What's crazy is that people are paying a half a million dollars for pressed board constructed town houses. People are also buying into some idea that these disposible housing units are an investment for the future.
The fact is people do buy town houses. People buy housing development homes here, and around the world. At least a housing development comes with a little dirt to build on when the house is falling apart.
These units are financed by huge corporate Lending Institutions like CitiBank and Chase. These are the same corporations that can charge up to 32% interest on an unsecured credit card. In the financial world I don't see how these corporations can lose by making home loans.
In my opinion the housing market has truly become like a Wal Mart. These housing units are just a function of pricing. They cost very little to make and people buy them at inflated retail value. Just because there is a blue light special or even mass price reduction does not change the fact there is a huge profit.
Comments made indicate this mortgage money blip on the screen had little effect on Third World economies. If you read carefully most of the crisis is in developed countries who should have known better. The fact is they did know.
The International Markets are trading paper like there is no tomorrow. It's kind of like large money managers have just gotten away with something. Who ultimately pays when a consumer buys a product worth two hundred fifty thousand dollars for five hundred thousand? Better yet, when that two hundred fifty thousand dollar product resells, after foreclosure, for the discounted price of three hundred twenty thousand dollars, then what?
Comments
I just figured these two threads deserved each other. :twisted:
RCC - that's really funny.
..
ok...let's get back on topic.
This is the Scientology thread...right?
:roll:
The fact is people do buy town houses. People buy housing development homes here, and around the world. At least a housing development comes with a little dirt to build on when the house is falling apart.
These units are financed by huge corporate Lending Institutions like CitiBank and Chase. These are the same corporations that can charge up to 32% interest on an unsecured credit card. In the financial world I don't see how these corporations can lose by making home loans.
In my opinion the housing market has truly become like a Wal Mart. These housing units are just a function of pricing. They cost very little to make and people buy them at inflated retail value. Just because there is a blue light special or even mass price reduction does not change the fact there is a huge profit.
Comments made indicate this mortgage money blip on the screen had little effect on Third World economies. If you read carefully most of the crisis is in developed countries who should have known better. The fact is they did know.
The International Markets are trading paper like there is no tomorrow. It's kind of like large money managers have just gotten away with something. Who ultimately pays when a consumer buys a product worth two hundred fifty thousand dollars for five hundred thousand? Better yet, when that two hundred fifty thousand dollar product resells, after foreclosure, for the discounted price of three hundred twenty thousand dollars, then what?