Of course the short-sale tax forgiveness will pass…

From the WSJ:

Tax Break for Home Short Sellers at Risk

Last-minute negotiations in Washington have left real-estate agents and sellers nervous about the possibility that distressed homeowners could receive an unwelcome tax hit.

Congress has yet to reach an agreement to extend a tax break that forgives taxes on owners who sell their home for less the remaining mortgage balance in what is known as a short sale. The provision, which was passed in 2007 under President George W. Bush, would forgive an estimated $5.1 billion of taxes for homeowners who have been battered by the foreclosure crisis if it is extended for two years.

Otherwise distressed owners would have to pay taxes on the difference between what they owe on the mortgage and the amount raised in the short sale. They also would have to pay taxes on the difference if the lender agrees to reduce the principal amount that the borrower owes.

For example, if someone sells their home for $250,000 and owes $300,000 on their mortgage, they would owe taxes on $50,000—roughly equal to the country’s median household income.

Technically, the tax break expired at the end of 2014, leaving homeowners in limbo for 2015. Although it is widely expected to pass, if it weren’t renewed, homeowners who received some relief this year could now take a hit when they file their taxes next year.

“Particularly as the job market has improved since the recession, lenders are trying to work with borrowers who are distressed to keep them in their homes. Borrowers need the certainty that they will not be faced with a large, unexpected tax bill,” said Bill Killmer, senior vice president for legislative and political affairs at the Mortgage Bankers Association.

Although eight years have passed since the housing crisis began, some 13.4% of homeowners remain underwater, meaning they owe more than their homes are worth, according to Zillow, a real-estate information company.

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

59 Responses to Of course the short-sale tax forgiveness will pass…

  1. grim says:

    From MarketWatch:

    Renting isn’t getting any cheaper, analysts say

    Think the rent is too damn high? You haven’t seen anything yet, according to housing experts.

    “The decade-long surge in rental demand is unprecedented,” wrote researchers at the Joint Center for Housing Studies at Harvard University in a report released Wednesday, even as they noted that the demand is likely to continue.

    Rental households skyrocketed in the aftermath of the financial crisis, Harvard’s researchers wrote. In mid-2015, there were 43 million households renting, up by 9 million from 2005. That’s the biggest jump in any 10-year period ever.

    In fact, the researchers wrote, “the number of renters would be even higher today if the Great Recession had not kept many young adults living in their parents’ homes.”

    The surge in demand for renting is taking place even as construction of new units is constrained, taking vacancy rates to the lowest in 20 years. Vacancies are below 5% in most of the largest metro areas.

    Renting isn’t just rising among young people, the Harvard researchers note. The number of renter households aged 50 and over jumped by 50% over the past decade, they wrote, and account for more than half the overall increase during that time period.

    The past ten years have also seen a jump in renter households across all income groups, not just among lower-income people. Strikingly, the rise in renters considered cost-burdened, meaning they spend more than 30% of their incomes on rent, is rising across the income spectrum.

    The number of cost-burdened households range from 84% of those making below $15,000, to 5% of those with incomes of $75,000 and over. But the biggest jump has been among middle-income groups. Nearly 50% of households in the $30,000 – $44,999 were cost-burdened in 2014, Harvard wrote.

  2. anon (the good one) says:

    #1

    that’s why you should buy. everyone posting here is a home owner

  3. Where are my penny stock touts? Goddamit, I need investment advice!!!

  4. Grim [title post];

    Its forever, on the installment plan. Gubmint has learned to make lots of naked giveaways palatable that way.

  5. Libturd at home says:

    S&P on pace for the worst year since 2011.

    Thank you Obama.

  6. Comrade Nom Deplume, screwing around at work says:

    Seems that Bernie doesn’t agree with the administration on the job benefits of clean energy.

    https://www.congress.gov/bill/114th-congress/senate-bill/2398/text

  7. D-FENS says:

    5 – That’s because I sold a lot of my actively managed funds and bought one that mirrored the S&P.

  8. Comrade Nom Deplume, screwing around at work says:

    [5] libturd,

    This is a classic example of how one can easily distinguish those with no meaningful education or background in economics/politics/finance from those who do.

    The former camp credits Obama for the “improvement” in the economy.

    The latter understands that any improvement has been in spite of Obama, not because of him, and that in some ways, our economy is on more perilous footing than it was in 2009.

    This isn’t an easy issue; if it was, it would be solved. And if Obama was so competent, would he not have solved it already?

  9. Comrade Nom Deplume, screwing around at work says:

    on the lede, this will be handled by an extender. Nothing to see here, folks, move along.

  10. The Great Pumpkin says:

    Why are you guys treating a startup on the otc like a blue chip? I will make my money on it and I will let you know. I’m just waiting on the purchase orders news to come, and sell into the volume. It’s not rocket science.

  11. chicagofinance says:

    By
    Martin Feldstein
    Dec. 13, 2015 5:43 p.m. ET
    The Federal Reserve recently estimated total household net worth in the U.S. to be about $80 trillion, including real estate and financial assets. And data from the Fed’s Survey of Consumer Finances imply that the top 10% of households by net worth hold about 75%—or $60 trillion—of this total. The bottom 90% of households therefore have a net worth of about $20 trillion.

    These data seem to show a country whose wealth is highly concentrated. But the true picture is hardly as stark as critics of inequality claim, because it leaves out the large amount of wealth held in the form of future retirement benefits from Social Security and Medicare. Moreover, the public’s traditional financial wealth is depressed because the current entitlement programs lower people’s real incomes and deny them the higher returns available through investment-based retirement savings like IRAs or 401(k)s.

    Wealth is the ability to spend more than one’s income. After a retirement or job loss, a household with financial wealth can maintain its standard of living. Wealth also allows people to make bequests and gifts to help children or grandchildren at early stages in their lives.

    Most Americans count on Social Security to finance their consumption in retirement. The Social Security trustees estimate that Social Security “wealth”—the present actuarial value of the future benefits that current workers and retirees are projected to receive—is $59 trillion. Excluding the top 10% of households reduces the amount to about $50 trillion.

    However, to qualify for those benefits, current workers must pay future payroll taxes with a present actuarial value of about $25 trillion. So you have to subtract these taxes from the $50 trillion, leaving a net Social Security “wealth” of $25 trillion for the bottom 90% of households. Adding this to the $20 trillion of their conventionally measured net worth, and these households have total wealth of $45 trillion.

    Yet this figure leaves out the very large transfers that retirees receive from Medicare and Medicaid. Government actuaries don’t estimate the amount of “wealth” implied by these two programs. But we can get an indication of how much is at stake by looking at the benefits paid out under them.

    The Congressional Budget Office estimates that over the next decade total Social Security retiree benefits will be $10.2 trillion, while the benefits for Medicare will be $9.0 trillion and those for Medicaid will be $4.6 trillion (about half of Medicaid benefits are for retirees in nursing homes). In short, the benefits for these two government health programs exceed the amount Social Security will pay out to retirees in cash.

    But unlike Social Security, receiving government health benefits does not depend on current workers continuing to pay taxes. This suggests that the net “Medicare and Medicaid wealth” implied by current law is probably about as large as these households’ “gross Social Security wealth” of $50 trillion.

    So what is the grand total? Add the $50 trillion for Medicare and Medicaid wealth to the $25 trillion for net Social Security wealth and the $20 trillion in conventionally measured net worth, and the lower 90% of households have more than $95 trillion that should be reckoned as wealth. This is substantially more than the $60 trillion in conventional net worth of the top 10%. And this $95 trillion doesn’t count the value of unemployment benefits, veterans benefits, and other government programs that substitute for conventional financial wealth.

    Critics of inequality fail to recognize this wealth and that it represents a poor return. Individuals pay high payroll taxes—directly and through foregone wages—to finance the current system of pay-as-you-go retiree benefits. By my calculations, the implicit real rate of return on those payroll taxes will be less than 3%. That is substantially less than the 5.5% real return earned historically by contributions over a working life to an individual IRA or 401(k) plan invested in a balanced combination of stocks and high-quality bonds.

    A wise approach would be to slim down today’s Social Security pay-as-you-go system and supplement it with universal investment-based personal retirement accounts. This would reduce the tax burden on workers and raise the national savings rate, thus increasing the rate of economic growth and the future levels of real wages. Those individual accounts would also provide funds that could be bequeathed to the next generation or transferred for special purposes like education.

    The apparent inequality of wealth in the U.S. in reality reflects the government’s out-of-date way of financing retirement. Politicians worried about inequality should start by fixing the inefficient programs they directly control.

  12. Fast Eddie says:

    The latter understands that any improvement has been in spite of Obama, not because of him, and that in some ways, our economy is on more perilous footing than it was in 2009.

    Exactly! His supporters don’t know what they don’t know. They can’t conceptualize and think pragmatically. His supporters and the l1beral mentality confuses ideas with logical outcome.

  13. The Great Pumpkin says:

    1- Yup, some more evidence that the Great Pumpkin is coming along with the real estate boom that will follow.

  14. The Great Pumpkin says:

    otc is not for the faint of heart, but I’m telling you, if you know how the game works, there is money to be made here.

    “20. The Buy-The-Story-Not-The-Company Axiom
    So you bought a stock because of a solid PR that came out. Cool. Why did you buy? Because of the story. Do you really know anything else about the company? Is it real? Do they have a big building? Do they have equipment? Are they producing? Forget all that. In many ways it is irrelevant. If you are going to invest in the OTC you had better learn to invest in STORIES. Now, ironically, one of the dictionary definitions for “story” is “a lie or fabrication.” Do you really think that you are investing in the same caliber of companies on the OTC as you would on the NASDAQ or NYSE? Don’t be naive! Do you think what your company outlined in that lovely PR is really going to happen? Two words for you my friend: SAFE HARBOR. In the OTC you are investing in POTENTIAL ALONE; therefore, be a discerner of the POTENTIAL OF THAT COMPANY’S STORY. What has great potential? Water to China? American Idol in a 3-D world? Gasoline replacement in a weed? Oh yeah baby! All those STORIES have great POTENTIAL. But there’s a monster “IF” involved in every one of those. After some time, the reality that the “IF” is gonna stay a big “IF” sinks in and the stock PPS encounters a slow death. Sadly, some of the really real OTC companies go unnoticed because they do not have a great story with potential. The term many investors use to refer to the story is “kool aid.” Does your stock have good “kool aid?” Well, does the potential of your company make you want to buy it? Does it make other want to buy it? I try to avoid investing in OTC issues that do not have good kool aid flowage or the potential for good kool aid flowage. Wow. What a concept. On the OTC sometimes you have to invest in the POTENTIAL POTENTIAL of a company. (That last sentence wasn’t a misprint. Read it twice if you need to.) “

  15. The Great Pumpkin says:

    “Through word of mouth, social networking and publicity stunts — traveling 180,000 miles in an Airstream trailer to visit county fairs; rallying a team to cook 76,382 pancakes in eight hours to set a Guinness World Record — O’Connor and his 16 employees have gotten Batter Blaster into 13,000 outlets nationwide, including Costco (COST, Fortune 500) and Whole Foods (WFMI, Fortune 500) stores.

    “We aren’t feeling the recession like everyone else is,” he says. “We are one of the few truly innovative products to come out in the egg and dairy set.”

    In 2008 Batter Blaster’s annual revenues hit $15 million. O’Connor expects the total for 2009 to surpass $19.5 million.

    “It sells incredibly well. It’s a convenience item and great for the elderly, who make single servings, along with parents, single people and campers,” says Jeff Mejia, director of perishables for DPI Specialty Foods, which distributes the product to Albertsons, Bristol Farms and Jensen’s stores. The product retails for $4.99 a can.

    There’s no denying the lowbrow reputation of sprayable foods. (Think Easy Cheese and Reddi-wip.) O’Connor argues that what Batter Blaster lacks in cachet, it makes up for in a hassle-free, fun-to-use design that appeals to families.

    That sounds about right to chef Manuel Trevino of the newly opened Travertine restaurant in New York City. “I would most likely only use it when cooking for my kids,” he says. “You will undoubtedly be sacrificing a little flavor for fun, but utilizing a spray makes it easier to master the art of creative pancake-making, which children tend to love.””

    http://money.cnn.com/2009/12/23/smallbusiness/batter_blaster.fsb/index.htm

  16. The Great Pumpkin says:

    Watch this pbs episode on batter blaster. Now go do your dd on why it failed with such good sales and why it’s being brought back by one of the original partners.

    https://www.youtube.com/watch?v=EqYFFLKeLPo

  17. The Great Pumpkin says:

    Another thing to keep in mind in the otc and this baby has a super low float.

    7. The Supply IS Demand Axiom
    I have seen several runs simply because a stock has a low share structure. A low supply creates demand. Know the share structure. On plays where the TA is gagged, plan to exit within hours of entering and play the momentum only unless you have STRONG and SOLID reason to believe the stock will go up. Call transfer agents. Learn what authorized shares, outstanding shares, and float mean. The share structure is the first thing I look for when making a new investment…it should be the first thing you look for too. If a company is not willing to be transparent in this area, you can bet there’s a hundred other areas they’re not willing to be transparent about. I have and continue to invest in plays where the transfer agents are gagged (unable to report to you what the current share structure is) but I don’t plan to stay invested for long.

  18. The Great Pumpkin says:

    Those rules i’m posting are from my bible on the otc, a list this guy created. It’s dead on. He even makes sure you understand what the otc is.

    “Those of you that have never traded in the OTC or are just beginning to trade down here and are right now shaking your head and thinking that you somehow transcend these axioms…you will have to learn the hard way. Traders like me will end up with your money. I want to thank you in advance for helping build my portfolio.

    Those of you scared out of your gourd right now…GOOD. You should be. You should realize that you’re absolutely nuts to be risking money down here (and I use the term “down here” on purpose) in the OTC!!!

    Investing in the OTC is very risky. It’s riskier than Alaskan King Crab fishing! But the rewards often outweigh the risk. The lure of monster profits is too much for many of us to say “no” to. The idea of finding that one true gem in a million that becomes the next Yahoo is too strong a draw for many of us to avoid. The surge of adrenalin that comes when profiting 100% on your money within the same hour you made the trade is addicting. The fun that comes from finding friends and having a successful trade with them is indeed AWESOME.

    The OTC is a crazy world that attracts some pretty crazy people…and yet I have chosen to live in this world…I have accepted the consequences of investing in the OTC. I feel safer putting my money in an OTC issue than a NASDAQ or NYSE issue because I understand the OTC.

    I have written all of the above as a student, not a teacher. I will always be a student of the OTC…ever learning. I do believe that is a good attitude to have if you want to truly be a successful OTC trader/investor. I do hope that some of what I have said above will help you retain and/or build your bank! “

  19. Fast Eddie says:

    Although eight years have passed since the housing crisis began, some 13.4% of homeowners remain underwater…

    In our area, it’s much, much higher.

  20. The Great Pumpkin says:

    If anyone does decide to go into the otc, you better know these rules.

    5. The Vapor Shares Axiom
    If you see a poster battling the idea of shorting OTC issues with determination and vigil, sit up and pay attention…that poster is either a short himself or working on behalf of the shorts. People and/or groups with the right connections can and do short OTC issues…many times they short stock into oblivion with the full approval and consent of the leadership of the company. Contrary to popular belief, many OTC CEOs don’t give a flying fig newton what their stock price does…what they care about is getting their hands on YOUR MONEY. There is alot of money to be made when a stock goes up. There is even more money to be made when a stock goes down if you were selling vapor all the way down to .0001 and cover there. Microocap hedge funds exist. Microcap hedge funds manipulate stocks and steal the money of good people. Unless you are a microcap hedge fund yourself, you can almost never win a battle against a powerful microcap hedgie that is shorting the snot out of your beloved stock. Remember, this is an “axiom” that stands on its own. I will not seek to prove the validity of this point to you. You must simply either accept it or reject it.

    6. The Glass-Half-Empty Axiom
    Bashers on message boards are a very real force to contend with and it’s not a coincidence that I’ve put this axiom after the “Vapor Shares Axiom.” It is easier to get a person to sell a stock than it is to buy a stock…and they know this very well. If your stock’s message board becomes infested with bashers…be careful! Unless you believe the company has some incredible news that may force these guys to cover or unless you know of a group with mega-bank that is going to push the stock and perhaps force a cover…be careful when playing with shorty. Many of these bashers will try and convince you that they are there out of the kindness of their heart to try and rescue other investors from the perils of a diluting CEO or worse. Nope. Their motives are to bring the PPS down down down. Bashers, in the end, are almost always right eventually because they are bashing OTC issues. They know axioms like “The Center Stage Axiom” too!!!

    13. The Know-Your-Anthropology Axiom
    Understand the nature of man! For this axiom, you need to be somewhat of a Christian theologian. The Bible clearly teaches us that mankind is not naturally good…he is naturally evil (Psalm 14 is a good place to start). The word Christian theologians use to describe our condition is “depravity.” Because of the fall of man, we are morally corrupt in every part of our being and tend toward wickedness (i.e. greed, theft, lying). We stand in need of redemption from a Savior. So understand that you are playing amongst people (including yourself) that are not naturally good…they are naturally bad. In other words, you’re playing with fire. Lies, half-truths, and misrepresentations abound in the OTC world. You better take EVERYTHING with a grain-of-salt the size of Texas. Some posters require more salt than others to digest. Be an evaluator of people. Learn how to ask the right questions. Make sure your yellow flags and red flags are ALWAYS working.

    14. The Early-To-The-Party Axiom
    Be willing to buy lower what you bought higher. I have often arrived to a party early. By “party” I mean a gathering of people and people’s money that will result in a stock’s PPS going much higher. By “early” I mean I got there before the stock was sitting at a low. I am always somewhat discouraged when a purchase I made continues to go down. But if I have done solid due diligence in the company, I often take it as an opportunity to add more shares cheaper and lower my average. In other words, don’t look at your initial investment as dead money and hope that it goes back up again so you can get out. Average down, do the due, and then promote your stock to others and help jumpstart the party. Be a spark plug.

    23. The Bid And Offer Axiom
    Level 2 is often the truest of truths in the OTC. It tells a very accurate story. If you cannot afford to spend your day glued to L2 watching the issues you’re trading…you shouldn’t expect winning trades on the OTC. I simply cannot stress enough the importance of having LIVE Level 2 and understanding it. Spend some time paper trading which watching L2s. Practice. Practice. Learn. You just gotta understand what the Level 2s are telling you. Some of my friends would also come in here at this point and say it is not only L2 it is also the chart. I would argue that it is MORE L2 and LESS the chart. By understanding and watching L2 I feel like I can identify dilution much faster than by simply looking at a chart and all its indicators.

    24. The CEO Is A Scumbag Axiom
    Now I know we’re all quick to defend our favorite CEO…but the truth is he or she is a scumbag. Now what level of scumbag she or he is I cannot say…but with confidence I can say that every OTC CEO is a scumbag. Deal with it.

  21. Pumps;

    Seriously, just go to a craps table. You’ll have better odds there than playing any OTC penny stock. And you’ll see just as many “theories”, “axioms” and “systems”. Plus, more exciting, better environment, and free drinks.

  22. The Great Pumpkin says:

    I was guilty of this, I never looked at it from this angle. I agree with this author, there has to be a better way than what we are currently doing.

    “Critics of inequality fail to recognize this wealth and that it represents a poor return. Individuals pay high payroll taxes—directly and through foregone wages—to finance the current system of pay-as-you-go retiree benefits. By my calculations, the implicit real rate of return on those payroll taxes will be less than 3%. That is substantially less than the 5.5% real return earned historically by contributions over a working life to an individual IRA or 401(k) plan invested in a balanced combination of stocks and high-quality bonds.

    A wise approach would be to slim down today’s Social Security pay-as-you-go system and supplement it with universal investment-based personal retirement accounts. This would reduce the tax burden on workers and raise the national savings rate, thus increasing the rate of economic growth and the future levels of real wages. Those individual accounts would also provide funds that could be bequeathed to the next generation or transferred for special purposes like education.

    The apparent inequality of wealth in the U.S. in reality reflects the government’s out-of-date way of financing retirement. Politicians worried about inequality should start by fixing the inefficient programs they directly control.”

  23. The Great Pumpkin says:

    lol…I have better luck with the stinkie pinkies, but you are right, not much difference. I don’t play them too often, but you have seen that when I do, I make some money.

    Anon E. Møøse, Who never bit anyone’s sister says:
    December 14, 2015 at 10:27 am
    Pumps;

    Seriously, just go to a craps table. You’ll have better odds there than playing any OTC penny stock. And you’ll see just as many “theories”, “axioms” and “systems”. Plus, more exciting, better environment, and free drinks.

  24. The Great Pumpkin says:

    23- that’s why I stated holiday “gamble”. I think I’m going to make money based on dd, but you never truly know what will happen. It’s a huge gamble. Life’s a gamble, you will never ever get ahead without taking risks, some little, and some that are big. People that don’t take risks do not ever lose, but they don’t go anywhere, so did they really not lose?

  25. Raymond Reddington formerly Phoenix says: says:

    11
    I might be missing something, but aren’t the upper 10% also benefiting from Social Security and Medicare? How many of them also own businesses or work in places that collect money directly from these 2 programs?

  26. Raymond Reddington formerly Phoenix says: says:

    I should have bought stock in Shopkins……

  27. yome says:

    S&P may have the worst year since 2011,but still up 67% from 2011 , 43% from 2012, 25% from 2013,11% from 2014 and even from the beginning of 2015. I say not bad if you were invested on the index since the beginning of 2011

  28. yome says:

    25 that is exactly, i was thinking.

  29. yome says:

    25 because the top 10 % put in more they will collect more. They will collect the max. No where it states the bottom 90% that did not earn more during working days will get squat in retirement. I know someone getting $800 a month and somebody at the max getting $2,600 a month. With a spouse that never worked is getting a spousal benefit of $1,300 with a chance of delaying benefit collection to collect more later.

  30. Comrade Nom Deplume, screwing around at work says:

    [26] Raymond

    “I should have bought stock in Shopkins……”

    LOL. I said the same thing a couple of weeks ago. My younger daughter’s class is obsessed with them.

  31. Comrade Nom Deplume, screwing around at work says:

    Hate to say it but I agree with Pumps insofar as its okay to take a huge risk with play money. It may be a total flyer but I’ll spend that kind of money on my first day in Breckenridge.

    That said, it isn’t for everyone. I am mindful of the old adage “don’t invest what you cannot afford to lose.”

  32. Libturd supporting the Canklephate says:

    You will lose more than you will win in OTC. There’s a reason you can’t short them. Better off at OTB than playing OTC.

  33. Raymond Reddington formerly Phoenix says: says:

    29. Yome
    I would like to challenge that article as I believe it is clearly meant to deceive.

    30 CND
    Along with the “conventional” Shopkins items, my daughter picked up some Shopkins playing cards. They have categories like “cuteness and hobby factor” with numerical ratings.
    6 years old, she likes to be the dealer and deal the cards in another room, then give them in small piles to the other players, wifey and I.
    With this strategy, I always lose and lose quickly. Not that I mind.
    Slick already at 6. Hmm. Have a plan in place. Next game, will send her out of the room and switch cards, or better yet, make everyone switch their hand.
    Time for a little fly in the ointment……

  34. Raymond Reddington formerly Phoenix says: says:

    Brown nosing at it’s best…..

    https://www.youtube.com/watch?v=Zh6NzOHOU8s

  35. Raymond Reddington formerly Phoenix says: says:
  36. The Great Pumpkin says:

    Those fools that play the lottery should take that money, once a year, and make a holiday gamble that actually has a chance of winning by playing something in the OTC.

    You are absolutely right about the otc not being a place where you can regularly make money, you have to pick your spots and know your stuff to have a chance at the hawks trying to take your money in shady ways down here. That inherent risk this market environment creates with it’s wild west regulation, is exactly what leads to huge gains. The OTC exists for a reason, if people weren’t making money off this, they wouldn’t exist. Sure most lose their shirt, but there are others making money. When someone is losing, someone is making. Know the pump and dumps. If you want to make money off them, then you need to play them quick. There is money to be made in all types of ways, just make sure when you play with pump and dumps, you don’t get too stupid and caught with your pants down being a bag holder (never hold if you make 15%, sell and find the next victim. You hold a pump and dump overnight, you are a fool. Get ready to lose your shirt.). You are playing with complete fire, where the money can be lost in a blink of an eye. If you are playing with mortgage money that you can’t lose, well, you are just an idiot. If you are playing with capital that should be going to your retirement account, you sir, are an idiot. You can’t survive the OTC if you are scared to lose it. Also, you better have immediate access to your account in some way or the other. Stop losses don’t work.

    Libturd supporting the Canklephate says:
    December 14, 2015 at 12:11 pm
    You will lose more than you will win in OTC. There’s a reason you can’t short them. Better off at OTB than playing OTC.

  37. Raymond Reddington formerly Phoenix says: says:

    “I just want to get from my car to the office without being confronted by the decay of western society. Plus I’m cheap”

    Jim Carrey.

  38. The Great Pumpkin says:

    Exactly. You spend 500 to a 1,000 on lottery a year, take that money and play a penny play. You have almost no shot of winning in the lottery. Otc, you can at least increase your chances with an educated guess. It’s a guess because you never know what information is real or fake in the otc.

    Comrade Nom Deplume, screwing around at work says:
    December 14, 2015 at 12:06 pm
    Hate to say it but I agree with Pumps insofar as its okay to take a huge risk with play money. It may be a total flyer but I’ll spend that kind of money on my first day in Breckenridge.

    That said, it isn’t for everyone. I am mindful of the old adage “don’t invest what you cannot afford to lose.”

  39. chicagofinance says:

    I was responsible for respone #2…..

    Ask an Advisor

    I’m looking to get into penny stock investing. What is the most credible source for penny stock picks and advice?
    May 3, 2014

    Investing

    ADVISOR ANSWERS
    1. Is there a credible source for advice on penny stocks?

    2. Lists of FBI and SEC convictions for wire fraud and making false statements.

  40. The Great Pumpkin says:

    lol….dead on!

    chicagofinance says:
    December 14, 2015 at 12:38 pm
    I was responsible for respone #2…..

    Ask an Advisor

    I’m looking to get into penny stock investing. What is the most credible source for penny stock picks and advice?
    May 3, 2014

    Investing

    ADVISOR ANSWERS
    1. Is there a credible source for advice on penny stocks?

    2. Lists of FBI and SEC convictions for wire fraud and making false statements.

  41. The Great Pumpkin says:

    I’m 35 now, got introduced into pennies back in 2000. Yes, lost my shirt the first couple years. Learned the hard way. That’s why I can appreciate this guy’s list, it’s my bible.

    1. The Center Stage Axiom
    The longer an issue stays in the spotlight…the worse. There’s always one or more good reasons as to WHY a company is trading on the OTC…especially if it is a sub-penny company. There have been many times in the past couple years I thought I had found that “true gem” that was going to be another Yahoo. I believed in it big time. I bought into it big time! But after the initial run and a dead-cat bounce or two…things began surfacing that were completely damaging to the demand for the stock. Simply put, the higher a stock climbs in the investing world, the more its rear end shows…and OTC butts ain’t pretty. Are there the occasional rule breakers here? Yes (usually they are reverse merger plays). But those stocks are few and far between and they generally uplist very quickly to a higher exchange. As a general rule, the longer a company stays in the limelight, the more enemies it will attract. Bashers. Shorters. Bidwhackers. Apathy. New shares from various and sundry places (especially DILUTION and restricted shares coming off restriction). It’s always a war to make the PPS (read: Price Per Share) go up on any issue. Don’t stay too long at the war. Fight as long as you are advancing and retreat the moment you see the enemy reinforcements gathering. Or possibly better yet…retreat before you think you even heard the enemy reinforcements. Remember, it’s not your job to make a stock PPS go up, it’s your job to make your portfolio grow. OTC valor is much different than armed forces valor.

    13. The Know-Your-Anthropology Axiom
    Understand the nature of man! For this axiom, you need to be somewhat of a Christian theologian. The Bible clearly teaches us that mankind is not naturally good…he is naturally evil (Psalm 14 is a good place to start). The word Christian theologians use to describe our condition is “depravity.” Because of the fall of man, we are morally corrupt in every part of our being and tend toward wickedness (i.e. greed, theft, lying). We stand in need of redemption from a Savior. So understand that you are playing amongst people (including yourself) that are not naturally good…they are naturally bad. In other words, you’re playing with fire. Lies, half-truths, and misrepresentations abound in the OTC world. You better take EVERYTHING with a grain-of-salt the size of Texas. Some posters require more salt than others to digest. Be an evaluator of people. Learn how to ask the right questions. Make sure your yellow flags and red flags are ALWAYS working.

    21. The Don’t-Gamble-Away-The-Mortgage Axiom
    You *should* expect to lose your entire investment. You *should* expect to lose more money than you make playing OTC issues until you wise up, learn these axioms, and behave according to them. If you are playing the OTC to try and make some quick money to pay off a debt, good luck with that. Unless you are an experienced OTC Jedi Master that does this for a living (and I’m by no means saying that I am one or that I have arrived!), you better ONLY USE MONEY YOU CAN AFFORD TO LOSE.

    16. The Grow-Up Axiom
    Somebody once said: “If somebody screws you once, shame on them. But if somebody screws you twice, shame on you.” In the OTC world I would modify it a bit to say: “If somebody screws you once, shame on you. If somebody screws you twice, you really are a moron.” Take responsibility for ALL your investment decisions. Almost nothing ever happens as planned or hoped here on the OTC. There are too many enemies against making a stock’s PPS go up. If you’re going to play the game down here…you better be ready to accept FULL and COMPLETE responsibility for EVERYTHING YOU DO IN THIS INVESTING REALM. Point the finger of blame at only one place: yourself.

    10. The Bruised Knee Axiom
    There are too many enemies against an OTC issue’s PPS going up to NEVER lose a battle. Know how to take a defeat. You lost. YOU made a mistake. Evaluate what went wrong. Evaluate why YOU lost money. It’s okay to lose money occasionally but it’s not okay to be just as dumb after as you were before! Think, think, THINK! Don’t make the error again. Get smarter. Listen, school is expensive…tuition rates are high! If you want to make money trading the OTC you had better plan to spend the first year in school. smile

  42. leftwing says:

    Entire thread hijacked by a Pumps penny stock venture…..

    Pumps, go big or go home baby. You should put $20k in. Keep a two week horizon. Who knows how much money you could make. Right there with ya, partner.

    See y’all later……going to amuse myself by pulling out some finger nails.

  43. Fast Eddie says:

    Boring.

  44. D-FENS says:

    On the oil/fracking/gasoline subject….

    An alternative fuel….

    Burn metals like Iron or Aluminum.

    http://www.gizmag.com/mcgill-metal-powder-fuel/40869/

    “Another plus is that metal powders are recyclable. As they burn, metal powders create stable, non-toxic solid-oxides that can be collected, refined back to pure metals, and used again with a minimum of carbon dioxide or other emissions.”

  45. Libturd supporting the Canklephate says:

    The real truth is that you should take your weekly $1 or $2 that you throw away on the megaball or lotto and play the pick 6 at the track. The lotto takeout is between 40 and 50%. At the track the pick 6 takeout is in between 15 and 25%. Plus, in a lifetime, you actually have a decent chance of winning it once. In megaball, your likelihood of winning is one in 180 million. At the track, it’s closer to one in 300,000. And the payouts can range from 100K up to a million or so. Plus, you can occasionally catch 5 of 6 for a nice consolation prize.

  46. nwnj3 says:

    What the h3ll is it with this liberal victimhood mentality? This Drew U thing with the girl faking threats against herself is pathetic.

    I guess when some of these losers start getting into the real world they’ve been conditioned to think of themselves as victims, and when there is no long one left to blame their shortcomings on they have to fabricate their victim status.

  47. nwnj3 says:

    My mistake, apparently this was Kean university and not Drew, and based on the little I know about each school it seems to make a lot more sense.

  48. Essex says:

    Marissa Mayer sold options every two weeks like clockwork.

  49. Splat Mofo says:

    Plumpty (15)-

    Meh. JJ’s put his Baby Batter Blaster into well over 13,000 unsuspecting LI bighaired hosebags. And, he did it way before your OTC pancake scammer.

    “O’Connor and his 16 employees have gotten Batter Blaster into 13,000 outlets nationwide, including Costco (COST, Fortune 500) and Whole Foods (WFMI, Fortune 500) stores.”

  50. Libturd at home supporting the Canklephate says:

    I kind of recall canned pancakes as a child in the mid 70s. I recall the batter being way sweet. Maybe it was cookies? It’s all a blur.

  51. Watch this pancake canister company get sued by the caulk gun industry.

    And the whippet industry.

  52. Can you do whippets off these pancake guns?

  53. Imagine the liability of inhaling whippet, passing out, and then pancake batter blocks somebody’s airway and they croak.

  54. Libturd at home supporting the Canklephate says:

    Really, it’s not that terrible of a way to go when you think about it.

  55. If the pancake batter is savory, you could call it death by salted battery.

  56. Personally, I’d prefer a 30.06 round behind the ear.

  57. Ragnar says:

    This has got to be one of the worst days in the history of njrereport.com comments. So it’s obvious who led the babbling.
    Please do go “all in” on otc stocks that you plan to hype.

  58. grim says:

    Any promotion of penny stocks going forward is a permanent ban.

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