From the WSJ:
House Flipping Makes a Comeback as Home Prices Rise
House flipping, a potent symbol of the real-estate market’s excess in the run-up to the financial crisis, is once again becoming hot, fueled by a combination of skyrocketing home prices, venture-backed startups and Wall Street cash.
After nearly being felled by real-estate forays almost a decade ago, a number of banks are now arranging financing vehicles for house flippers, who aim to make a profit by buying and selling homes in a matter of months. The sector is small—participants say roughly several hundred million dollars in financing deals have been made in recent months—but is expected to keep growing.
In recent months, big banks, including Wells Fargo & Co., Goldman Sachs Group Inc. and J.P. Morgan Chase & Co. have started extending credit lines to companies that specialize in lending to home flippers. Earlier this month, J.P. Morgan agreed to lend an estimated $60 million to 5 Arch Funding, an Irvine, Calif., company that offers financing to flippers, according to people familiar with the deal.
“The floodgates have opened,” says Eduardo Axtle, a 35-year-old former telecom entrepreneur in Oakland, Calif., who has taken out about 50 home loans over the past five years. These days, he is bombarded by unsolicited emails from brokers offering him access to financing.
The number of investors who flipped a house in the first nine months of 2016 reached the highest level since 2007. About a third of the deals in the third quarter were financed with debt, a percentage not seen in eight years.
…
The market for house-flipping loans in the U.S. is expected to reach about $48 billion in total sales volume this year, the highest since 2006, according to ATTOM.That’s in part because home prices across the country are rising, reaching levels not seen since before the 2008 financial crisis. Housing also is in relatively short supply. Meanwhile, low interest rates and a surge in demand for homes from institutional buyers have also benefited house flippers.
Wake me up when the next Casey Serin comes along.
http://www.cbsnews.com/news/homeowner-bailout-rewards-irresponsibility/
Casey Serin = Punkin
This is why I cannot get a decent contractor to do some work or even call back for that matter, all the good ones are employed by the flippers.
Liar Loans fueled the last flipper bubble without them we won’t see the same frenzy.
For the uneducated Liar Loans are lying on the mortgage application about the owner-occupied status and lying saying the loan is for a “second home” when the plan is to flip it. Lying about income too, you know the story the hair dresser putting down on their mortgage application that they were making $120k a year.
During the bubble peak in 2006 in some parts of the country liar loans made up as much as half of all new mortgages.
If history rhymes this time Wall St will lend billions to middle men like the one in the article mentioned above as well as start the securitzation mortgage sausage machine to sell these loans as some kind of AAA rated garbage.
The stage is being set, based on the news flow around these key issues, and the resultant change of perception they are causing.
1) Lack of lending to minorities is creating wealth/opportunity disparity.
2) Lack of lending to low income households is creating wealth/opportunity disparity.
3) Specific geographic regions not seeing similar home price appreciation as others, and the root cause being “identified” as lack of lending.
4) Inability for younger individuals to form households and purchase homes resulting from affordability and/or lack of credit issues.
At some point in the near future, the argument will not be about maintaining high lending standards and quality mortgages, but it will be about repressive lenders not serving the market appropriately, and the wealthy benefiting as a result.
Secondary to this, specific market factors are going to drive lender behavior, specifically the increase in mortgage rates essentially vaporizing all annual refinance activity revenues, which have been floating lenders for the past 5 years. Lenders just going to shut the lights off? No. They’ll push for standards on purchase money mortgages to be reduced such that the purchase mortgage deal-flow makes up for the elimination of the refi business.
Tertiary – will be the arguments that this time is different, and we learned from the past mistakes, and that the reduction in standards has nothing to do with the old mess, but is just a renormalization and a return to a healthier mortgage market.
Stage is set.
Grim – Fannie and Freddie to be privatized?
Imaging the bubble when that sausage machine gets going with little or no oversight? Oh wait that happened 10 years ago…
Hey Pumpkin how many OTA stocks have a 4.6 Billion dollar market cap?
http://www.marketwatch.com/investing/stock/FNMA
bet casey serin has become walter white.
if drumpf gets the changes to the tax code he seems to want, the elimination of property tax deductibility will obliterate the real estate market in nj.
changes to the depreciation statutes will obliterate commercial re in nj.
prepare for the end of days.
my personal ‘to do’ list for 2017 includes the purchase of vicious dogs.
So, if IIRC, during the election consensus was that T was being manipulated by Putin, was his patsy, was being out maneuvered by him.
Remind me again which American President is being played the fool?
BO: We are expelling 35 of your diplomats and shutting your US seaside residences.
Putin: Overruling his Minister: “No problem. It’s the holidays and we don’t want to disrupt families. As a matter of fact, why don’t you all bring the kids by the Kremlin for a Christmas party on our Orthodox Christmas.” [he seriously did this]
Who’s being tooled?
http://www.nytimes.com/2016/12/30/world/europe/russia-diplomats-us-hacking.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=span-ab-top-region®ion=top-news&WT.nav=top-news&_r=0
in 2017, drumpf & schumer will call on the us treasury to mint a one trillion dollar coin.
bomma has actually painted drumpf into an interesting diplomatic corner, in which drumpf will appear to be a total dick the second he moves to unwind what bomma set in motion.
You lose Clot
Serin changed his name and became a Realtor in 2014.
http://www.zillow.com/profile/caseyconstantine/
Meat,
my personal ‘to do’ list for 2017 includes the purchase of vicious dogs.
Purchase? Put a Glock 9 to someone’s head and just take the beasts. I’m disappointed that you’re exercising diplomacy!
Quick, name a Foreign leader who respects and admires Oblammy!
12:03, Maybe he will purchase them instead of armed robbery due to the fact that he has morals
Sorry Clotpoll,
The media brouhaha with Putin and the “hacked” emails is BS. All the facts showed that it was an DNC insider, likely pro-Bernie, that leaked it, after seeing HRC’s true colors. The Guardian has a piece on this.
Once out Putin’s people did promote it. But it was HRC’s behavior that brought the roof and house down, not Putin. Putin’s minions actually did the public service that the NY Times, Wash Post and others are supposed to do.
All the facts? How do you know what the Guardian wrote was fact any more than what Obama said?
Problem is both candidates totally sucked. Also, if Russia hated Obama and Hillary, they have motive and means. Awful lot at stake for them. Either way I don’t think we will ever know the answer for sure.
If anyone has experience with business in Russia, you will know that you never trust a Russian. They are as sneaky as they come.
I can’t believe the conservatives are embracing Putin and Russia, you people are beyond sick. If Obama hijacked our govt and changed the constitution to fit his needs for power, what would you say about him? Well this is Putin; can’t believe trump and his followers support this bs. You people are beyond help. Go ahead and attack our own president in favor Putin. Go live in Russia you traitors. Send trump there too.
Fab your smoked meat is fantastic
Also, trump rust belt supporters are the biggest losers in our country. Yes, let’s blame foreigners and immigrants as the reason for your misery.
So here is the problem….capitalist based economics is brutal and unfair. It overly compensates the winners and punishes the losers. Trumps supporters in the rust belt are losers in the game of capitalism and fail to realize it. Someone became richer at their expense. They took everything they had, and took it for themselves in the form of profit and cheaper products. Too bad no one has the balls to say this in the media…it will cause people to revolt against the economic system. So they allow the blame game to happen in the name of keeping the economic system going. So let’s continue to blame immigrants and foreign workers, capitalism has nothing to do with it.
No one wants to put on the big boy pants and tell these people that they are the reason capitalism works. Someone has to lose or the system doesn’t work. It’s just the nature of the beast, and my biggest problem with capitalism. Enough to go around, no need to punish the losers anymore. Enough wealth in the system to throw them a life vest.
You truly are an asset to this blog. Please don’t ever leave for that long again.
Clotpoll says:
December 29, 2016 at 10:54 pm
much in the same way inner city blacks have been patronized for votes then abandoned by the dumbocrats, the drumpfublicans patronize rust belt white trash.
the jobs are gone. most of them weren’t offshored…they were handed over to robots and lagos. trump will royally stiff this nodding constituency.
Feats of strength (jj Edition):
http://nypost.com/2016/12/30/woman-lifts-very-heavy-things-with-her-vagina/
Wow, clot has not drank himself into a coma or left (yet). Has he been here all along under a different persona?
Phoenix,
He needs morals when the roaming packs are commandeering what’s left of the highways?
Apparently the new Democratic narrative is that jobs were never outsourced and were instead replaced by automation. I’m sure that explains why 99% of every product in Best Buy, Home Depot, Target, Wal-Mart, or anywhere else isn’t made in the US. I guess that explains all the empty factories in every industrialized city.
Your modern day steel plant in the US has been heavily heavily automated. It still requires several hundred employees instead of a few thousand. This cling to deny that outsourcing was a problem is precisely one of the reasons they lost. They won’t admit a problem exists. It’s kinda funny that the Democrats are now openly ignoring the working class.
It’s kinda funny that the Democrats are now openly ignoring the working class.
Gender identity classification and social experimentation are the hew hallmarks of the democratic party.
I just drank a bottle of JWB at my desk across today…..come one 4PM…get here….
Even the Chinese are being replaced by automation. Such is the nature of capitalism.
Ben says:
December 30, 2016 at 3:19 pm
Apparently the new Democratic narrative is that jobs were never outsourced and were instead replaced by automation. I’m sure that explains why 99% of every product in Best Buy, Home Depot, Target, Wal-Mart, or anywhere else isn’t made in the US. I guess that explains all the empty factories in every industrialized city.
Your modern day steel plant in the US has been heavily heavily automated. It still requires several hundred employees instead of a few thousand. This cling to deny that outsourcing was a problem is precisely one of the reasons they lost. They won’t admit a problem exists. It’s kinda funny that the Democrats are now openly ignoring the working class.
My prediction for 2017. We will see our first 100 billion dollar man on the books.
Not attacking our President in favor of Putin. Just pointing out (yet another) limp wristed poorly thought out move that leaves him looking like the light weight he has always been.
Grim,
Glad to hear you enjoyed it. At some point I do plan to make Bacon Bourbon, but I will wait for some of you later batches.
Even the Chinese are being replaced by automation. Such is the nature of capitalism.
Automation is not a thread to our long term success. A never ending trade deficit is.
Very dry but interesting to some. School Boards and Supers response to proposed changes in Fiscal Accountability and Budgeting.
https://www.njsba.org/wp-content/uploads/2016/12/Accountability-Regulations-Task-Force-Analysis-and-Recommendations.pdf
If you want to fix the school system’s budget issues, eliminate Abbot altogether. I don’t quite understand how “fair and equitable” translated to they get to spend up to 3x per pupil as much as other districts.
You can increase the local funding and simultaneously lower everyone’s taxes if you weren’t paying for the abbots. There is no other way around this.
I teach in one of the richest towns in the state, yet many parts of the school scream 1960s. The unfortunate result of abbott has been that it has completely hamstrung the local suburban districts budgets and is slowly driving their employees into poverty. Those few districts that are willing to fight for their employees instead are forced to let their facilities decay.
Meanwhile, New Brunswick, Neptune, Newark, and wherever else get all brand new buildings. Oh yeah, and Jersey city gives multi million dollar tax breaks to incoming corporations.
So this is how we make America great again? Wow, trump is totally screwing over the people that voted for him. The already struggling workers will continue to get beat up.
“In a clear sign that labor unions are bracing for lean times under Donald Trump, the massive Service Employees International Union is planning for a 30 percent budget cut over the next year, according to an internal memo reviewed by Bloomberg Businessweek.
“Because the far right will control all three branches of the federal government, we will face serious threats to the ability of working people to join together in unions,” SEIU President Mary Kay Henry wrote in an internal memo dated Dec. 14. “These threats require us to make tough decisions that allow us to resist these attacks and to fight forward despite dramatically reduced resources.” After citing the need to “dramatically re-think” how to implement the union’s strategy, Henry’s all-staff letter announces that SEIU “must plan for a 30% reduction” in the international union’s budget by Jan. 1, 2018, including a 10 percent cut effective at the start of 2017.”
“In Michigan, for example, Republicans in 2012 passed a private sector “Right to Work” law that let workers decline to fund the unions representing them, a public sector law doing the same for government employees, and a third law stripping University of Michigan graduate student researchers and home-health aides of their collective-bargaining rights. Afterwards, SEIU’s Michigan health-care local lost most of its membership.
With Republican dominance in Washington, the threats to SEIU will get more grave: Everything from slashing health-care spending to passing a federal law extending “Right to Work” to all private-sector employees could be on the table. One of the most widely expected scenarios is that a Trump appointee will provide the decisive fifth vote on the Supreme Court’s labor cases. The court already ruled in 2014 that making government-funded home health aides pay union fees violated the First Amendment, and a future case could apply the same logic to all government employees, effectively making the whole public sector “Right to Work.” SEIU was bracing for such a ruling earlier this year, in a case called Friedrichs v. California Teachers Association, but got an unexpected reprieve when Justice Antonin Scalia’s death left the court tied, four to four. With several similar cases brought by union opponents already making their way through lower courts, it may not last for long.”
https://www.bloomberg.com/news/articles/2016-12-27/fear-of-trump-triggers-deep-spending-cuts-by-nation-s-second-largest-union
Get those workers!! They don’t deserve the right to come together for better working conditions. Break up those unions….why? So you can fu$k some workers in the ass. There is no other reason to bust up unions besides taking power away from workers to negotiate a fair wage. Workers don’t deserve a seat at the negotiating table, right?
Get those workers!! They don’t deserve the right to come together for better working conditions. Break up those unions….why? So you can fu$k some workers in the ass. There is no other reason to bust up unions besides taking power away from workers to negotiate a fair wage. Workers don’t deserve a seat at the negotiating table, right?
Unions hide behind their accomplishments of the 1930s. My union takes my dues, pays themselves upwards of $500k per year, and donates my contributions to questionable charities that all the NJEA executives sit on the boards of. Meanwhile, they remain completely silent on their entire memberships absolute decimation to their take home pay the past 8 years. You name me one good thing the NJEA has done for it’s employees the past 10 years. You can’t.
Had 3 flips close yesterday. Since we began our venture began 2 1/2 years ago we have provided our investors with a 23% annualized return. About 60 properties purchased so far.
Wow kudos
Ben, your union has been fighting for their life. Do you know the amount of attacks the last of the remaining unions are taking? Now why are the elite so intent on getting rid of unions? Are they intent on helping workers? Hell no. They want unions gone for one reason and one reason only, it gives them full leverage to take advantage of workers. If you think you have it bad now, imagine if the union wasn’t there.
Unfortunately, teachers get no respect. I think it has to do with the fact that the field is predominately women based. Teaching is prob one of the toughest jobs out there, too bad the compensation doesn’t reflect it. It has to do with the gender issue, or they just don’t want to recruit good teachers, maybe they want people to remain as ignorant as possible.
“Unions hide behind their accomplishments of the 1930s. My union takes my dues, pays themselves upwards of $500k per year, and donates my contributions to questionable charities that all the NJEA executives sit on the boards of. Meanwhile, they remain completely silent on their entire memberships absolute decimation to their take home pay the past 8 years. You name me one good thing the NJEA has done for it’s employees the past 10 years. You can’t.”
Lesson here. Always money to be made in real estate. People love equities, but real estate can consistently beat it, if done right.
30 year realtor says:
December 31, 2016 at 9:48 am
Had 3 flips close yesterday. Since we began our venture began 2 1/2 years ago we have provided our investors with a 23% annualized return. About 60 properties purchased so far.
House just closed the other day next to a friend of mine. Purchased in 2009 for 580k. Closed in 2016 for 605k. Lesson to be learned you don’t always make money in real estate.
You just don’t get it. There are thousands of properties, you can’t find value in one of them? Do all stocks go up the same value? So why would you apply this mindset to real estate? It’s about finding the value, it’s not given to you.
3b says:
December 31, 2016 at 10:30 am
House just closed the other day next to a friend of mine. Purchased in 2009 for 580k. Closed in 2016 for 605k. Lesson to be learned you don’t always make money in real estate.
Trees and forest pumps.
Ben, your union has been fighting for their life. Do you know the amount of attacks the last of the remaining unions are taking? Now why are the elite so intent on getting rid of unions? Are they intent on helping workers? Hell no. They want unions gone for one reason and one reason only, it gives them full leverage to take advantage of workers. If you think you have it bad now, imagine if the union wasn’t there.
Unfortunately, teachers get no respect. I think it has to do with the fact that the field is predominately women based. Teaching is prob one of the toughest jobs out there, too bad the compensation doesn’t reflect it. It has to do with the gender issue, or they just don’t want to recruit good teachers, maybe they want people to remain as ignorant as possible.
I suggest you actually talk to some teachers about the union before you give us your general consensus on union activities. The unions by and large are completely disfunctional, lazy, and corrupt. At the local level, it can be hit or miss. I don’t have much complaints about my local. They do what they should. But the state level NJEA borders on functioning like a corrupt criminal organization. You can’t name one good accomplishment that has come out of the NJEA building.
I guess you are right about the unions. My problem is, what do you replace it with to give workers an honest hand at the negotiating table as opposed to telling them be happy you have a job.
“I suggest you actually talk to some teachers about the union before you give us your general consensus on union activities. The unions by and large are completely disfunctional, lazy, and corrupt. At the local level, it can be hit or miss. I don’t have much complaints about my local. They do what they should. But the state level NJEA borders on functioning like a corrupt criminal organization. You can’t name one good accomplishment that has come out of the NJEA building.”
Seems like the union serves a purpose. Ever think of it from this angle? It’s basically insurance in case you get falsely accused and need a very good lawyer.
“Teachers are required by STATE LAW to pay into the union even if they refuse to join.
The amounts that have been reported in the papers are inaccurate. It is around $1100 for union dues if you join and $700 if you refuse to join, in which case you are still considered a represented member. The attitude among most teachers is that they might as well join if they are still going to be forced to pay so much. If teachers don’t join, they will not be given legal rep. by the union should they be accused of any legal wrong doing and they can not file grievances (sex harassment for example). In this day and age most teachers welcome this kind of protection given the fact that one student’s accusation could wreck their career for life whether it’s true or false.
Any teacher who has been around for many years will tell you that teachers would not have ever made the money they are now making (around 89,000 depending on the district AFTER 23 YEARS TEACHING with a bachelors degree) and would not have the good benefits if it wasn’t for the union.
On the other hand, teachers have no control over what the union does politically. They don’t vote on who the union can spend its money on come election time. Teachers had nothing to do with the union trying to keep Christie from being elected, but teachers are certainly paying for it.”
Yeah not going anywhere near Times Square tonight.
“New York City will deploy sand-filled trucks and thousands of police officers as part of a plan to protect revelers at this year’s New Year’s Eve celebrations in Times Square, mindful of two deadly truck attacks in Europe this year.
As many as 2 million people are expected to gather on Saturday to welcome the new year, and authorities said on Thursday they were aware of no credible threat to the annual festivities at the famed Manhattan crossroads.”
https://www.theguardian.com/us-news/2016/dec/29/new-york-times-square-new-years-eve-security-precautions
“Quick, name a Foreign leader who respects and admires Oblammy!”
The shah of Iran.
Pumps Teachers salaries amount to over $10.4 Billion a year in NJ. Teacher Pension payments for current retirees amount to approx 3.8 Billion a year.This is just salaries and pension payments, not benefits. The negative cash burn rate of the pension fund is over 2 billion a year right now and growing.
By simply extrapolating the negative cash burn rate from the fund it is clear the pension fund will be totally gone within 10 years. New Jersey taxpayers will owe something like $8 billion a year in annual payments to retired teachers that it doesn’t have. Does your brain register this?
Do you have a suggestion on how to fix this? Should we either raise state taxes by 30%? or cut benefits by 50%? It has to be done a mix of bother perhaps? Also they have an asinine 7.9 percent assumed rate of return that only makes the math worse.
We are all ears to your solution. Please let us know how to fix it.
There is a solution. TILF PRON!
JB,
Solution is to make the Millennials pay for it. Keep kicking the can down the road. That’s the plan. Not going to work, however.
Online charter schools will be the future. No buses, no building, no bullying, no school nurses, no janitorial services, no problem.
Those with money will pay for traditional schooling. Private company responsible to it’s shareholders will make sure your taxes never go down.
Any teacher who has been around for many years will tell you that teachers would not have ever made the money they are now making (around 89,000 depending on the district AFTER 23 YEARS TEACHING with a bachelors degree) and would not have the good benefits if it wasn’t for the union.
Complete nonsense. If I relied on my previous union, I would be out a good $400k in salary over the next 15 years.
My problem is, what do you replace it with to give workers an honest hand at the negotiating table as opposed to telling them be happy you have a job.
Yes. You mistakenly think unions actually negotiate anything anymore. They bargain for a cost of living adjustment to the existing scales. That’s it! They rarely ever bargain for higher salaries beyond what’s already been established. I know way too many teachers who are underpaid because they are slave to the salary set system and unable to negotiate for themselves.
Online charter schools will be the future. No buses, no building, no bullying, no school nurses, no janitorial services, no problem.
Those with money will pay for traditional schooling. Private company responsible to it’s shareholders will make sure your taxes never go down.
Never happen. I’ve written curriculum for New Jersey Charter Schools and Online High Schools. Online schools are the equivalent of a mail away degree with a smoke and mirrors show to pretend you’ve earned it.
Buttocks;
That’s like saying the guy didn’t win the race he only came second. It omits the fact that he started from the back of the pack!
That’s dumb, even for you. Measuring per-quarter annualized GPD growth, everyone starts every quarter at zero. So your victimology whine is worthless. Even dumber, considering how deep a hole the housing/mortgage-fueled financial collapse left, had Obama done nothing he could have rode the tide and been ahead of the curve. But no, he had to “fundamentally transform America”. Heckuva job, Barry!
The good news (so to speak) is that he easily captured title title of “Worst President in Modern History” from Jimmy Carter. And from the looks of things lately, he’s charging hard to take Carter’s mantle as worst ex-president, too.
At least he’ll always have “Gun Salesman of the Millennium” to be proud of.
Grim;
And a Republican administration, just in time for the press to blame it on. I kid you not, this month Mother Jones just discovered the horror of homelessness in New York City. I suppose it escaped their attention for the last eight years.
“World to End Tomorrow: Women and Minorities Hardest Hit”
I’ve been as busy AF but a quick word to say Happy New Year to everyone out there.
Even Gluteus.
See you all sometime next year.
Ben
” Online schools are the equivalent of a mail away degree ”
Really? Are you speaking for all online schools? All online colleges?
Courses at Rutgers, etc.
Bottom line is many taxpayers who no longer have children in the school system do not feel they should pay taxes for schools anymore. Teachers\Schools are the largest part of the tax bill and therefore are always the most targeted. Sure some taxpayers agree that the school system is what determines the home values. Time will tell once we reach a “tipping point” where we can no longer pay those salaries and benefits what will happen. Many posters here describe the condition of properties/homes in many middle class towns to be deteriorating. I guess they could just be homeowners not wanting to fix their homes, but my guess is they are under some sort of stress-financial, physical, marriage, career. They may be not comfortable spending. Others may realize/suppose that maintaining that property will not give as much of a return in the future.
Really? Are you speaking for all online schools? All online colleges?
Courses at Rutgers, etc.
Bottom line is many taxpayers who no longer have children in the school system do not feel they should pay taxes for schools anymore. Teachers\Schools are the largest part of the tax bill and therefore are always the most targeted. Sure some taxpayers agree that the school system is what determines the home values. Time will tell once we reach a “tipping point” where we can no longer pay those salaries and benefits what will happen. Many posters here describe the condition of properties/homes in many middle class towns to be deteriorating. I guess they could just be homeowners not wanting to fix their homes, but my guess is they are under some sort of stress-financial, physical, marriage, career. They may be not comfortable spending. Others may realize/suppose that maintaining that property will not give as much of a return in the future.
Yes, pretty much everywhere I’ve seen an online course, Rutgers, my alma matter included, it’s been a joke compared to the rigor that existed 15 to 20 years ago. The idea that a good percentage of people are going to be turning to online school is nonsensical. It’s just not going to happen and no responsible parent would advocate it for their child. I’ve done curriculum work for the largest online school company. I have no doubt that many here are drowning in property taxes. That’s not the fault of the teacher’s at your local district. It’s the fault of the $70 million dollar abbot district that you are funding in addition to that. Unless people fight against that atrocity, they’ll continue to drown in taxes.
The school system is in the coffin corner.
Ben,
You say property tax issues are not the fault of the teachers at the local district-what are the teachers salaries/benefits/pensions compared to private companies benefits/salaries/pensions?
They are lower…And the benefits now cost 8k. And they aren’t getting their pension
6:53–A straw man argument
Essex, do you know what the coffin corner is? This is not a straw man argument. It is a Q angle analogy.
Ben, which teachers do you believe are not going to receive a pension?
Happy New Year to all on the board. To Grim, your fine product was well received as gifts for the holidays.
Ben, which teachers do you believe are not going to receive a pension?
Anyone under the age of 35. Personally, the pension is a drain on my paycheck and I would prefer to not participate in the system at all. Participation is mandatory, and that’s the only thing the NJEA forced through legislation the past 8 years.
one day closer to death
objectively correct; however, you sound troubled; might you consider resorting to self-medication?
clotpoll says:
January 1, 2017 at 11:23 am
one day closer to death
great pump – not if your strategy is to buy high and pray and pretend for higher.
Lesson here. Always money to be made in real estate. People love equities, but real estate can consistently beat it, if done right.
LOL. Pumps is a fixed wing in the Q corner.
And I suppose no one should get stuck with their healthcare costs….selfish pricks. They have no understanding why public education is important because they are as dumb as nob. Anyone that states they should not pick up the cost of education because they have no kids should be shot on the basis of ignorance.
Those shoddy homes deteriorating are occupied by individuals who have got to the age in their life where everything is a waste of money. But don’t worry, lottery tickets and casinos are not a waste of money for these same bitter individuals.
“Bottom line is many taxpayers who no longer have children in the school system do not feel they should pay taxes for schools anymore. Teachers\Schools are the largest part of the tax bill and therefore are always the most targeted. Sure some taxpayers agree that the school system is what determines the home values. Time will tell once we reach a “tipping point” where we can no longer pay those salaries and benefits what will happen. Many posters here describe the condition of properties/homes in many middle class towns to be deteriorating. I guess they could just be homeowners not wanting to fix their homes, but my guess is they are under some sort of stress-financial, physical, marriage, career. They may be not comfortable spending. Others may realize/suppose that maintaining that property will not give as much of a return in the future.”
5:36
And I suppose no one should get stuck with their healthcare costs….selfish pricks. They have no understanding why public education is important because they are as dumb as nob. Anyone that states they should not pick up the cost of education because they have no kids should be shot on the basis of ignorance.
Those shoddy homes deteriorating are occupied by individuals who have got to the age in their life where everything is a waste of money. But don’t worry, lottery tickets and casinos are not a waste of money for these same bitter individuals.
And I suppose no one should get stuck with their healthcare costs….selfish pricks. They have no understanding why public education is important because they are as dumb as nob. Anyone that states they should not pick up the cost of education because they have no kids should be shot on the basis of ignorance.
Those shoddy homes deteriorating are occupied by individuals who have got to the age in their life where everything is a waste of money. But don’t worry, lottery tickets and cas!nos are not a waste of money for these same bitter individuals.
“Bottom line is many taxpayers who no longer have children in the school system do not feel they should pay taxes for schools anymore. Teachers\Schools are the largest part of the tax bill and therefore are always the most targeted. Sure some taxpayers agree that the school system is what determines the home values. Time will tell once we reach a “tipping point” where we can no longer pay those salaries and benefits what will happen. Many posters here describe the condition of properties/homes in many middle class towns to be deteriorating. I guess they could just be homeowners not wanting to fix their homes, but my guess is they are under some sort of stress-financial, physical, marriage, career. They may be not comfortable spending. Others may realize/suppose that maintaining that property will not give as much of a return in the future.”
My problem with this is how did we get here in the first place? The plan was overfunded in the 90’s, and now it’s in the hole? Be honest, if payments were made and the fund was not raided, we most likely would not be having this conversation. Yes, the pension fund would have been hitting demographic crosswinds with an uptick in retirees to working employees, but it would not be in crisis. Simple fixes would have addressed the demographic problem. Now the workers and taxpayer will both take it on the chin. Or the workers will take all the brunt and be robbed of their retirement.
“Do you have a suggestion on how to fix this? Should we either raise state taxes by 30%? or cut benefits by 50%? It has to be done a mix of bother perhaps? Also they have an asinine 7.9 percent assumed rate of return that only makes the math worse.
We are all ears to your solution. Please let us know how to fix it.”
PA just hiked their gas tax to help pay for pensions. Raised the price of the PA turnpike toll too.
Grass isn’t always greener I guess.
Let me say that if you had a pension, you’d expect the gubmint to make good on it…or refund the cash. Figure if the pension disintegrate, it’ll be a major indicator thst we are well arextruly F:::ed.
Better still, hedge your bets, don’t act like a pension is enough. Save like the pension won’t be there. Tough but realistic.