Money is neither lost nor made it just changes hands

if somebody bought a house for 100k put 20 k down and is now walking away from it in the foreclosure auction with a sale price of 50k... obviously he lost his 20k down payment and the bank lost 30k to what hands were that 50k in losses from the old owner/bank transfrerred? The FHA buyer with 1500 down and a 97% government loan? was the government the buyer? with their MBS purchase agreement Doesn the government get to a point where its debt is so huge.......... that there might not be a buyer for every seller? Denver is the second worse city for inventory right now based upon sales......i find that very concerning because this is speaking volumes of a double dip because denver had its problems before the rest of the country do to oversupply then it stabilized while nevada, arizona, ca, and florida burned now its coming back with oversupply despite the fact the builders stopped building here years ago... very concerning

if somebody bought a house for 100k put 20 k down and is now walking away from it in the foreclosure auction with a sale price of 50k...

obviously he lost his 20k down payment and the bank lost 30k


to what hands were that 50k in losses from the old owner/bank transfrerred?

The FHA buyer with 1500 down and a 97% government loan?

was the government the buyer? with their MBS purchase agreement

Doesn the government get to a point where its debt is so huge..........

that there might not be a buyer for every seller?

Denver is the second worse city for inventory right now based upon sales......i find that very concerning because this is speaking volumes of a double dip because denver had its problems before the rest of the country do to oversupply then it stabilized while nevada, arizona, ca, and florida burned now its coming back with oversupply despite the fact the builders stopped building here years ago...

very concerning

I mentioned back in end of 08 here we likely reach at least 130k on the median home before it is over. The current pop was a gov print pop... wavers would call it a B. These drops take at least 6 years and coming off that mess that may be wishful thinking but lets say it does that puts us in 2011-12. Of course RE is local but as a nation we still got some pain left.

lots of SF and TF homes for sale in buffallo for under 45K:)

if somebody bought a house for 100k put 20 k down and is now walking away from it in the foreclosure auction with a sale price of 50k...

obviously he lost his 20k down payment and the bank lost 30k


to what hands were that 50k in losses from the old owner/bank transfrerred?

The FHA buyer with 1500 down and a 97% government loan?

was the government the buyer? with their MBS purchase agreement

Doesn the government get to a point where its debt is so huge..........

that there might not be a buyer for every seller?

Denver is the second worse city for inventory right now based upon sales......i find that very concerning because this is speaking volumes of a double dip because denver had its problems before the rest of the country do to oversupply then it stabilized while nevada, arizona, ca, and florida burned now its coming back with oversupply despite the fact the builders stopped building here years ago...

very concerning

Trading commodity futures that's true. For every winner there is a loser, money changes hands....but for stocks and real estate, when sometihing goes down in price the money goes to money heaven, it vanishes, likewise when things go up, money rains down from money heaven......and that is what Bernanke and friends have been doing, creating rain by their contorsions. But weather patterns change and cannot always be seeded, that's how desserts form....


GS.