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Politics : GOPwinger Lies/Distortions/Omissions/Perversions of Truth -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (138383)	9/23/2008 10:21:15 PM
From: geode00	Respond to of 173976

So you think the 9% number is too high? I thought it sounded too high as well but that number keeps getting repeated. It is limited to 4 bedrooms and under but I doubt that makes much of a difference. ------Another look from earlier this year, these are severely delinquent as opposed to just starting to become delinquent by being behind or having late payments recently: reuters.com "The states with the most severely delinquent mortgage accounts include California (12.4 percent of mortgage accounts are severely delinquent), Florida (8 percent of mortgage accounts are severely delinquent) Texas (6.3 percent of mortgage accounts are severely delinquent) ====== It seems like the borrowing, the leveraging as high as 30-to-1 is also the problem. Even if the mortgages are good or more or less good, that leverage is ridiculous in the best of times. I read an interesting article on alternet that talked about a general purpose problem with the first world economy. We are so efficient that we can't find new places to put all the junk we make for each other. The rest of the world can't afford our junk so people are resorting to nonsense paper transactions in order to pretend there is serious growth in the economies. That would make this a more serious problem than just a problem of greedy Wall Streeters. It would be a sea change in how we think about life and success and opportunity in general. It is more fun to be delusional.

To: Lizzie Tudor who wrote (138383)	9/23/2008 10:31:00 PM
From: Kevin Rose	1 Recommendation Read Replies (1) \| Respond to of 173976

The 'paper', representing bundles of these mortgages, is worthless only because of the current crisis. The crisis in confidence has dried up the pool of potential buyers, more so than the actual declining value of these bundles. So, if the government does reach consensus on a bailout that makes sense - and restores the oversight taken away by the conservative philosophy of 'free markets' - these bundles will gain some value because there is a buyer. Once that market is stabilized, the thinking goes, people start to see that there really is value in these bundles - at some pennies on the dollar, to be sure, but value nonetheless.