[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 488: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/bbcode.php on line 112: preg_replace(): The /e modifier is no longer supported, use preg_replace_callback instead
[phpBB Debug] PHP Warning: in file [ROOT]/includes/functions.php on line 4762: Cannot modify header information - headers already sent by (output started at [ROOT]/includes/functions.php:3897)
[phpBB Debug] PHP Warning: in file [ROOT]/includes/functions.php on line 4764: Cannot modify header information - headers already sent by (output started at [ROOT]/includes/functions.php:3897)
[phpBB Debug] PHP Warning: in file [ROOT]/includes/functions.php on line 4765: Cannot modify header information - headers already sent by (output started at [ROOT]/includes/functions.php:3897)
[phpBB Debug] PHP Warning: in file [ROOT]/includes/functions.php on line 4766: Cannot modify header information - headers already sent by (output started at [ROOT]/includes/functions.php:3897)
Seattle Bubble Forum Archive • View topic - Bailout of the Bailout Question...

Bailout of the Bailout Question...

How will housing affect the US and world economy? How will the economy affect housing?

Moderators: synthetik, The Tim, Lake Hills Renter

Bailout of the Bailout Question...

Postby LongTimeListener » Wed Dec 03, 2008 12:49 pm

Instead of offering rebates to everyone, and bailing out the lenders with bad lending practices, while ignoring the buyers with bad buying habits...

Why doesn't the government mandate an across the board interest rate cut on existing mortgages.....say 50%.

This would continue to allow the banks to profit on existing loans, help many folks continue to be able to pay their mortgages, and act as a great "rebate" for everyone that's not underwater....stimulating the economy.

Thoughts?
LongTimeListener
Bubble Watcher
 
Posts: 5
Joined: Mon Oct 20, 2008 4:35 pm

Re: Bailout of the Bailout Question...

Postby Alan » Wed Dec 03, 2008 1:34 pm

I'm not sure that would allow banks to profit on existing loans.

What about "helping" people who decided the most responsible action was to rent instead of buying a house?
Alan
Bubble Banter Boss
 
Posts: 780
Joined: Sun Feb 18, 2007 7:08 pm

Re: Bailout of the Bailout Question...

Postby LongTimeListener » Wed Dec 03, 2008 1:55 pm

Those people don't need help, they are already have lower monthly expenses...and if they aren't spending their excessive savings now..they never will. ;)

There is already a bail out plan for renters who decided not to buy a house....aren't they called Certificates of Deposit????
LongTimeListener
Bubble Watcher
 
Posts: 5
Joined: Mon Oct 20, 2008 4:35 pm

Re: Bailout of the Bailout Question...

Postby Alan » Wed Dec 03, 2008 2:43 pm

I'm a renter and I think I need a bailout. Who are you to tell me that I don't?
Alan
Bubble Banter Boss
 
Posts: 780
Joined: Sun Feb 18, 2007 7:08 pm

Re: Bailout of the Bailout Question...

Postby deejayoh » Wed Dec 03, 2008 3:24 pm

deejayoh
Bubble Banter Boss
 
Posts: 1166
Joined: Mon Feb 26, 2007 12:14 pm
Location: Capitol Hill

Re: Bailout of the Bailout Question...

Postby rose-colored-coolaid » Wed Dec 03, 2008 3:33 pm

I, politely, disagree.

1) Banks would fight this tooth and nail. During a time of bank failures you want to eliminate a highly reliable form of income? Also, they don't just have piles of money, they profit by borrowing for a little and loaning for a little more. If banks had to cut rates 50% they would lose money or the government would have to mandate an across the board slash of interest rates.

2) Even if this passed, it would do little. The banks that held onto bad mortgages are all dying, and much of the bad debt is held by other investors...often foreign investors...

3) Did I mention it's just a terrible idea? Overly low interest rates, pushed by the Fed, were one of the primary causes of the housing bubble in the first place. You don't solve a bubble by causing an identical but even bigger version of the same thing!
rose-colored-coolaid
Bubble Banter Boss
 
Posts: 1978
Joined: Mon Jun 18, 2007 10:26 am


Return to The Economy

Who is online

Users browsing this forum: No registered users and 13 guests