PDA

View Full Version : Very Bad Housing News...Potentially

Davian93
07-11-2008, 10:46 AM
http://money.cnn.com/2008/07/11/news/companies/fannie_freddie_shares/index.htm?cnn=yes

Between them, Fannie and Freddie Mac essentially support the entire US Housing market...if the company were to collapse it could seriously F#*# up our country.
Gilshalos Sedai
07-11-2008, 10:56 AM
Not sure they're gonna go under, Dav. But it's gonna HURT till they get sorted out.
Davian93
07-11-2008, 10:59 AM
Not sure they're gonna go under, Dav. But it's gonna HURT till they get sorted out.

I dont think the gov;t will allow it to happen either.
Gilshalos Sedai
07-11-2008, 11:06 AM
Now THAT I really don't want to see happen.
Davian93
07-11-2008, 12:20 PM
Now THAT I really don't want to see happen.

Its better than them defaulting on their $5 trillion in mortgages that they hold jointly...that would kill us and the economy as a whole.
tanaww
07-11-2008, 08:52 PM
They will get bailed out but no one in management will be held accountable so it will just happen again. Fannie Mae and Freddie Mac both need an administrative overhaul.
Marie Curie 7
07-11-2008, 09:17 PM
http://icanhascheezburger.wordpress.com/files/2008/05/funny-pictures-raccoon-subprime-mortgage.jpg
Sei'taer
07-11-2008, 10:05 PM
A lot of the people I work around get the subprime mortgages/loans. They all told me a couple of years ago that it was going to go bad soon because people who were using them to buy a house were getting the loans instead of people who were using them to build a house. I asked what happened if they couldn't sell the house and they say that they simply move into it, take the tax break, refinance it and sell it at the first oppurtunity, or, in most cases, they have enough capital to let it ride for a while because it is usually several years before the rates change and they can usually sell the house before then.
GonzoTheGreat
07-12-2008, 03:35 AM
I dont think the gov;t will allow it to happen either.
You're betting on the Bush administration to save the day?
Man, are you desperate or what.
tanaww
07-12-2008, 06:08 AM
No one expects Bush to save the day. We all expect he will try to cover his ass. Failure to bail out Freddie Mac and Fannie Mae would be economic disaster. The political fall out from that would destroy nearly every current and prospective Republican lawmaker. I wrote up a tirade about similar subjects on one of my blogs a few months ago. If you found it, you'd enjoy it.