Zone1 Tax the Rich! Make them Pay their Fair Share!

[JonKoch]

50% subprime.

Sounds like a good idea, until the music stops and the subprime borrowers can't refi and can't pull out equity.

50% bad, 56% worse doesn't make 50% good.

DURR

Nope, NOT 50% subprime Cupcake, AFFORABLE HOUSING GOALS. Learn about what you are posting about Cupcake

 

[leftwinger]

Sorry, Dubya's home ownership society PONZI scheme that the Banksters pushed world wide, was Barney Frank's problem? The guy who was a minority in the GOP majority House Jan 1995- Jan 2007? PLEASE tell me the super powers he had?



The Presidents Working Group's March 2008 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





"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."

https://www.responsiblelending.org/mortgage-lending/research-analysis/Net-Drain-in-Home-Ownership.pdf

Q HOLY JESUS! DID YOU JUST PROVE THAT OVER 50 % OF ALL MORTGAGES IN 2006 DIDN'T 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. And then they sold the loan and risk to investors and GSEs clamoring for the loans.



MY OLD THREAD

Thread 'FACTS on Dubya's great recession'

Jul 2, 2014

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.”



Q Did the Community Reinvestment Act under Carter/Clinton caused it?


A "Since 1995 there has been essentially no change in the basic CRA rules or...

• Dad2three
• Replies: 481
• Forum: Economy

• 

More Lawrence O'Donnell MSNBC Socalist 101 BS not worth my time. We lived thru it. Saw it. All Congress not just homeO Frank & DODD. Im out Larry//

 

[JonKoch]

Wall Street crap, incentivized by HUD requirements, doesn't make Fannie and Freddie crap somehow good.

You never said, how much of the subprime crap ended up in Fannie/Freddie and government hands?

Incentivized by HUD requirements yet the Banksters in the US paid over $200 BILLION in fines? About $350 BILLION WORLDWIDE? That was HUD too?
lol

• Top Penalized Banks: Bank of America paid over $56 billion, JPMorgan Chase over $28 billion, and other major institutions like Deutsche Bank, RBS, and Citigroup paid billions each.
• 
  
• 
  
• Primary Causes: The bulk of the fines ($89 billion in one study) were for misrepresenting risks associated with mortgage-backed securities, which triggered the financial crisis.

 

[JonKoch]

Wall Street crap, incentivized by HUD requirements, doesn't make Fannie and Freddie crap somehow good.

You never said, how much of the subprime crap ended up in Fannie/Freddie and government hands?

Let me help YOU once more Cupcake


Loans guaranteed by Fannie Mae and Freddie Mac (the Government-Sponsored Enterprises, or GSEs) performed significantly better than private-label securities (PLS) during the 2008 financial crisis, although they still suffered substantial losses.
Data indicates that GSE loans generally experienced delinquency rates and losses that were much lower than those of private, non-government-backed subprime lenders, with some analyses showing GSE delinquency rates around 5.9% compared to 26.8% for private-label securities.

GSE Critics Ignore Loan Performance​

5 Features of Successful Housing Finance Reform

A reformed housing finance system should prioritize people at all income levels, including renters, and support liquidity and affordability across the mortgage market.

www.americanprogress.org

 

[Toddsterpatriot]

Incentivized by HUD requirements yet the Banksters in the US paid over $200 BILLION in fines? About $350 BILLION WORLDWIDE? That was HUD too?
lol

• Top Penalized Banks: Bank of America paid over $56 billion, JPMorgan Chase over $28 billion, and other major institutions like Deutsche Bank, RBS, and Citigroup paid billions each.
• 
  
• 
  
• Primary Causes: The bulk of the fines ($89 billion in one study) were for misrepresenting risks associated with mortgage-backed securities, which triggered the financial crisis.

Incentivized by HUD requirements

Obviously.

 

[Toddsterpatriot]

Let me help YOU once more Cupcake


Loans guaranteed by Fannie Mae and Freddie Mac (the Government-Sponsored Enterprises, or GSEs) performed significantly better than private-label securities (PLS) during the 2008 financial crisis, although they still suffered substantial losses.
Data indicates that GSE loans generally experienced delinquency rates and losses that were much lower than those of private, non-government-backed subprime lenders, with some analyses showing GSE delinquency rates around 5.9% compared to 26.8% for private-label securities.

GSE Critics Ignore Loan Performance​

5 Features of Successful Housing Finance Reform

A reformed housing finance system should prioritize people at all income levels, including renters, and support liquidity and affordability across the mortgage market.

www.americanprogress.org

Thanks for the help.

How much of the subprime crap ended up in Fannie/Freddie and government hands?

 

[JonKoch]

If you have some real numbers, post them already.

• GSE Superior Performance: By metrics such as delinquencies, defaults, and loss severity, loans held or guaranteed by Fannie and Freddie performed far better than the rest of the market.

• Private Market Weakness: Private-label mortgages, which were heavily concentrated in subprime loans, performed exponentially worse, with private-label losses accounting for 51% of the grand total compared to 14% for the GSEs at the end of 2012.

• Non-Agency Concentration: Private lenders (non-bank underwriters) issued more than 84% of subprime mortgages in 2006.

DOES THAT HELP CUPCAKE?

Lest We Forget: Why We Had A Financial Crisis

When a true genius appears in the world you may know him by this infallible sign, that the dunces are all in confederacy against him. Jonathan Swift 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 [...]

www.forbes.com

 

[JonKoch]

Thanks for the help.

How much of the subprime crap ended up in Fannie/Freddie and government hands?

You mean BECAUSE Dubya FORCED F/F to buy $440 BILLION of MBS's in 2004 to help his economy, Cupcake?

 

[Toddsterpatriot]

• GSE Superior Performance: By metrics such as delinquencies, defaults, and loss severity, loans held or guaranteed by Fannie and Freddie performed far better than the rest of the market.

• Private Market Weakness: Private-label mortgages, which were heavily concentrated in subprime loans, performed exponentially worse, with private-label losses accounting for 51% of the grand total compared to 14% for the GSEs at the end of 2012.

• Non-Agency Concentration: Private lenders (non-bank underwriters) issued more than 84% of subprime mortgages in 2006.

DOES THAT HELP CUPCAKE?

Lest We Forget: Why We Had A Financial Crisis

When a true genius appears in the world you may know him by this infallible sign, that the dunces are all in confederacy against him. Jonathan Swift 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 [...]

www.forbes.com

How much of the subprime crap ended up in Fannie/Freddie and government hands?

 

[Toddsterpatriot]

You mean BECAUSE Dubya FORCED F/F to buy $440 BILLION of MBS's in 2004 to help his economy, Cupcake?

2004? Wasn't the rate still at Clinton's 50%?

 

[JonKoch]

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.

Reason #3, regulators forced them

LMAOROG. Sure Cupcake, Sure, if you are agreeing Dubya's policies forced F/F to buy bad MBS's and CDO's, which is why, mainly, the PLS market cratered in 2008, it took down the GSE's, I agree

 

[JonKoch]

NAH ACTUALLY NOT ALL SUBPRIMES WERE LOW QUA;ITY CUPCAKE

When you lend to less qualified buyers and you also allow lower down payments, you're making more low quality loans.

OK, I've repeatedly shown YOU ARE FULL OF SH!T CUPCAKE

Again, I've shown numbers, you shown BS. I'm done making a MAGATard look stoopid, again, IT'S ALL IN HERE IF TOU DOUBT ME BUTTERCUP



FACTS on Dubya's great recession

 

[JonKoch]

View attachment 1243206

Recent data from the Equality Trust and the Office for National Statistics (ONS) indicates that the bottom 10% of UK households pay an effective tax rate of approximately 44%, while the richest 0.01% pay an effective rate of around 21%. This disparity arises because lower-income households spend a significantly larger portion of their income on indirect taxes—such as VAT, fuel duty, and council tax—which are not scaled based on ability to pay


OH RIGHT THE REGRESSIVE TAX (FLAT) MOST ON THE RIGHT PUSH FOR HERE IN THE USA

 

[JonKoch]

50% subprime.

Sounds like a good idea, until the music stops and the subprime borrowers can't refi and can't pull out equity.

50% bad, 56% worse doesn't make 50% good.

DURR

Despite your BS premise, affordability isn't the same as subprime Dubya cheered for

 

[JonKoch]

More Lawrence O'Donnell MSNBC Socalist 101 BS not worth my time. We lived thru it. Saw it. All Congress not just homeO Frank & DODD. Im out Larry//

Sorry, I forgot the gay guy who was minority member of the GOP majority House had super duper powers, 1995-Jan 2007.

Dodd too somehow when Dubya couldn't push through ANY reform on GSE's until the Dems took Congress in 2007. Weird right?

TWO UNFUNDED tax cuts, TWO UNFUNDED wars, UNFUNDED Medicare privatization that costs US $230+ billion THIS F/Y without a single penny of revenues, but Barney couldn't stop Dubya from "regulating" the GSE's? lol

 

[JonKoch]

Incentivized by HUD requirements

Obviously.

Only to idiotic MAGATards


“The idea that they were leading this charge is just absurd,” says Guy Cecala, publisher of Inside Mortgage Finance, an authoritative trade publication. “Fannie and Freddie have always had the tightest underwriting on earth. … They were opposite of subprime.”





The evidence indicates Fannie and Freddie contributed to the mortgage meltdown, but they played a secondary role to Wall Street. Wall Street firms and the mortgage lenders they bankrolled led the growth of the market for subprime loans and other risky mortgages.

FactWatch: Fannie and Freddie were followers, not leaders, in mortgage frenzy – Center for Public Integrity

Ask many Americans who’s to blame for the nation’s economic mess, and two names come to mind: Fannie and Freddie. They see Fannie Mae and Freddie Mac as the villains of the financial crisis. GOP.gov, the official website for Republicans in the House of Representatives, says flatly: “Fannie Mae...

publicintegrity.org

 

[JonKoch]

Thanks for the help.

How much of the subprime crap ended up in Fannie/Freddie and government hands?

I'll help YOU Cupcake, I know you need it


By 2008, these GSEs held or guaranteed over $1.8 trillion in risky loans, roughly 40% of newly issued private-label subprime securities.


Key details:

• Accumulation: In a push to increase affordable homeownership, Fannie and Freddie heavily acquired subprime-like loans (including high percentages of interest-only and negative amortization loans) between 2004 and 2007, often to regain market share lost to private lenders. (WAS THAT BJ BILL'S FAULT? OR WAS THAT DUBYA WHO WAS THE REGULATOR AT THE TIME?)

Subprime Mortgage Crisis

The expansion of mortgages to high-risk borrowers, coupled with rising house prices, contributed to a period of turmoil in financial markets that lasted from 2007 to 2010.

www.federalreservehistory.org

 

[JonKoch]

2004? Wasn't the rate still at Clinton's 50%?

Nah, once MORE, BJ BILL DIDN'T ALLOW THE AFFORDABLE HOUSING GOALS OF 50% TO USE IT REMEMBER? THIS IS THE 4TH TIME I'M SHOWING YOU CUPCAKE, KEEP UP


In 2000 (BJ BILL) , as HUD revisited its affordable-housing goals, the housing market had shifted. With escalating home prices, subprime loans were more popular. Consumer advocates warned that lenders were trapping borrowers with low "teaser" interest rates and ignoring borrowers' qualifications.


HUD restricted Freddie and Fannie, saying it would not credit them for loans they purchased that had abusively high costs or that were granted without regard to the borrower's ability to repay. Freddie and Fannie adopted policies not to buy some high-cost loans.




BUT THAT DIDN'T STOP DUBYA DID IT?

https://archive.ph/ZhfIA#selection-543.0-543.161

 

[Toddsterpatriot]

LMAOROG. Sure Cupcake, Sure, if you are agreeing Dubya's policies forced F/F to buy bad MBS's and CDO's, which is why, mainly, the PLS market cratered in 2008, it took down the GSE's, I agree

I agree, lowering the standards for Fannie and Freddie was an awful idea!
It was awful under Clinton and it was awful under Bush.

 

[Toddsterpatriot]

Recent data from the Equality Trust and the Office for National Statistics (ONS) indicates that the bottom 10% of UK households pay an effective tax rate of approximately 44%, while the richest 0.01% pay an effective rate of around 21%. This disparity arises because lower-income households spend a significantly larger portion of their income on indirect taxes—such as VAT, fuel duty, and council tax—which are not scaled based on ability to pay


OH RIGHT THE REGRESSIVE TAX (FLAT) MOST ON THE RIGHT PUSH FOR HERE IN THE USA

Yes, they pay all those awful taxes.

But how do they pay 44%?