Government to turn foreclosed homes over to Goldman Sachs

[dannno]

I wouldn't recommend doing that. The offender could land in prison.

Wow, they can throw you in prison for accidentally dropping an open bag of cement into your toilet

 

[Brian4Liberty]

How will this relate to Obama's new stimulus, housing and jobs plans? Another rumor is that the Obama administration may want to become the world's largest property management company and rent out foreclosed homes.

As usual, conflicting interests will prevent a real recovery in housing. Too many people want to keep blowing hot air into the housing bubble to keep it from deflating to it's true market value, after which it can recover.

 

[gfy2k12]

Well this just goes to show that history repeats itself. The money changers have been doing this for centuries. First they take control of the control of the money supply through a strong central bank that is able to create the money supply. Put it on a fiat status. Then they create inflation because they know government will always overspend. When they do this it creates instability in the market and people are no longer able to afford things that they once did. Then like magic the money changers (Rothschilds) swoop in like the trojan horse viruses they are and buy up assets at pennies on the dollar. I mean this is no mystery, they have done this time and time again. Why do you think they are so damn wealthy! The only difference this time is that we have the internet to spread the message much faster

 

[tangent4ronpaul]

Well this just goes to show that history repeats itself. The money changers have been doing this for centuries. First they take control of the control of the money supply through a strong central bank that is able to create the money supply. Put it on a fiat status. Then they create inflation because they know government will always overspend. When they do this it creates instability in the market and people are no longer able to afford things that they once did. Then like magic the money changers (Rothschilds) swoop in like the trojan horse viruses they are and buy up assets at pennies on the dollar. I mean this is no mystery, they have done this time and time again. Why do you think they are so damn wealthy! The only difference this time is that we have the internet to spread the message much faster

Not for long - they have realized their mistake...

 

[moostraks]

Not for long - they have realized their mistake...

yep...

 

[Valli6]

Truth

Well this just goes to show that history repeats itself. The money changers have been doing this for centuries. First they take control of the control of the money supply through a strong central bank that is able to create the money supply. Put it on a fiat status. Then they create inflation because they know government will always overspend. When they do this it creates instability in the market and people are no longer able to afford things that they once did. Then like magic the money changers (Rothschilds) swoop in like the trojan horse viruses they are and buy up assets at pennies on the dollar. I mean this is no mystery, they have done this time and time again. Why do you think they are so damn wealthy! The only difference this time is that we have the internet to spread the message much faster

I just want to draw a correlation to an example that I've never heard anyone speak of.

In the early part of the last century, an entrepreneurial ancestor of mine did so well, that he could buy some property in an area of central NJ about 25 miles outside of NYC. Over time, the property was paid off and homes for offspring were built on some of it, while some was used for assorted family businesses. It was the typical american dream of "immigrant comes to America with nothing, finds success".

After the depression hit, it became more difficult to pay the taxes on the property and some had to be sold. Over a period of many, many years, things were more difficult. Eventually, some property was confiscated by the government for failure to pay taxes. That generation died off long ago, so the details are lost to me. I don't know if there was any token "compensation" for the land or not . I do know that the owner never agreed to hand over the property, tried to fight it, and eventually became so desperate that he even used his 2nd amendment rights to defend his land, which of course did not work out well.

Today, that piece of property is the area where 2 very major highways meet and run parallel, and a little further on they intersect with a third major roadway. This includes the New Jersey Turnpike and the Garden State Parkway.

I've always wondered what price the government would have had to pay to for that land, had they not been able to steal it. If they had not ruined the economy causing the great depression, my relatives would not have had any trouble holding on to their property. The state of NJ used to brag about their "modern" Parkway and Turnpike as "marvels of engineering", but I wonder how much of it was built on the misery of former property owners who lost everything due to the currency manipulation before and after the great depression?

When all the home foreclosures began in 2008, this is what I thought about. Once again, the government is acquiring citizens' property through their own deceptive policies! How will they enrich themselves from the misery of American citizens this time?

 

[Travlyr]

I just want to draw a correlation to an example that I've never heard anyone speak of.

In the early part of the last century, an entrepreneurial ancestor of mine did so well, that he could buy some property in an area of central NJ about 25 miles outside of NYC. Over time, the property was paid off and homes for offspring were built on some of it, while some was used for assorted family businesses. It was the typical american dream of "immigrant comes to America with nothing, finds success".

After the depression hit, it became more difficult to pay the taxes on the property and some had to be sold. Over a period of many, many years, things were more difficult. Eventually, some property was confiscated by the government for failure to pay taxes. That generation died off long ago, so the details are lost to me. I don't know if there was any token "compensation" for the land or not . I do know that the owner never agreed to hand over the property, tried to fight it, and eventually became so desperate that he even used his 2nd amendment rights to defend his land, which of course did not work out well.

Today, that piece of property is the area where 2 very major highways meet and run parallel, and a little further on they intersect with a third major roadway. This includes the New Jersey Turnpike and the Garden State Parkway.

I've always wondered what price the government would have had to pay to for that land, had they not been able to steal it. If they had not ruined the economy causing the great depression, my relatives would not have had any trouble holding on to their property. The state of NJ used to brag about their "modern" Parkway and Turnpike as "marvels of engineering", but I wonder how much of it was built on the misery of former property owners who lost everything due to the currency manipulation before and after the great depression?

When all the home foreclosures began in 2008, this is what I thought about. Once again, the government is acquiring citizens' property through their own deceptive policies! How will they enrich themselves from the misery of American citizens this time?

It is not the government doing the stealing. It is a counterfeiting cabal of pseudo oligarchs hiding behind the curtain of the state with the full support of their accomplices including most politicians, media shills, and 'educators'. Nothing that they are doing is legal, moral, or legitimate. They are common thieves dressed in Armani suits. Constitutional law does not allow for such shenanigans. The people must stand-up for their rights ... some day they will.
Common Law Grand Jury

 

[ghengis86]

Wow, they can throw you in prison for accidentally dropping an open bag of cement into your toilet

I should hope not. But then there are ways to make it less obvious. There's the cleanout for one. And you could flush a few bowls of a light slurry and clean up the mess. And then there are other systems besides plumbing. Get creative!

 

[Travlyr]

I should hope not. But then there are ways to make it less obvious. There's the cleanout for one. And you could flush a few bowls of a light slurry and clean up the mess. And then there are other systems besides plumbing. Get creative!

No doubt. When a distraught "homeowner" destroys property he/she is considered a bad person, but when bankers do it, they are heiled and revered.

Time Magazine: How To Save The Housing Market: Destroy Houses

 

[WilliamC]

Then there is always this option....

 

[Brian4Liberty]

Breaking today. Monday Jan 9, 2012:

Well, here it goes. Not so much as a whimper or squeak from anyone as one of the biggest scams in the history of the world takes place. Big Wall St. banks and Hedge Funds take American homes for pennies on the dollar, and there will never be a "For Sale" signs on these houses. Backroom crony corporatism.

Government Set to Sell Foreclosures in Bulk
Published: Monday, 9 Jan 2012 | 9:11 AM ET

The Obama administration, in conjunction with federal regulators and led by the overseer of Fannie Mae and Freddie Mac, is very close to announcing a pilot program to sell government-owned foreclosures in bulk to investors as rentals, according to administration officials.

There currently are about a quarter of a million foreclosed properties on the books of Fannie Mae, Freddie Mac, and the Federal Housing Administration (FHA), and millions more are coming.

The foreclosure processing delays of last year created a mammoth backlog of properties yet to be processed, which are just now being re-started. One of the initiatives of this program is for the federal government to be in the position to mitigate and manage any new wave of foreclosures, sources say.

Late-stage delinquencies still in the pipeline number close to two million, according to a new report from Lender Processing Services. Foreclosure starts outnumber foreclosure sales by two to one and "the trend toward fewer loans becoming delinquent, which dominated 2010 and the first quarter of 2011, appears to have halted," according to LPS.

Knowing this all too well, the Treasury Department, Federal Reserve, HUD, FDIC, Fannie Mae and Freddie Mac, with their conservator, the Federal Housing Finance Agency (FHFA) at the helm, are engaged in a collaborative effort to face this new wave of foreclosures head on and figure out a way to keep these properties from sitting on the books of the government and sitting empty in the nation's neighborhoods.

As the Federal Reserve alluded to in its white paper on housing last week, "A government-facilitated REO-to-rental program has the potential to help the housing market and improve loss recoveries on reo portfolios." REO's (Real Estate Owned) are bank-owned properties, or, in this case, properties owned by the government-sponsored enterprises and the FHA. Three Fed governors pushed for similar plans in speeches last week, as well.

"I think there is a fair amount of money in the wings waiting to buy, investors doing cash raises to buy properties on a large scale.”

A pilot sales program will be starting in the very near future, according to administration officials. They are working on what the market potential is, what pricing would be, how government can partner with private investors, and who has the operational experience to manage so many properties.

"I think there is a fair amount of money in the wings waiting to buy, investors doing cash raises to buy properties on a large scale," says Laurie Goodman of Amherst Securities. "But that means they have to build out a rental organization; it means they build out a management company, because if you're accumulating a hundred homes in Dallas that's very different than running a multifamily building."

A number of institutional investors have shown appetite and interest in bulk REO deals, according to officials, but the plan has to incorporate ways to help facilitate financing. That has been one of the biggest roadblocks to deals already in the works between hedge funds and the major banks. Sources close to these private bank negotiations say there is plenty of cash to buy properties, but building out a management structure for the rentals is pricey, and some investors are finding the math doesn't add up to make it worth their while.

Larger investors want to be able to get real scale in any government program, in the range of 50, 100, 500 properties per deal, or $1 billion-plus in assets, say officials close to the plan. That's why the government is looking to test a combination of different approaches. Fannie Mae did a $50 million sale last June, but that was on the small side. Officials are evaluating at what larger asset sales beyond that would look like.

http://www.cnbc.com/id/45925851

 

[Brian4Liberty]

Of course the new development here is that they are putting financing into the plan! JP Sachs and Hedge Funds will probably get Zero Down, Zero Interest financing from the Fed to take possession of all of these homes.

 

[Warrior_of_Freedom]

I wouldn't recommend doing that. The offender could land in prison.

I would love to see that court case. "The defendant is accused of permanently clogging the toilet."

 

[moderate libertarian]

Payback time.


Goldman Sachs was top Obama donor

Apr 20, 2010 ... For Goldman Sachs, a large financial investment in President Obama does not
appear to be paying off.Wall Street's top investment bank was a ...

articles.cnn.com/.../obama.goldman.donations_1_obama-campaign-presidential-campaign-federal-election-commission-figures?_...

 

[Brian4Liberty]

Payback time.


Goldman Sachs was top Obama donor

Apr 20, 2010 ... For Goldman Sachs, a large financial investment in President Obama does not
appear to be paying off.Wall Street's top investment bank was a ...

articles.cnn.com/.../obama.goldman.donations_1_obama-campaign-presidential-campaign-federal-election-commission-figures?_...

Of course.

 

[Marenco]

 

[onlyrp]

selling them to a willing buyer is not "turn over".

While it's pretty messed up they only allow private equity or hedge fund community to participate, its not "turn over to GS" as you make it sound.

Also, "many people who said that the housing boom and bust would result in big banks taking possession of massive amounts of US real estate", is not some genius prediction, the minute a bank is allowed to make loans on a mortgage, THEY OWNED IT. Who borrowed the money to call himself the homeowner, is irrelevant. So it's not that banks were taking houses away from people , banks were the only people who had the capital to buy houses to begin with (and with that, they paid off the sellers, making sellers wealthy).

 

[Brian4Liberty]

selling them to a willing buyer is not "turn over".

If it is not an open, competitive process, how is the appropriate price discovered? Calling this a "sale" is not quite accurate either. To further complicate matters, some sources have talked about the prospective "willing buyers" demanding that the government also finance the purchases. And who is negotiating? Both sides essentially represent the interests of the big banks, via the revolving door between Wall St and government.

While it's pretty messed up they only allow private equity or hedge fund community to participate, its not "turn over to GS" as you make it sound.

Yes, it's messed up. What would you like to call it?

Also, "many people who said that the housing boom and bust would result in big banks taking possession of massive amounts of US real estate", is not some genius prediction, the minute a bank is allowed to make loans on a mortgage, THEY OWNED IT. Who borrowed the money to call himself the homeowner, is irrelevant. So it's not that banks were taking houses away from people , banks were the only people who had the capital to buy houses to begin with (and with that, they paid off the sellers, making sellers wealthy).

Yes, the actual details are mundane. Every step of the process is predictable and routine if you understand the forces at work. The end results are the same. But where did the banks get that money to loan? What role did the Federal Reserve play?

 

[Brian4Liberty]

In some markets, there is actually a shortage of homes for sale, while foreclosed homes sit empty. Better sell all of those foreclosed homes at a discount to JP Sachs so that they can "rent" them.

Locally, however, some Realtors have complained of an inventory shortage for homebuyers.“Our market is thirsty for inventory, and while we don’t need a flood of inventory, we need a little more to keep it stable and homebuyers hopes up,” said Cherrie Brown with Keller Williams VIP Properties.Some of Brown’s clients are already faced with bidding wars.Taking foreclosed properties off the resale market and converting them to rental units could negatively affect the Santa Clarita Valley market, Brown said. “For the rest of the country, this may be a great program — but for our market, I only seeing it hurting (us),” she said.

http://www.the-signal.com/m/section/24/article/58020/

 

[onlyrp]

If it is not an open, competitive process, how is the appropriate price discovered? Calling this a "sale" is not quite accurate either. To further complicate matters, some sources have talked about the prospective "willing buyers" demanding that the government also finance the purchases. And who is negotiating? Both sides essentially represent the interests of the big banks, via the revolving door between Wall St and government.



Yes, it's messed up. What would you like to call it?



Yes, the actual details are mundane. Every step of the process is predictable and routine if you understand the forces at work. The end results are the same. But where did the banks get that money to loan? What role did the Federal Reserve play?

I call it an unopen sale, or a special favors sale, but not turn over, or hand over.