Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Vosilla who wrote (47426)	12/15/2005 2:47:24 PM
From: Ramsey Su	Read Replies (3) \| Respond to of 110194

John, there is almost no reason for any delinquencies. Just imagine if you are sitting on a property in any one of the high appreciation areas, the options available are plenty. Financing is still easy to come by. Selling to get out from under debt that you cannot service is always the best move. The foreclosure process generally has to start with insufficient cash flow for whatever reason. Then they dip into savings, or their relatives' savings, if any. The next phase is robbing Peter to pay Paul, usually via credit cards. That is why foreclosures are trailing indicators by a long margin. Furthermore, I am beginning to wonder if we ever had a real estate bubble in the single family arena. As bad as time were during the RTC era, it was land, office, apartments etc that got hit a lot harder than the single families. It may be different this time.

To: John Vosilla who wrote (47426)	12/15/2005 2:57:02 PM
From: russwinter	Read Replies (1) \| Respond to of 110194

We are seeing an increase in deliquencies if CFC numbers are any indication, but it's mostly in the 4Q: Message 21974739 Further, the rob Peter to pay Paul machine ()is seizing up, as that will translate into even more problems. Add in the heating bills that will start arriving with regularity in the mail for the rest of winter, some more pink slips in financial and RE related industries in Bubble locales, latimes.com more mortgage resets, failure to restrain XMAS spending (??), higher credit card minimums= slow pays will really continue to mount up. () Home Equity Loans 08/03/2005 439.3 11/30/2005 436.1 Consumer Loans: 09/14/2005 721.8 11/30/2005 705.8 Real estate, sputtering: 11/09/2005 2858.3 11/16/2005 2853.8 11/23/2005 2863.5 11/30/2005 2861.4