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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: lifeisgood who wrote (79167)	1/25/2008 11:13:09 PM
From: robert b furman	Read Replies (2) \| Respond to of 94695

HI LIG, I am a day to day dealer in a GM dealership. I am a financial participant in 4 dealerships. We have a low income per capita market. From what I've seen over the last 20 years I GENUINELY DO NOT AGREE WITH YOUR PERSPECTIVE. IT IS NOT AUTOMATICALLY TRANSFERRED TO THE NEXT CATEGORY OF SUBPRIME CREDIT! The standards were not lowered for political expediency, as they WERE for "HOME OWNERSHIP". From my day to day real world experience I do not see the deterioration of credit standards - THAT DID OCCUR IN THE REAL ESTATE MARKET! It is a little known fact that if a dealer lied or misrepresented income or credit on a credit ap and it later resulted in a repo - then the dealer is held liable for what is termed "terms and conditions". Now some sleaze bag who is a mortgage originator (including Countrywide)who kinks a credit ap and gets a mortgage approved,based on falsehoods,and 5 years later the market tanks and the property goes into foreclosure - WHO YOU GONNA CHASE? In a car loan - you go after the dealer - we've been in business for 65 years - there are assets to chase and from our perspective - THERE ARE ASSETS TO PROTECT !! Therein lies the major difference - I sincerely beg to differ with your rather cavalier deducement that the next wave is a natural(that is subprime car loans are next). Not to be rude -but quite FRANKLY - YOU DO NOT KNOW WHAT YOU ARE TALKING ABOUT -from my very honest and sincere perspective. I hate to be so frank on the internet,but I am quite sincere. If this conversation is to be continued -please P-mail me at rbfurman@martinautopark.com . I will be pleased to discussed the integrity that has been imposed upon credit applications with the car biz - that is not to say there are not rogue dealer apps as well.What I am trying to say is that those kinks are old news and dealers long ago have been held liable for them - that is NOT the case in Real Estate! Best of trades to you,my friend I hope. Bob