks just aren't lending.
Now read what Jim has to say;
A Revealing Day In The Systemic Problem Known As Our Financial System
More to come.
Clos