"Dark winter"...millions of Americans are expected to lose their homes

_ryan wrote:

And Biden plans to shut down the economy and flood our country with 20-50 million more immigrates. That will do wonders for our economy and our peoples ability to stay afloat. This country is going to hell before our eyes.

"A dark covid winter is descending on the working-poor of America as millions of adults face eviction or foreclosure in the next few months."

zh-prod-1cc738ca-7d3b-4a72-b792-20bd8d8fa069.storage.googleapis.com/s3fs-public/inline-images/2020-11-24_09-14-46.pngzerohedge.com/personal-finance/dark-winter-millions-americans-expected-lose-their-homes

Look at it as 20-50 Million more Taxpayers to fund our retirements.

DanM wrote:

Rents are plummeting in rapidly declining dystopian urban hell holes.

Oh man that is cheesy

I have at least 4 rentals that haven't paid since march or april because they know there is nothing I can do. Some of those are my parents who are retired and depend on the rental income to live off of. By the time they pay all their medical insurances and supplemental insurances, most of their social security checks are eaten up. Fortunately we have enough good payers and all our properties are paid for. I never evict in the winter so it will be a year rent free before the tenants get evicted.

There are a lot of people in your position. Something needs to be done systemically because otherwise we are going to see cities full of empty buildings surrounded by huge homeless encampments. That wouldn't be good for anyone.

It’s pretty simple economics. Wage growth for has not kept up with housing prices over the last 10 years. This is partially due to record low interest rates.

I got a 15 year mortgage on my house at 2.875% when Obama was in office. I didn’t think rates would go even lower, so I thought I overpaid at the time. Less than five years later and it’s up anywhere from 20-30% based on recent sales comps.

If and when rates go back up, I think we will see a major correction. Prices are way higher in my area than the they were during the last housing bubble. Doesn’t matter to me because I’m not selling and I bought a home that is less than 2 years salary for me thinking it was overvalued back then. However, there are a lot of speculators that are going to get burned. I would not be a buyer in a hot market right now.

Hedgetrimmer 2020 wrote:

No, I am sitting in a humble small paid off house and it's raining outside.

Mitch McConnell and friends refused to give a relive package to the average Joe. Instead they are funneling all the money into their own pockets.

Bothe parties are working solely for their Big Donors and against the people.

When the government's knee jerk reaction is to shut down every time someone gets a sniffle, your going to create issues like this. Unfortunately the people elected to make difficult decisions have been largely spineless in their decision making. If you don't shut stuff down, the impact of COVID is relatively minor (on everything except for tourism). The shut downs are far more harmful than COVID itself. Unfortunately the Democrats are holding up stimulus so that they can try to bail out their home state's over reactive policy decisions and essentially make the nation go into deeper debt so that their constituents can hide out at home in fear.

https://www.bls.gov/web/laus/laumstrk.htm

When fear and not reason is your policy, maybe you should have to pay for those policy decisions on your own and not bankrupt the rest of the country in the process.

bfef wrote:

There are a lot of people in your position. Something needs to be done systemically because otherwise we are going to see cities full of empty buildings surrounded by huge homeless encampments. That wouldn't be good for anyone.

It must be good for someone or the powers that be would not be taking these actions to create this result.

L L wrote:

tax cuts for the rich.

Almost everyone got a tax cut in 2019.

Tatar wrote:

bryan evans wrote:

Sleepy Joe is going to have to either extend the moratorium indefinitely and send mom & pop landlords to the wolves or evict and ruin the credit of 5.8 million people... Tough choice.

Easy. Send the landlords to the wolves. Should be working or investing in the productive economy.

Lol. You think work is more honorable when you are a poor. It’s just something you have to do.

It’s only 3 weeks

It’s only 3 months

It’s only a mask

It’s only a test

It’s only a 2 week circuit-breaker

It’s only a four-week lockdown. It’s only a tier system.

It’s only a pub.

It’s only a vaccine.

It’s only a ‘Health Pass’.

It’s only life as we knew it completely destroyed.

Winner winner. Trump didn't have the guts to follow through on his promises to make America great again. He just continued the same failed Bush and Obama bubble-blowing policies. At this point, any opportunity to avoid the crash has long since passed. The one silver lining is we get Keynesian extraordinaire Yellen back in the mix and probably and even worse Fed chair to take the credit for the crash of the dollar. Our country needs the dollar to collapse at this point. It needs to be learned that socialism does not work since apparently the 40+ other historical examples were not enough. When all the modern monetary theory fails to save us hopefully people will listen to the Capitalists who have known this was coming for years and we will permanently reject FIAT currency with a constitutional amendment tieing the dollar to a fixed amt of gold and a limit to the FED's balance sheet.

The one good thing I see is America is still the most innovative country in the world. There are still enough of us who want to be free of big government. If America rejects the big government and embraces the constitution again we can quickly regain our place at top of the world. China is a huge threat but history has proven over and over again that Capitalist countries dominate Authoritarian ones. America for decades had the highest wages and the richest population all while being a net exporter. We can do this again.

bean dip only please wrote:

Tatar wrote:

Easy. Send the landlords to the wolves. Should be working or investing in the productive economy.

Lol. You think work is more honorable when you are a poor. It’s just something you have to do.

I have no idea how you think your reply relates to my post.

Tatar wrote:

bryan evans wrote:

Sleepy Joe is going to have to either extend the moratorium indefinitely and send mom & pop landlords to the wolves or evict and ruin the credit of 5.8 million people... Tough choice.

Easy. Send the landlords to the wolves. Should be working or investing in the productive economy.

This doesn't make a ton of sense. Mom and pop landlords pump money into local economies on upkeep of rentals, property taxes, etc.....

Would the banks do the same? Would the banks even be able to absorb that many repos?

Gaius Baltar wrote:

Tatar wrote:

Easy. Send the landlords to the wolves. Should be working or investing in the productive economy.

This doesn't make a ton of sense. Mom and pop landlords pump money into local economies on upkeep of rentals, property taxes, etc.....

Would the banks do the same? Would the banks even be able to absorb that many repos?

They sure did in 2009.

Gaius Baltar wrote:

Tatar wrote:

Easy. Send the landlords to the wolves. Should be working or investing in the productive economy.

This doesn't make a ton of sense. Mom and pop landlords pump money into local economies on upkeep of rentals, property taxes, etc.....

Would the banks do the same? Would the banks even be able to absorb that many repos?

Not much industry involved in being a landlord, it's called passive income for a reason.

If it's a choice between the two as the poster suggested, you back the tenant's interests. They're the people who will be engaged in the active economy in the coming years. If you cut them off it will never recover.

Yerrrrrrrrrrr wrote:

L L wrote:

tax cuts for the rich.

Almost everyone got a tax cut in 2019.

Maybe one million of the trillion in tax cuts went to those making under $100K

on the low end of middle class wrote:

I have at least 4 rentals that haven't paid since march or april because they know there is nothing I can do. Some of those are my parents who are retired and depend on the rental income to live off of. By the time they pay all their medical insurances and supplemental insurances, most of their social security checks are eaten up. Fortunately we have enough good payers and all our properties are paid for. I never evict in the winter so it will be a year rent free before the tenants get evicted.

Nice that you will wait until spring before evicting your parents.

As long as you do not worship the free market, this issue is probably one of the easiest to handle out of the many problems in the pandemic. We have had similar systemic problems like the S&L crisis where the government had to step in to resolve the crisis through various measures. A federally funded bailout requiring landlords to take a haircut on what is owed in exchange for a bailout would not cost a fraction of what the Trump tax cuts cost. Just repeal the Trump tax cuts and use the funds to force landlords/lenders to workout arrearages with their tenants/borrowers.