Part of the bailout is sheer stupidity

[glovesetc]

Check the power given to Paulson under the bail out plan . Makes you want to puke .Secretary Henry Paulson is requesting unprecedented powers to resolve and dispose of billions of dollars of mortgages and mortgage backed securities that will turn the feds into the liquidator of last resort for business deals gone bad. Those powers, should Congress grant them, would come on top of authority Paulson was quietly granted earlier this summer to resolve the Fannie Mae and Freddie Mac messes. And the federal fire sale may not be limited to problem portfolios at home; there are reports that some of those entities subject to Treasury's purchase-and-resale powers may be foreign.

[Brutus]

where's the RTC when you need them?

http://www.thestreet.com/story/10438...FREE&cm_ite=NA


guys, there could be deals galore here.
we need an out of work member to get a job inside this monstosity, and lookout for the bargains.

[Brutus]

another rtc might be the answer, until foreign investment gobbles up the best deals. (with a weak dollar)

I would like to see an rtc, but first pics should be given to fellow americans.
otherwise its a wholesale sellout of unprecedented proportions.

[glovesetc]

Many sovereign government funds are already lining up to buy great deals . There will be plenty too ! The government is not in the retail or wholesale business and has no clue . They will either overpricethe assets and they will waste away in a warehouse or sit outside and rust away . The government is not too slick on this. Perhaps we should put together a buying syndicate from the forum to take advantage of the deals ???!!!! Might not be a bad idea for sure !

[moo321]

All of these clowns should be taken out back and shot. When did we become socialists?

[N&B]

Giving Paulson control over the funds is not wise... neither is giving it to Congress. An RTC type corporation is better suited. In the meantime buy gold, silver, and maybe oil. The $ is screwed no matter what...

Also, one needs to know the difference between a mortgage and a bet (option) on its inherent risk. I doubt the complex language will reveal itself.

[aslan]

Originally Posted by moo321

All of these clowns should be taken out back and shot. When did we become socialists?

I'm not sure the exact month or year.

[aslan]

Originally Posted by glovesetc

Check the power given to Paulson under the bail out plan . Makes you want to puke .Secretary Henry Paulson is requesting unprecedented powers to resolve and dispose of billions of dollars of mortgages and mortgage backed securities that will turn the feds into the liquidator of last resort for business deals gone bad. Those powers, should Congress grant them, would come on top of authority Paulson was quietly granted earlier this summer to resolve the Fannie Mae and Freddie Mac messes. And the federal fire sale may not be limited to problem portfolios at home; there are reports that some of those entities subject to Treasury's purchase-and-resale powers may be foreign.

Shouldn't this be a long process? Shouldn't they go through the inventory and revalue each property at FMV to minimize the cost of the bailout? I don't know what I'm talking about for sure, but I do know that all those foreclosures do have a value. I would think it's important to use some technique that will at least do a good job of eyeballing that value. Otherwise, the gov't will be throwing good money after bad money and all the taxpayers will do is lose more money.

[aslan]

Originally Posted by aslan

Shouldn't this be a long process? Shouldn't they go through the inventory and revalue each property at FMV to minimize the cost of the bailout? I don't know what I'm talking about for sure, but I do know that all those foreclosures do have a value. I would think it's important to use some technique that will at least do a good job of eyeballing that value. Otherwise, the gov't will be throwing good money after bad money and all the taxpayers will do is lose more money.

PS--Call in the CPA's and have them write everything down to FMV. Hey! Maybe I'll go back to work making $100 an hour working for the CPAs who will have to double their ranks to get the job done. This could open up a lot of new, if only temporary, jobs.

[glovesetc]

eyeball inspection would take at least 2 years on this crap . There is houses in Detroit and Cleveland and lots of them too that banks lent $80K on and they are being auctioned off for $1,200.00 to $5,000.00 each every week .In the slavic village there is house that Cleveloand banks lent $120K on that can be had for 30K buddy There is 15 yachts in Miami that are in foreclosure that are over 100feet long and the mortgages on them are like 19 Million and the banks can't even get a bid on them cause they are over priced , high fuel costs , and you need a crew to run it and people are getting away from that real quick . National city has 2 rolls royces that one guy bought with only the sales tax down and they were repo'd a year and a half later and they have nowhere near the bids at auction to even get half of their money back . So you see it goes all the way from the ghetto to the nouveau riche as well . It is going to be a long hard ride buddy so buckle down and go with my picks - lol !!!!! Plus you have the carrying costs , maintenance , appraisers fees, accountants,and probably a new agency or 6 to carry out the mandates as well as the employees to man the agencies . The list is endless buddy .