“Do you remember that thing about how the banks wouldn’t lend to blacks and Hispanics because they were racists? And do you remember how they passed the Community Reinvestment Act so that banks were forced to reduce down payments practically to zero and lend to a lot of people they knew were bad credit risks? And do you remember how Wall Street bundled all these risky subprime mortgages and sold them to investors around the world so that when it became clear that those people weren’t going to be able to pay their mortgages banks everywhere were left holding the bag and all five of the Wall Street investment houses either went under or had to be bailed out by the federal government?”
Those days are over, right?
h/t john g
FRIGHTENING.
the u.s needs a Gop sweep.
Very disturbing.
The forces of sanity have to realize that these people are not just misguided, they are downright evil, and respond accordingly. I really fear the next election. I fear what will happen if Obama loses almost as much as I fear what will happen in Obama wins. We are heading into the proverbial interesting times.
Headlines you’ll never see on NBC
The Gov’t induced housing sub prime mandate caused the housing bubble and bust resulting in great hardship.
Will the ethanol mandate do the same to an even more essential commodity ??
Unbelievable! How to destroy America.
OMG. If true this signals the end of America. Looting of the banks should be complete by the second year of a second term (if Obummer is reelected). I have a feeling we will have to be protecting our own borders from Americans trying to flee the chaos and anarchy that will ensue. I am becoming more and more frightened by the day.
This is all about the Obama election. The US is becoming a dictatorship with false elections, for the elections are bribes, payouts and manipulations.
Notice that their statistics that they claim discrimination are not actual cases within the banks. No, instead the Obama gang took as their data base the low rate of home ownership in black and hispanic communities.
THEN, rather than getting another set of statistics on family units (single mothers), on economic mode (welfare or employment), on education, etc – which would give some indication of whether the lack of home ownership was due to economic income and stability – the Obama gang declared that the reason was ‘discrimination against black and hispanics by the banks’. No data for this.
Disgusting. It’s all about votes.
I think this says it all:
“I think what we are witnessing is the looting of America on behalf of minorities in a way that better end soon or we are going to bring the whole system down upon our heads.”
It reminded me of another post to the effect, “You can take us down, but you’re coming with us”. Do these insanely, criminally, black-hole-light-can’t-escape-from-it dense liberals/socialists not realize the utterly destructive effect these policies have on economic activity? Maybe they don’t. Then again, maybe they do.
Since nobody wants to go anywhere real estate investments how will they bundle them and sell them.
Oh I know if you don’t by real estate investments they will tax you.
From bizarre to insane and streight past stupid to insolvency. Goooood times.
From the Communist Manifesto
5. Centralisation of credit in the hands of the State, by means of a national bank with State capital and an exclusive monopoly.
Americans will throw away their country,
give away 400 years of wealth accumulation,
watch their mothers, sisters & daughters raped,
or drag their children through broken glass.
They will do ANYTHING to avoid being called a “racist”.
The white guilt gene is a terminal condition.
Romney needs to campaign on the promise that when he becomes President all white Liberals will be forced by law to give up their homes and other property to Black & Hispanic people.
He’ll get votes from both sides.
It’s a slam dunk in today’s USSA.
The US is becoming a dictatorship with false elections, for the elections are bribes, payouts and manipulations.
It’s all aimed at global homogeneity…chicken in every pot through cooperation between government and business via the compromise between socialism and free enterprise called the Third Way. So-called ‘social justice’ is a big thing with Third Way enthusiasts of a more leftist bent.
And meanwhile,back in Canader,people are still dissing the Harper government for looking for new markets to trade with!
Some have claimed Obama is a “Manchurian candidate” whose purpose is to bankrupt the U.S. I used to argue with them that he was merely an inept amateur.
I was wrong,the MC folks are probably right.
Very disturbing. On one hand, it can be seen as pandering for the black/Hispanic vote (and not believing for a minute that it’s true). On the other, they really believe that racial discrimination exists in this case. Either way, should Obama and his socialists get re-elected, the USA is in the toilet. And (economically), we’ll be circling the drain.
Still, it’s a strange situation. Surely the US government knows that lending to people with no credit will result, inevitably, in default on those loans.
So, whether you define the cause of ‘no credit’ as due to the bank’s active discrimination against blacks or hispanics, or, due to rigged statistics – the SECOND result is: default on the loans and a financial crisis.
The FIRST result is, possibly, more vote for Obama. But that second result is real. Does the Obama gang think it’s far enough after this coming election that it can be left to the next president to deal with? What’s their agenda?
Straight from the Zimbabwe School of Economics.
I’m with dmorris ,and a change in direction would sure be positive for the states, but the corruption and lack of moral fiber at the top, in government, the financial sector, and in business isn’t going to change for the better until the hurt is bad enough no one ever forgets what not really giving a damn costs individuals and their country.
We are darn lucky Harper’s in because it’s hard to fathom what North America would resemble with brain dead progressives in power on both sides of the border.
And meanwhile,back in Canader,people are still dissing the Harper government for looking for new markets to trade with!
There are Third Way enthusiasts of a free enterprise bent, and Third Way enthusiasts of a leftist bent. They enable each other. They both agree government and business can partner together to provide a ‘chicken in every pot’.
The sages still disagree on the exact mixture to get to the pot o chicken.
I must confess that I am a little slow on the uptake here. What I seem to be unable to find out is the end result for the mortgage holders.
Just what happens when most of the persons so described are unable to come up with a payment?
Are they able to have some sort of squatters rights or are able to still reside there?
What eventually happens to the residence?
I’m going to change my name to “Jose m’bata Zapatos”
and all your houses will be mine.
I truly do not believe that this is a ‘coloured’ versus ‘white’ issue. Rather it is the idea(l) of the left that it can defy the rules of reality with impunity. Finances, social mores, etc must be destroyed. No they have no utopia in mind they are bent on destruction. Their destructive bent is satanic in source and it is one of reasons they get along with that other satanic cult Islam. The problem both cults are going to have is that satan hates even his own and thus there shall come a great falling out with massive loss of life.
Peter (Lock City) >
“What eventually happens to the residence?”
In a nutshell:
#1. The delinquent blacks and Hispanics move to a rental property with full welfare entitlements, including rent monies.
#2. The bank forecloses on the property and screams about its losses.
#3. Obamba takes taxpayers money to bail out these screaming too big to fail banks.
#4. The bank owned property is resold generating sales taxes and a modest profit.
Let’s bear in mind that the original mortgage money was created out of thin air to begin with.
knight 99 – with regard to your point 4, is the property in these ‘dark zoned areas’ with primarily blacks and hispanics resident there – actually able to be sold by the bank after foreclosure? After all, who would buy it?
The Real-estate market will get a boast.. The lack of needing any credit history will favor Illegal Hispanics and they will be able to get a Mortgage…Will they Pay? Most likely YES…but only an idiot would invest if these loans are mixed with those of valid consumers…It would be more honest if we called these loans “Nancy Pelosi’s Patriots” and discounted them accordingly.
in light of this, a few questions,
How much more evidence do we need? ( the Cloward Piven strategy is really the weapon of Obama and his handlers: overwhelm a system – Capitalism in the USA – until it falls apart and then replace it with another -socialism.
And as a bonus get the USA to lose its position as the most successful, most powerful nation on the planet ( or as leftists would describe it; the most evil imperialist racist etc…)
How do we get more, much more people to become aware of this? ( only a small percentage of people ever search for the truth behind what the MSM either claims or swipes under the rug)
As Monica Crowley said on Hannity (Fox) last night, Obama’s goal is to dismantle the structure of the USA, from the inside out. “Foundational transformation” is how he has put it, and Valerie Jarrett is his closest adviser, even so far as giving him advice re. his Kill List.
Elizabeth Warren, like Nancy Pelosi, has no familiarity with sanity. Historically, one of the cornerstones of the American value system has been the mindset of ‘working hard to get ahead.’ The Democrats of today want to build up the number of Americans who are dependent on the government for their survival, rather than earning success from their own initiative.
I’ve got a glove box full of Canadian Tire money.
Can I buy a house in the USA?
Sounds like a great opportunity to short the banks and credit raters.
Peter asks: “What eventually happens to the residence?”
Well, the defaulted “owners” squat in it for free for a really long time first. Then eventually the sheriff chucks them out because they’re busting up all the drywall and windows with their drunken brawling.
Then the bank puts the damaged house on the market. Then it sits there in the rapidly decaying neighborhood boarded up, as all the other houses on the block undergo the same process.
Eventually metal thieves show up and rip out all the plumbing and wiring, sometimes even the I-beams out of the middle that hold the thing up. They go through the whole block, removing every fitting and piece of wire. Sometimes they pile up all the wire in one yard and burn off the insulation, leaving a big toxic pile of burnt plastic behind.
Then the house sits there, soaking up property tax charges and slowly sucking money out of the bank as it slowly rots into the ground. Even grow-ops won’t use these houses as the electrical and water has all been ripped out with a sawzall and a sledge hammer.
Then the bank gets bailed out and the city gets stuck with the non-paying property. City promptly cuts off all services to the area and pretends it isn’t there. Area becomes a prime dumping ground for inconvenient dead bodies, stripped stolen cars, garbage, and other even less salubrious things.
Eventually some city government genius declares the whole neighborhood condemned and they drive over the lot with a D9 Cat.
Rinse and repeat a few times and you get Detroit.
In Phoenix Arizona the house sits idle for a little while, then somebody buys it, fixes it and flips it at a nice little profit. AZ house prices are presently recovering. Because why? Because the minority people in Arizona don’t comport themselves like a tribe of fricking baboons the way they do in Detroit, is why.
“Some have claimed Obama is a ‘Manchurian candidate’ whose purpose is to bankrupt the U.S.”
dmorris, Obama did say that he needs a second term “to FINISH THE JOB.” He has the people in place to make that happen.
ET >
“.. is the property in these ‘dark zoned areas’ with primarily blacks and hispanics resident there”
I’d say yes & no. There are some pretty nice affluent’ish suburbs in southern California that fits what I’ve described. It’s easy to visualize all these poor black homes in the slums and ghetto’s of Detroit being abandoned, that is simply not the biggest picture across the country.
I suppose my point on selling was that banks never had the money for these mortgages in the first place. It is digitized fiat money derived from fractional reserve banking. If they auctioned the property off (as they do) for anything above the administration fees, they make a profit.
The mortgage money was originally born out of thin air.
I’ve got a glove box full of Canadian Tire money.
Can I buy a house in the USA?
Posted by: Fred at August 4, 2012 1:49 PM
If you are white, probably not.
Investment capital is color blind – a poor financial risk is a poor financial risk no matter what color you paint it – at least it was until the feds got into the banking business – if you have a government scheme to have the taxpayers underwrite your losses, you’ll make loans to any hoodie or skank that can still fog a mirror.
Remember, the high risk mortgage laws were changed in the Klinton era but the resulting high risk housing bubble grew in the Bush’s watch and crashed in the end of the Bush era where he introduced the “to-big-to-fail” public bailout program for investment banking greed heads. BamBam just doubled down on this corporate/banking welfare plan and added insurance companies and manufactuers.
The real ticking time bomb now is derivatives – trillions to underwrite or write off. Mt guess is the Banksters will keep BamBam in office because he’s so good at signing bailout checks to the world’s richest banking houses.
“The mortgage money was originally born out of thin air.” (Knight99)
Like carbon credits, it’s fantasy money.
People have forgotten during the great depression which this government is emulating.If not actively cultivating. Banks that where robbed by crooks where cheered on. Thugs where made heroes, hidden by the populace. Boony & Clyde come to mind. Pretty boy Nelson.
This looks more like a land grab than wanting to sell homes. If wits true they allow them to go fallow. You would think the banks would make a deal with the occupants to lower payments if not the House price to get at least an even return.
Obama wants collectives not property owners. Private property is forbidden under Marxism. A great evil so bad they killed over 7 million Kulaks by starvation to end.
Between this Marxist Anti-American Alien President along with Islam plus the users not doers . America is being crushed. Immigration is Obamas hammer, forced poverty his anvil.
From the article,
I think what we are witnessing is the looting of America on behalf of minorities in a way that better end soon or we are going to bring the whole system down upon our heads.
that is EXACTLY the goal; bringing down the whole system
and bringing down the whole system is what the Cloward Piven strategy is all about
and what Obama and his handlers are doing, right before our very eyes.
some of us have been saying it since 2008.
but hey what do I know? I am just little unimportant me…
Canadian Friend >
Bingo!
But I would disagree with the part “…..on behalf of minorities….”
None of these essentially “evil”, selfish scumbags are doing this on behalf of anyone else’s behalf but their own. The useful idiots called “minorities” are also taking what they can, only with a limited self serving objective.
The national raping by both sides of this selfish coin is on the Middle Class Americans that actually produce something through their energies. At the end of the day it’s the varieties of these parasitic vampires that are sucking away this energy from the nation’s hosts.
Middle Class Energy = real wealth, real money.
Indeed I also believe there is a greater European “vampire” class embodied in the Liberal Progressive elites of Europe, extended in small governing parts of Asia and the America’s, that are attempting to gain ultimate power and control over the worlds working classes (Where the REAL money is produced).
They are using the Global Financial institutions as their regulatory means, along with the UN as their governing class, and the UN/NATO forces as their global muscle to enforce their legislations. Obamba is a regional “capo” for these people, a mere governor of the largest province, with the largest provincial army to use at their disposal. *See Libya.
This is what happens when some people (government in this case) is allowed to control other people’s money. It is easy to spend, waste and give away what does not belong to you. But then that is what communism/socialism is all about.
Referring to the Community Reinvestment Act is to construe the problem far too narrowly. CRA puts some burden on lenders to make loans they otherwise would not make, but the aggregate impact of this one statute is relatively small.
Over and above CRA is a massive infrastructure of “affordable housing” initiatives at the national, state, and local levels.
The Government Sponsored Enterprises of Fannie and Freddie certainly did their worst to fund the housing bubble for both prime and subprime borrowers. The majority of their loans and securities were for prime, conforming mortgages.
The other less well known GSEs are the Federal Home Loan Banks which provided massive amounts of funding to commercial banks and thrifts throughout the bubble. By law, FHLBs are required to recycle 10% of their profits into “affordable housing” programs.
The FHA exists to provide low down payment loans to people, mostly low to moderate income.
Many states and local governments have their own housing assistance programs, mandate a certain percentage of developments to be “affordable” or “tax credit” units.
The mortgage interest deduction is a powerful incentive to buy a house.
In return for all this generosity with other people’s resources, these politicians and bureaucrats build a large base of loyal, dependent voters whose feet have been cemented into the foundation of their home.
Government has killed some of these people with kindness by inducing them to take on financial responsibility they can’t handle.
So be careful about focusing too narrowly on one law to the exclusion of a massive Housing Industrial Complex that is supported by advocates for the poor and minorities, banks, realtors, mortgage brokers, developers and suppliers/contractors for the housing market. Chances are good that you know and love someone feeding at that trough.
Something else that won’t be reported by the mainstream media until the whole thing blows up, at which time it will be blamed on the banks, Wall Street and George Bush.
This article may well be the scariest thing I’ve read yet about the coming collapse of America. I just gotta start stocking up on canned goods and ammunition.
A couple years ago I watched a program where a couple were interviewed, this was their shakedown: They bought a lavish home they couldn’t afford, they borrowed several hundred thousand against the equity into the property. The reneged on their mortgage,property was forclosed. Alas they went out and bought another home via Freedie or Fanny and kept the 200,000 they borrowed via the equity loan. How many unethical Americans did the same thing? IN Canada if you go into mortgage arrears and have your home forclosed you won’t be getting another loan for at least five or ten years in the US they just cross the street to cheat.
I think the federal government should start by completely eliminating 4 federal departments. Take your pick.
If this goes ahead, every city with a large dependant minority will emulate Detroit. Truly insane and a future lesson on how to destroy a country in 4 short years.
http://www.huffingtonpost.com/2010/05/12/detroit-vacant-houses-demolishin_n_573390.html
@ Scar
The EPA, IRS, TSA and Steven Chu’s energy portfolio would be a great start to a saner world.
It is the looting of Amercia, on behalf of the poor mintorities, but not for them or by them, but by a socialist elite that wants to direct and loot America.
Clinton’s thinking in the mid-nineties “The National Homeownership Strategy: Partners in the American Dream”
“For many potential homebuyers, the lack of cash available to accumulate the required downpayment and closing costs is the major impediment to purchasing a home. Other households do not have sufficient available income to to make the monthly payments on mortgages financed at market interest rates for standard loan terms. Financing strategies, fueled by the creativity and resources of the private and public sectors, should address both of these financial barriers to homeownership.”
Fool me once…
This ALL started when that commie tool, Carter the Peanut Farmer signed the Community Reinvestment Act in 1977.
The act was created by “community activist groups” and written by the “National Peoples Action” committee of Chicago. It was specifically their aim to force government to in turn, force lenders to lend money to people who could not afford to borrow money.
The Democrat dominated 95th Congress pessed the act and the Democrat Senate approved it …Carter signed it.
Everything since then has been a matter of politicians trying to impose damage control on the consequences of this piece of communist inspired policy that was written by black racist communists and enacted by stupid liberal politicians in order to BUY votes. This includes all the spineless GOP congressional reps and Senators over the years who failed to take the issue on and deal with it. It also includes Reagan, GHWBush and GWBush.
Chicago + NPA + Democrats + Obama = Trouble for EVERYONE
You cannot expect anything BUT support for carrying on this disaster until every one of these players are removed from the left side of the equation.