Unlike the 100,000 spruikers from Fairfax, News.ltd, every TV station, seminar parasites, SMSfund advisors, REAgents and their REI mouth pieces, all banks etc etc..... Im sure there is more
On the contrary, she is every bit as vested as the 100,000 spruikers from Fairfax etc, more so in some cases.
Any expressed market opinion is my own and is not to be taken as financial advice
"Now Ms Smith, a foster carer to a 15-year-old boy, is facing the prospect of homelessness after she was convinced by a mortgage broker to sign up for a $370,000 investment loan with subprime lender Liberty Financial five years ago."
Hmmm, This is just natural selection at work
"Last year, Ms Smith stopped making her $1600-a month repayments on the “low-doc” loan — a high-risk product that requires little paperwork or proof of income but is booming. She watched in horror as Liberty began charging her default interest at the ultra-high rate of 16 per cent, as well as expired account fees and legal costs."
So the 100 billion in subprime loans claimed by the consumer advocacy group don't exist because stinkbug says they don't exist? I must say stinky you have really gone into damage control on this thread.
As for the bulls claiming the numbers are small so we should all dismiss the story, a tip of an iceberg is just that, a small indicator of what lies beneath the surface.
Nice post of the reality on the ground perthite. You have the bulls chasing their tails once again.
It's complete bullshit, goldy, sorry to disappoint you. We went through this several years ago and it was as much bullshit then as it is now.
It was pretty funny though when some bear posters claimed that home loans with honeymoon periods were the same as US ARMs, though.
It's complete bullshit, goldy, sorry to disappoint you. We went through this several years ago and it was as much bullshit then as it is now.
It was pretty funny though when some bear posters claimed that home loans with honeymoon periods were the same as US ARMs, though.
Subprime is not a description of the loan, it is a description of the borrower.
------------------------------ " ... which is that all-too-familiar dynamic in Irish life where people tell lies, cover them up and create all sorts of collateral damage, sometimes spread out over decades, and never take responsibility." - Alan Glynn
"Now Ms Smith, a foster carer to a 15-year-old boy, is facing the prospect of homelessness after she was convinced by a mortgage broker to sign up for a $370,000 investment loan with subprime lender Liberty Financial five years ago."
Hmmm, This is just natural selection at work
"Last year, Ms Smith stopped making her $1600-a month repayments on the “low-doc” loan — a high-risk product that requires little paperwork or proof of income but is booming. She watched in horror as Liberty began charging her default interest at the ultra-high rate of 16 per cent, as well as expired account fees and legal costs."
Der!
2009 was a pretty good time to buy.
My questions are:-
1. Why not just sell the house/apartment - or did Mrs Smith pay too much.
2. If she could meet the repayments when interest rates were far higher, and she met them for 4 years - what changed?
Maybe there are some unanswered questions on this one, if indeed it's accurately conveyed in the first place.
Any expressed market opinion is my own and is not to be taken as financial advice
The question is why is The Australian covering this?
Clickbait, duh!
It's unfortunate that some people get into these situations and screw up years of their life, but to infer from this that we're a bee's dick away from it spilling over to a systemic crisis is laughable.
"It were not best that we should all think alike; it is difference of opinion that makes horse races." - Mark Twain on why he avoids discussing house prices over at MacroBusiness. "Buy land, they're not making any more of it." - Georgist Land Tax proponent Mark Twain laughing in his grave at humourless idiots like skamy that continually use this quip to justify housing bubbles.
This will go where her other low doc inspired enquiry went - no where.
Unlike the 100,000 spruikers from Fairfax, News.ltd, every TV station, seminar parasites, SMSfund advisors, REAgents and their REI mouth pieces, all banks etc etc..... Im sure there is more
That's the bottom line isn't it Jock. You have millions of Australians with a vested interest pushing an agenga they clearly profit from and a few lone voices calling them out. But that's how bubbles always go, millions of souls convinced that you can throw the rule book in the bin because its different this time, endless profits with no consequences.
The dotcoms were like that, interestingly the fundamentals supporting that bubble were actually stronger that those of our property bubble. They didn't have a fraction of the personal debt attached to that one. We have clear of a trillion dollars hanging on this one
Shadow was hopelessly wrong about the Gold Bull Market. What else is he wrong about?
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