Its Bubblicious!
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- Friday's Rant: Its the Government, Stupid! In the past week or so, the Federal Reserve has lowered the interest rates 1.25%. Today they've announced that they're going to lend out $60 Billion to cash-strapped banks to prevent a credit crunch and to maintain liquidity in the economy. By lending out money below the real rate of......
- Mortgage Meltdown: The Worst Is Yet To Come! Check out this 12 minute video from 60 Minutes. There's another wave of mortgage defaults on the way, this time from Alt-A & Option-Arm (also called Negative-Amortization or Neg-Am) loans. As opposed to the subprime loans which were worth almost $1 Trillion, these two groups make up nearly $1.5 Trillion. ......
- Meeting People Through Meetup.com Last week I attended a cashflow game meeting through Meetup.com. It was lots of fun and I meet a few retired people who had made a ton of money through their real estate investments, even though they had ordinary jobs. One was a carpenter and the other was a programmer.Both......
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October 12th, 2006 at 5:20 pm
I don’t know how this ends, because I got tired of his doom and gloom attitude with now fundamental support of any of his statements.
To be honest, I quit paying attention when he tried to tell us the state of the economy was not all that great, and the housing market is behind the entire upside of the current economic status…
What a joke this guy is. Sure, housing had an impact on the economy, but now we’re supposed to see prices drop for the first time in 13 years and its all down the toilet for us all in this guys eyes.
No numbers to support his heavy statements.
-Grant
TheCornerOfficeBlog.com
October 13th, 2006 at 11:29 am
i’m pretty sure a housing bust will have a negative effect on the economy. it’ll probably be the straw that breaks the camels back.
the US job growth numbers are ficticious. our deficit is terrible. the cost of the war may reach $1 trillion. Japan and china own over a trillion dollars worth Dollars. for the first time ever, we’re a net debtor nation. And so on and so forth.
now considering that 50% of all jobs created in CA since 2001 were real estate related and CA is the whole 7th largest economy and significant portion of the US economy, a meltdown in CA would definitely look bad for the country as a whole. [probably the same will be repeated on the east coast]. Last year, CA has a net outward migration. I think it will continue for 2-3 more years.
I think things will get worse before they get better.