Housing Starts Soar

[Dad2three]

I expect nothing less than dad2three's stupid/lair dance. Sad when environment AND heredity conspire against some folks.

For example, this idiot thinks building a house in France effects a home purchase in the US.

Weird you are a moron who doesn't recognize there was a WORLD WIDE credit bubble and bust during Dubya's time in office, one he cheered on in the US and pulled regulators and fought ALL 50 states on who regulated 'predatory lenders', to name just one policy that mattered!

 

[Dad2three]

This is good news. And it is very expected news.

If you did the math, it was just a matter of time. We have been building too few homes the past few years.

lol... You're a smart guy but sometimes you say stupid stuff.

How can you possibly know how many homes there needs to be? Wages are still falling or stagnant and yet housing is increasing as fast as it was under Bush, meaning once again there will be a crash. There is no good news in FDR style economics. Poor people not being able to afford housing (or food) does not create a strong economy. Housing needs to decrease or remain the same for a long long time while wages catch up.

CRYSTAL BALL WORKING AGAIN HUH?

Q When did the Bush Mortgage Bubble start?

A The general timeframe is it started late 2004.

From Bush’s President’s Working Group on Financial Markets October 2008

“The Presidents Working Group’s March policy statement acknowledged that turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007.”

Bushs documented policies and statements in timeframe leading up to the start of the Bush Mortgage Bubble include (but not limited to)

Wanting 5.5 million more minority homeowners
Tells congress there is nothing wrong with GSEs
Pledging to use federal policy to increase home ownership
Routinely taking credit for the housing market
Forcing GSEs to buy more low income home loans by raising their Housing Goals
Lowering Invesntment banks capital requirements, Net Capital rule
Reversing the Clinton rule that restricted GSEs purchases of subprime loans
Lowering down payment requirements to 0%
Forcing GSEs to spend an additional $440 billion in the secondary markets
Giving away 40,000 free down payments
PREEMPTING ALL STATE LAWS AGAINST PREDATORY LENDING


But the biggest policy was regulators not enforcing lending standards.

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

 

[HenryBHough]

When you're forced by government to lend to people you know are incapable of repaying what Is a reasonable expectation?

 

[Dad2three]

When you're forced by government to lend to people you know are incapable of repaying what Is a reasonable expectation?

SERIOUSLY? FORCED? A WORLD WIDE CREDIT BUBBLE AND BUST? LOL, BANKSTERS CREATED A SUBPRIME MARKET IN THE US, BECAUSE THEY HAD NO DOWNSIDE, THEY GOT THEIR BONUSES!



Jun 16, 2005

NEVER before have real house prices risen so fast, for so long, in so many countries. Property markets have been frothing from America, Britain and Australia to France, Spain and China. Rising property prices helped to prop up the world economy after the stockmarket bubble burst in 2000. What if the housing boom now turns to bust?

According to estimates by The Economist, the total value of residential property in developed economies rose by more than $30 trillion over the past five years, to over $70 trillion, an increase equivalent to 100% of those countries' combined GDPs.

The global housing boom In come the waves The Economist


Examining the big lie: How the facts of the economic crisis stack up



The boom and bust was global. Proponents of the Big Lie ignore the worldwide nature of the housing boom and bust.



Private lenders not subject to congressional regulations collapsed lending standards.

Examining the big lie How the facts of the economic crisis stack up The Big Picture


It is clear to anyone who has studied the financial crisis of 2008 that the private sector’s drive for short-term profit was behind it.



More than 84 percent of the sub-prime mortgages in 2006 were issued by private lending. These private firms made nearly 83 percent of the subprime loans to low- and moderate-income borrowers that year. Out of the top 25 subprime lenders in 2006, only one was subject to the usual mortgage laws and regulations.

The nonbank underwriters made more than 12 million subprime mortgages with a value of nearly $2 trillion. The lenders who made these were exempt from federal regulations.

Lest We Forget Why We Had A Financial Crisis - Forbes

MORE ON DUBYA'S FAILURES HERE

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

 

[Dad2three]

When you're forced by government to lend to people you know are incapable of repaying what Is a reasonable expectation?

Q Why is it commonly called the “subprime bubble” ?

A Because the Bush Mortgage Bubble coincided with the explosive growth of Subprime mortgage and politics. Also the subprime MBS market was the first to collapse in late 2006. In 2003, 10 % of all mortgages were subprime. In 2006, 40 % were subprime. This is a 300 % increase in subprime lending.



"Another form of easing facilitated the rapid rise of mortgages that didn't require borrowers to fully document their incomes. In 2006, these low- or no-doc loans comprised 81 percent of near-prime, 55 percent of jumbo, 50 percent of subprime and 36 percent of prime securitized mortgages."

Q HOLY JESUS! DID YOU JUST PROVE THAT OVER 50% OF ALL MORTGAGES IN 2006 DIDNT REQUIRE BORROWERS TO DOCUMENT THEIR INCOME?!?!?!?

A Yes.




Q WHO THE HELL LOANS HUNDREDS OF THOUSANDS OF DOLLARS TO PEOPLE WITHOUT CHECKING THEIR INCOMES?!?!?

A Banks.

Q WHY??!?!!!?!

A Two reasons, greed and Bush's regulators let them.

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

 

[GWV5903]

When you're forced by government to lend to people you know are incapable of repaying what Is a reasonable expectation?

Q Why is it commonly called the “subprime bubble” ?

A Because the Bush Mortgage Bubble coincided with the explosive growth of Subprime mortgage and politics. Also the subprime MBS market was the first to collapse in late 2006. In 2003, 10 % of all mortgages were subprime. In 2006, 40 % were subprime. This is a 300 % increase in subprime lending.



"Another form of easing facilitated the rapid rise of mortgages that didn't require borrowers to fully document their incomes. In 2006, these low- or no-doc loans comprised 81 percent of near-prime, 55 percent of jumbo, 50 percent of subprime and 36 percent of prime securitized mortgages."

Q HOLY JESUS! DID YOU JUST PROVE THAT OVER 50% OF ALL MORTGAGES IN 2006 DIDNT REQUIRE BORROWERS TO DOCUMENT THEIR INCOME?!?!?!?

A Yes.




Q WHO THE HELL LOANS HUNDREDS OF THOUSANDS OF DOLLARS TO PEOPLE WITHOUT CHECKING THEIR INCOMES?!?!?

A Banks.

Q WHY??!?!!!?!

A Two reasons, greed and Bush's regulators let them.

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

More lies from the dumbto3 mullet...

 

[Dad2three]

When you're forced by government to lend to people you know are incapable of repaying what Is a reasonable expectation?

Q Why is it commonly called the “subprime bubble” ?

A Because the Bush Mortgage Bubble coincided with the explosive growth of Subprime mortgage and politics. Also the subprime MBS market was the first to collapse in late 2006. In 2003, 10 % of all mortgages were subprime. In 2006, 40 % were subprime. This is a 300 % increase in subprime lending.



"Another form of easing facilitated the rapid rise of mortgages that didn't require borrowers to fully document their incomes. In 2006, these low- or no-doc loans comprised 81 percent of near-prime, 55 percent of jumbo, 50 percent of subprime and 36 percent of prime securitized mortgages."

Q HOLY JESUS! DID YOU JUST PROVE THAT OVER 50% OF ALL MORTGAGES IN 2006 DIDNT REQUIRE BORROWERS TO DOCUMENT THEIR INCOME?!?!?!?

A Yes.




Q WHO THE HELL LOANS HUNDREDS OF THOUSANDS OF DOLLARS TO PEOPLE WITHOUT CHECKING THEIR INCOMES?!?!?

A Banks.

Q WHY??!?!!!?!

A Two reasons, greed and Bush's regulators let them.

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

More lies from the dumbto3 mullet...

Got it, you hate FACTS

The "turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007," the President's Working Group on Financial Markets OCT 2008

Private sector loans, not Fannie or Freddie, triggered crisis


National news from McClatchy DC News Washington DC


FACTS on Dubya s great recession US Message Board - Political Discussion Forum

 

[GWV5903]

When you're forced by government to lend to people you know are incapable of repaying what Is a reasonable expectation?

Q Why is it commonly called the “subprime bubble” ?

A Because the Bush Mortgage Bubble coincided with the explosive growth of Subprime mortgage and politics. Also the subprime MBS market was the first to collapse in late 2006. In 2003, 10 % of all mortgages were subprime. In 2006, 40 % were subprime. This is a 300 % increase in subprime lending.



"Another form of easing facilitated the rapid rise of mortgages that didn't require borrowers to fully document their incomes. In 2006, these low- or no-doc loans comprised 81 percent of near-prime, 55 percent of jumbo, 50 percent of subprime and 36 percent of prime securitized mortgages."

Q HOLY JESUS! DID YOU JUST PROVE THAT OVER 50% OF ALL MORTGAGES IN 2006 DIDNT REQUIRE BORROWERS TO DOCUMENT THEIR INCOME?!?!?!?

A Yes.




Q WHO THE HELL LOANS HUNDREDS OF THOUSANDS OF DOLLARS TO PEOPLE WITHOUT CHECKING THEIR INCOMES?!?!?

A Banks.

Q WHY??!?!!!?!

A Two reasons, greed and Bush's regulators let them.

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

More lies from the dumbto3 mullet...

Got it, you hate FACTS

The "turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007," the President's Working Group on Financial Markets OCT 2008

Private sector loans, not Fannie or Freddie, triggered crisis


National news from McClatchy DC News Washington DC


FACTS on Dubya s great recession US Message Board - Political Discussion Forum

You have no clue what the facts are...

 

[Dad2three]

When you're forced by government to lend to people you know are incapable of repaying what Is a reasonable expectation?

Q Why is it commonly called the “subprime bubble” ?

A Because the Bush Mortgage Bubble coincided with the explosive growth of Subprime mortgage and politics. Also the subprime MBS market was the first to collapse in late 2006. In 2003, 10 % of all mortgages were subprime. In 2006, 40 % were subprime. This is a 300 % increase in subprime lending.



"Another form of easing facilitated the rapid rise of mortgages that didn't require borrowers to fully document their incomes. In 2006, these low- or no-doc loans comprised 81 percent of near-prime, 55 percent of jumbo, 50 percent of subprime and 36 percent of prime securitized mortgages."

Q HOLY JESUS! DID YOU JUST PROVE THAT OVER 50% OF ALL MORTGAGES IN 2006 DIDNT REQUIRE BORROWERS TO DOCUMENT THEIR INCOME?!?!?!?

A Yes.




Q WHO THE HELL LOANS HUNDREDS OF THOUSANDS OF DOLLARS TO PEOPLE WITHOUT CHECKING THEIR INCOMES?!?!?

A Banks.

Q WHY??!?!!!?!

A Two reasons, greed and Bush's regulators let them.

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

More lies from the dumbto3 mullet...

Got it, you hate FACTS

The "turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007," the President's Working Group on Financial Markets OCT 2008

Private sector loans, not Fannie or Freddie, triggered crisis


National news from McClatchy DC News Washington DC


FACTS on Dubya s great recession US Message Board - Political Discussion Forum

You have no clue what the facts are...

I'm so glad you went into such details about the flaws in each and every posit I've presented with credible links. I'm sure it took you 15 seconds to write your bullshit!

 

[HenryBHough]

I guess my question was too hard.

Saw lots of tap dancing - but no answer.

 

[Dad2three]

I guess my question was too hard.

Saw lots of tap dancing - but no answer.

Your premise was bullshit, NO ONE forced the Banksters to create the WORLD WIDE CREDIT BUBBLE!




The historical "originate and hold" mortgage model was replaced with the "originate and distribute" model. Incentives were such that you could get paid just to originate and sell the mortgages down the pipeline, passing the risk along. The big investment banks simply connected the investors to the originators, helped by the AAA ratings.


"I made a mistake in presuming that the self-interests of organisations, specifically banks and others, were such that they were best capable of protecting their own shareholders and their equity in the firms," The former Federal Reserve chairman, Alan Greenspan


Greenspan - I was wrong about the economy. Sort of Business The Guardian

 

[GWV5903]

When you're forced by government to lend to people you know are incapable of repaying what Is a reasonable expectation?

Q Why is it commonly called the “subprime bubble” ?

A Because the Bush Mortgage Bubble coincided with the explosive growth of Subprime mortgage and politics. Also the subprime MBS market was the first to collapse in late 2006. In 2003, 10 % of all mortgages were subprime. In 2006, 40 % were subprime. This is a 300 % increase in subprime lending.



"Another form of easing facilitated the rapid rise of mortgages that didn't require borrowers to fully document their incomes. In 2006, these low- or no-doc loans comprised 81 percent of near-prime, 55 percent of jumbo, 50 percent of subprime and 36 percent of prime securitized mortgages."

Q HOLY JESUS! DID YOU JUST PROVE THAT OVER 50% OF ALL MORTGAGES IN 2006 DIDNT REQUIRE BORROWERS TO DOCUMENT THEIR INCOME?!?!?!?

A Yes.




Q WHO THE HELL LOANS HUNDREDS OF THOUSANDS OF DOLLARS TO PEOPLE WITHOUT CHECKING THEIR INCOMES?!?!?

A Banks.

Q WHY??!?!!!?!

A Two reasons, greed and Bush's regulators let them.

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

More lies from the dumbto3 mullet...

Got it, you hate FACTS

The "turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007," the President's Working Group on Financial Markets OCT 2008

Private sector loans, not Fannie or Freddie, triggered crisis


National news from McClatchy DC News Washington DC


FACTS on Dubya s great recession US Message Board - Political Discussion Forum

You have no clue what the facts are...

I'm so glad you went into such details about the flaws in each and every posit I've presented with credible links. I'm sure it took you 15 seconds to write your bullshit!

There all flawed, you're flawed...

It's that simple, accuracy can be said in just a few words, especially when they are actually you're own, novel concept...

 

[Dad2three]

Q Why is it commonly called the “subprime bubble” ?

A Because the Bush Mortgage Bubble coincided with the explosive growth of Subprime mortgage and politics. Also the subprime MBS market was the first to collapse in late 2006. In 2003, 10 % of all mortgages were subprime. In 2006, 40 % were subprime. This is a 300 % increase in subprime lending.



"Another form of easing facilitated the rapid rise of mortgages that didn't require borrowers to fully document their incomes. In 2006, these low- or no-doc loans comprised 81 percent of near-prime, 55 percent of jumbo, 50 percent of subprime and 36 percent of prime securitized mortgages."

Q HOLY JESUS! DID YOU JUST PROVE THAT OVER 50% OF ALL MORTGAGES IN 2006 DIDNT REQUIRE BORROWERS TO DOCUMENT THEIR INCOME?!?!?!?

A Yes.




Q WHO THE HELL LOANS HUNDREDS OF THOUSANDS OF DOLLARS TO PEOPLE WITHOUT CHECKING THEIR INCOMES?!?!?

A Banks.

Q WHY??!?!!!?!

A Two reasons, greed and Bush's regulators let them.

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

More lies from the dumbto3 mullet...

Got it, you hate FACTS

The "turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007," the President's Working Group on Financial Markets OCT 2008

Private sector loans, not Fannie or Freddie, triggered crisis


National news from McClatchy DC News Washington DC


FACTS on Dubya s great recession US Message Board - Political Discussion Forum

You have no clue what the facts are...

I'm so glad you went into such details about the flaws in each and every posit I've presented with credible links. I'm sure it took you 15 seconds to write your bullshit!

There all flawed, you're flawed...

It's that simple, accuracy can be said in just a few words, especially when they are actually you're own, novel concept...

Few words? Sure, we elect guys like Cooolidge/Harding/ReaGan/Dubya who don't 'believe in' Gov't or it's regulations/regulators then are shocked when the Banksters hose US!

 

[EdwardBaiamonte]

Few words? Sure, we elect guys like Cooolidge/Harding/ReaGan/Dubya who don't 'believe in' Gov't or it's regulations/regulators then are shocked when the Banksters hose US!

dear, real conservatives don't want soviet regulators because they killed 65 million human beings very slowly with their well intended regulations of the economy. The recent housing crisis was a tiny example of what the liberals have in mind.

don't mean to rock your world!!

 

[Dad2three]

Few words? Sure, we elect guys like Cooolidge/Harding/ReaGan/Dubya who don't 'believe in' Gov't or it's regulations/regulators then are shocked when the Banksters hose US!

dear, real conservatives don't want soviet regulators because they killed 65 million human beings very slowly with their well intended regulations of the economy. The recent housing crisis was a tiny example of what the liberals have in mind.

don't mean to rock your world!!

Unfortunately you 'believe' that nonsense, despite the FACT that it was the least regulated or areas where regulations went unenforced thanks to Dubya/GOP 'belief' that caused the great recession!


No law required the subprime loans, and Gov't backed loans performed nearly 450%-600% better than those 'free markets' you Klowns love to posit

FACTS on Dubya s great recession US Message Board - Political Discussion Forum

 

[EdwardBaiamonte]

Unfortunately you 'believe' that nonsense, despite the FACT that it was the least regulated

now thats truly stupid even for a liberal like you! Bananas are unregulated but not housing dear. They have and FHA ( Federal Housing Administration) and 172 others but not a FBA.

Uber slow beyond belief?

 

[EdwardBaiamonte]

and Gov't backed loans performed nearly 450%-600% better

dear, you've learned 100 times it was because Fanny Freddie took all the good loans and
had no need to make a profit

 

[EdwardBaiamonte]

No law required the subprime loans,

just the law of survival!! See why we say slow, uber slow?

 

[Dad2three]

Unfortunately you 'believe' that nonsense, despite the FACT that it was the least regulated

now thats truly stupid even for a liberal like you! Bananas are unregulated but not housing dear. They have and FHA ( Federal Housing Administration) and 172 others but not a FBA.

Uber slow beyond belief?

Up to 80% of the market, during Dubya's ponzi schewme he chhered on, was in the UNREGULATED markets. See shadow banking


The shadow banking system is a term for the collection of non-bank financial intermediaries that provide services similar to traditional commercial banks. Former Federal Reserve Chair Ben Bernanke provided a definition in April 2012: "Shadow banking, as usually defined, comprises a diverse set of institutions and markets that, collectively, carry out traditional banking functions--but do so outside, or in ways only loosely linked to, the traditional system of regulated depository institutions. Examples of important components of the shadow banking system include securitization vehicles, asset-backed commercial paper (ABCP) conduits, money market mutual funds, markets for repurchase agreements (repos), investment banks, and mortgage companies." Shadow banking has grown in importance to rival traditional depository banking and was a primary factor in the subprime mortgage crisis of 2007-2008 and global recession that followed


Shadow banking system - Wikipedia the free encyclopedia


The 2008 financial crisis was triggered by a run on short term bank debt, illiquidity in the commercial paper market and a sudden lack of confidence in the money market mutual fund industry. All three of these financial products are part and parcel of what is called the “shadow banking system,” which cannot depend on the safety net of either a lender of last resort like the Fed or regulatory agencies that can intervene to deal with the volatility of a run.


A chart in the Financial Crisis Inquiry Commission Report underscored the significance of “shadow banking” by showing it as a larger dollar amount than traditional banking from 2004 until 2008. “The new shadow banks,” blares the report, issued in early 2011,”had few constraints on raising and investing money.” There was no regulation then and the situation has not been rectified

You Better Read This if You Don t Know Anything About the Shadow Banking System - Forbes

 

[Dad2three]

No law required the subprime loans,

just the law of survival!! See why we say slow, uber slow?

Weird, how did the US survive BEFORE Dubya allowed the Banksters to tripple the amount of subprimes in the markets for 3 years? Oh right, therte were UNDERWRITING standards. Something conservatives forgot about and point to Barney or F/F


$200 BILLION A YEAR TO OVER $600 BILLION

I KNOW, GOV'T REQUIRED IT, LOL