Get rid of your mortgage, loans, because interest rates set to rise

Get rid of your mortgage, loans, because interest rates set to rise

Get rid of your loans, guys and gals, because we are going into a high interest rate period. Very high. It will be the equivalent of going into the double digit interest rates we had in the 80s where many people threw their house keys at the bank and we had record numbers of ba

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E-cigarettes save lives, money

E-cigarettes save lives, money

"We know that cigarettes have thousands of chemicals in them and we know that they are killing us. They have been for over a hundred years. So now, the e-cig industry comes along with only one or two chemicals in their mixture and people are freaking out over these as well. Whe

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US inches closer to big bank charges

US inches closer to big bank charges

Federal prosecutors are nearing criminal charges against some of the world’s biggest banks, according to lawyers briefed on the matter, a development that could produce the first guilty plea from a major bank in more than two decades. In doing so, prosecutors are confronting

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Canada’s home sales top predictions; why a real estate crash is inevitable

Canada’s home sales top predictions; why a real estate crash is inevitable

“The assurance of relatively low borrowing costs has likely given home buyers confidence while rising home values have kept new listings at a healthy level. Stable employment has provided some assurance to owners and buyers alike.” Our website is back after many months of

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Comparing today’s recession/depression to the 1980 recession

Comparing today's recession/depression to the 1980 recession

"Much like today, Americans were concerned not only with high unemployment but increasing budget deficits in the early 1980s. A September 1983 Gallup poll found that three-fourths of the public agreed that the federal government's budget deficit was a great threat (42%) or some

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Why savers are getting screwed

Why savers are getting screwed

"Without the intervention of economic policymakers, interest rates would be naturally higher. That would increase the cost of borrowing for businesses and consumers, but there would be some offsetting economic benefits. Savers are getting screwed by the current monetary policy

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Geithner admits USA bankrupt to US Senate

Geithner admits USA bankrupt to US Senate

"Never in our history has Congress failed to increase the debt limit when necessary. Failure to raise the limit would precipitate a default by the United States. Default would effectively impose a significant and long-lasting tax on all Americans and all American businesses

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Real reason for electricity blackouts hitting southern US

Real reason for electricity blackouts hitting southern US

“Large oil companies have for a decade artificially shorted the gasoline market to drive up prices,” said FTCR president Jamie Court. “Oil companies know they can make more money by making less gasoline.” The following article was written by Paul Joseph Watson. He is t

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World economies on verge of currency revaluations to deal with debt

World economies on verge of currency revaluations to deal with debt

"It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning." -- Henry Ford Basically what the world central banks are doing is increasing their money by devaluin

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Is Obama the next Mugabe of Zimbabwe?

Is Obama the next Mugabe of Zimbabwe?

"America, Britain, Japan, Germany, France, Sweden, Holland, Norway, Canada and Australia make up the Fishmongers Group and their meeting on Tuesday will deliberate on the state of the inclusive government, debt relief, public finance administration and the controversial economi

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US raiding foreign countries with dollars, not soldiers

US raiding foreign countries with dollars, not soldiers

""The United States is going to China and saying: we want you to commit economic suicide, just like Japan did. We want you to follow the same thing: we want you to revalue your currency, we want you to squeeze your companies, we want you to go bankrupt,” says Michael Hudson,

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FDIC wants your retirement cash to save banks: Bloomberg

FDIC wants your retirement cash to save banks: Bloomberg

“The FDIC is constantly looking at structures where we can get the greatest opportunity to tap into capital that we have not had the success reaching through previous disposition methods,” FDIC spokeswoman Michele Heller said in an e-mailed statement. “We welcome and work

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classic time bomb

“The choice we appear to be making is trying to modify our way out of this, which has the effect of lengthening the crisis,” Kevin Katari of Watershed Asset Management, told The New York Times.

This new year will be a clean slate for many but not for the USA. There they have way too much baggage (ie. debt). To say that the new year comes with much hope as the old year passed would be irrational because the US has way too much debt still pending. Indeed, 12 trillion dollar debts are not so easily swept under rugs. Obama did not do the right thing when he took the path to deny the problems. Instead, he should have let the natural fallout happen to the companies involved.

For some reason he thought that he had to support the rich and elite who admitedly funnel most of the money used to run elections in the USA. He basically caved into his own need for money. He made a lot of speeches and then did exactly the opposite of what he promised he would do in his election platforms. He has been a real loser in this and it will stick to him and will not help him get elected a second term. This is said because by the time elections come around the world will have laid waste to the great US dollar and the lifestyles of the people there will take a huge hit. Where now we see things cheaper in the USA they soon wil have to climb much higher.

Oil prices, for example, will be very much higher, and if the Euro displaces the USD as the currency used to set prices, then the USD will fall the way of the dinosaur. It will not be the end of the world but if you remember when the Canadian loonie was at near 60 cents, all the Canadians had to face reality and pay more for things. That is what is going to happen in the USA in the next 2-3 years and it will all be just in time for the next elections for president. Now we all know this will be a great blow to the USA. If you can see to the future with some imagination, you wil see the next phase of this playing out the way those rich elitist want it to and that is “blame the black guy” for ruining the economy and doing such a bad job.

Shiller, Case: Prime Mortgages Are Next Time Bomb

Thursday, 07 Jan 2010 By: Dan Weil

Real estate gurus Robert Shiller and Karl Case say the mortgage crisis will now spread even to homeowners with strong credit scores. [Video]

The two co-founded the S&P/Case-Shiller Home Price Index. Shiller teaches at Yale and Case at Wellesley College.

“There will be continuing foreclosures, and not just subprime, it will be prime mortgages,” Shiller told Bloomberg.

“This is creating a huge shadow inventory of homes that are still owned, but they’re going to be on the market in the next year or so.”

Already, the amount of prime mortgages overdue by at least 60 more than doubled in the third quarter from a year earlier, according to government data.

Unemployment, now at 10 percent, will lead to more defaults, the two experts say.

“Unemployment is not respecting income boundaries,” Case told Bloomberg.

“It’s affecting rich people, poor people and middle-income people, and they all have mortgages.”

To be sure, Case isn’t completely pessimistic about the housing market.

He sees a good chance that last year’s rebound will continue.

Home resales have surged, while new home supply has plunged.

“That’s taking some of the pressure off,” Case said.

Others are more pessimistic, saying the Obama administration’s mortgage relief program will make things worse.

“The choice we appear to be making is trying to modify our way out of this, which has the effect of lengthening the crisis,” Kevin Katari of Watershed Asset Management, told The New York Times.

Related posts:

  1. Canada largest sub-prime lender; housing market set to burst: analysts“Reading the newspapers these days, you have to wonder whether Canada was on another planet when the global credit crisis hit.” — Murray Dobbin All the news reports from Canadian...
  2. Canada is world’s largest sub-prime lender“Reading the newspapers these days, you have to wonder whether Canada was on another planet when the global credit crisis hit.” — Murray Dobbin All the news reports from Canadian...
  3. Mortgage fraud in Canada highlights tumbling market“The Bank of Montreal has been hit by a huge mortgage fraud in Alberta that may cost it $30 million, a report said. The bank is suing hundreds of people...
  4. Congress wants mortgage overhaul“Many fear any major overhaul of U.S. housing finance will slam a still tottering housing market. If America scraps its current system tomorrow, that’s what will happen. At a minimum,...
  5. Mortgage, real estate taking another hit across North AmericaAll the news reports from US and Canadian real estate associations touting that the housing “recession has ended” is just about as worthless as the hot air coming out of...
  6. Was Goldman Sachs at fault for the mortgage crisis?“Goldman Sachs are scum– that’s the bottom line. They have basically co-opted the government; they’ve co-opted the Treasury Department; the Federal Reserve functionality; they’ve co-opted the Obama administration. Barack Obama...

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