Are we headed for a Recession?
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jpd wrote:
People that used their home equity to splurge on unnecessary things are really going to feel it as the housing market corrects.
You mean like food and oil?
People that used their home equity to splurge on unnecessary things are really going to feel it as the housing market corrects.
You mean like food and oil?
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We are in one right now
We won't see how bad for another month or two. Goldman put out a good piece on it yesterday. They are calling for defensive positioning as unemployment goes from 5 to 6.5% in 09. They also see a big drop in consumer spending. They are calling for a reduction in Fiancials and an overweight in utilities, consumer staples and managed care stocks.
We won't see how bad for another month or two. Goldman put out a good piece on it yesterday. They are calling for defensive positioning as unemployment goes from 5 to 6.5% in 09. They also see a big drop in consumer spending. They are calling for a reduction in Fiancials and an overweight in utilities, consumer staples and managed care stocks.
So what? We have been in them before and always come out better afterwards. This rescission thing is a frame of mind just like when you got a mortgage for your dream house with a low income job! Sit back, throw credit cards away and but gold! Let the auctioning begin!
the markets are low but stable...
We defenately hit an all time low and recession at this point. My business (repossession ) thrive on stuff like this but is only getting better for me which is sad i know and i am not heartless guys trust me! The realtors and all the housing authorities came out the other day and stated that there WILL NOT! be a turnaround until 2011 at this time. The interest rates are low but cost of living innj is horribly high to where i am considering relocating to florida and open another branch of business. I have seen all of the people hitting rock bottom and losing houses. People has hit their ARM and their interest rate and payments adjusted to outrageous porportions!
I know guys who went from paying 3500 a month on a 700k house to now just hit reality and are back to normal around 6000 or so. possible more and now he is losing his house, his cars, his boats and all toys!
It is a sad sad thing to see but unfortunately there is no way around it.
People blame so many things like the war and bush but we did it to OURSELVES!!
When lumber prices when up, the per square building went thru the roof making homes higher. NOw to buy a home it was so expensive no one saw this drop coming so interest rates went up and they started to create ARMS, interest only, reverce ammortization loans, interested only loans and the good old 80/20 loans. Taxes went thru the room and also along with home owners insurance which is an altime high...'
When people bought into these homes it was great at 400k for 2000 a month until reality sets in and they can not afford it anymore. Now the marktet goes down, builders are starving and dropping like flies and the per square builders is going down the tubes... I know many job site for KHOV have been slowed almost to a halt because of this horrible times we are in.
the only way to save this is for people to start acting more responsible for their actions and start looking at what they spend their money on instead of thinking about anything else!!
budget are not only good they are completely necessary..
If you are not paid 500k a year living in a 400k house that is almost paid for then there is no reason not to be on some sort of structure income at this time! it will save everyone!
Good luck to all hope everyone gets thru this with ease!
We defenately hit an all time low and recession at this point. My business (repossession ) thrive on stuff like this but is only getting better for me which is sad i know and i am not heartless guys trust me! The realtors and all the housing authorities came out the other day and stated that there WILL NOT! be a turnaround until 2011 at this time. The interest rates are low but cost of living innj is horribly high to where i am considering relocating to florida and open another branch of business. I have seen all of the people hitting rock bottom and losing houses. People has hit their ARM and their interest rate and payments adjusted to outrageous porportions!
I know guys who went from paying 3500 a month on a 700k house to now just hit reality and are back to normal around 6000 or so. possible more and now he is losing his house, his cars, his boats and all toys!
It is a sad sad thing to see but unfortunately there is no way around it.
People blame so many things like the war and bush but we did it to OURSELVES!!
When lumber prices when up, the per square building went thru the roof making homes higher. NOw to buy a home it was so expensive no one saw this drop coming so interest rates went up and they started to create ARMS, interest only, reverce ammortization loans, interested only loans and the good old 80/20 loans. Taxes went thru the room and also along with home owners insurance which is an altime high...'
When people bought into these homes it was great at 400k for 2000 a month until reality sets in and they can not afford it anymore. Now the marktet goes down, builders are starving and dropping like flies and the per square builders is going down the tubes... I know many job site for KHOV have been slowed almost to a halt because of this horrible times we are in.
the only way to save this is for people to start acting more responsible for their actions and start looking at what they spend their money on instead of thinking about anything else!!
budget are not only good they are completely necessary..
If you are not paid 500k a year living in a 400k house that is almost paid for then there is no reason not to be on some sort of structure income at this time! it will save everyone!
Good luck to all hope everyone gets thru this with ease!
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with only 18,000 jobs added to the U.S. payroll and 343,000 outsourced you do the math..
lived throw them before and planning on doing it again ,i do think we are already in one and should last till 2010, hope it will be mild, homes are not high yet if they were cheaper we would have every janiture in europe buying the 5000 square foot ocean front property,i think the falling dollar is the bad culperate if the dollar rises oil gets cheaper and i can buy a 5000 square foot home on the ocean in portugal and fish for giant bft
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The Fed just cut 75 basis points off the Fed Funds rate in an emergency cut, (they usually change rates at their regularly scheduled meetings which would be on 1/30th). The Dow futures are now down 480 implying a Dow open of 11626. I'd say a recession is here guys.
This post edited by PURSUITWA 08:29 AM 01/22/2008
This post edited by PURSUITWA 08:29 AM 01/22/2008
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That was a BAD move!
All the Fed just did was create more panic! We will now have people questioning how bad the economy really is if the Fed had to step in and cut rates like that.
All the Fed just did was create more panic! We will now have people questioning how bad the economy really is if the Fed had to step in and cut rates like that.
down $3.25 to $87.32 pbl.
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