The economy, is it good or bad. (Page 25/181)
84Bill AUG 11, 02:09 PM

quote
Originally posted by Phranc:
In other words you haven't.



In other words, none of your business
Formula88 AUG 11, 02:13 PM

quote
Originally posted by 84Bill:
However if one can not afford to bust that montly nut then now is not the time to buy.. I mean like Duhh.. it's not rocket science.




That has nothing to do with the economy, though. If you buy a house and can't afford the "monthly nut" then you're in for financial problems - regardless of the economy. The only possibility is when the the prices were going up so fast you had the option of selling for more than you paid when you couldn't make the payments. Counting on that is foolhearty. It was foolish when the housing market was booming and it's suicidal now.

I bought my house last year. If it drops in value or interest rates go up, that doesn't affect me. My 30 year fixed mortgage payment isn't going to change. My interest rate isn't going to go up. I could only lose money if I decide to sell during a slump. Over the long term prices will recover and grow and if I wait a few years to sell, this housing slump with have zero effect on me.

If you're just looking to buy real estate as an investment to flip, then you take more risks. But that doesn't change the fact that you have to pay the mortgage until the house is sold. You just have to make sensible choices - don't get a mortgage that's going to be affordable today and bankrupt you when the rates adjust, and don't buy more house than you can afford to pay for. That's true for everything - not just housing.

Right now my biggest economic concern is the devaluation of the U.S. Dollar on the world market. With as much as we import, that will make many products more expensive and can lead to inflation.
84Bill AUG 11, 02:32 PM

quote
Originally posted by Formula88:
That has nothing to do with the economy, though. If you buy a house and can't afford the "monthly nut" then you're in for financial problems - regardless of the economy. The only possibility is when the the prices were going up so fast you had the option of selling for more than you paid when you couldn't make the payments. Counting on that is foolhearty. It was foolish when the housing market was booming and it's suicidal now.



From what I'm reading and watching in and on the news it aprears that many of those "investors" flipping houses are the ones who got those crappy mortgages figureing they could pull a fast flip and are now stuck with 2 and 3 houses they cant sell. These same asshulls are the ones to caused the housing prices to skyrocket in the first place and those who follishly bough an overpriced POS house with a wonderfull adjustable interest rate are being forced out because (1) The POS house was artificially inflated to begin with due to the roll over practices. (2) The interest rates have gone up (3) Insurance rates have gone up (4) Property taxes have gone up (5) Energy costs have gone up which means pretty much everything across the board has gone up (6) Pay has not gone up at the same rate. (7) The POS house will not sell for near its overly inflated purchase price.

Home builders who built those cheaply built highly priced POS houses at astonishing rates are now really hurting. Some cant even continue their half built developments.. Brandy ne POS houses are vaccant along with the older WAY overly priced houses. THey simply cant sell them.


quote

Right now my biggest economic concern is the devaluation of the U.S. Dollar on the world market. With as much as we import, that will make many products more expensive and can lead to inflation.



You mean MORE inflation?

It's already happening. Nazi owned Wal-Mart is suffering sales decline. The local distribution center is currently cutting back job thru attrition to offset the drop in sales but will still show quartly gains. The next step is to raise prices and from what I can see.. it's starting to happen.

Some retailers are even promoting "tax free days" to get people into the stores. They may not charge tax but you can bet your sweet hiney they raised the prices a few cents prior to their market campaign and they aint going to lower them again anytime soon.

[This message has been edited by 84Bill (edited 08-11-2007).]

heybjorn AUG 11, 05:31 PM
"Some retailers are even promoting "tax free days" to get people into the stores."

Tax free days, or weeks, are generally legislated by the state and occur close to the start of school, at least everywhere where I have
paid attention when I heard about it. Bill, you live in Fl, so you should know that that is what happened here. This week is no tax week.

As for raising prices, I've been shopping this week and haven't seen any evidence of that. In fact, the local WalMart where I buy the
tee shirts I wear to work had them for $3 instead of $4 and their brand of jeans was $10. I bought a jacket at J. C. Penney that was marked down to $48 from $160. All of the mens wear was marked down. All of the clothes I regularly buy keep going down in price with no change in quality. However, I do wait for sales and watch prices carefully when I buy.

The trucking industry is still hiring.
84Bill AUG 11, 06:16 PM

quote
Originally posted by heybjorn:

"Some retailers are even promoting "tax free days" to get people into the stores."

Tax free days, or weeks, are generally legislated by the state and occur close to the start of school, at least everywhere where I have
paid attention when I heard about it. Bill, you live in Fl, so you should know that that is what happened here. This week is no tax week.

As for raising prices, I've been shopping this week and haven't seen any evidence of that. In fact, the local WalMart where I buy the
tee shirts I wear to work had them for $3 instead of $4 and their brand of jeans was $10. I bought a jacket at J. C. Penney that was marked down to $48 from $160. All of the mens wear was marked down. All of the clothes I regularly buy keep going down in price with no change in quality. However, I do wait for sales and watch prices carefully when I buy.

The trucking industry is still hiring.



You said it so it must be true
Toddster AUG 11, 07:01 PM

quote
Originally posted by 84Bill:

Again this is not rocket science.



A lot of things aren't rocket science Bill. The mating habits of African Swallows in not rocket science. Pillow fights are not rocket science. Stupidty is not rocket science.

Economics...THAT'S rocket science Bill. And clearly you're no rocket scientist.
84fiero123 AUG 11, 07:50 PM

quote
Originally posted by 84fiero123:

What manufacturing sector are you talking about exactly?

We no longer have one, everything is built someplace else.

Thanks to those who insist on buying Toyota, Honda, Hyundai, and every other car made overseas, or made here and then all the profits sent back to their home country.

Keep telling yourself we are in fine shape, buy that BMW, Sony TV, and al the other crap.

Don’t forget to buy your kids those Chinese made toxic toys.




Did you forget to comment on this one Todd?

Or this?


quote
Originally posted by 84fiero123:

It’s going to hit hard, and already is in California. They have the highest percentage of loans at high risk.

Option-ARMs accounted for nearly 22 percent of the mortgages made in California during 2006, according to LoanPerformance. Other hot spots included: Nevada (15 percent), Hawaii (13.3 percent), Florida (12.2 percent), Washington (10.9 percent) and Arizona (10.6 percent).
If many of those loans go bad, major option-ARM lenders will likely be forced to erase some of the profits that they have already booked from the exotic mortgages. Under an accrual accounting method allowed by regulators, option-ARM lenders routinely record the uncollected interest as income even though the money may never be paid.

http://money.excite.com/jsp...ews_id=ap-d8qujga00&

Real-estate agents like Todd who keep saying the economy is fine and home prices will never go down, only up are part of the problem.

Painting this rosy picture of the housing market that is not there.

The housing bubble is bursting and it’s all California’s fault. They think they can do no wrong.




I see you don’t answer the questions that have a ring of truth.

------------------
Technology is great when it works,
and one big pain in the ass when it doesn't.
Detroit iron rules all the rest are just toys.

Toddster AUG 11, 07:58 PM

quote
Originally posted by 84fiero123:


I see you don’t answer the questions that have a ring of truth.




Didn't forget. I don't answer the questions of people not willing to learn. Why should I waste my breath sharing my knowledge with you when no matter WHAT I say you will merely disagree with me for the sake of being argumentative?

I'm happy to answer serious and legitimate questions on economics from anyone on any level of understanding on the subject but I simply scoff at trolls.
84fiero123 AUG 11, 08:03 PM

quote
Originally posted by Toddster:


Didn't forget. I don't answer the questions of people not willing to learn. Why should I waste my breath sharing my knowledge with you when no matter WHAT I say you will merely disagree with me for the sake of being argumentative?

I'm happy to answer serious and legitimate questions on economics from anyone on any level of understanding on the subject but I simply scoff at trolls.



So you really are stupid!

You can’t give a good answer to those legitimate questions and your non answer proves your not quite as smart as you think you are. Of course no one could be as smart as you think you are.

------------------
Technology is great when it works,
and one big pain in the ass when it doesn't.
Detroit iron rules all the rest are just toys.

Toddster AUG 11, 08:06 PM

quote
Originally posted by 84fiero123:


So you really are stupid!

You can’t give a good answer to those legitimate questions and your non answer proves your not quite as smart as you think you are. Of course no one could be as smart as you think you are.




Well you sure did put me in my place. How silly of me to think you are a troll.