Sharga/RealtyTrac: No recovery before 2015

From HousingWire:

RealtyTrac’s Sharga sees no housing recovery before 2015

It will take at least another year to work through the glut of REO inventory in the market and yet to come to market, according to Rick Sharga, senior vice president of RealtyTrac.

Speaking at HousingWire’s 2011 REO Expo in Fort Worth, Texas, Sharga said the housing market is years away from full recovery, and he expects 2012 and 2013 to look similar to this year as the industry grapples with levels of distressed properties never seen before.

“It’s taking so long to get out of this mess because it took us so long to get into this mess,” Sharga said. “We were at the tail end of an unusually long boom time in housing. Unfortunately, we’re anything but recovered, we’re actually still searching for the bottom.”

He said all previous housing busts were precipitated by an economic downtown followed by rising unemployment followed by increased foreclosure activity. Yet in 2006, none of these predictors were in place, according to Sharga.

“Unsustainably high home prices, exacerbated by what we can only euphemistically call ‘really, really interesting lending practices,’ ” led to much of the bubble and subsequent bust, he said.

In 2010, there were 2.9 million foreclosure filings, which was the most ever, and more than 1 million REO sold for the first time ever. In March 2010, there were 376,000 foreclosure filings, while there 550,000 in all of 2005.

“Volume is just off the charts,” Sharga said. “Yet after the robo-signing scandal of last October, there’s lots of foreclosed properties just sitting there. We’ve heard from clients that they’ve got thousands and thousands of foreclosure actions backed up because they’ve been told to hold off.”

He said 80% of 1.1 million properties in foreclosure and 75% of 900,000 REO aren’t yet listed for sale.

This entry was posted in Foreclosures, Housing Bubble, National Real Estate. Bookmark the permalink.

169 Responses to Sharga/RealtyTrac: No recovery before 2015

  1. Mike says:

    Good Morning New Jersey

  2. grim says:

    From CNBC:

    New Push to Unload Bank-Owned Properties Squeezes Out Investors

    As big banks and Fannie Mae and Freddie Mac push foreclosures through the pipeline, the inventory of REO (bank-owned) properties is rising.

    That pushes distressed and overall home prices down.

    Note in California, median home prices took their steepest dive in May, down 8.2 percent year over year to $280,000, as distressed sales made up more than half the market.

    Nobody knows all this better than mortgage giant, government-owned Fannie Mae, which at the end of March had more than 153,000 single family foreclosed properties on its books, worth $14.1 billion.

    Fannie acquired 53,549 foreclosed properties in the first quarter, up from just under 46,000 in the previous quarter.

    No surprise they are now adding incentives to unload these properties: The expanded incentives offer qualified homebuyers up to 3.5 percent of the final sales price to put towards closing costs.

    In addition, selling agents representing the owner-occupant buyer can now receive a $1,200 bonus. The incentive must be requested in the initial offer.

    Eligible initial offers must be submitted on or after June 14 and must close by Oct. 31, 2011. Investor sales are not eligible for the incentive.

    Note, however, that these incentives are only for owner-occupants, not investors.

    I understand the reasoning: “By encouraging homebuyers who will make these properties their long-term home, these expanded incentives will help to stabilize communities,” said Ed Neill, senior vice president for Credit Loss Management at Fannie Mae.

    I’m just not sure I agree with it entirely.

    Investors are critical to clearing these properties off the banks’/government’s balance sheets.

    The faster this gets done, the faster home prices recover, and we all start to move out of the worst housing crash since the Great Depression (I had to throw that in because Paul Dales at Capital Economics declared it worse than the Great Depression today).

    Investors may help home prices more than you think.

  3. grim says:

    From MSNBC:

    Renters are next victims of the housing market

    Stephan Metelica, a 24-year old charter pilot, shares a two-bedroom apartment with a friend in Chicago’s Lincoln Park neighborhood. The duo split the $1,525 monthly rent, but they were surprised this month when their landlord lease came up for renewal and their landlord asked for a 5 percent increase, to $1,600.

    “I was pretty upset about it,” Metelica says of what would amount to nearly $40 more per month per person. “I thought a 5 percent increase was ridiculous.”

    Renters, long happy to sidestep the drama homeowners have suffered in the roller-coaster housing market, are now facing their downside of the real estate market’s correction. With apartment and rental housing construction halved in recent years and a wave of former homeowners competing for apartment space with “echo boomers” and other renters, conditions have suddenly ripened for landlords to raise the rent.

    Last year the rental market quietly shifted from a tenants’ market to what is now decidedly a landlord’s market, said Chris Herbert, research director at Harvard’s Joint Center for Housing Studies. The supply of properties is tightening and vacancy rates are dropping, so landlords have been emboldened to raise the rent.

    Nationally, rents are expected to rise 5 percent this year and another 5 percent in 2012, according to Greg Willett, vice president of research and analysis at MPF Research in Carrollton, Texas. The trend is not expected to moderate until 2013, when new multifamily housing construction adds to supply and the housing market stabilizes enough to attract new buyers.

  4. 30 year realtor says:

    Heard a rumor that the NJ Attorney General’s office believes sheriff sales will be going full force by the Fall. Won’t be soon enough!

  5. 30 year realtor says:

    Inventory is rising to record levels in many North Jersey communities. Transactions are hard to come by and even more difficult to keep together until closing. Sellers continue to reduce prices too little, too late and chase the market down.

    As ugly as this post bubble period has been in North Jersey, it is about to get uglier.

  6. grim says:

    Heard a rumor that the NJ Attorney General’s office believes sheriff sales will be going full force by the Fall. Won’t be soon enough!

    So what? Doesn’t this just mean that Fannie and Freddie sit on even more inventory? Sheriff sales were going full bore before the robosigning scandal broke, and even then it didn’t push prices down dramatically.

    If anything it points to rents rising even faster as these displaced families look for shelter.

  7. xroads says:

    how long does it take to get an reo listed after the family moves out?

  8. 30 year realtor says:

    #7 – Once vacant most REO is priced and in MLS in less than 30 days.

  9. gary says:

    As ugly as this post bubble period has been in North Jersey, it is about to get uglier.

    Any Questions?

  10. Barbara says:

    Nobody has the 80-100k to even up at the table, and they won’t pony up when they do. Soon most sales will be short sales. Sellers will become middlemen with no skin in the game, aka squatters.

  11. gary says:

    Should I send this to Sue Adler’s office?

  12. gary says:


    Those sellers need to book a cruise to make them feel better. I mean, it’s not their fault, they were just doing what their friends told them to do. And besides, everybody was doing it. :o

  13. 30 year realtor says:

    #6 Grim – Can’t comment on what FNMA, FHLMC and some others may do. For me it is only a selfish interest in obtaining new inventory. My inventory flow from clients stopped in December and will begin again within weeks of a normal resumption of sheriff sales.

  14. Barbara says:

    I just want their money to run out so I can get a table at a crap shack on a Friday night out with my kids. 2 hour wait for a chain? Really? I smell mortgage default over the cheesy tatter thinger fumes everytime.

  15. gary says:

    Inventory is rising to record levels in many North Jersey communities.

    Sellers, whatever you do, stick to your guns and demand your price! I mean, you don’t want to give it away. And let potential buyers know that there are frequent unicorn sightings in your town due to the prestigious title your town has earned. I would even stage a Lexus or Mercedes in the listing pictures so potential buyers realize how exclusive they’ll become when the sign their life…. um…. the papers at the closing.

  16. Phony & Fraudy want to exclude investors from their latest REO push?

    That’s fine. The folks in my Rolodex haven’t as much as put down their fruity drinks yet. The water’s warm and the breezes are nice where they are.

    The pros will just keep waiting and waiting until the inevitable second leg of the collapse occurs. Then- and only then- will they even think of taking off their flip-flops and lacing up their boots.

    Sharga think we’ll get recover in 2015? Ha. RE is dead money for a generation, at minimum.

    The stench of death is everywhere. No one will be spared.

  17. In the end, the banks and GSEs will be begging investors to buy.

    Imagine the prices at which that inventory will sell.

  18. 30 Year (4)-

    No fraudclosure settlement, no sheriff sales.

    And, no settlement is imminent.

  19. gary (11)-

    Only if you send it as part of a package bomb.

  20. babs (14)-

    You should go to the Pluckemin Inn or some other ritzy joint. No 2-hour wait at any of those joints.

    Doom is imminent.

  21. gary says:


    I went kicking and screaming to an Olive Garden four months ago because my daughter begged me to take her. A 40 minute wait to be seated followed by freeze-dried minature shrimp in salt water is what I was served. I suspect the Hanoi Hilton served better cuisine but I know she’ll never ask to go again. I didn’t have to say a word. Words can’t describe how much I detest 99.9% of the establishments that claim to fall in the food services industry.

  22. Barbara says:

    21. True, I could even let the girl climb under all the vacant tables.

  23. Barbara says:

    Climb under? Crawl under, even.

  24. Gubmint wants 20bn for the fraudclosure settlement, banks are offering 5bn.

    Quite the bid/ask spread. Don’t expect the sheriff sales to rev up anytime soon.

    Death is in the air.

  25. Babs, when you go to the Plucky, bargain with them on the ’71 Haut-Brion. Perhaps they’ll even add some Kool-Aid, grain alcohol and fruit slices to it and make you a nice pitcher of Jungle Juice.

  26. Barbara says:

    Addressing the college educated urbane angst. Enjoy.

  27. BTW, all 50 state attorneys general are going to have to be in agreement for the fraudclosure settlement.


  28. Olive Garden is proof positive that Satan is amongst us.

  29. Juice Box says:

    Coal gasification will be the next bubble, anyone here with college age kids
    Should send them to mining school in Colorado.

  30. Barbara says:

    Re: Olive Garden. I went there for a birthday party once in the 90s. I knew it was a chain, so I wasn’t expecting much. Nonetheless, they managed to disappoint. I sent it back, paid for my iced tea and got the hell out. And almost every weekend I see a line outside. Also, lines at the Red Lobster. People are so easily pleased.

  31. Barbara says:

    25. Hobo
    I know nothing about wine, but I loves me some Sangria. Best is in Perth Amboy at the Portuguese Manor. I can’t feel my legs after two glasses.

  32. Dissident Hehehe says:

    You’d have to be batsh*t crazy to buy a foreclosure until they get a settlement.

  33. mrdenis says:

    Gary #11…the best part is look at what else people who bought or look at that book ……Dow 36,000… Dow 40K ….Dow 100K !!

  34. Painhrtz - Salmon of Doubt says:

    I never understood how an Olive Garden could succeed in Northern NJ with the number of fine Italian establishments as well as the high population of those who claim Italian heritage. Then I remembered how dumb Americans are and how unrefined their palets are, I then cried Like the Indian in those old don’t pollute commercials in front of an Olive Garden.

    Subway has finer Italian cuisine

  35. Confused In NJ says:

    Perkins filed for Bankruptcy.

  36. still_looking says:

    Hobo, 28

    My dad’s wife is proof that satan is among us….

    Just sayin’


  37. still_looking says:

    Barb, 31

    Why are you not at my house drinking frozen margaritas w/me??


  38. still_looking says:

    Barb, 30

    People are not easily pleased. They’re stupid. You could cook your own much better food at home. Trust me, you can.


  39. gary says:

    Subway is another pathetic farce. A slice of meat, a few tomatoes and a head of shredded lettuce on bread manufactured by Dupont. There are a few Mom and Pop sub places that put this franchise to shame yet it has more stores globally than McDonalds. I’d rather stay home and eat a slice of toast than waste money on these places that pass for adequate dining. People are slobs eating at a trough and that’s being kind. I grew up in an Italian house where the sauce was cooking at 7:00 AM on a Sunday morning and where my grandmother was slicing figs from the tree, stuffing them with fennel, crushed walnuts and grated orange peel and then baking them in the oven. It had the aroma of a candy factory. That’s f*cking Italian, folks!

  40. nj escapee says:

    Grilled zukes, yellow squash, and Key West pinks, royal red shrimp. marinated in olive oil, wine and garlic. mmm…

  41. still_looking says:

    escapee, 42

    Be right over with a plate and a fork!


  42. Painhrtz - Salmon of Doubt says:

    No $hit Gary that was my point. I miss my great grandmother she starting making sauce at 6 in the morning in her late 70’s most kids would get up and have cereal. I would have semolina and fresh sauce for breakfast. Being a kid was great in my house if you liked to eat.

  43. still_looking says:

    Gary, 41

    I hope you can pass some of Gran’s recipes on my way!



  44. gary says:

    And you never, never put oregano in a marinara, that just turns it into pizza sauce. Marinara has basil, garlic and olive oil… that’s basically it. The trick is to get really good plum tomatoes. San Marzano is supposedly the best but you have to try a few. The sauce should be sweet without even trying. Every Olive Garden franchise should be f*cking bull-dozed.

  45. nj escapee says:

    Wash down with key lime margaritas, 2 parts tequila, one part KeKe key lime liqr and 3 parts sweet and sour.

  46. JJ says:

    I hope your wife is doing the same for you.

    Painhrtz – Salmon of Doubt says:
    June 15, 2011 at 8:49 am

    No $hit Gary that was my point. I miss my great grandmother she starting making sauce at 6 in the morning in her late 70′s most kids would get up and have cereal. I would have semolina and fresh sauce for breakfast. Being a kid was great in my house if you liked to eat.

  47. 3b says:

    #5 30 Year: there is record inventory in the land of Unicorns that hugs the banks of the Hackensack. This is not just from my own observations, but was confirmed to me by a long time Realtor.

  48. Comrade Nom Deplume says:

    Honey, I’m home!

    (Wiener’s wife gets home today)

  49. 3b says:

    Are landlords going to rent to people that have short sales listed on their credit reports? Perhaps some late credit card payments as well. The laws in NJ and NY, favor the renter,and make evictions long and expensive.

    Also with the so called recovery now losing what little steam it had, I wonder just how aggressive landlords really can be with raising rents. Just saying.

  50. gary says:

    Go to Olive Garden and ask them if they have serve artichokes stuffed with a pecorino romano and egg mixture. LMAO!

  51. Painhrtz - Salmon of Doubt says:

    Every day JJ, but it is German food instead. life is good

  52. nj escapee says:

    Gary, 52, my mom made that style stuffed artichoke too. haven’t had one like that in 20 yrs.

  53. JJ says:

    Good!!!! A women who can’t cook is like a boat with a hole in it.

    Painhrtz – Salmon of Doubt says:
    June 15, 2011 at 9:11 am

    Every day JJ, but it is German food instead. life is good

  54. 3b says:

    Empire State Manufacturing index drops below zero. Unexpectedly of course

  55. x-everything says:

    In order for someone to look forward to going out to olive garden on the weekends, you can only imagine the swill that goes through the piehole on Monday – thursday

  56. Juice Box says:

    Weiner’s University of Plattsburgh pictures from when he was 18 paint him as a closet queen. As I have been saying this this dog still has legs.

  57. Painhrtz - Salmon of Doubt says:

    JJ that was my grandmother, only Italian woman in the world who couldn’t boil water. Luckily SHe was bracketed by Great gandma and Mom so I never suffered. Everyone hated Christmas because we would be forced to eat Grandma’s ragu lasagne. I would scream at my mom that I did not want to go.

  58. JJ says:

    I dated one or two smoking hot women who did not cook. When hints about getting engaged started popping up I was like later. For me unless it is like Peter Lugars or something I really don’t enjoy eating at a restaurant. The food is not as good as my wifes cooking and I have to pay for it. Now my mom was a great cook, when you start your meal by chasing and killing a chicken you know it is going to be good. She grew up on a farm. I like my food alive the same day I eat it.

    Painhrtz – Salmon of Doubt says:
    June 15, 2011 at 9:27 am

    JJ that was my grandmother, only Italian woman in the world who couldn’t boil water. Luckily SHe was bracketed by Great gandma and Mom so I never suffered. Everyone hated Christmas because we would be forced to eat Grandma’s ragu lasagne. I would scream at my mom that I did not want to go.

  59. jj (62)-

    You can’t eat a chicken the same day you kill it…unless you like a gray, concrete-stiff, rubbery cadaver that’s about as tender as a shoe. Chickens take a day or two to come out of rigor mortis.

  60. The real estate market will take 50-100 years to come out of rigor mortis.

  61. homeboken says:

    Hobo – Please do not point out facts that inhibit JJ from his ability to creatively re-write his life history. It removes his most interesting trait.

  62. 3b says:

    #64 Not in the land of Unicorns placed gently on the banks of the mighty Hackensack. Prices are up 26% in a year.

  63. scribe says:


    I’ve had several boyfriends who were great cooks. They liked to cook, and I didn’t.

  64. still_looking says:

    Scared shitless.
    We have our meeting today. Was told that we have to sign confidentiality papers and can only take notes, no hard copy info given out.

    Any questions I should be asking? Any financial guys out there, I really need some help…

    Can anyone involved with finance, company buyout, tax info, etc email me via grim or if you have my email – or even call me. phone# via grim or gary or stu/gator or someone else.

    I really am worried about this. I heard that allegedly our board of dir views this buyout as fait accompli — and yes, now I am scared shitless.



  65. JJ says:

    I am a Chef when I am in the kitchen not a cook, leave that to the apron wearing nancy boys. My favorite dish to make when I was single was something like Roast Beef, you serve the appetizers and lots of wine and while the timer has 30 minutes to go you have a quickie. My least favorite is bacon the morning after. Cooking that in your underware all it takes is a little hot grease to put you out of commission.

    scribe says:
    June 15, 2011 at 10:56 am


    I’ve had several boyfriends who were great cooks. They liked to cook, and I didn’t.

  66. Juice Box says:

    Still – No hard copy of papers you have to sign? That is a red flag to me. You don’t want to put yourself financially on the hook for anything with a confidentiality agreement. If you have a contract then you should speak to your Attorney before signing anything. Don’t bother going to the meeting otherwise, say you have to leave for personal reasons and go visit a dentist or something so you don’t appear to be a rabble-rouser. You will get all the details you need from your coworkers anyway.

    If you don’t have a contract? Then you are at will and there is little you can do to affect your situation or postion before or after the company is sold.

  67. scribe says:


    You are the only guy in the universe who would have a quickie while the roast beef is in the oven. You never fail to disappoint.

  68. Shore Guy says:

    That is a sceret Santa might have wanted Weiner to keep to himself:

    Judgement day: Weiner’s wife returns home to confront errant husband as new images emerge showing congressman cross dressing and ‘oiled up’
    By Oliver Tree

    Last updated at 2:27 PM on 15th June 2011

    Wife Huma Abedin returns to Washington home
    New pictures show Weiner cross dressing and ‘oiled up’

    Weiner ‘waiting for wife’ to decide on his fate say colleagues
    Congressman believed to have flown out of New York to rehab facility
    Pelosi says ‘he must go’

    Obama tells NBC’s Ann Curry ‘If it was me, I would resign’
    Weiner granted two weeks leave by House

    Beleaguered congressman Anthony Weiner is set to face his humiliated wife Huma Abedin after she arrived at the family home in Washington home earlier today.
    Democrat leaders hope the pregnant Mrs Abedin will force her scandal ridden husband to resign – something he has resisted despite calls to quit from his party and President Obama.
    Her arrival comes as a fresh set of images emerged demonstrating the shamed congressman’s early appetite for exhibitionism as a cross-dressing teenager.
    Mrs Abedin, returning from a trip to Africa with her boss Secretary of State Hillary Clinton, has remained silent since the whole Weinergate sexting affair broke two weeks ago.
    The National Enquirer pictures show Weiner protectively posing in a pair of pantihose and a bra as he smiles cheekily at the camera.

    In another photo an oiled Weiner poses in y-fronted swimming trunks in front of a Christmas tree.
    The pictures, taken by a college friend in 1982 when he was 18, demonstrate Weiner’s reputation at the State University of Plattsburgh as a flamboyant figure.
    Speaking to the Enquirer, the friend said: ‘The cross dressing photos were taken during a holiday activity in Anthony’s college dorm when he was just a sophomore.
    They were taken during the school’s traditional secret Santa event.

  69. 3b says:

    #65It removes his most interesting trait.

    Or disturbing.

  70. JJ says:

    Wait a minute, how many boyfriends did you have? At best I served a meal to 2-3 girls as that implied they were staying over.

    scribe says:
    June 15, 2011 at 10:56 am


    I’ve had several boyfriends who were great cooks. They liked to cook, and I didn’t.

  71. Xroads says:

    I would say the forced landlords will. What do they care anyway?
    3b #51
    Are landlords going to rent to people that have short sales listed on their credit reports? Perhaps some late credit card payments as well. The laws in NJ and NY, favor the renter,and make evictions long and expensive.

  72. 3b says:

    #76 What do they care anyway?

    They might care if the tenant decided to stop paying the rent too.

  73. scribe says:


    Over time.

    Nothing that would make for a JJ-like story.

    I am not the female JJ.

  74. homeboken says:

    77.3b says:
    June 15, 2011 at 11:55 am
    #76 What do they care anyway?

    They might care if the tenant decided to stop paying the rent too.

    100% correct. Rental History, combined with credit score, criminal history and income verification. This is what it will take to rent a “nice” place in the future. Have a ding on any one of these and be prepared to move down a notch in quality and location. Have multiple dings, and be prepared to move into “housing of last resort” ie the apartment complex where you and your family do not feel safe, and is run like a slum.

    As a landlord, I want to see clean credit/rental history to quailify or a Section 8 voucher. The rest can go and be someone else’s problem.

  75. Libtard in Union says:

    I love the Olive Garden. They treat you like family.

  76. NJGator says:

    When we bought out mistake in Montclair, bleeding heart Libtard was willing to rent to a lady with a recent personal bankruptcy on her record. He told the woman “I’m okay with this. I have a heart. But my wife, I’m really going to have to sell her on this one.”

  77. Painhrtz - Salmon of Doubt says:

    Lib thats because they have free breadstix and your cheap

    Scribe a female version of JJ would either be dead from an STD or be shunned and forced to wear a Scarlet letter denoting their status

  78. homeboken says:

    Gator – Nothing wrong with having a heart. So long as everyone realizes that you just took her financial risk and made it your own. Everything has a cost.

  79. NJGator says:

    Pain – Have you met Stu’s family? He may not have been paying the OG a compliment.

  80. NJGator says:

    Homeboken (83) – I was putting the kibosh on that one. No way was I making my ability to pay my mortgage contingent on her.

  81. Libtard in Union says:

    Admittedly, the entrees at the Olive Garden suck. I love their salad. I can eat three bowls of it myself. Where else can you get that much salad, some breadsticks and pasta that brings you back to the elementary school cafeteria for $8 (with coupon). Would never get a drink there besides water, especially not that swill they call wine.

  82. ganso says:

    Need advice. Looking for rental for family of four plus pet. Needs to be a train town for commute to Manhattan. Do I have to use a broker? Is there a good web site? What are the best resources? Thanks.

  83. stu (80)-

    What family? Genovese?

  84. hughesrep says:

    I think #18 likely posts here. Hobo you been in the Mideast lately?

  85. Shore Guy says:

    “oiled Weiner ”

    And narry a word from John.

  86. rep (89)-

    If I tell you, then I have to kill you. :)

    More likely that SAS has been doing a little N. African travel lately.

  87. Note that SAS stopped posting around the time the Arab Spring thing got going.

  88. x-everything says:

    Shore 67
    It won’t be a shock to me after looking at that pic that he’s a closet mcgreevey. To his wife, buyer beware. She probably isn’t shocked at all this

  89. Painhrtz - Salmon of Doubt says:

    Gator the chosen crime families are much more vengeful than us wop types. I think I will continue my practice of avoiding GTGs

    Stu c’mon man seriously I would rather live on a Bear Grylls survival diet than long for the days of NJ public school cafeterias. Pizza Fridays anyone?

  90. Juice Box says:

    Do we need another no fly zone?

    LONDON (MarketWatch) — Greece’s opposition party has asked Prime Minister George Papandreou to resign so that a commonly accepted person could become the new head of government, Reuters reported Wednesday, citing an unnamed source from the New Democracy party. The report came as Greece was paralyzed by a 24-hour general strike organized to protest new austerity measures.

  91. ricky_nu says:

    Irish haircuts………………….

    see the front end of the E$ curve, funding crunch coming your way, again…….

  92. Juice Box says:

    re: #93 – Seems more like he is just a plain old serial creep. Some guys have to go to extreme lengths to get any action, especially when you look like a plucked chicken and your last name is wiener. Back in the day there was always some weird dude pretending to be effeminate or flamboyant so they could get the women to let them sleep in their dorm rooms. That is usually when they would pounce after lots of alcohol or other substances, and the female would always comment later that they thought the flamboyant one was gay, when it was all just an act.

    He went right from college to becoming a Chuck Schumer staffer down in DC. He has zero private sector experience. Going to be interesting to see what becomes of this creep when he has to go out and work for a living. He does not qualify for the Congressional pension at best end up a lobbyist if he is lucky.

    I also bet my bottom dollar he is over levaged in his two homes in Queens and DC.

  93. shawn212 says:

    Hey Juice,

    Are you serious about the coal? My little brother is getting out of the Navy and trying to decide on a career. I’m having a hard time coming up with any suggestions.

  94. JJ says:

    Actually I knew a girl Stacey who was in the 250 club but she was Greek Orthodox so her trick was she never slept with any Greek Orthodox men as they were gossip. She once on a trip to Hawaii did a guy on her honeymoon and Don Ho on the same day.

  95. 3b says:

    #37 juice:He does not qualify for the Congressional pension at best end up a lobbyist if he is lucky.

    According to CNN he does qualify for the 37K annual pension, whcih he can start taking at 52, with the full amount at 62.

  96. A.West says:

    It’s all about the children: Georgia teachers union dislikes additional teachers being donated by non-profits to help teach kids.

  97. Juice Box says:

    re: #98 – China and India are competing with the USA for the Middle East oil, you can bet they are going to need millions of barrels a day in the coming years. Price is going to stay up since peak cheap oil is here when demand far outstrips supplies.

    Mining in general is booming even fracking of old oil wells in Texas.
    Drill baby drill I say. Coal gasification plants are also being built now as prices will allow for profits to be made.

    Here is a recent one in Tennessee

    I would not want to work in a mine digging for coal or driving a truck but if you little brother wants to work a trade they will need people who have good solid welding or mechanical skills, not sure what the Navy thought him but it would be a better fit than flipping burgers or pushing paper then tell him to go for it.

  98. Juice Box says:

    re # 101 – 3b he is 46. Long stretch to 52 to make payments on two homes with 37k pension. I bet he is way over-leveraged perhaps 2 million in properties on two homes.

  99. NJGator says:

    x (93) – No way McGreevey’s wife was surprised. I heard that when he broke his leg on the beach that he was actually with the boyfriend and the wife had to be flown in by state helicopter to provide cover.

    I was told all the way back in 1987 by a teacher whose husband was very active in Middlesex County Democratic politics that he would be Governor one day. She went willingly along for the ride.

  100. Juice Box says:

    re # 96-ricky_nu No way too big to fail turbo tax Timmay is going support haircuts for bondholders. Turbo Tax Timmay vetoed the IMF plan previously a few months ago when it was presented to do haircuts. Before Brian Lenihan passed away he was circulating a plan to the IMF and other to pay 33 cents on the dollar.

    I can imagine what that meeting is like Today, Timmay is screaming his head off I bet.

  101. Comrade Nom Deplume says:

    In downtown brigadoon where they are tearing down part of ferraros. I saw that a private fire investigation team is present.

  102. Dan says:

    Moving past the Olive Garden, I had a great steak at the Wayne Steakhouse yesterday. The steak was a little pricey but partially offset by fact it’s a BYOB. I commented to my wife I should bring pieces back to a past steakhouse so they could understand what medium rare meant.

  103. A.West says:

    I hear that the railroads like hiring ex-military, and avg compensation is surprisingly good, with actual pensions, etc. Railroads are generally growing too, and many are looking to replace retirees. It’s mostly union, so it probably takes some years to move up. But should be much better than coal mining or truck driving.

  104. chicagofinance says:

    Here is Ah-nold with his baby mama….

  105. I nominate #100 as post of the year.

    Don Ho? You have to be fcuking kidding me.

  106. Kettle1^2 says:

    Juice. Shaw

    colorodo school of mines!!!!! One of the best advanced educations for the money. It may not be glamourous but you are virtually guarenteed work.


    the US gas massive coal beds that can’t be conventionally mined and they are currently developing in situ gasification techniques to retrieve the coal.

  107. B says:

    #04 Oh I agree> I was just saying he will get the pension in the future. What happens between now and than is another story; nobody will hire the guy in any capacity.

  108. shawn212 says:

    He’s flight engineer on communication plane. He sees the writing on the wall & the cuts are coming. Trying to stay 1 step ahead. He always wanted to be a pilot…maybe he’ll settle for a train engineer :).

  109. Things heating up in Greece. Looks like we’re gonna get some of the good, old ultra-violence.

    Wow, I am so surprised this is happening.

  110. Juice Box says:

    3b – Seems Weiner has been trying to unload his Queens Condo for a month or so now.


  111. chicagofinance says:

    If you are hoping for business spending to lead the economy away from recession, we have a new contra-indicator to track: see- (the number of his corporate bookings continues to be a reverse indicator of Corporate America’s fortunes)

  112. Juice Box says:

    re #114 shawn212 – Median pay for Flight Engineers $111k, dunno are they getting rid of the job completely?

    US gov via BLS stats say is a growing career, will expand from 76k jobs to 83k jobs in the next decade although 83k jobs means competition is tough.

  113. scribe says:

    There was a great story in the March issue of Vanity Fair about the Irish banks, from Michael Lewis. Basically, Merrill told the Irish government to guarantee all the bank debt – that the problem was confidence, but the banks were really sound. When it turned out that they were seriously bankrupt, the Irish taxpayers ended up on the hook for 100% – all of their tax revenues out to infinity.

  114. Juice Box says:

    Jobs, Jobs, Jobs

    Tata Consultancy Hires 70,000 Employees
    By Ketaki Gokhale – Jun 15, 2011 1:41 PM GMT+0800

    Demand for Tata Consultancy Services Ltd. (TCS)’s outsourcing services is so robust the information- technology company hired 70,000 workers last fiscal year and plans to add 60,000 more this year.

    Tata Consultancy projects annual sales, which have quadrupled since 2005 to $8.4 billion, will increase 20 percent a year for the “foreseeable future.” That has it and Indian rivals Infosys Technologies Ltd. (INFO) and Wipro Ltd. (WPRO) hustling to find hundreds of thousands of qualified candidates as global IT purchases grow 7.1 percent this year to $1.7 trillion.

    Tata Consultancy’s expertise at using low-cost IT workers to replace more expensive labor in developed countries helped it land contracts with Deutsche Bank AG (DBK), Hilton Worldwide Inc. and Air Liquide SA last fiscal year. The company, Asia’s largest computer-services provider by market value, reported record annual income of $2 billion.

    “As long as there’s growth, you don’t want to leave business on the table,” said Ajoyendra Mukherjee, Tata Consultancy’s vice president for human resources. “What we’re trying to do is make sure the supply chain is large enough to meet our growth requirements in the future.”

  115. shawn212 says:

    he’s been in the Navy for 6yrs – i don’t know if he’s gotten enough training/experience for a civilian career.
    He’s not the type to sit behind a desk – so the mining or railroad industry might be the answer

  116. B says:

    #16 Well I would think the wife will be divorcing him, so he will not need the extra space, once th kid arrives.

  117. 250k says:

    ComNom, have you noticed how the builder Michael Mahoney is still buying knockdowns and building new homes in the “original” Brig like its 2004/2005? Even Daunno has stopped building until he finds buyer #1 for his Forest Glen “Estates”. (I always thought living on an estate meant you had a few acres of grass, not a postage stamp…)

  118. Outofstater says:

    #102 Georgia is a right to work state. Unlike NJ, teachers are not required to join a union in order to get a teaching job. Just saying.

  119. x-everything says:

    Juice 120
    I.T. outsourcing only means that Indians and Chinese here in the U.S. on a work visa will lose their jobs to Indians and Chinese who didn’t bother to immigrate here

  120. Juice Box says:

    re #124 – Didn’t Whitney predict layoffs of 40,000 to 50,000, or 5% to 10% of the U.S. securities industry last year? Don’t know what the time frame was.

  121. Shore Guy says:

    Once again, our Pakistani “friends” shiv us:

    By ADAM GOLDMAN, Associated Press – Wed Jun 15, 1:46 pm ET

    WASHINGTON – A key al-Qaida operative returned to Pakistan by the CIA after he gave the U.S. information that eventually led to the location of Osama bin Laden has since rejoined al-Qaida, U.S. officials say.

    The agency returned Hassan Ghul to Pakistan not long after the CIA closed its remaining secret prisons in Eastern Europe in 2006.

    The CIA had been given assurances that Ghul, a native of Pakistan, would not go free. But Pakistan failed to keep its word. Ghul was let go and later rejoined al-Qaida, angering the CIA officers who worked so hard to take him off the battlefield, according to former and current U.S. intelligence officials.

    Pakistan’s decision to free Ghul is yet another troubling revelation at a time when the U.S. is rethinking its relationship with Pakistan and whether it can be a trusted ally in fighting terrorism.

  122. Shore Guy says:

    I got a call from a friend who is a big Springsteen fan and she said that C is on a ventilator. Anyone else hear that? SL, does that sound right as a standard course of treatment?

  123. Shore Guy says:


    How is the new refrigerator treating you?

  124. Shore Guy says:

    Stuck in mod, despite taking out what might hang up the post.

  125. A.West says:

    Well at least they have the park to serve as their estate. Houses look ok, a bit over-adorned, to justify charging about 300k more than buyers would like. With such a small yard, why bother? Hope the buyers like the sounds their neigbors make.

  126. Shore Guy says:

    Perhaps le-wd is the word

  127. Confused In NJ says:

    41.gary says:
    June 15, 2011 at 8:44 am
    I grew up in an Italian house where the sauce was cooking at 7:00 AM on a Sunday morning and where my grandmother was slicing figs from the tree, stuffing them with fennel, crushed walnuts and grated orange peel and then baking them in the oven. It had the aroma of a candy factory. That’s f*cking Italian, folks!

    Mrs. Confused starts my Meat Sauce at 7 A.M. and finishes by 1 P.M. She makes enough to freeze it for eight times, so only has to do it every two months. Still uses my Grandmother’s recipe which came from Naples.

  128. rather not say says:

    I received a gift certificate for the Olive Garden for 100 dollars. Needless to say the waiter got a 70 dollar tip. I did not want to return, so I told him keep the rest. It was the worst shit I have ever tasted. Its terrible. Its for the cattle call losers. I just picture that damn triangle chime and some fat hillbillie opps I mean Italian yelling cattle call!!

  129. chicagofinance says:

    Does anyone know of a short brochure/paper that gives a great pros/cons discussion regarding investing in gold, further paper versus physical? Obviously a source that is not a gold dealer/ETF manufacture is more credible…..

  130. Neanderthal Economist says:

    “Didn’t Whitney predict layoffs of 40,000 to 50,000, or 5% to 10% of the U.S. securities industry last year?”
    Juice I think Whitney might have predicted her own layoff when “hundred of billions of muni defaults in 2011” didn’t materialize. And so far its coming true. People hate shiller for being so carefully worded but in the long run it works out well since he never says anything rediculously discrediting like that but still makes his point clear.

  131. rather not say says:

    I dated a guy who was a really great cook! I was suprised so I found out that he learned to cook in all places jail!!

  132. Fabius Maximus says:

    #41 gary et al

    We make gravy in our house.

  133. rather not say says:

    gary that fig thing sounds great. Wish grandma was still alive. Or better I wish that Lydia that Italian lady who cooks on tv was my Grandma!!!

  134. Marilyn says:

    little schumitzi likes the Olive Garden thats why its in business. They the schumitzi’s feel safe at chains!!

  135. Fabius Maximus says:

    #138 rather

    Does anyone remember the series SOAP from the 70s with Billy Crystal. There was a storyline where one of the sons gets out of jail and decides to cook for the family. They only problem is that he can’t divide the recipie so he makes the meal for 400!

  136. Neanderthal Economist says:

    “Are landlords going to rent to people that have short sales listed on their credit reports?”
    3b. Well done for asking this. For me the real question is just how far will this nation of defaulters go? What happens when a culture shift breeds millions of freedys who think it their right to default at every given opportunity of convenience, on everything from rent to water bills to groceries. And at what point do we draw a line between strategic default and outright theft?

  137. The answer is yes, landlords do rent to those who’ve done short sales. I’ve had a few close scrapes, but a co-signer or person with good credit on the lease usually calms the landlord.

    In extreme situations, I’ve had people with completely destroyed credit give the landlord 6-8 certified checks, dated in 30 day increments, when they submit the lease app. Never seen that one not work…and the sting is usually so bad for the tenant that it actually gets them on the track to cleaning up their credit.

  138. The best are the idiot landlords who don’t even bother to run credit on their prospects.

    There are more folks out there like this than you can imagine.

  139. veets (143)-

    Before we look at individual strategic default as theft, perhaps we can investigate Morgan Stanley walking away from office buildings, the Fed discount window opening to accept D-rated paper as collateral, car industry bailouts that completely violate BK law or the fact that the asses of our grandchildren are pledged as backing for the gambling debts of criminal banksters.

    Pandora’s Box wasn’t opened by freedy. It was opened by our best and brightest, and the consequences shoved down the throats of the unwitting.

    Funny thing: once Pandora’s Box is opened, you can’t stuff the bad shit back in. This one is gonna go until all the bad ju-ju is completely played out.

  140. Happy Renter says:

    [147] I met a girl named Pandora while I was on a business trip a couple months ago.

    But I will let JJ pluck a low-hanging fruit and take us all on a flight of fancy from here. (JJ – if you can find a way to work fennel-stuffed baked figs into the story, that would be great.)

  141. Neanderthal Economist says:

    “Tata Consultancy’s expertise at using low-cost IT workers to replace more expensive labor in developed countries helped it land contracts with Deutsche Bank AG (DBK), Hilton Worldwide Inc. and Air Liquide SA last fiscal year.”
    How do you compete on quality when the price difference is a tiny fraction of the higher quality alternative. Were not talking about shaving pennies off margins here, its more like, “Hire two of our IT consultants at a slave labor pay scale and we’ll throw the third in for free.” At that price point, even if they botch the whole project, its practically still worth it.

  142. Neanderthal Economist says:

    If multinational corporations are the new standard for ethics we are probably fukd but the bailouts and lower fed window standards are not unethical, they were sacrifices for the greater good. Whether they will work or not is different story but If you’ve got to kill someone to save ten others would you do it? This is the crux of the ethical dilemma.

  143. Comrade Nom Deplume says:

    [128] shore

    Unfortunately, one keeps their friends close and their enemies closer in this business.

    Since we know they are dirty (hell, this ain’t news), tthe trick is being able to play them, much the way DiCaprio’s character played the Saudis in that spy movie he did with Russell Crowe.

    If it were up to me, I’d have Ghul fitted with an internal transponder, inserted under the guise of an emergency appendectomy (conveniently mimicked by putting something in his food) before I gave him over to the Paks.

  144. Comrade Nom Deplume says:

    [150] shore

    The other possiblity is that they turned Ghul and, knowing the paks would release him, released him to Pakistan. Or maybe the Paks are complicit with us. In either event, our anger is feigned in order to give our new asset some cover.

    But I still would have done the transponder. That way, if he doesn’t turn, we don’t have to rely on leaks suggesting he is a plant in order to get AQ to kill him; we can just fry his ass with a smart bomb.

  145. Comrade Nom Deplume says:

    [123] 250

    Not familiar with that. I do see in-fills continuing to go in, and a LOT of folks are putting on additions.

    Appears I have some new neighbors after all. In the winter, a house three doors up went on sale. Sign was up less than a week, then it came down. I thought little of it until I noticed that some reno work was going on. Still, I thought they are just p-imping it for sale, or for themselves since they said they wanted to stay in the school district.

    A couple of weeks ago, the moving van pulls up, and these folks are gone. The house sits empty (yet cared for) for two weeks, and I figure they didn’t sell and had to move so it is now empty until a relo company comes in or something. But today, I saw activity suggesting that the new owners have arrived. We’ll see.

  146. Comrade Nom Deplume says:

    So how does it work in NY state? Does Cuomo name an interim congressman or is there a special election?

    “NEW YORK (Reuters) – A p0rn star said on Wednesday that embattled Representative Anthony Weiner asked her to lie about their e-mail relationship in the hope that an Internet sex scandal surrounding him would die down.

    Ginger Lee, who is also a stripper, said her exchanges with the Democratic lawmaker from New York began with political discussions of abortion rights and healthcare but Weiner kept trying to sexualize the conversation. . . .”

  147. Comrade Nom Deplume says:

    [34] mike

    That was fcuking hilarious!!!!!

  148. Comrade Nom Deplume says:
  149. veets (149)-

    No, they weren’t. They were part and parcel of the greatest daylight bank robbery of all time. Were any of it done for the greater good, some effort would’ve been made to clean up the derivatives market, TBTF and the gazillion other conditions which still exist today, only in more dangerous and exacerbated form.

    No attempt at all was made to address the things that led to the ’08 collapse. That’s why now the contagion has spread to sovereign debt and turned Greece into Lehman. All TPTB have done in the past three years is construct an even bigger and more dangerous financial dirty bomb which is 100% guaranteed to detonate. And soon.

    “…the bailouts and lower fed window standards are not unethical, they were sacrifices for the greater good.”

  150. NJGator says:

    N.J. pension reform deal reached between Christie and 4 top lawmakers in Trenton

    TRENTON — Gov. Chris Christie and all four legislative leaders have announced a hard-fought deal to overhaul pension and health benefits for New Jersey’s public employees.
    The top lawmakers include Senate President Stephen Sweeney (D-Gloucester), Assembly Speaker Sheila Oliver (D-Essex), Senate Minority Leader Tom Kean Jr. (R-Union) and Assembly Minority Leader Alex DeCroce (R-Morris).

    The full statement:

    “After months of serious discussions, we are pleased to announce that we have reached agreement on legislation to reform our public pension and health benefits systems in New Jersey.

    The legislation to be considered tomorrow by the Senate Budget Committee and Monday by the Assembly Budget Committee protects taxpayers, saves the public pension system for current and future retirees, and enhances fairness and choice in our health benefits system.

    We all fully support this legislation and will work together to assure its passage by both houses of the Legislature and enactment into law no later than June 30, 2011.”

  151. Veets, please explain to me how a taxpayer-financed swap of defaulted mortgage securities for crispy new Treasury notes is somehow in the public interest.

  152. Kettle1^2 says:

    Nom 159

    But i hear Buenos Aires is nice.

  153. Kettle1^2 says:


    If i buy a Chilean vineyard, you up for relocating the family and running it for me?

  154. Fabius Maximus says:

    I was almost dragged into Olive Garden tonight. I was only saved by the 25-30min wait for a table.

    Life in different in Glorious BC

  155. Kettle1^2 says:


    I’m thinking something in the Santiago area, Valle Central. We could get Nom in on it and setup it up as a nice little economically functional secondary nompound

  156. Shore Guy says:

    “once Pandora’s Box is opened, you can’t stuff the bad shit back in.”

    Ahh, but we are left with hope.

  157. Kettle1^2 says:

    Hey, how about that dollar index?! 76 baby~!!!!

  158. Fabius Maximus says:

    #161 ket

    Have a read, this guy makes some good points.

  159. loveclair says:

    Life in different in Glorious BC

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