About half of U.S. mortgages seen underwater by 2011... Yikes!

NEW YORK (Reuters) – The percentage of U.S. homeowners who owe more than their house is worth will nearly double to 48 percent in 2011 from 26 percent at the end of March, portending another blow to the housing market, Deutsche Bank said on Wednesday.

Source:

news.yahoo.com...





Good thing we got all that assurance we got after bailing out the banks and mortgage companies...

Oh wait, looks like another fail of government bail-outs and yet more massive debt for us Americans.

And how do they repay us?

They tell us taxes are going to go up with the new Healthcare Plan that we don't want.

Yipppiiiieeeeee.

-Sliadon

Another way of looking at this is to consider that half of ALL houses in the US CAN NOT BE SOLD without incurring a loss. So there will be almost no sales that are not forced, or are done deliberately - either way the entire banking sector is going to hit the fan - BIG TIME.

Consider that there are still about half a quadrillion yes with a Q of credit default swaps out there - then this is serious doo doo.

The fear right now is commercial real estate - om my.

reply to post by audas


Audas,

Thanks for your other perspective!

While I don't doubt your facts, by any chance could you provide me a link showing a rough estimate of the defaulted amount of loans? I'd like to look into that as well and see what connections I can find there.

either way the entire banking sector is going to hit the fan - BIG TIME.

What I am wondering is when will be the last time the American people allow it, you know? When will we finally say "Enough is enough" and let them topple over.


This news is so scary because we still haven't recovered from the last time banks were worrying about loans defaulting and not receiving payment because we are still in that same financial mess!

Can we survive another hit like that in the situation we are in now? I don't think we can. 2011 is only 2 years away...

-Sliadon

reply to post by Sliadon

While this is bad, much worse is headed our way if you look at
the totality of it all.

It has been confirmed by other news sources now that the
$134 billion in US bonds were likely real, and the japanese
men sneaking them around were likely japanese ministry of finance.

If that is true and they are trying to quietly dump them on the
market and other countries start doing it, we don't have long and
it is likely the trigger event for the Wall street journals mentioned
upcoming nationwide bank shutdown.

*** The two below say that the two japanese men stopped
with supposedly fake bonds were released...And if they
had been fake they would have broken the law and be
held on counterfeiting charges.
This says the japanese are dumping US bonds secretly
to get off the ship before it goes beneath the waves...

www.freerepublic.com...

market-ticker.denninger.net...

We saw a failure of the 5 year bond sale.

market-ticker.denninger.net...

*** Below says US foreign Embassys are being told to horde
1 years worth of non-US currency due to a possible
lengthy banking shutdown.

www.marketwatch.com...

Speaking of shutdown, 7 banks in one day went poof...

www.fdic.gov...

FDIC top level official says bank closures to increase 10 fold.

moneynews.newsmax.com...

I can see why she would say that with near 2,700 banks being
rated D+ or lower.

www.moneyandmarkets.com...

Over 1,000 Trillion in derivatives are set to implode.

theinternationalforecaster.com...

Once they monetize the debt and start printing money like mad
to buy our own debt up, they will devalue the currency and
turn the US into a modern day Zimbabwe.

They outline how this is likely to happen in these three videos.

www.youtube.com...

www.youtube.com...

www.youtube.com...

We are facing a total wipe out of what the USA used to be.

Good Luck to you all !



[edit on 5-8-2009 by Ex_MislTech]

reply to post by Ex_MislTech


My goodness!

I completely forgot about the Japanese men arrested for carrying the bonds! That story got hushed quickly after coming out.

I'm going to go ahead and dive into this research you have provided me, should keep me busy for awhile!

-Sliadon

reply to post by Sliadon


Don't get excited about this. We are recovering very well. All is well. The worst is over. It's all better now. My daughter who was looking for a job for the last 10 months was hired. Yeah, an old lady died and my daughter got her job. It's all good now. The jobs are lagging. It''s normal. Recession? What recession? The massive spending of last September and February save all of you. All hail Obama and ignore GWB! Heh! The worst is over, we have less people losing their jobs this month. Um..........that's because there are less manufactoring jobs to be lost. Scuse me whilst I drink the couple of victory gin shots. Damn I wish I could shave without cutting my throat.

reply to post by kyred


I was a little skeptical reading the first line or two, but you gave me a good laugh!



I forgot that all it takes is Ben Bernanke saying we either are or aren't in a recession for it to be true.

-Sliadon

Did you read this section?

"Regions suffering the worst negative equity are areas in California, Florida, Arizona, Nevada, Ohio, Michigan, Illinois, Wisconsin, Massachusetts and West Virginia. Las Vegas and parts of Florida and California will see 90 percent or more of their loans underwater by 2011, it added."

90 percent of the loans underwater!

So, the Great Depression will be regional then.

Originally posted by Dbriefed
Did you read this section?

"Regions suffering the worst negative equity are areas in California, Florida, Arizona, Nevada, Ohio, Michigan, Illinois, Wisconsin, Massachusetts and West Virginia. Las Vegas and parts of Florida and California will see 90 percent or more of their loans underwater by 2011, it added."

90 percent of the loans underwater!

So, the Great Depression will be regional then.

I don't think the Great Depression saw 90% underwater.

The big problems back then was unemployment, and
the dust bowl.

They are trying to make a new dust bowl in parts of
California by shutting off water to those areas.

The true U6 unemployment numbers are near 21%,
they are gonna need to go a bit higher, but not much.

Our debt right now, and tax burden is MUCH higher
than 1929, those are the killers is the entitlements and
cushy government jobs.

In fact back then a lot of ppl just built their own house, the
codes were not as strict back then and a lot of ppl did not
even have a toilet in the house or electricity.

The biggest employer in the USA is the local, county, state,
and federal government, by a LONG ways.

Watch what happens in jefferson county alabama to get
an idea of what is coming once the tax leeches dry the hell up.

Houses were a LOT smaller too for most ppl.

After the panic of 1908 the banks were greatly hate and feared.

In 1929 they had not forgotten that lesson yet.



[edit on 6-8-2009 by Ex_MislTech]

reply to post by Ex_MislTech


Interesting you bring the Dust Bowl into this...

They are trying to make a new dust bowl in parts of
California by shutting off water to those areas.

Have you put any thought into this crisis extending and worsening from the period of December 31, 2009 going forward?

That is when Codex Alimentarius is supposed to go live in full effect. Get ready for "rationing" of foods/medicines and other things. Wouldn't shock me if water gets thrown into the mess as well.

www.natural-health-information-centre.com...

Let me quote just one thing from the article before I call this post wraps...

WHAT CODEX WILL BRING
What can we expect under Codex? To give you an idea, here are some important points:

• Dietary supplements could not be sold for preventive (prophylactic) or therapeutic use.
• Potencies would be limited to extremely low dosages. Only the drug companies and the big phytopharmaceutical companies would have the right to produce and sell the higher potency products (at inflated prices).
• Prescriptions would be required for anything above the extremely low doses allowed (such as 35 mg. on niacin).
• Common foods such as garlic and peppermint would be classified as drugs or a third category (neither food nor drugs) that only big pharmaceutical companies could regulate and sell. Any food with any therapeutic effect can be considered a drug, even benign everyday substances like water.
• Codex regulations for dietary supplements would become binding (escape clauses would be eliminated).
• All new dietary supplements would be banned unless they go through Codex testing and approval.
• Genetically altered food would be sold worldwide without labeling.

Very Good point indeed, MislTech

-Sliadon

yup. this recession is "NOT" getting better. the reason for, is because it is not part of a cycle. the whole system is in shambles.

we're not IN a recession. we're OUT of a system.

reply to post by Sliadon


This is an unsettling headline by itself; but it's made even more unsettling by the fact that the Deutsche Bank is one of the only banks that I've seen make an accurate prediction in the past year.

reply to post by theWCH


Not only that but they have a very lucrative business deal with Fidelity right now...

BusinessWire - Fidelity Investments ("Fidelity") and Deutsche Bank Securities Inc. ("Deutsche Bank") today announced an agreement that provides Fidelity's retail and institutional brokerage clients the opportunity to participate in the initial public offerings (IPOs) and follow-on equity offerings underwritten by Deutsche Bank.

....

Fidelity Investments is one of the world's largest providers of financial services, with custodied assets of $2.8 trillion, including managed assets of over $1.3 trillion as of June 30, 2009.

Source:

www.forbes.com...


This is a pretty massive partnership we have developing...

-Sliadon