Anyone Think This Shutdown Could Go Through October? (buying, tax)

[Oldhag1]

Originally Posted by lqda4

My head is spinning... a large part of our work force did not show up, we are now not 100% sure if we fall under "Pentagon" call-back status, AND now we are told to put all 8 hours of Tuesday 1 Oct as furloughed although we were originally told to come in and work for 4 hours. What a cluster f#@k.

On a side note, did anybody hear about LM 3000 personnel layoff this week and another 3000 layoff next month?!!

You would have been offically notified by your boss, who would have been offically notified. Not everyone in my husband's office got callbacks.

[Iggier]

Originally Posted by mikecart1

I just got called back to work lol. By the time I get to the office, it will be lunch time. And a couple of hours after that, it will be time to leave. Working for the government rules!

It is any wonder feds get a bad rap when its own slacker employees spout off this kind of nonsense?

[Caladium]

It's so frustrating for my brother. He's over 50, and like everyone else over 50 in his department was let go last January. They keep insisting they'll bring him back at any moment "just as soon as we can" but nine months have passed and bills are stacking up. They send out job announcements and ask him to waste all day filling in lengthy interview questions--then he finds out the job openings weren't genuine openings. They were incumbent positions and of course the person already holding the job gets re-hired. What a joke.

Now with this never-ending shutdown saga it looks like he'll have to wait months before getting even a nibble. Sadly, he's reached the point where he has to sell the house. If he can.

Very glad to hear some people are going back to work. Even if people in my family are still being screwed, it'll help if someone else is working who can buy the house so he can move to a new city. Don't know where he'll go but 50 is too young to be out of work for a long period of time like this. Savings only last so long, and besides he'll need that money soon enough for his old age. After 9 months you do what you've gotta do.

[The Dissenter]

Just called mom at her work phone. She is back at work today at Ft Knox. On my end, more furlough problems like clients not having official documentation of their furlough because of it being in their shut down govt email. In that case, nothing I can do to help them.

[tysonsengineer]

Originally Posted by tysonsengineer

If this thing lasts "through October" we have a lot bigger issues than the shutdown. A financial collapse will happen if the debt limit is exceeded, it will send our bond rating down, causing several points increase in the rate at which the govt can borrow money forcing the government to suddenly and dramatically cut programs and reduce payments to social security. The teaparty of course salivates at that thought, afterall they want "govt small enough that they can kill it in a bathtub" but that impact would be similar to the sudden inflation we saw in the financial collapse after the great depression (not the great recession). Suddenly borrowing 600 billion dollars per year would be more akin to borrowing 1 - 2 trillion dollars per year even though the number would remain the same. (Don't believe me? look at the crazy movements the bond market have had during this shut down; its called over the last couple days but on day one of the shut down there was a big upward move)

When people are essentially giving you free money (extremely low interest rates) that is the best time to get stuff done. Yes it makes the numbers seem big, but the AMORTIZATION, far more important than the principal borrowed is far far less scary.

When the govt was borrowing 400 to 500 billion during 2000 to 2008 it was FAR more detrimental to our budget than us borrowing double that now because interest rates were much larger and the ultimate pay out to bond holders were as well. So those numbers were ignored, they were kicked down the road and have had far greater impact on the outstanding debt for the country than current spending will.

In other words, when the economy is good we should be cutting back and spending less (because people see safety investing elsewhere and the rates we can get are much worse for us) when the economy is bad we should be spending more because investors and institutions are desperate to find a safe haven even if it means basically giving money for no return (hey its better than losing money )

Already starting; thats the sad thing about all of this, it doesn't matter if we literally don't pay the interest or not, it is the perceived risk of investing with the CHANCE of systemic lagging that causes a spike and downgrade

Yield on one-month Treasury bill spikes amid debt ceiling fears - Oct. 8, 2013

If it smells like a downgrade, and looks like a downgrade, it is a downgrade even if no one is calling it yet

[FCNova]

Originally Posted by Caladium

Wondering how all this affects the local real estate market. It seems to me people would be nervous about buying a house right now, but maybe not.

I've wondered as well. It doesn't seem like anything can slow down the NOVA housing market. I don't think the gov't shutdown will have a major effect but surely the debt ceiling fight could if they screw that up and send the financial markets into turmoil.

[coolio69]

Originally Posted by NovaOne

I certainly hope that all tax payers, including those who are furloughed and will be getting back pay, should be incensed by the current situation where payments will be made for work not performed.

I applaud the sequester that resulted in real decreases in government expenditures. I was also very hopeful that the current furlough would also not be paid retroactively. I knew that the chance of this was very slim, but it is the right thing to do.

I understand that people will look after themselves first. If I was in the position of being furloughed and was offered a back pay check, obviously I would gladly take it - not going to lie. But the incredible wastefulness of this arrangement, the reduction in work productivity, should be obvious and sickening to everyone.

It's not the government employees fault they were told to stay home. I'm madder at the elected officials who made this happen. Remember when they go up for reelection in 2014...

If a school burned down and the teachers were told to stay home for a few days, I wouldn't dock their pay.

[jillybean720]

Originally Posted by Caladium

Wondering how all this affects the local real estate market. It seems to me people would be nervous about buying a house right now, but maybe not.

We have a townhouse listed for rent in Lake Ridge. Our realtor believes the shutdown is the reason it's been on the market for over 2 weeks already (last year, it was rented within just a few days of being listed around the same time of year). Many folks are nervous to make major financial commitments in this uncertainty. I would imagine things like FHA and VA loans for home purchases would be on hold for now as well.

[BT Lover]

Originally Posted by jillybean720

We have a townhouse listed for rent in Lake Ridge. Our realtor believes the shutdown is the reason it's been on the market for over 2 weeks already (last year, it was rented within just a few days of being listed around the same time of year). Many folks are nervous to make major financial commitments in this uncertainty. I would imagine things like FHA and VA loans for home purchases would be on hold for now as well.

We have opted not to move here for the time being due to the crazy real estate market. We would put offers in at the listed price and not even get counter offers. We can't rent based on the amount of animals we have. Most aren't going to rent to those with more than two animals.
So, regardless of what happens with all of this, I would say that this isn't affecting the real estate market. Since most people are losing money either way based on the boom several years ago, you aren't selling unless you have to. It was extremely frustrating as a buyer, but sometimes things work out for a reason.

[NovaOne]

I disagree. The past couple of years has been a great time to buy.

Scratch that, since about 2009 has been a great time to buy. Things became really heated this summer, but anyone who waited through the past few years has really missed out on an opportunity to buy in during the down turn. The market is now at the start of an up cycle. If you believe now is not a good time to buy in, you will be waiting for at least 5-7 years until another down turn would come around as an opportunity.