More price declines forecast for 2011

From HousingWire:

Home prices end up 4.1% lower in 2010, more declines ahead

U.S. home prices were turbulent through 2010 ending up 4.1% lower than the year before, according to analytics firm Clear Capital.

And prices are expected to fall another 3.6% over 2011.

The homebuyer tax credit proved an artificial boost to home prices, which tapered off nearly as soon as it expired in April. The period immediately after created probably the most volatile year of home prices in history, the report claims. Values declined 5.3% over the first 12 weeks of the year, only to spike 9.7% through mid August. But when the market left the summer months, prices dipped right back down another 9.4%.

“In terms of home prices, this past year has certainly been characterized by uncertainty,” Alex Villacorta, senior statistician at Clear Capital, said. “Tax incentives and high levels of distressed sale activity had counter effects on home prices which contributed to the fragility of the markets.”

At least the decline in 2011 will be a smooth one.

“The wild spikes experienced in 2010 will likely be replaced with more gradual price trends this year. Price forecasts show varying levels of decline across all four regions in 2011, with local markets in the West expected to accumulate the largest overall losses,” according to the Clear Capital report.

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128 Responses to More price declines forecast for 2011

  1. grim says:

    From Bloomberg:

    Foreclosures May Be Undone by Massachusetts Ruling on Mortgage Transfers

    Massachusetts’s highest court is poised to rule on whether foreclosures in the state should be undone because securitization-industry practices violate real- estate law governing how mortgages may be transferred.

    The fight between homeowners and banks before the Supreme Judicial Court in Boston turns on whether a mortgage can be transferred without naming the recipient, a common securitization practice. Also at issue is whether the right to a mortgage follows the promissory note it secures when the note is sold, as the industry argues.

    A victory for the homeowners may invalidate some foreclosures and force loan originators to buy back mortgages wrongly transferred into loan pools. Such a ruling may also be cited in other state courts handling litigation related to the foreclosure crisis.

    “This is the first time the securitization paradigm is squarely before a high court,” said Marie McDonnell, a mortgage-fraud analyst in Orleans, Massachusetts, who wrote a friend-of-the-court brief in favor of borrowers. The state court, under its practices, is likely to rule by next month.

  2. grim says:

    From the Huffington Post:

    Fed To Back New Rules To Rein In Home Foreclosure Abuses

    The Federal Reserve has reversed its opposition to new rules reining in foreclosure abuses, and will support stronger regulations on the nation’s largest banks, according to a source familiar with the matter.

    The Wall Street reform legislation signed into law by President Obama in July 2010 required federal regulators to write new rules governing the broken market for mortgage bonds. Problems in the packaging and sale of mortgage bonds helped inflate the housing bubble and facilitated the sale of predatory loans nationwide. Since banks could push mortgages on borrowers and then sell them to investors, critics say that banks lacked serious incentives to ensure those loans could be repaid.

    The FDIC has been pushing hard to ensure that new regulations on the mortgage bond market include clear instructions for how banks handle mortgages– and under what circumstances they can evict delinquent borrowers. The bank divisions that collect payments from borrowers and implement the foreclosure process– known as “mortgage servicers”– have been plagued by rampant problems with fraudulent documentation. This fraud has resulted in everything from illegal fees charged to borrowers to improper evictions.

    The Fed had opposed using the mortgage bond rules to crack down on foreclosure abuses, despite pressure from the FDIC. But FDIC General Counsel Michael Krimminger recently told the Fed his agency would not support any new mortgage bond regulations that do not include strong rules forbidding foreclosure abuses. Krimminger told HuffPost that other regulatory agencies are “moving in our direction on the issue.”

  3. grim says:

    From HousingWire:

    CMBS delinquencies hit record high in December

    The delinquency rate on commercial mortgage-backed securities reached 9.2% in December, the highest on record, according to analytics firm Trepp.

    When the delinquencies dipped in October, analysts began anticipating a continued recovery, but the rate jumped 35 basis points in November and another 27 bps in December. A total of $61.5 billion in commercial mortgages are either more than 30 days delinquent, in foreclosure or REO as of December, up from just over $60 billion the month before.

    Trepp Managing Director Manus Clancy said many were speculating that an emergence in new commercial lending and the resolution of many CMBS loans that the commercial real estate crisis had subsided.

    “The December delinquency rate underscored that there still may be some nasty surprises in store even as the market shows some signs of healing,” Clancy added.

  4. xroads says:

    will we see legislation to help streamline foreclosure process? something that will help get zombie homeowners out faster. the 2-3 year process seems extreme.

  5. grim (3)-

    But…but…Mort Zuckerman said CRE was fine!!!!

  6. x (4)-

    Will never happen. The faster the banks foreclose, the faster they have to recognize the losses.

  7. Mikeinwaiting says:

    X 4 in short no. The banks need a slow bleed to keep from causing even more pronounced declines & the present administration has done numerous programs to keep folks with a roof. I don’t see the up side for either.

    Grim 1 Can of worms being reopened we should keep an eye on that one. Precedent would be set, no? Lawyers please chime in. I was under the impression that our bought & payed for gov was going to look the other way. Maybe there is some hope, in rides the judicial branch on a white horse, we shall see.

  8. grim says:

    Precedent would be set, no?

    The continuum of outcomes here ranges from “Nothing changes” to “Hush-hush settlement”.

  9. Mikeinwaiting says:

    Grim 8 I should have known better.

  10. Outofstater says:

    OT: Been reading about the NJ Supremes and school funding and I realize I don’t understand how it works. Does every district receive the same amount of state funding per pupil and then the local property taxes fund the rest? I know that some poorly performing districts receive more because of the Abbott decision and that the extra money hasn’t made a difference. I’m just wondering about the non-Abbott districts.

  11. 30 year realtor says:

    xroads #4 – “will we see legislation to help streamline foreclosure process? something that will help get zombie homeowners out faster. the 2-3 year process seems extreme.”

    No! State law controls this. Much of the NJ law related to foreclosures was tweaked after the high foreclosure rate in the late 80’s to early 90’s. Steps were taken to speed up uncontested foreclosures.

    Unintended consequences have caused a massive level of foreclosure filings. The fault is not with the law or the process.

  12. Neanderthal Economist says:

    OOS. 10. If district is poor but not one of the 36 abbots, they get shafted. But almost all districts, even the rich ones, get some level of state or fed funding.

  13. malatesta says:

    Schroedingers CAT is right.

    America lost a great opportunity to get rid of the finance squid and transform its economy. Politicians lack the cojones, vision and energy to change the way this country operates. They bailed out the banks and they ask credit for that instead of being persecuted. Of course most of us are happy consuming for a few holidays more.

    The following is telling of american economy: taxpayers financing a trite teen-obsessed web software as the next sliced bread.

  14. Mr Wantanapolous says:

    “97.Essex says:
    January 5, 2011 at 7:33 pm
    A man’s home is his castle.”

    Hope you have a ton of slits and pray that the archers don’t fire backwards.

  15. I think this is one of the most important information for me. And im glad reading your article. Good job, cheers

  16. Schrodinger's Cat says:


    forget about it and invest in this:

  17. Fabius Maximus says:

    Its nice to find someone who can articulate your thoughts and views so succinctly.

    Public servants are convenient scapegoats. Republicans would rather deflect attention from corporate executive pay that continues to rise as corporate profits soar, even as corporations refuse to hire more workers. They don’t want stories about Wall Street bonuses, now higher than before taxpayers bailed out the Street. And they’d like to avoid a spotlight on the billions raked in by hedge-fund and private-equity managers whose income is treated as capital gains and subject to only a 15 percent tax, due to a loophole in the tax laws designed specifically for them.

    It’s far more convenient to go after people who are doing the public’s work — sanitation workers, police officers, fire fighters, teachers, social workers, federal employees — to call them “faceless bureaucrats” and portray them as hooligans who are making off with your money and crippling federal and state budgets. The story fits better with the Republican’s Big Lie that our problems are due to a government that’s too big.

  18. Schrodinger's Cat says:

    Nuke the Dept of ED!!!! Fund schooling from local and state consumption taxes while the schools are run by state and local level boards

  19. gluteus (17)-

    Using Robert Reich to back an argument is like trying to invade China with a slingshot.

  20. Schrodinger's Cat says:

    Wantan 14, Essex

    have invested properly yet?

    Dont forget the rifle plates

  21. jamil says:

    New checking account monthly fees between $9 and $12 (at least Chase, Citibank, BoA, Wells Fargo). You can thank Elizabeth Warren, Chris Dodd and their consumer protection drive.

    “Two big banks, Chase and Wells Fargo, will begin phasing out traditional free checking in New Jersey next month.

    Wells Fargo, which acquired Wachovia two years ago, announced last week that Wachovia branches in New Jersey will end free checking for new customers when they convert to Wells Fargo on Feb. 5.

    Under the new program, consumers who carry low account balances would be subject to a $9 monthly maintenance fee. Meanwhile, those with at least $50,000 in deposits and investments would receive priority customer service and higher interest rates on their savings. The new accounts will be tested in Arizona, Georgia and Massachusetts this month and are slated to be rolled out nationwide late this year or early next. “

  22. Schrodinger's Cat says:

    You have to love the continual state of shock that the Ministry of Disinformation is in as prices continue to fall and economic conditions fail to suddenly reverse. Virtually all this outcome was called to a high degree of accuracy by this blog by 2005.

  23. Mr Wantanapolous says:

    Debt Villanova [19],

    From the rant;

    “and importantly currency exposure other than the dollar.”

    Away from good faith and credit and into Canada, Brazil, Mexico, etc.. Sounds familiar.

  24. speedkillsu says:

    #12 .Neanderthal Economist …My district received no aid it was all cut as well other 6 districts that had all aid cut (Manasquan was another) …so my towns entire state income tax went to the cesspool known Abbott !

  25. Mr Wantanapolous says:

    Cat [23],

    LOL. I remember Richard calling me Stephen Roach. Where is Richard these days?

  26. Mr Wantanapolous says:

    He did want to receive a wake up call when prices declined 7% in North Jersey.

  27. Schrodinger's Cat says:


    may i suggest the following for those persistant threats

    It will turn cover into concealment

  28. Comrade Nom Deplume says:

    (17) fabius

    Operative phrase being “your thoughts and views”.

  29. Comrade Nom Deplume says:

    22 jamil

    True but hardly news. We discussed this last year. Even fabius and scabadoo didn’t disagree.

  30. Juice Box says:

    re: #22 – Actually Jamil the Big Banks have had to find new profit centers. This has nothing to do with Elizabeth Warren or the legislation, but to recapitalize the banks. Soak the account holders with fees etc, was predicted here over a year ago. BOA just sold off it’s entire MBS Securitzation Unit, they aren’t making money servicing millions of loans so how they heck are they supposed to make money? Well they are going to soak the account holders with a fee everytime they write a check or make a withdrawal or login online etc.

    For you see Jamil they aren’t lending unless the rates are sky high credit cards, and aren’t doing checking for nothing, and if you don’t like it you can take your Business to a Credit Union. Not too long from now the big banks will buy them too.

  31. make money says:

    Is there anyone besides JJ who thinks shiny’s future is not Shiny??

  32. Juice Box says:

    re: #22 – The Dodd legislation also. You do have a point there Jamil. The recommendation from Volker and others advising Congress was that the Banks should be made to operate like a Utility. They should be allowed to make money but not too much. However what we have now after the legislation is not all that much different from before, is still an out of control global casino. Wall St is planning on remaining the Las Vegas of that Global Casino, for you see if we don’t our competitors overseas will. It won’t be Dubai, or Mumbai but it could be London, Hong Kong or Shanghai.

  33. Outofstater says:

    The banks must have lost a sizeable income stream when they could no longer charge overdraft fees on debit cards without the depositor’s permission. I know one kid who racked up over $300 in overdraft charges IN ONE DAY because she didn’t keep track of her balance (dumb!) and the bank accepted her card every time she swiped it at a fair. Each purchase was less than $20 and each swipe cost her $35 in fees. She is now one of the “unbanked” who uses WalMart for financial transactions. I’m not sure she’ll ever use a bank again.

  34. Juice Box says:

    re # -32 – Make – As long as Central Banks are still buying I am holding a position. I could care less about the other white noise or bullion vending machines and cash for gold TV ads with Mr. T or some guy who likes to boink Vidalias.

  35. jamil says:

    “Actually Jamil the Big Banks have had to find new profit centers. This has nothing to do with Elizabeth Warren or the legislation”

    Before, banks were screwing irresponsible people only (e.g. overdraft charges). Now, thanks for the consumer protection BS laws from Elizabeth Warren, Chris Dodd and “We are from the Government and we are here to help” attitude, the unintended consequences (unintended to BigGov libs) are here.
    This would not have happened without the “help for the little guy” from the Imperial Government, eager to micromanage every aspect of everything.

  36. Juice Box says:

    re # – 36 – re: “Banks were screwing irresponsible people only.” Arguing for the sake of arguing Jamil? Your latest comment is asenine at best Jamil, you really do have a limited grasp on how big banks have grown and how banks actually make money.

    Banks grew their Percentage of GDP to double what is was in the last 20 years. You think they made that on the backs of CRA deadbeats with free checking in the ghettos?

    The Legislation did not go far enough, Banks should need pre-approval for new fees. This is how it used to be Jamil believe it or not when the Fed actually did regulating. The bankers, naturally, want to keep revenue as high as they were pre-reform in order to preserve profit margins and bonuses so how about a nice annual $30 dollar Debit Card Fee for everyone? That should generate a few Billion in revenue annually don’t you think? I would rather pay a debit card fee than have the Banks give out loans to deadbeats anyway.

  37. Confused In NJ says:

    (Newser) – A California town has passed legislation that will push many smokers out of their last remaining indoor sanctuary—their home, the New York Times reports. Belmont’s law—believed to be the nation’s toughest—bans smoking in any residence that shares a floor or ceiling with another.

  38. Shore Guy says:

    I heard this morning that the price of onions has skyrocketed in India.

  39. Shore Guy says:

    I think that is just a ploy to push smokers to purchase sfhs.

  40. Juice Box says:

    Little Neck banned smoking on the sidewalks. You can still play in traffic if you want to puff away.

  41. Schrodinger's Cat says:

    Regarding The Mass forclosure court case:

    Massachusetts Land Court Judge Keith C. Long in Boston ordered the banks to prove they had the right to foreclose in the first place.

    In March 2009, he ruled they didn’t. Published notices listed U.S. Bancorp unit U.S. Bank and Wells Fargo as the foreclosing parties when they weren’t the actual mortgage holders at the time of the 2007 auction, a violation of state law, the judge said.

    While i am not optimistic, this case does appear to have the potential to start quite the little conflagration for the banks. Mass law prohibits transfer “In Blank” which most of these mortgages were.

  42. Schrodinger's Cat says:

    Juice, confused

    While i hate smoking, i have an issue with this level of nanny state.

  43. NJSerf says:

    (36) Put down the Kool-Aid buddy.

    The banks had a system in place that preyed on the young, broke and irresponsible. Fees would be slapped on those that could least afford it. One of the key changes with the legislation made sure that the consumer would now have to Opt-In to have “over-draft” protection, instead of it being automatic. Most consumers assumed that if the funds weren’t there, the transaction would be declined. Unfortunately, most learned the hard way this wasn’t the case.

    I’m sure if you read a little further you would have also noticed that there are simple contingencies that those “responsible” that would be affected can avoid the monthly fees through direct deposit or minimum balance. So in short, the banks won’t be offering free checking to those they should not have been offered to in the first place.

    There was never such a thing as free checking, and those that should have never received the “free” checking, now won’t. Big deal.

  44. Shore Guy says:


    BTW, Obama said to tell you that your shoe laces are untied.

  45. Juice Box says:

    Jamil – perhaps you should apply for membership in this group.

  46. jamil says:

    38 ” Banks should need pre-approval for new fees”

    Uh..So we BigGov should impose price controls? Yeah, baby, that has worked out so well in Venezuela and Cuba. No chance for corruption, political intimidation and economic disaster there.

  47. jamil says:


    “Education Action Group has produced an eye-opening chart illustrating the torturous, time-consuming and expensive process New Jersey schools must follow when attempting to fire a tenured teacher for “inefficiency, incapacity, conduct unbecoming or other just cause.”

    EAG created this chart after consulting with James Smith, the executive director of school security for Paterson, NJ schools. We believe the chart is a clear indication that lawmakers in New Jersey and other states must seriously consider reforming and streamlining the tenure process, to make it quicker and easier to remove bad teachers from public school classrooms.

    Recently, Paterson schools made national news after it successfully fired a tenured special-education teacher. The defendant was found guilty of “unbecoming conduct,” which included hitting and/or punching a handicapped student. It took Paterson officials four years and over $400,000 to successfully fire the teacher.,_lengthy_nj_teacher_tenure_process_revealed/page/full/

  48. Juice Box says:

    re #48 – Jamil – PSE&G cannot raise your electric costs without State Board approval. That is a price control. Why aren’t you casting a spell and kicking a coconut around your living room and creating voodoo dolls over that one?

    If you want to live in a free society where only the rules of God and Nature apply move to Antarctica already.

  49. Im glad to see this informative article. Thanks for such helpful and useful post.

  50. Shore Guy says:

    Go Ducks!

  51. relo says:

    At least they didn’t blame on people staying indoors due to the birds falling out of the sky.

  52. Libtard says:

    The opt in for over-draft protection on the debit card account is atrocious. The new regulation on it is beneficial to all, but the banks are pushing people to opt-in for something that potentially hurts them. You should have seen the guy at Chase try to convince me why I ‘needed it.’ Jamil thinks the banks should be left alone to govern themselves. Like they did in the 20’s. Jamil needs to turn off the radio. Last I read, Beck was fired from WOR. Are you in mourning Jamil?

  53. JJ says:

    Middle Neck road in Great Neck is the East Coast’s version of Rodeo Drive in Beverly Hills. Very High End store sand sky high rent. Great Neck keeps it immaculate. They actually scrub the sidewalks every morning before the stores open. Very Rich highly educated people usually don’t smoke. Also the stores quite often in nice weather leave doors open with very expensive clothing related merchandise right inside , also there are sidewalk cafes that keep windows open.

    Who smokes on middle neck road? Well not residents of Great Neck nor do the shoppers, it is the bus boys, clerks, muni workers, local office workers stopping by for a slice at the one pizzeria called Ginos. Great Neck only banned smoking on that one sidewalk or within 125 feet of that sidewalk. As well they should. If I owned a high end store selling $5,000 suits with rich folks being dropped off in Limos I would not want a bunch of dirty bus boys from Ginos gathered around my front door puffing away.

    This is not about smokers rights, it is about business.

  54. Schrodinger's Cat says:

    Libtard, jamil

    The whole deregulation game only works if you remove the liability shield from corporations. Remove corporate personhood and make corporate officers liable for the actions of the company and then deregulate all you want. When the CEO has a very real chance of facing personal jail time for his companies misdeeds then the company and citizen are approaching equal footing.

    The liability shield functionality of modern corporations is a root cause of many of the insane distortions we have in the market today.

  55. Steve says:

    Regarding NJ state funding of schools- If someone has the time, they should really look into this one. At one time the funding was related to the town’s school population and socio-economic groupings (A,B,C,D etc.), but it has really drifted away from that over the years. There are probably gross inequities that have developed over the past 20 years, but the state government is completely unmotivated to fix it. I don’t think anyone has ever pushed the government for data that supports the distribution.

  56. Schrodinger's Cat says:


    Money isnt the problem or the solution. It has been shown time and again that parental involvement and home life are the 2 biggest factors in successful education. Guarantee schools a base level of funding ( i.e aid if they need it to get to the base level) and after that any other money should have to come from local sources.
    Yes the wealthy districts will have nicer schools and fancy toys int he classrooms while the poor urban districts dont. However,it is the parents and the home life that generate the performance differential not the money.
    You want to improve the performance in poor districts? work on creating stable families not wellfare slums, and stop excusing poor performance because some kid didnt have an ipad to do his homework on.

  57. Schrodinger's Cat says:


    We were only partially serious when we predicted that following the just released FAO data confirming food prices have just hit an all time high, we were expecting food riots to ensue imminently. Alas, as all too often happens these days, we were right. 2011 first and certainly not last rioting comes out of Algeria, where Bernanke’s genocidal policies are first to take root. From the Associated Press: “Riots over rising food prices and chronic unemployment spiraled out from Algeria’s capital on Thursday, with youths torching government buildings and shouting “Bring us Sugar!” Police helicopters circled over Algiers, and stores closed early. Security officers blocked off streets in the tense working-class neighborhood of Bab el-Oued, near the capital’s ancient Casbah, and areas outside the city were swept up in the rampages. The U.S. Embassy issued a warning to Americans in Algeria to “remain vigilant” and avoid crowds. Riots on Wednesday night in the neighborhood saw a police station, a Renault car dealership and other buildings set ablaze. Police with tear gas fired back at stone-throwing youths through the night.” Algeria’s violence is unfortunately just the start. The big to keep an eye out on is rice. If the liquidity makes its way there, the Chinese soft landing may just become much, much harder.


    Food riots are some of the most exciting as there is real conviction behind those. Much more exciting then a few grump students in london!!! Whats the over/under on this showing up in the Europe? Now that would some serious rioting.

  58. Mr Wantanapolous says:

    Cat [59],

    We saw this last year with rice.

  59. Shore Guy says:

    Who Wants a 30-Year Mortgage?

    AS we all move forward with our New Year’s resolutions, it’s a good time to remember the promises our politicians have been making about the American mortgage market. The Obama administration, at a conference last August on the future of housing finance, pledged to have, come January, a plan for Fannie Mae and Freddie Mac, the mortgage giants that are now wards of the government. Congressional Republicans, in their recent position paper, made an even bolder resolution: to build a mortgage market that “does not rely on government guarantees” and “does not make private investors and creditors wealthy while saddling taxpayers with losses.”


  60. Shore Guy says:

    Despite the appearance that education is a local function, in the state of New Jersey, education is a State function. And, despite being elected locally, BoE members are State officials.

  61. Juice Box says:

    re: #59 – food prices in China up 50%.

    All eyes should be on them, especailly when cabbage has doubled in price.

    What the Premier he has been on TV allot lately.

    “The government has launched an all-out campaign against inflation. China’s state-run TV news has shown Premier Wen Jiabao stalking supermarket aisles. Then there was a surprise interest rate hike on Christmas Day. One day later, the premier took part in a rare live radio show; no emotion was spared as he addressed listener concerns about inflation.

    “Your words hurt my heart. The central government has already taken 16 different measures. Looking at the situation now, we absolutely have the ability to control prices. I have confidence,” Wen said.

    Inflation is an acutely sensitive political issue in China, where double-digit inflation fueled discontent in the run-up to the 1989 protests on Tiananmen Square. Today, bad weather and speculation are cited as factors behind the price rises.”

  62. JJ says:

    Who cares about rice. My indian buddy finds it funny that the people in India and China are so focused on rice. Potatoes and Noodles could be cheap and these rice nuts will still pay for expensive rice. I could live a life time without ever eating rice.

  63. Libtard says:

    “Today, bad weather and speculation are cited as factors behind the price rises.”

    Maybe are friends in China really are capitalists!

  64. Shore Guy says:

    It strikes me that the working people most able to afford to buy homes are, at least for now, the ones least likely to jump in and do so. Here we sit in the House of Shore with pleanty of money, a strong interest in buying an additional place, and, were we to finance, we would be no risk at all; however, with prices dropping these past two years, and projected to do so this year, and given the carrying costs of a home, how far ahead are we over those who bought in 2009 what we want and will in all likelihood buy in ’12 or so? By dragging out the flushing of the system, we seem to have a situation where the policy makers and banks have driven from the marketplace the people best able to buy and, in the process, overweighted the purchasing pool with people more likely to run into trouble.

    Are we as a society this friggin’ stupid?

  65. Shore Guy says:

    And, don’t forget the price of onions in India.

  66. Sore feet says:

    Anyone want to spot our country a few Trillion in case they don’t raise the debt ceiling? Could get fun if they wait until the last minute to raise it. The big short if they don’t for sure.;_ylt=AhWmXE887SVSM48q7dCAzKy7YWsA;_ylu=X3oDMTE1MjgxOXUxBHBvcwM5BHNlYwN0b3BTdG9yaWVzBHNsawNnZWl0aG5lcnVzY28-?x=0&sec=topStories&pos=5&asset=&ccode=

  67. Schrodinger's Cat says:


    China is a simmering pot of resource issues. They have polluted most of their fresh water, have significant desertification issue sin bread basket areas, and are unlikely to be able to feed their population without importing substantial amounts of food. I dont know when it will blow, but when it does it will be ugly. But hey it wont be the first time they starved a large %of their population.

  68. Libtard says:

    A wealthy Montclair lawyer offed himself in front of a NJ Transit train yesterday.

  69. Libtard says:

    Are we as a society this friggin’ stupid?

    In a word, “yes!”

  70. Juice Box says:

    re # 72 – did he watch the Wall St movie last night or something?

  71. Juice Box says:

    re # 62 – Shore – Taking mortgage finance back to the 1930s

    50% down payment with the rest due over 5 years. How is that for Mortgage Finance?

    Rent to own A.K.A. Sharia law mortgages are making a comeback. This way you only get title after the last payment is made. I doubt you will be taking a vacation on the house under that system. I know someone who made a mint on this after the 80s Real Estate Bust. Would only rent to own to contractors because they would go about fixing the places he rented up and then they would go broke now work etc and get evicted. A real vicious cycle,I don’t think a single one made it to ownership which took about 10 years.

  72. Schrodinger's Cat says:

    The question of the day is will we have to raise the debt ceiling a second time in 2011 before getting into Q4????

  73. onthebrink says:

    RE 68 “And, don’t forget the price of onions in India.”

    Apparently, they’ve started importing onions from Pakistan – Times of need make strange bedfellows…

  74. JJ says:

    A Lancet study linking vaccines for measles, mumps and rubella to autism was a fraud that endangered hundreds of thousands of children, according to a report in the British Medical Journal

  75. JJ says:

    Other than a few hot bollywood actresses not much of anything in that country

    onthebrink says:
    January 6, 2011 at 1:58 pm

    RE 68 “And, don’t forget the price of onions in India.”

    Apparently, they’ve started importing onions from Pakistan – Times of need make strange bedfellows…

  76. Libtard says:

    The only thing the internet can tell me is that he lived in one of those mansions up on the hill in Montclair and that his wife lost a recent relative (mother I think).

    Still pretty crazy. I think we can squarely place the blame on Elizabeth Warren for his death. Not only was she driving the train, but he must have either stupidly opted in for the overdraft protection on his debit card or refused to pay for his free checking.

  77. Schrodinger's Cat says:


    Maybe he went all in Long EUR as a new year resolution.

  78. Libtard says:

    I’m guessing his wife cheated on him so he wanted to make sure she didn’t get a piece of the insurance policy. Either that or he couldn’t get over Beck’s firing on WOR.

  79. Outofstater says:

    #70 Yes. And the last famine is within living memory. People remember digging roots and eating grass. Periodic famine is not unusual there. Good food and a modicum of comfort for most are only very recent experiences in China. They will not be given up willingly or without violence.

  80. Comrade Nom Deplume says:

    72 library

    Piqued my interest cuz I represented Bershad but I don’t know this guy

  81. homeboken says:

    Obama Names JPMorgan’s William Daley Chief Of Staff

    Former Commerce Secretary William Daley has been chosen by President Obama to become his chief of staff, according to media reports Thursday. Daley, who currently serves as Midwest chairman at J.P. Morgan Chase, will succeed Rahm Emanuel, who left in October to pursue the mayoral office in Chicago.

  82. relo says:

    64: If this was said here, a la Geithner, our university students would be chuckling at him. Provided, of course, it didn’t coincide with the season premiere of Jersey Shore.

    “Your words hurt my heart. The central government has already taken 16 different measures. Looking at the situation now, we absolutely have the ability to control prices. I have confidence,” Wen said.

  83. home (85)-

    Now Dimon can keep watch over his nigga 24/7.

  84. 250k says:

    2 million fish found dead in Maryland

    I know the end isn’t nigh because Kirk Cameron told me so, but, are we just noticing these “dead animals en masse” stories because the media has decided to start reporting on them or is this a bit unusual what with the birds and the fish and all?

    Arkansas, Louisiana and Sweden – birds
    Maryland, Brazil and New Zealand – fish

    All coincidence or is it like the rate of miscarriage going up because it just wasn’t talked about back in the 70s and 80s vs today?

  85. relo (86)-

    China should have no problem starving down the population then crushing them with its military. Been doing it for years…they are the pros at this game.

  86. Schrodinger's Cat says:

    88 250K

    are we just noticing these “dead animals en masse” stories because the media has decided to start reporting on them or is this a bit unusual what with the birds and the fish and all?

    I was wondering the same thing myself.

  87. Schrodinger's Cat says:


    I suppose i should be supporting the Chinese government 100% if that’s the case. Asia is one of the first places to look if you want a reduction in global population.

  88. Schrodinger's Cat says:

    Debt 89

    Of course the chinese government will need some foreign boogie men to redirect some of the public anger towards. They may not have Iraqi’s or Afghans, but Pakistan and India are certainly near by.

  89. Mr Wantanapolous says:

    China’s inflation rate is high since it includes food/energy, a retail rate index. Our whore rate doesn’t include this. Therefore, if you don’t eat, drive, visit a doctor or heat/cool your home you are not experiencing current inflation. Everyone else, FU. Seniors, suck it up, no cola.

  90. “I personally think there will be no New World Order because people are waking up and becoming educated on how things work and they are doing it fast. The smartest of the elite are in their old age and we will be rid of them soon enough thanks to natural causes. My observation of their progeny is that they are much less intelligent, motivated and forward thinking than their ancestors. I can’t wait until the day I don’t have to listen to the dangerous fantasies about how civilizations should function from the like of George Soros or Warren Buffet. You guys had your day. Go away please you have done enough to ruin the future of my generation.”

    -Mike Krieger

  91. Whoever is killing the birds and fish should step it up and kill some people.

  92. 250k says:

    95 Schrod

    Google needs a new marketing campaign: “There’s a map for that!”

  93. 250k says:

    Past few days I keep thinking, maybe I should pick up some gold/silver mining shares now that they have dipped a bit. Then work takes over and I forget until the end of the day and so far, glad I haven’t acted yet.

    Anyone wanna call a floor on Au / Ag prices? Mr. W.?

  94. Mr Wantanapolous says:

    250k [99],

    In the past 10 years we have witnessed pullbacks, gold, from $75 to $250. The current 200 dma is at 1,268; many times the 200 dma operates like a magnet. Will it retrace to that level? It would not surprise me if if hit this with an additional 5-7% decline. On the other hand, this recent pullback may be close to eliminating the weak/recent longs. Sound like an analyst? Bottom line: if you are bullish and buying physical and/or stocks buy the dip and enjoy the trip. If you are playing futures, make sure you don’t become hedge fund roadkill. Long term, this market is going much higher, short term noise? Anybody’s guess.

    Disclaimer: If our policy makers adopted austerity packages, drastically cut spending, raised rates, supported a strong currency, eliminated mark to a model, released millions of homes [shadow market], brought hide a debt OTC derivatives onto an exchange and instituted margins with cash settlement, gold would be crushed. In the meantime, current game is on; debase and inflate. Too bad the fed has no control over which sectors inflate.

  95. JJ says:

    Remember gold has no use, it is not like Platinum which is used in products such as Cat Converters. As gold rises more and more in price miners dig for more and more of it. Everyday more supply comes out of mine. Since Gold has no commercial use every nugget of gold ever mined is still in existence and every day there is more of it. Therefore, prices can’t continue to rise (demand) while supply continues to grow every day.

    Kinda like Vegas building boom, when prices were high they kept building and building out into the dessert to eventually there was more supply than demand and prices came down.

  96. Mr Wantanapolous says:

    JJ [101],

    That’s correct, no use. It’s just a medium of exchange and the best performing asset on the board for the past 10 years.

    “Everyday more supply comes out of mine”

    How much? Prove it. It’s contra party is paper. How much supply comes off the ledger sheet every day?

    Sounds like your same argument since gold was $800. Obviously, the market doesn’t agree with your assessment. Go get short. I’ll provide you with buy stops so you don’t get crushed.

  97. Shore Guy says:


    Gold is the metal of choice for computer connectors.

  98. Libtard says:

    And teef.

  99. Mr Wantanapolous says:


    Supply? You’re the bond guru. Pull up a chart; gold/djcb. As you scratch, ask one of your lackeys to interpret.

  100. JJ says:

    I don’t time things, Netflix and Gold may both be overpriced, however, both could double before coming down to earth and shorts can get crushed. To be honest I am not buying anything anymore. I am still fully invested bonds, but no longer in margin at all and no treasuries and nothing I am not willing to hold to maturity. Also I am not even investing my bonus money this year. Going to let cash pile up next few months as I think stocks, bonds and commodities are fairly valued and housing is getting closer and closer to finding a bottom.

    Mr Wantanapolous says:
    January 6, 2011 at 5:01 pm

    JJ [101],

    That’s correct, no use. It’s just a medium of exchange and the best performing asset on the board for the past 10 years.

    “Everyday more supply comes out of mine”

    How much? Prove it. It’s contra party is paper. How much supply comes off the ledger sheet every day?

    Sounds like your same argument since gold was $800. Obviously, the market doesn’t agree with your assessment. Go get short. I’ll provide you with buy stops so you don’t get crushed.

  101. Maybe whoever is killing the birds and fish can spray me with some of that stuff.

    Getting to be time to go.

  102. Mr Wantanapolous says:

    “I don’t time things”


    Nor do I. I have been long shiny since 2003. I have long term put spreads on to protect, anything can happen in the short term. If it goes to zero, I’ll bank a load. If it continues higher, I’m still there with the opportunity to capture future gains, while losing some insurance. My only caveat, it must go much higher or bomb within 5 years.

    If I was an IB, I wouldn’t worry about hedging. If it bombed tomorrow, I could mark it to 2016 value, transfer current losses to John Q and tap the fed window for a swap. In the meantime, just enjoy the ride.

  103. The ride is becoming increasingly unenjoyable. Especially since it’s beginning to seem like the car I’m riding in just ran over my kids.

  104. Only reason I watched the reading of the Constitution today was to see who would break down crying or stumble over the big words.

  105. Meanwhile, as the Constitution was being read, the bankster who owns Amerika was installing his personal watchdog in Bojangles’ office.

  106. xroads says:


    “The ride is becoming increasingly unenjoyable. Especially since it’s beginning to seem like the car I’m riding in just ran over my kids.”

    Thank god my kids Grandparents spoil them at least they’re seeing some of what they’ll be paying for. enjoy those american girl dolls for $120 a pop cause you’ll be paying for them dearly the rest of your life and you can thank grandma and grandpa

  107. Schrodinger's Cat says:


    you and I are just as responsabile. Inaction doesn’t absolve you, me or anyone else. This mess will not be solved until the people take action

  108. Schrodinger's Cat says:


    the US Constirution is about as significant and powerful as the queen of England. The constitution, while significant, is simply the physical form of the high ideals of our founders. When the people as a whole no longer embrace those ideals and internalize them , GWB is shown to be correct, that it’s “just a piece of paper”.
    The price of winning those ideals back is high and few nations have ever regained them once lost

  109. xroads says:

    I’m locked and loaded

  110. jamil says:

    great news. john edwards moved in and got engaged to rielle. Will be nice when john sits in prison.
    And half of country was ready to put this bozo to white house..

  111. Mike says:

    Merck in Kenilworth is shuting down is manufacturing site over 500 jobs will be lost.

  112. jamil (117)-

    Lighten up. Guy had to have someone to tap while Liz was barfing off the chemo.

  113. Can’t wait to see Ronnie Boy tear into Bergabe.

    “Any time you bring the two Pauls together in an interview, and start discussing items such as the debt ceiling, government spending, and monetary policy you know the results will be good. Sure enough, in this rare ABC interview with father and son, the sparks fly, and among the topic touched is the most popular story on Zero Hedge from yesterday, namely President Obama’s fabulous hypocrisy, who after bashing the debt ceiling as a senator 4 years ago, has bet the outcome of his entire economic policy on maxing out every single credit card available to him. Paul’s response: “we have to face the fact that we are bankrupt and we can’t pay our bills.” Not exactly the kind of thing one wants to hear if one’s name is Hu Jintao. That said you know the Paul-led interrogation of Bernanke will be something else, even if it is ultimately totally fruitless.”

  114. Yikes says:

    A.West says:
    January 4, 2011 at 3:20 pm

    #41 When you buy a house like that in Westfield, people from out of state come visit, thinking wow, I want to see this new half-million dollar house. Then they show up and see it’s a crapshack with no land, and they have to share the little bathtub with your kids. Then you have to explain that NJ is special, and your little kid’s new friends in your fancy and progressive school are really smart. And all your friends who read NJ Monthly really envy you because you moved up the school status rankings. And you can get to NYC in an hour, well maybe an hour and a half depending on where you’re going. And your town’s municipal employees are all organic and sustainably grown, with a humane pension system that allows them to retire with dignity out of state. All of which gives you a feeling of pride of ownership that overwhelms the natural urge to gag at the sight of a half million dollar POS crapshack.


  115. Does anybody else get the feeling that this homeless guy with the radio voice is a hoax and a gubmint plant?

  116. Obviously, the lesson here is that to make it in today’s Amerika, one must be a homeless, formerly-substance-abusing idiot savant.

  117. In other words, put your life savings on a fistful of Powerball tickets, and let it ride.

    Sorta the same way the people running our economy are doing it.

  118. WTF kind of name is “Rielle”???

    Jeez, I’d pick “Snooki” over that if I were naming my kid.

  119. “Rielle”: what better says, “my parents are white niggaz from the trailer court”?

  120. Whoops. Can’t say the n-word anymore, since some PhD douche purged it from Huckleberry Finn.

    Saw the dumb shit on TV last night. He doesn’t even understand Twain’s deliberate use of the word and the way he used it to expose all kinds of prejudice and hypocrisy.

  121. Bear in mind that Carneros Inn is like a little village of side-by-side cottages that look like high-end itinerant housing. To avoid the feeling of being on top of your neighbor, *book a vineyard suite or vineyard-view cottage,* and tell them that youre on your honeymoon.

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