Archive for the ‘american equity mortgage’ Category

Is this what Barack Obama has planned for us?

Tuesday, April 6th, 2010

The Dinner Roll ..

Once upon a time I was invited to the White House for a private dinner with the President.

I am a respected businessman, with a factory that produces memory chips for computers and portable electronics.

There was some talk that my industry was being scrutinized by the administration, but I paid it no mind. I live in a FREE country. There’s nothing that the government can do to me if I’ve broken no laws. My wealth was EARNED honestly, and an invitation to dinner with an American President is an honor.

I checked my coat, was greeted by the Chief of Staff, and joined the President in a yellow dining room.

We sat across from each other at a table draped in white linen. The Great Seal was embossed on the china. Uniformed staff served our dinner.

The meal was served, and I was startled when my waiter suddenly reached out, plucked a dinner roll off my plate and began nibbling it as he walked back to the kitchen..

"Sorry ’bout that," said the President. "Andrew is very hungry."

"I don’t appreciate…" I began, but as I looked into the calm brown eyes across from me, I felt immediately guilty and petty. It was just a dinner roll. "Of course," I concluded, and reached for my glass.

Before I could, however, another waiter reached forward, took the glass away and swallowed the wine in a single gulp. "And his brother, Eric, is very thirsty," said the President.

I didn’t say anything. The President is testing my compassion, I thought. I withheld my comments and decided to play along. I don’t want to seem unkind..

My plate was whisked away before I had tasted a bite.

"Eric’s children are also quite hungry."

With a lurch, I crashed to the floor. My chair had been pulled out from under me.

I stood, brushing myself off angrily, and watched as it was carried from the room.

And their grandmother can’t stand for long."

I excused myself, smiling outwardly, but inside feeling like a fool. Obviously I had been invited to the White House to be sport for some game. I reached for my coat, to find that it had been taken.

I turned back to the President.

"Their grandfather doesn’t like the cold."

I wanted to shout, "that was my coat!" But again, I looked at the placid smiling face of my host and decided I was being a poor sport. I spread my hands helplessly and chuckled.

Then I felt my hip pocket and realized my wallet was gone. I excused myself and walked to a phone on an elegant side table.

I learned shortly that my credit cards had been maxed out, my bank accounts emptied, my retirement and equity portfolios had vanished, and my wife had been thrown out of our home.

Apparently, the waiters and their families were moving in. The President hadn’t moved or spoken as I learned all this, but finally I lowered the phone into its cradle and turned to face him.

"Andrew’s whole family has made bad financial decisions. They haven’t planned for retirement and they need a house. They recently defaulted on a subprime mortgage. I told them they could have your home. They need it more than you do."

My hands were shaking. I felt faint I stumbled back to the table and knelt on the floor.

The President cheerfully cut his meat, ate his steak, and drank his wine. I lowered my eyes and stared at the small grey circles on the tablecloth that were water drops.

"By the way," he added, "I have just signed an Executive Order nationalizing your factories.

I’m firing you as head of your business. I’ll be operating the firm now for the benefit of all mankind.

There’s a whole bunch of Erics and Andrews out there and they can’t come to you for jobs groveling like beggars…we need to spread YOUR wealth around…"

I looked up. The President dropped his spoon into the empty ramekin which had been his crme Brule.

He drained the last drops of his wine. As the table was cleared, he lit a cigarette and leaned back in his chair.

He stared at me. I clung to the edge of the table as if it were a ledge and I were a man hanging over an abyss.

I thought of the years behind me, of the life I had lived. The life I had earned with a lifetime of work, risk and struggle.

Why was I punished? How had I allowed it to be taken? What game had I played and lost? I looked across the table and noticed with some surprise that there was no game board between us.

What had I done wrong?

As if answering the unspoken thought, President Obama suddenly cocked his head, locked his empty eyes to mine, and bared a million teeth, chuckling wryly as he folded his hands.

"You should have stopped me at the dinner roll," he said.

Is Ron Paul a prophet……or was he just paying attention?

Wednesday, February 10th, 2010

He predicted the housing crises (artificial bubble that burst) of 2007 in 2003.

How did he do that?? Was it a lucky guess?? Does he know something the former and current WH don’t??

http://www.youtube.com/watch?v=826q7RqTEk8 (2:25)

http://www.mercuryserver.com/forums/showthread.php?t=60084

…..The connection between the GSEs [Fannie Mae and Freddie Mac] and the government helps isolate the GSE management from market discipline. This isolation from market discipline is the root cause of the recent reports of mismanagement occurring at Fannie and Freddie. After all, if Fannie and Freddie were not underwritten by the federal government, investors would demand Fannie and Freddie provide assurance that they follow accepted management and accounting practices.
Ironically, by transferring the risk of a widespread mortgage default, the government increases the likelihood of a painful crash in the housing market. This is because the special privileges granted to Fannie and Freddie have distorted the housing market by allowing them to attract capital they could not attract under pure market conditions. As a result, capital is diverted from its most productive use into housing. This reduces the efficacy of the entire market and thus reduces the standard of living of all Americans.
Despite the long-term damage to the economy inflicted by the government’s interference in the housing market, the government’s policy of diverting capital to other uses creates a short-term boom in housing. Like all artificially-created bubbles, the boom in housing prices cannot last forever. When housing prices fall, homeowners will experience difficulty as their equity is wiped out. Furthermore, the holders of the mortgage debt will also have a loss. These losses will be greater than they would have otherwise been had government policy not actively encouraged over-investment in housing.
Perhaps the Federal Reserve can stave off the day of reckoning by purchasing GSE debt and pumping liquidity into the housing market, but this cannot hold off the inevitable drop in the housing market forever. In fact, postponing the necessary, but painful market corrections will only deepen the inevitable fall. The more people invested in the market, the greater the effects across the economy when the bubble bursts.
Oh yeah, and Treasury (headed by Tim Geithner) has extended an unlimited line of credit to Fannie and Freddie.

Isn’t that like pouring gas on a fire??

Fannie And Freddie Receive Unlimited Future Funds To Stay Afloat
http://www.huffingtonpost.com/2009/12/24/fannie-mae-and-freddie-ma_0_n_403413.html

(more…)

Is paying off a mortgage early beneficial tax wise?

Thursday, November 19th, 2009

The following is from

http://www.usnews.com/money/personal-finance/retirement/articles/2008/06/19/should-you-pay-off-your-mortgage-before-you-retire.html

"The interest you pay on your home mortgage is tax deductible on up to million in debt. You can also typically write off interest on up to 0,000 of home-equity debt. But you benefit from this tax perk only if all your itemized tax deductions, including your mortgage interest, add up to more than the standard deduction that almost everyone gets automatically….. Jonathan Pond, a financial planner and author of Grow Your Money! 101 Easy Tips to Plan, Save, and Invest, argues that you need to be in the 35 percent tax bracket, or make at least 0,000 annually, for the tax break to be worthwhile. Most Americans in the 25 percent tax bracket might pay, say, ,000 in mortgage interest but save only ,500 in taxes."

If I pay ,000 in mortgage interst but only save ,500, that seems nonsmart to me. Is the above quote correct?

(more…)

When will America wake up?

Tuesday, October 13th, 2009

Dinner with Obama

Once upon a time, I was invited to the White House for a private dinner with the President. I am a respected businessman, with a factory that produces memory chips for computers and portable electronics. There was some talk that my industry was being scrutinized by the administration, but I paid it no mind. I live in a free country. There’s nothing that the government can do to me if I’ve broken no laws. My wealth was earned honestly, and an invitation to dinner with an American President is an honor.

I checked my coat, was greeted by the Chief of Staff, and joined the President in a yellow dining room. We sat across from each other at a table draped in white linen. The Great Seal was embossed on the china. Uniformed staff served our dinner. The meal was served, and I was startled when my waiter suddenly reached out, plucked a dinner roll off my plate, and began nibbling it as he walked back to the kitchen.

"Sorry about that," said the President. "Andrew is very hungry."

"I don’t appreciate…" I began, but as I looked into the calm brown eyes
across from me, I felt immediately guilty and petty.. It was just a dinner
roll. "Of course," I concluded, and reached for my glass. Before I could,
however, another waiter reached forward, took the glass away and swallowed the wine in a single gulp.

"And his brother Eric is very thirsty." said the President.

I didn’t say anything. The President is testing my compassion, I thought. I will play along. I don’t want to seem unkind. My plate was whisked away before I had tasted a bite.

"Eric’s children are also quite hungry."

With a lurch, I crashed to the floor. My chair had been pulled out from
under me. I stood, brushing myself off angrily, and watched as it was
carried from the room.

"And their grandmother can’t stand for long."

I excused myself, smiling outwardly, but inside feeling like a fool.
Obviously I had been invited to the White House to be sport for some game. I reached for my coat, to find that it had been taken. I turned back to the President.

"Their grandfather doesn’t like the cold."

I wanted to shout – that was my coat! But again, I looked at the placid
smiling face of my host and decided I was being a poor sport. I spread my hands helplessly and chuckled.. Then I felt my hip pocket and realized my wallet was gone. I excused myself and walked to a phone on an elegant side table. I learned shortly that my credit cards had been maxed out, my bank accounts emptied, my retirement and equity portfolios had vanished, and my wife had been thrown out of our home. Apparently, the waiters and their families were moving in. The President hadn’t moved or spoken as I learned all this, but finally I lowered the phone into its cradle and turned to face him.

"Andrew’s whole family has made bad financial decisions. They haven’t
planned for retirement, and they need a house. They recently defaulted on a subprime mortgage. I told them they could have your home. They need it more than you do."

My hands were shaking. I felt faint. I stumbled back to the table and knelt on the floor. The President cheerfully cut his meat, ate his steak and drank his wine.

I lowered my eyes and stared at the small grey circles on the tablecloth
that were water drops.

"By the way," He added, "I have just signed an Executive Order nationalizing your factories. I’m firing you as head of your business. I’ll be operating the firm now for the benefit of all mankind. There’s a whole bunch of Eric’s and Andrews out there and they can’t come to you for jobs groveling like beggars."

I looked up. The President dropped his spoon into the empty ramekin which had been his crme Brule. He drained the last drops of his wine.

As the table was cleared, he lit a cigarette and leaned back in his chair.
He stared at me. I clung to the edge of the table as if were a ledge and I
were a man hanging over an abyss. I thought of the years behind me, of the life I had lived. The life I had earned with a lifetime of work, risk and
struggle. Why was I punished? How had I allowed it to be taken? What game had I played and lost? I looked across the table and noticed with some surprise that there was no game board between us. What had I done wrong?

As if answering the unspoken thought, the President suddenly cocked his head, locked his empty eyes to mine, and bared a million teeth, chuckling wryly as he folded his hands.

"You should have stopped me at the dinner roll," he said.

Wake up, America !

did you know that ron paul warned about the housing bubble in 2003? free housing market enhancement act?

Sunday, October 4th, 2009

from a speech on the house floor in 2003,

Ironically, by transferring the risk of a widespread mortgage default, the government increases the likelihood of a painful crash in the housing market. This is because the special privileges granted to Fannie and Freddie have distorted the housing market by allowing them to attract capital they could not attract under pure market conditions. As a result, capital is diverted from its most productive use into housing. This reduces the efficacy of the entire market and thus reduces the standard of living of all Americans.

Despite the long-term damage to the economy inflicted by the government’s interference in the housing market, the government’s policy of diverting capital to other uses creates a short-term boom in housing. Like all artificially-created bubbles, the boom in housing prices cannot last forever. When housing prices fall, homeowners will experience difficulty as their equity is wiped out. Furthermore, the holders of the mortgage debt will also have a loss. These losses will be greater than they would have otherwise been had government policy not actively encouraged over-investment in housing.

Perhaps the Federal Reserve can stave off the day of reckoning by purchasing GSE debt and pumping liquidity into the housing market, but this cannot hold off the inevitable drop in the housing market forever. In fact, postponing the necessary, but painful market corrections will only deepen the inevitable fall. The more people invested in the market, the greater the effects across the economy when the bubble bursts.

Did you know that Ron Paul warned of the housing bubble in 2003? The Free Housing Market Enhancement Act?

Tuesday, September 29th, 2009

from a speech on the house floor in 2003,

Ironically, by transferring the risk of a widespread mortgage default, the government increases the likelihood of a painful crash in the housing market. This is because the special privileges granted to Fannie and Freddie have distorted the housing market by allowing them to attract capital they could not attract under pure market conditions. As a result, capital is diverted from its most productive use into housing. This reduces the efficacy of the entire market and thus reduces the standard of living of all Americans.

Despite the long-term damage to the economy inflicted by the government’s interference in the housing market, the government’s policy of diverting capital to other uses creates a short-term boom in housing. Like all artificially-created bubbles, the boom in housing prices cannot last forever. When housing prices fall, homeowners will experience difficulty as their equity is wiped out. Furthermore, the holders of the mortgage debt will also have a loss. These losses will be greater than they would have otherwise been had government policy not actively encouraged over-investment in housing.

Perhaps the Federal Reserve can stave off the day of reckoning by purchasing GSE debt and pumping liquidity into the housing market, but this cannot hold off the inevitable drop in the housing market forever. In fact, postponing the necessary, but painful market corrections will only deepen the inevitable fall. The more people invested in the market, the greater the effects across the economy when the bubble bursts.
sageandscholar- no, this was legislation that would have repealed the special priviliges to Fannie and Freddie that caused the whole thing
The Free Housing Market Enhancement Act also repeals the explicit grant of legal authority given to the Federal Reserve to purchase GSE debt. GSEs are the only institutions besides the United States Treasury granted explicit statutory authority to monetize their debt through the Federal Reserve. This provision gives the GSEs a source of liquidity unavailable to their competitors.

Yeah, that’s a real "free market", lol

news article for school?

Wednesday, September 23rd, 2009

i have to do a news analysis and the article i was assigned is difficult.. can someone please sum it up for me on what its talkin about?? thanks.

WASHINGTON – Americans’ wealth rose this spring for the first time in nearly two years, with stocks and home values gaining as the recession faded.

Still, household net worth remains about 19 percent below its peak in the third quarter of 2007, before the recession began.

The Federal Reserve said net worth grew by trillion to .1 trillion in the April-to-June quarter. Net worth, or the value of assets such as homes, checking accounts and investments minus debts like mortgages and credit cards, rose nearly 4 percent from the first quarter, the Fed said.
Even with the gain, Americans’ net worth stands well below the .3 trillion it reached two years ago.

The second quarter increase in net worth was the first since wealth peaked. According to the Fed report, the pickup was led by gains in stock portfolios. The value of Americans’ stock holdings rose 21.6 percent from the first quarter, marking the first increase in two years.

Net worth in the second quarter also was boosted by higher home prices. The value of real-estate holdings rose 1.8 percent, according to the Fed report. That was the first gain since the final quarter of 2006.

This week, Fed Chairman Ben Bernanke said the worst recession since the 1930s probably is over. Most analysts say the U.S. economy is growing in the current quarter, which ends Sept. 30, at an annual rate of 3 to 4 percent. The economy shrank at a 1 percent pace in the second quarter, much slower than in previous quarters.

Bernanke warned that the pace of recovery probably won’t be brisk enough to generate solid job growth and keep the unemployment rate now at a 26-year high of 9.7 percent from rising.

Collectively, homeowners had 43.1 percent equity in their homes in the second quarter, according to the Fed report. That was up only slightly from a record low of 41.9 percent in the first quarter.

The report also showed that total household debt including mortgages, credit cards, autos and other consumer loans stood at .7 trillion in the second quarter.

That’s down slightly from .8 trillion in the first three months of this year, and suggests that households are trimming debt, but are doing so slowly. Debt peaked at .9 trillion in the spring of last year.

See what you think of this email I got, is this how Dumbocrats think?

Friday, August 28th, 2009

Dinner with Obama………..

Once upon a time I was invited to the White House for a private dinner with the President. I am a respected businessman, with a factory that produces memory chips for computers and portable electronics. There was some talk that my industry was being scrutinized by the administration, but I paid it no mind. I live in a free country. There’s nothing that the government can do to me if I’ve broken no laws. My wealth was earned honestly, and an invitation to dinner with an American President is an honor.

I checked my coat, was greeted by the Chief of Staff, and joined the President in a yellow dining room. We sat across from each other at a table draped in white linen. The Great Seal was embossed on the china. Uniformed staff served our dinner.

The meal was served, and I was startled when my waiter suddenly reached out, plucked a dinner roll off my plate, and began nibbling it as he walked back to the kitchen.

"Sorry about that," said the President. "Andrew is very hungry."

"I don’t appreciate…" I began, but as I looked into the calm brown eyes across from me, I felt immediately guilty and petty. It was just a dinner roll. "Of course," I concluded, and reached for my glass. Before I could, however, another waiter reached forward, took the glass away and swallowed the wine in a single gulp.

"And his brother, Eric, is very thirsty." said the President.

I didn’t say anything. The President is testing my compassion, I thought. I withheld my comments and decided to play along. I don’t want to seem unkind.

My plate was whisked away before I had tasted a bite.

"Eric’s children are also quite hungry."

With a lurch, I crashed to the floor. My chair had been pulled out from under me. I stood, brushing myself off angrily, and watched as it was carried from the room.

And their grandmother can’t stand for long."

I excused myself, smiling outwardly, but inside feeling like a fool. Obviously I had been invited to the White House to be sport for some game. I reached for my coat, to find that it had been taken. I turned back to the President.

"Their grandfather doesn’t like the cold."

I wanted to shout, that was my coat! But again, I looked at the placid smiling face of my host and decided I was being a poor sport. I spread my hands helplessly and chuckled. Then I felt my hip pocket and realized my wallet was gone. I excused myself and walked to a phone on an elegant side table. I learned shortly that my credit cards had been maxed out, my bank accounts emptied, my retirement and equity portfolios had vanished, and my wife had been thrown out of our home. Apparently, the waiters and their families were moving in. The President hadn’t moved or spoken as I learned all this, but finally I lowered the phone into its cradle and turned to face him.

"Andrew’s whole family has made bad financial decisions. They haven’t planned for retirement, and they need a house. They recently defaulted on a subprime mortgage. I told them they could have your home. They need it more than you do."

My hands were shaking. I felt faint. I stumbled back to the table and knelt on the floor. The President cheerfully cut his meat, ate his steak , and drank his wine. I lowered my eyes and stared at the small grey circles on the tablecloth that were water drops.

"By the way," He added, "I have just signed an Executive Order nationalizing your factories. I’m firing you as head of your business. I’ll be operating the firm now for the benefit of all mankind. There’s a whole bunch of Erics and Andrews out there and they can’t come to you for jobs groveling like beggars."

I looked up. The President dropped his spoon into the empty ramekin which had been his crme Brule. He drained the last drops of his wine. As the table was cleared, he lit a cigarette and leaned back in his chair. He stared at me. I clung to the edge of the table as if were a ledge and I were a man hanging over an abyss. I thought of the years behind me, of the life I had lived. The life I had earned with a lifetime of work, risk and struggle. Why was I punished? How had I allowed it to be taken? What game had I played and lost? I looked across the table and noticed with some surprise that there was no game board between us.

What had I done wrong?

As if answering the unspoken thought, the President suddenly cocked his head, locked his empty eyes to mine, and bared a million teeth, chuckling wryly as he folded his hands.

"You should have stopped me at the dinner roll," he said.

WAKE UP AMERICA !!!

Dinner roll email forward? Someone sent this to me but I don’t see the problem with it, can someone explain?

Wednesday, August 19th, 2009

Once upon a time I was invited to the White House for a private dinner with the President. I am a respected businessman, with a factory that produces memory chips for computers and portable electronics. There was some talk that my industry was being scrutinized by the administration, but I paid it no mind. I live in a free country. There’s nothing that the government can do to me if Ive broken no laws. My wealth was earned honestly, and an invitation to dinner with an American President is an honor.

I checked my coat, was greeted by the Chief of Staff, and joined the President in a yellow dining room. We sat across from each other at a table draped in white linen. The Great Seal was embossed on the china. Uniformed staff served our dinner.

The meal was served, and I was startled when my waiter suddenly reached out, plucked a dinner roll off my plate and began nibbling it as he walked back to the kitchen.

"Sorry about that," said the President. "Andrew is very hungry."

"I don’t appreciate…" I began, but as I looked into the calm brown eyes across from me,
I felt immediately guilty and petty. It was just a dinner roll. "Of course," I concluded, and reached for my glass. Before I could, however, another waiter reached forward, took the glass away and swallowed the wine in a single gulp. "And his brother, Eric, is very thirsty." said the President.

I didn’t say anything. The President is testing my compassion, I thought. I withheld my comments and decided to play along. I don’t want to seem unkind.

My plate was whisked away before I had tasted a bite.

"Eric’s children are also quite hungry."

With a lurch, I crashed to the floor. My chair had been pulled out from under me.
I stood, brushing myself off angrily, and watched as it was carried from the room.

"And their grandmother can’t stand for long."

I excused myself, smiling outwardly, but inside feeling like a fool. Obviously I had been invited to the White House to be sport for some game. I reached for20my coat, to find that it had been taken. I turned back to the President.

"Their grandfather doesn’t like the cold."

I wanted to shout, That was my coat! But again, I looked at the placid smiling face of my host and decided I was being a poor sport. I spread my hands helplessly and chuckled. Then I felt my hip pocket and realized my wallet was gone. I excused myself and walked to a phone on an elegant side table. I learned shortly that my credit cards had been maxed out, my bank accounts emptied, my retirement and equity portfolios had vanished, and my wife had been thrown out of our home. Apparently, the waiters and their families were moving in. The President hadn’t moved or spoken as I learned all this, but finally I lowered the phone into its cradle and turned to face him.

"Andrew’s whole family has made bad financial decisions. They haven’t planned for retirement and they need a house. They recently defaulted on a subprime mortgage. I told them they could have your home. They need it more than you do."

My hands were shaking. I felt faint. I stumbled back to the table and knelt on the floor.
The President cheerfully cut his meat, ate his steak , and drank his wine. I lowered my eyes and stared at the small grey circles on the tablecloth that were water drops.

"By the way," He added, "I have just signed an Executive Order nationalizing your factories. I’m firing you as head of your business. I’ll be operating the firm now for the benefit of all mankind. There’s a whole bunch of Erics and Andrews out there and they can’t come to you for jobs groveling like beggars."

I looked up. The President dropped his spoon into the empty ramekin which had been his crme Brule. He drained the last drops of his wine. As the table was cleared, he lit a cigarette and leaned back in his chair. He stared at me. I clung to the edge of the table as if were a ledge and I were a man hanging over an abyss. I thought of the years behind me, of the life I had lived. The life I had earned with a lifetime of work, risk and struggle.
Why was I punished? How had I allowed it to be taken? What game had I played and lost? I looked across the table and noticed with some surprise that there was no game board between us.

What had I done wrong?

As if answering the unspoken thought, the President suddenly cocked his head, locked his empty eyes to mine, and bared a million teeth, chuckling wryly as he folded his hands.

"You should have stopped me at the dinner roll," he said.

WAKE UP AMERICA !!!

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