Upside Down and Out of Luck (employment, Obama, solution, economy)

[geos]

Obama's Mortgage Plan Does Not Attack Housing Problem Head On

* Some 59 percent of Nevada borrowers are either already underwater or close to it …

* 48 percent of Michigan homeowners with mortgages are suffering the same fate …

* As are 37 percent in Arizona, 35 percent in Florida, and 34 percent in California!

[olecapt]

Originally Posted by geos

Obama's Mortgage Plan Does Not Attack Housing Problem Head On

* Some 59 percent of Nevada borrowers are either already underwater or close to it …

* 48 percent of Michigan homeowners with mortgages are suffering the same fate …

* As are 37 percent in Arizona, 35 percent in Florida, and 34 percent in California!

I don't believe the 59% -- garbage in garbage out.

There are only a half dozen heavily impacted areas. The rest of the country is in much better shape. Any steps to rescue the heavy impact could result in an extreme response as the rest of the nation takes advantage.

Only thing I can see that might help is the bankruptcy cram down.

And no I don't believe it will destabilize the banking system. The banks are going to eat most of thoses losses anyway.

[KillerStephen]

More diarrhea of the keyboard... Did you post this garbage in all those other states/cities forums? Or just here?

[usc619]

Originally Posted by olecapt

I don't believe the 59% -- garbage in garbage out.

There are only a half dozen heavily impacted areas. The rest of the country is in much better shape. Any steps to rescue the heavy impact could result in an extreme response as the rest of the nation takes advantage.

Only thing I can see that might help is the bankruptcy cram down.

And no I don't believe it will destabilize the banking system. The banks are going to eat most of thoses losses anyway.

Dam olecapt, you've been singing this same song("Vegas is not that bad") for the last two years and the Vegas economy continues to take a serious dump. What gives?

[AA702]

I think its bad almost every part of the country, some are worse and some are better? But what is the point of all this? Does anyone have a solution to the problem and maybe post that? Should I go to the California forum and post problems that they already know about?

[Wing Feathers]

One solution that I'm a fan of is "country first". Imagine the housing boom here instead of Dubai, for example, by keeping our wealth here. But nobody wants to hear this, do they? They want bailouts funded by middle class like us... that will ultimately make things worse Sad...

[olecapt]

Originally Posted by usc619

Dam olecapt, you've been singing this same song("Vegas is not that bad") for the last two years and the Vegas economy continues to take a serious dump. What gives?

In no way to I dispute that Vegas has large problems. Some of the housing problems are unique to Las Vegas, Phoenix and perhaps the inland empire.

I believe that the housing crunch is reaching a cusp. A point at which there is insufficient low end REO inventory to support the existing trend. If true then something is going to happen. Some of the possible outcome could make things worse....so it is not neccessarily a good thing...but at least the pattern breaks up.

Vegas also has a strong employment base that will continue to operate if at 80 or 85% of capacity. And it still has as substantial growth that is coming on line. It could get bad enough that none of that actually takes place. But so far it looks as if it will.

It is true that Vegas coatinues to do better than the far larger So California of which it is the eastern outpost. In that light Las Vegas does reasonably well.

So yeah we got problems...but in context perhaps a little better than LA and likely far better than the rust belt.

You play the hand you are dealt guys...not the one you wish you had.