bills_fan Posted November 20, 2008 Share Posted November 20, 2008 I found this article to be an excellent read. It does go a bit too far in blaming Wall Street (versus the mortgagebrokers/consumers), but all in all it does a good job of explaining what has happened and truly how f*cked we are. http://www.portfolio.com/news-markets/nati...eets-Boom#page9 Link to comment Share on other sites More sharing options...
East Brady Posted November 20, 2008 Share Posted November 20, 2008 I found this article to be an excellent read. It does go a bit too far in blaming Wall Street (versus the mortgagebrokers/consumers), but all in all it does a good job of explaining what has happened and truly how f*cked we are. http://www.portfolio.com/news-markets/nati...eets-Boom#page9 Yea because all those mortgage brokers and home buyers designed all that funny money and swaps bla bla, they then forced wall st. to sign off on everything and decided not too pay, I get it. Sounds like the blame was placed right where it belongs. Link to comment Share on other sites More sharing options...
bills_fan Posted November 20, 2008 Author Share Posted November 20, 2008 Yea because all those mortgage brokers and home buyers designed all that funny money and swaps bla bla, they then forced wall st. to sign off on everything and decided not too pay, I get it. Sounds like the blame was placed right where it belongs. Should you buy a $600,000 house with an income of $50,000? Should you even consider it? Should a mortgage broker even consider writing a mortgage in a situation like that? Wall Street has its culpability, sure, and Lewis is a very good writer who writes from a Wall Street perspective, but the Wall Street banks did not dance alone. Link to comment Share on other sites More sharing options...
DC Tom Posted November 20, 2008 Share Posted November 20, 2008 Should you buy a $600,000 house with an income of $50,000? Should you even consider it? Should a mortgage broker even consider writing a mortgage in a situation like that? Wall Street has its culpability, sure, and Lewis is a very good writer who writes from a Wall Street perspective, but the Wall Street banks did not dance alone. Leave it alone. East Brady has already proven himself incapable of understanding nuances such as that, when investment banks write ill-asvised derivatives on bad mortgages, it requires both an ill-adviced derivative AND a bad mortgage. Link to comment Share on other sites More sharing options...
bills_fan Posted November 20, 2008 Author Share Posted November 20, 2008 Leave it alone. East Brady has already proven himself incapable of understanding nuances such as that, when investment banks write ill-asvised derivatives on bad mortgages, it requires both an ill-adviced derivative AND a bad mortgage. He does miss the point, but the securities did not always require a bad mortgage...many times the securities were simply written off the short sale of a trade...in effect a purely synthetic instrument with no underlying asset (which, of course, the ratings agencies rated AAA). For those abominations, Wall Street stands alone in blame. Link to comment Share on other sites More sharing options...
East Brady Posted November 21, 2008 Share Posted November 21, 2008 Should you buy a $600,000 house with an income of $50,000? Should you even consider it? Should a mortgage broker even consider writing a mortgage in a situation like that? Wall Street has its culpability, sure, and Lewis is a very good writer who writes from a Wall Street perspective, but the Wall Street banks did not dance alone. Mortgage brokers were only doing what their wall st. masters taught them to do. As for my family, we bought 20 acres with free gas and a royalty check for 80,000 and I am finishing my addition, thank you very much. So in answer to your question, no I wouldn't try to buy a 600,000 house on 50,000 income. As for those that did, are you surprised that so many people haven't a clue about financing. Now it looks like the Fed's are going to go down the same road that WALL ST. has led them, check it out. As for D.C. Paulson, blow it out your ass some more, GENIUS. I'm not as shocked as you seem to be over wall st. finding so many suckers. http://mrmortgage.ml-implode.com/ 300 billion exotic mortgages available The failed $300 Billion Hope For Homeowners (H4H) program that the markets heralded when it was announced this summer is getting revamped. This is because it was a bad idea in the first place - only 100 applications have been submitted as of Oct 1st. Hear that?!? 100 applications. 100 freaking applications! Its no wonder why there is no faith in the solons actions. Link to comment Share on other sites More sharing options...
bills_fan Posted November 21, 2008 Author Share Posted November 21, 2008 Mortgage brokers were only doing what their wall st. masters taught them to do.As for my family, we bought 20 acres with free gas and a royalty check for 80,000 and I am finishing my addition, thank you very much. So in answer to your question, no I wouldn't try to buy a 600,000 house on 50,000 income. As for those that did, are you surprised that so many people haven't a clue about financing. Now it looks like the Fed's are going to go down the same road that WALL ST. has led them, check it out. As for D.C. Paulson, blow it out your ass some more, GENIUS. I'm not as shocked as you seem to be over wall st. finding so many suckers. You realize I meant the rhetorical "you" not you, specifically. Sorry if it came off that way. I know there are certainly many suckers in this world, but there are also many people driven by greed alone, and not only on Wall Street. Wall Street needs to take its fair share of blame here, but so do MANY others, which was the whole point of my statement. That said, the article does a great job describing how this all happened on Wall Street. Link to comment Share on other sites More sharing options...
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