I'm calling it.

[HammerDown]

But remember, my mortgage has been debased also.

If it hasn't been lowered by 8.6% to match the debasement of the USD it hasn't. (Let's be honest here, we all know it's muuuch higher than the liars are telling us).

 

[HammerDown]

the market crashed in 2006, not 2008.

 

[Kburjr]

If it hasn't been lowered by 8.6% to match the debasement of the USD it hasn't. (Let's be honest here, we all know it's muuuch higher than the liars are telling us).

Old debt paid off with cheaper dollars.

 

[Bayou Tiger]

Here in Louisiana housing and the job market are determined by the price of oil.....and oil and gas are at an all time high.


We are in a Bull Market here.

But as is often the case, when the rest of the country is booming, we are in a recession.

 

[DraftNerd]

Why go from 5/3 then? Just curious

Anyone that size we could find was about double what we have been paying. It was smarter to kick the two older birds out of the nest and give them subsidy for their place and go smaller. Much more reasonable price and a lot more inventory.

 

[DraftNerd]

Are you renting from a home owner or company? Another thing that has been happening is private equity firms are buying up homes all over. They're going to jack up their rents, too.

One of the gals in our circle rents in our subdivision. They're raising her rent 1k so she's looking now.

Just hired a guy in Southern Cali, his apartment rent is going up 1k. He said he can't even find another place because they are going so fast.

And, a lot of this is Chinese money. They're not investing here to create affordable housing.

Bingo. I’ve talked to so many Chinese investors the last two months. And I don’t think Chinese Americans, I’m talking original article.

We almost but on one of these. The price was already at the top of our range. She wanted first and last month and two months deposit. She also sent us the lease with the rent about $150 above quoted. Asked why and found out we were paying the HOA fees. They didn’t even bundle it on the quoted cost, just tacked it on.

To answer….we have been renting for a company representing the owner and will be doing the same arrangement again.

 

[HammerDown]

Old debt paid off with cheaper dollars.

Austrian Economics 101

Owe a million dollars? Print a million dollars!

 

[NU_WTF?]

Anyone that size we could find was about double what we have been paying. It was smarter to kick the two older birds out of the nest and give them subsidy for their place and go smaller. Much more reasonable price and a lot more inventory.

Did I read wrong that you're paying more than when you had a 5/3? Am I reading wrong?

 

[Wild Turkey]

2008 was not about inability to borrow. stop it.

It was, the feds cracked down on all the banks forced them to diversify their portfolios based on regulatory metrics and it froze lenders. Banks that couldn’t diversify enough or didn’t have strong enough balance sheets the feds forced mergers and acquisitions.

Banks couldn’t be leverage too much on a single customer, they couldn’t be too heavily loaded in real estate or a single industry and they had to meet reserve guidelines. It paralyzed banks, they had to freeze credit lines, they had zero room to let companies work out their issues so they called loans and had to pass on viable deals.

New loans were few and far between and it crushed the economy. The mortgage bubble started it all but by the time it was over a lot of companies didn’t make it because they had no access to capital.

 

[Peter Gozintite]

It was, the feds cracked down on all the banks forced them to diversify their portfolios based on regulatory metrics and it froze lenders. Banks that couldn’t diversify enough or didn’t have strong enough balance sheets the feds forced mergers and acquisitions.

Banks couldn’t be leverage too much on a single customer, they couldn’t be too heavily loaded in real estate or a single industry and they had to meet reserve guidelines. It paralyzed banks, they had to freeze credit lines, they had zero room to let companies work out their issues so they called loans and had to pass on viable deals.

New loans were few and far between and it crushed the economy. The mortgage bubble started it all but by the time it was over a lot of companies didn’t make it because they had no access to capital.

AFTER THE CRASH

They were allowing predatory loans like they were nothing for the years leading up to the crash. those loans, and defaults is what caused it. wtf

 

[Peter Gozintite]

it was made to look like everything was fine, when it was not, for way longer than they should have been able to get away with. Have you guys heard of the big short?

 

[SJ76]

Here in Louisiana housing and the job market are determined by the price of oil.....and oil and gas are at an all time high.


We are in a Bull Market here.

But as is often the case, when the rest of the country is booming, we are in a recession.

Really is crazy. Houston is a trip

 

[Catlanta33]

I had just got into mortgages mid 06. My dumbass saw quickly something wasn't right. The other LO's goto for pushing shit paper was a house always increases in value. Apparently millions believed that to be the case and signed very terrible loans they were never going to be able to pay or would put them upside down in short order. Then the 'banks' wrapped a bunch of that shit paper up with a few decent ones and sold them to some other asshole. While that went on, other assholes insured that shit paper.

It was a house of cards. Seems much better regulated now but that really was a wild west of financing period.

 

[Inquisitor]

All those flippers getting ARMs. They were screwed when they couldn't sell their houses at inflated prices and then their mortgage payment went up big time.

 

[Dolemite censored]

2022 is about supply chain

A bit more than that, Mr. Bitcoin. (pun intended)

2022 is about pandemic caused supply chains disruptions, Biden and Dems dumping $trillions of new dollars chasing scarce goods, Biden and Dems shutting off oil production, the Fed printing new money and buying junk corporate debt, Russia invading Ukraine, and mssive crypto fraud.

 

[Dolemite censored]

Then the 'banks' wrapped a bunch of that shit paper up with a few decent ones and sold them to some other asshole. While that went on, other assholes insured that shit paper.

Those other assholes that bought it were institutions, governments, and funds.

 

[DraftNerd]

Did I read wrong that you're paying more than when you had a 5/3? Am I reading wrong?

You are not. We locked in at the rent we were at three years ago for the 5/3. Owner luckily never raised it the next three years.

Comparable places were easily 40-60% higher than our current rate. The 3/2 we just secured is 20% higher than our current rate on the 5/3.

That’s how fucked it has been around here.

 

[DraftNerd]

Did I read wrong that you're paying more than when you had a 5/3? Am I reading wrong?

Oh….and want to hear a real funny story?

Owners realtor never came by the last two months. Never even called. The property management called me last week and said the owner has decided not to sell and did we want to stay. I said find out how much he wants and get back to me. They didn’t.

Yesterday I sent them an email that we secured lease on a new place and will be out by the 30th.

Guess who called me and said the owner changed his mind again and wants to sell now. I said “want to know why that is?” Lol

 

[DraftNerd]

I had just got into mortgages mid 06. My dumbass saw quickly something wasn't right. The other LO's goto for pushing shit paper was a house always increases in value. Apparently millions believed that to be the case and signed very terrible loans they were never going to be able to pay or would put them upside down in short order. Then the 'banks' wrapped a bunch of that shit paper up with a few decent ones and sold them to some other asshole. While that went on, other assholes insured that shit paper.

It was a house of cards. Seems much better regulated now but that really was a wild west of financing period.

I ended up putting myself on the shit end of this. Bought in 05. Bubble popped. Value plummeted. Then got divorced in 12 and just couldn’t afford it anymore. Had to spend years walking the bank to reality and selling it short.

I am glad at this point that I didn’t buy in the last two years.

 

[Bayou Tiger]

it was made to look like everything was fine, when it was not, for way longer than they should have been able to get away with. Have you guys heard of the big short?

Yeah they were taking a bunch of junk bonds and bundling them, then selling them for more than they were worth.