Cave Home For Sale And The Best Bar Opener Ever
February 21, 2009 
28 Comments
When I woke up this morning at the awful hour of 6:30am.
No Daphne did not wake me it was my girl that had to get up and go to work this morning.
I do not know about you but I am not a morning person at all.
Anyway today I have an LA bootcamp to teach and I decided to check some news when I woke up.
Let me ask you all a question.
How sick are you about what has happened in this country?
I am so over hearing about the greedy stupid bankers that lent money to anyone who had a pulse.
And now the whole system is flawed.
Have you seen this story?
This man is about to lose his home not because he can not afford to make the payments, but because of all the idiots who got greedy during the crazy non realistic housing boom from 00 to 05.
I am so over all this and today you are not getting any dating advice.
I want to hear from all of you.
Who is to blame for the mess we are in?
Was it Bush?
Greenspan?
Or was it all the greedy lenders?
Today we take a break from dating and if you think about it I just gave you the ultimate conversation starter today. You can walk up to anyone and ask them.
” Have you seen the cave house on sale on Ebay”?
See i can always ties this into dating and that skill is something that all of you can do today.
If you have trouble with creating real openers, then let me suggest you check this out right now. Click here for more details.
It’s hard to say who is at fault and it would be prudent to say that everyone has to share some of the blame. But for the home-owners, I’m sure in most cases, the world would seem to just keep going up during a war-time boom and that buying a house without the proper money in place to afford it would look like a good option until everything crashes. Still, home-owners, or potential home-owners need to shoulder some responsibility. If you know the house is too much when you bought it thinking that you would have more income in the future, then it sucks, but you shouldn’t have asked for the loan in the first place.
I’m not even remotely ready to buy a house. I don’t own credit cards and not because I can’t afford them, but because I think they are a false blanket of money that you don’t actually have. Credit was a great way to stimulate the economy in the past, but it is also what is the problem with the current mess.
Do you think the guy who bought a cave house was thinking, aw shucks, I have to pass on the cave house because it might be a little too much money for my income right now. Or did he walk into that cave going, holy shit this is what i’ve dreamt about since I was a little boy and I want my fantasy to come true so I’m going to buy it and worry about the consequences later. Just like I’m sure in the town where he bought that cave, he could have found a non-cave house for a considerably smaller sum.
Just like I could blame society for who I am today but I won’t because I was the one who allowed all the fears to block me. The difference between years ago and today is that today I am ready to face who I am and I am done living my life on credit.
Mike
Why don’t we fucking blame every soul that cross out path for this major headache the world economic is in.
At this point it really doesn’t matter, the only thing to focus on is going forward, correct the flaws of the system. Honestly i am not a doomsday prophet but I really don’t think we understand the scope of the problem yet.
When you look at these insane pork they added to the stimulis bill you know they learned shit. Where is the common sense, people are degenerate. So many living above their means it’s quite sickening. I used to work at wall street and is sick of this making them all such a scapegoat. Plenty government people had a chance to see what really were going on, don’t be so fast blaming others.
I can only begin to imagine what will happen in Europe with the possible collapse of some eastern european banks. Where is the common sense, the personel responsibiliti is gone, especially here with a systematic blame game where some one else is to blame. Just look at these insane lawsuits, they are really the beginning of this fundemental system of not using you common sense and leave it to some one else to take the responsibility for your actions.
Nice pad. But where’s the Batmobile? But seriously, I wish them well.
I was watching another news report a day or two ago about a sandwich shop in Chicago i think that gets good business, but may have to go out of business because the owner can’t pay off the $330K loan he got and the creditors have come calling. But all this was by no fault of the owner and his employees. They’re getting good business, their steak sandwiches are great according to the customers, but it’s gonna take a while to pay back that loan and the pinheads at the IRS aren’t giving him much time.
But if you want to talk about stupid and wasteful spending, I remember reading a news story a few years ago about a guy who spent several hundred thousand dollars trying to make the inside of his house look like the starship Enterprise from Star Trek. He tried to make it look like the Next Generation series Enterprise. He went bankrupt shortly after completion. He got to enjoy his starship for a week maybe and then was having to sell the house. How many nerds out there were able to buy that house I don’t know.
Many to blame, very complex problems to deal with. We are in a process of massive deleveraging and that is a painful process by definition. Many market participants just lived with too much debt and now we will learn to live without it and live within our means. The US will be living with a lower standard of living for a while and it all of our fault. But if you had to force me to pick the participant who deserves the most blame I must vote for the Wall Street investment banks (sorry Marina) with their “innovative” products they dreamed up and shove down the throats of too many willing (idiot) suckers who bought them and, in process, got super fat with their obscene pay packages. A world without these overpaid “geniuses” is a better world. Maybe all this talent can go towards building something instead of dreaming up ways to shove paper around…
So, look out for what you can control and the big picture will work itself out over the coming years. If we don’t, I will offer you my spot as we all line up for the soup kitchen, lol.
That cave house is cool!
No taken Dan, nice to have you back.
I must agree with you Marina – we haven’t even closely seen the worst of this crisis.
I’m afraid as things get worse with the economy radical movements and ideas will get more followers and those situations tend to lead to radical and authoritarian solutions. We might just see how much of this crisis our liberal democracies can take.
I disagree with the doomsday scenarios. I have come from pretty much the bottom of the economic scale and I think people will adjust. The problem is most people will have to take better care of their stuff because this time when it breaks, you won’t be able to go out and buy and x-box. But a 400 calorie double cheeseburger at McDonalds is still only a buck.
What I’m worried about is the increase of homeless people. I live in LA, an all year-fair weather town like this, I have already noticed the numbers starting to increase. I feel bad, but I’ve been to countries where it is far worse. We aren’t going to that level either. Micro-lending will become a new and powerful industry (blossoming from the likes of check-cashing places) and everything will start over.
Americans get ambitious and they will look for ways to perform in a changing market. The ones that don’t, well, adding in the weight (pun fully intended) of the coming health care pandemic and the obvious strain of overloading (that one was on purpose too) our system with people who eat poorly, we’ll have all kinds of fun problems to deal with. And global warming is just getting warmed up. The second act is going to be a doozy.
But, I believe the abilities of the human spirit and the incredible abundance of human information we will be able to overcome all challenges. We’re all part of the first set of truly global challenges, all that we created, and we’re going to amaze even ourselves.
Of course, I’m an optimist. But I was born in the world of the consumer pessimist we’re leaving behind.
Mike
Hey Mike, it’s good to see you’re so optimistic but the human spirit is also capable of bad acts especially when economic problems escalate. Increased crime rate is just a beginning.
Of course wealthy countries like Great Britain and the US will overcome this without larger problems but other not so wealthy countries will face greater issues and will not deal with them so easily.
I’m not predicting a disaster or anything like it but problems we’re facing might bring out the worst in some parts of the world.
Anton, got it. I’m not stamping my Visa and going to Africa. But, far reaching goals can ultimately help them too. Could go either way and we do actually learn from our mistakes (somewhat) in the grand scheme of things.
We, as individuals, a society, and a culture, need to move away from this blame game and towards solutions. It doesn’t matter who is to blame for the financial crisis, or your last breakup. If it makes you feel better, blame the weather. It’s equally as random as blaming anyone else, and will allow you to move on.
Wait, there’s a bootcamp today? Bummer… I guess I missed it
The banks and the people who took the loans share the blame. I was ok with the first bailout, but why should we give them even more money when they are unable or unwilling to say what happened to the money we already gave them? Maybe the only way to make the industry stronger is to let some of them fail. Nobody gave me more money when I was stupid and spent all of my paycheck.
It is the comfounded Government yes our American Government that got us into this mess. I just hope that Obama can get us out of it. Back during the depression years we were going through a war and the banks folded right out from underneath the people where did the money go right into the politicians pockets how do you think the Kennedy’s and Rockefellers made out like bandits. They sit back and watched the American people starve. I have heard this from older people that when we are in a war the economy falls through. Now people can blame Bush or now we can blame Obama. But both Presidents had the oppositions against them all along. Now if the two Democrats and Republicans will stop feuding on who in the hell is going to make the most money off us American people maybe they can straighten this mess up.
David
How would you like to open your business and be tax free for the first five years? Every comfounded foreigner that comes into the States can own their business for the first five years tax free yes you heard it right tax free. Well lets see the family from another Country comes over here and they leave and go home and who comes after them the next of kin.
Obama when he first got into office was more concerned about killing babies through abortion and those stupid terriost and the CIA. He forgot one thing the economy. See you know where his head was. NO concern about the American people whatsoever. Now I read on the internet that California is going to start laying offs themselves. Now the automobile industry is about to go under. Once this happens then it is going to trickle down into retail I am thankful just to have a job. If you have a job today better fight like hell to keep it. It is going to get worse before it gets better. So save every penny you can get your hands on for this is going to be one hell of a ride if our Government does not straighten its act up.
Hey I ought to know it makes me mad when I check out a foreigner and what do I see a tax free form and I have to type it in. I bet my dad would love to start his business tax free for the first five years and pass it on down the line.
Did you know that atheist, anti or activist can get our American Government moving but you let the American people who believe in our rights and Freedoms that made this Country what it was say something about those people stepping on our rights we are shot down. Who do you think was trying to help people fight for their freedoms–Daryl Perry. I have spoke to him on facebook several times about this.
Now you have me started: If anyone trusts our American Government they have rocks for brains.
Sandra
All the world needs is more unwanted kids.
Abortion is a right of choice and if we ever abolished it we would go back in time to a place that we don’t ever need to go again!
Some of you have a dismal outlook on life!
Wow with all the doomsday!
I can’t get over how some of you will just point fingers at anyone you can!
Sandra you have some really dark views on the world!
Mike I get you and you and I know that this is just a cycle and just that!
I love when you guys share everything but there is some depressing shit here!
I just feel that greed for a change took over and we are now paying the price!
The economy will not fold and some of you need to losen up just a bit!
Sandra your posts today where a bit rough!
David
That is my view of our Government. But the way I look at it is this I will deal with that when that times comes for tomorrow is another day.
You ought to listen to what some of the customers have told me. Some are the ones who lost their houses. Here in Tennessee years ago one of our Governors came up with an insurance to insure those who could not afford insurance and it took Governor Bredsen to destroy it. But I read that people should not be left in the cold like that. So they came up with Americare. Ok look at it like this dad just lost his job around Christmas time how are you going to explain to your child sorry but I can’t buy that present for you that you wanted. Did you know one of my customers went out and pawned some stuff so that his children could benefit this past Christmas. I know what I am talking about I myself have been on the streets homeless living in a shelter. Do you know how many mothers with children come through there. It is heartbreaking.
My beliefs about abortion are if it is something that endangers the mother or child than consider the abortion. But don’t use it because you feel like your repatation is at stake.
Well look at it like this why worry about it just go on with life and deal with what comes to you and don’t worry about it they are going to do what they want anyway.
Like my dad said to me we must realize Obama is our President and what comes we will deal with for we have made it even during the roughest times in our family. So do well with what you have and be thankful that natural clock gets you up in the morning.
Speaking of caves did you know I wanted to build a house like those shown in the movies where they are secret taverns. And bookshelves that move around man what a dream house.
Also David it is the children that I am concerned about more so. Especially the ones who can not defend themselves. You may say it is the mother in me.
It is hard on a woman when she gets an abortion did you know that some women died of this procedure or the doctor did something wrong and caused her where she could not have children anymore. It effects some women mentally some cases some women heard their baby crying and wonder what it would be like if they let the child live.
There is plenty of blame to go around. This is not about one president or party nor about Wall Street and whoever else may look for the deed. It’s really about finding the proper balance for the times in which we live. What works well in one era may not be the best solution in another one. We can not pretend that a free society means that you can do whatever you want.
We talk about de-regulation of various industries which sounds good from a less-government standpoint. But then you have the lenders who made loans to people who would never have made it through the normal financial qualification process…at least for the amount that they were approved for. They call it “creative financing” and talk about it as finding ways for more people to achieve the American dream of home ownership. Now we’re having to bail them out? No, I say re-finance them at a more reasonable fixed rate and extend their mortgages for an appropriate length so that they can pay off their loan in their lifetime – rather than re-possess it and never get a proper return on the loan.
The jerks who made those types of loans by inflating people’s reported incomes should lose their jobs because they showed poor judgment in the things that they were supposed to be good at – then some of the banks that got bailout money paid “incentives” to those same stupid people to RETAIN them! I’m sure that many of the people who are faced with losing their homes could do a far better job of following a standard financial review process and ensuring that banks and other mortgage holders make loans for amounts that correspond to a person’s actual income and not some pie-in-the-sky fantasy figure. That would do a lot to insure the financial stability of those businesses and create shareholder value for the stockholders – instead of profits swirling the toilet bowl.
Then you have all of those check cashing places where they essentially loan you money against your future paycheck at some ridiculously exorbitant interest rate. They can charge rates that far exceed any established lending institution and some would say exceed the legal definition of “usury.” I do not believe that short term loan rates of this kind should be allowed to exceed what is allowed in other lending institutions. It takes advantage of the poor and less educated in society. And yes, everyone knows someone who has used it properly and it saved them just in time but it’s like an iceberg: for every positive story that you see, there is another really shitty one below the surface where people continue to borrow until finally the entire check is used up by the interest paid. One might be far better off borrowing from a loan shark or the mob.
When you see this kind of business popping up, it’s just another sign of so-called “creative financing” under the guise of capitalism that is nothing more than screwing less financially sophisticated people. It is extending credit to people who can not afford the usual path to establishing credit. It’s a part of the climate of instant gratification that requires that we will get what we want right now, no matter what.
Well, here’s the result: financial failures galore, people first losing their homes and then their jobs, but Bernie Madoff is still walking around on house arrest? Three people have already committed suicide over the losses that their funds incurred with him, no doubt with more to follow. Then federal investigators say that they have found NO record that the guy ever bought ANY stocks with their money and they have gone back as far as 1993! Even the Simon Wiesenthal Foundation invested with that prick and came up with a big fat zero. Incorporation laws protect personal assets but fraud-meisters and “ponzi” schemers should have all of their personal assets forfeited to the people that they screwed, including their offshore and Swiss bank accounts. We can not continue to reward people like that by not jailing them. If it were you or me, we’d be doing hard time without a cent to our names.
OK – It is obviously a sore point with me – sorry about that. I do think that it will get better, but it will take a long time and we all need to pull our heads out of the sand – or wherever it may be stuck – and get a clue or two. It DOES matter and it SHOULD matter to all of us. I have been to a banana republic and I don’t want to live in one. This is a really great place to live – I think we just need to take a little more care than usual to keep it that way.
Their is a con artist in everything! Think about it have you ever read their Pork Report they take better care of their golf courses and where in the hell do they come up with all that money to bail these people out when we have homeless on the streets just trying to make one day to the next.
Now the Governor of the State Of Tennessee wants to add on the Governor’s Mansion than to help us Tennesseeans with keeping our jobs. Did you know the Sherrif’s of old were outlaws.
I can see it now these idiots sitting at a round table and one comes up with an idea. I know what we can do and the American People will fall for it. Lets come up with a housing market where people can place up their mortgage and keep their home. Lets see that is what happened to Tenn Care it took one Governor to sit it up and another to come into office and take it away from those Tennesseans who needed desperate health care. This one man said I can not afford my meds without this Tenn Care. Did you know that there were people paying into this insurance.
Department Of Human Services
In order to be on Tenn Care you have to live the life of poverty to be placed on it.
It is like I was told when we allow the Federal Government to take care of these things what usually happens they screw it up.
Now take the mother with 14 kids she will be on welfare and who has to help her raise her kids the American Taxpayer.
Now what is Obama going to do when all the working class citizens with jobs loose them and we are out on the streets because and we can not pay his taxes. The working class citizen is what keeps the economy going. I guess he plans on bringing in people from foreign Countries in so they wont have to pay them minimum wage to take our jobs, and businesses away from us.
Did you know it is the middle man who gets hit the hardest and the small businesses.
When I get to Social Security age their may not be anything left it in for me to have on my own retirement. For I have been told that when these foreigners are sent home the money I pay through FICA goes with them. The businesses match your Social Security they take out of each of our paychecks that is way it is called quarterly taxes.
Our Government is taxing the American People to death. Our ancestors came over just to get away from the King’s Taxes and did you know that in the Constitution Of The United States we are not to be taxed. But how can you get anyone to stand together and let our Government know as American Citizens we are getting tired of this. Obama is now trying to get it where the voters of this Country has no say in how the Government treats us. If it were up to Obama and Clinton these are the Freedoms that will be taken from us.
1. Freedom of Speech
2. Freedom to bear arms and form a militia
3. Freedom of Religion
Did you know that I looked in my daughters history book and not all the Freedoms were listed.
fuck it, is all i have to say, and to make the most of things.
I beleive that our government is responsible for this whole mess. We never regulated our banks. There were just no regulation. I’m sure you guys know that some of the TARP Funds were used by bankers to pay bonuses as well. I think, it’s going to get worse before it gets better.
EARLY CAUSES PART 1
Community Reinvestment Act passed in ’92 by Clinton (though Bush I would have also passed it).
This was a mandate for government mortgage creditors to make it easier for middle and low income families to receive a mortgage.
PRIME DEBT CANDIDATE
Someone who has great credentials (job, salary, savings, credit score etc.)
SUB PRIME CANDIDATE
Someone who has compromised credentials (job, salary, savings, credit score etc.)
COMMUNITY RIA
Government mortgage banks (Fannie Mae, Freddie Mac) were forced to issue sub prime debt.
EARLY CAUSES PART 2
Financial services firms like Lehman Bros. issued CREDIT DEFAULT SWAPS (CDS).
CDS says that I (Lehman) will insure your (Fannie Mae, Freddie Mac) debt. Essentially, this means if you (Fannie and Freddie) do not get your sub prime loans paid back, we will pay it back.
THEN CAUSES STEP 2…
MORTGAGE-BACK SECURITIES AKA SUB PRIME DEBT
Firms like Lehman turned all the pools of sub prime debt into securities by bundling them together.
So sub prime Mortgages A,B, & C were bundled together and sold to investors.
HOW WERE THEY SOLD TO INVESTORS
Security ratings firms like Moody’s took all the SUB PRIME MORTGAGES, and assigned ratings to them in order of best to worst. The catch is that they’re all “bad.” But if a sub prime candidate had a better job than another, his sub prime debt was rated better.
So now you have Triple A rated sub prime debt.
Trading was so voluminous that investors and trading firms weren’t paying attention or were just too naive or greedy.
CAUSES STEP 3
Rumors start to swirl about Lehman being on the verge of going broke. No one knew why. Then reports said that they had tremendous exposure to these MORTGAGE BACKED SECURITIES and CREDIT DEFAULT SWAPS (insurance on the toxic debt).
CAUSES STEP 4
Investors begins selling their securities in sub prime debt.
But investors can not be paid back because the number of investors asking for their money equates to more money than the holders of the issuers of the securities (banks such as fannie and freddie, lehman) have.
FINAL STAGES
More and more banks reveal they are holding sub prime debt — billions of dollars worth.
LEHMAN IS ALLOWED TO FAIL
CREDIT DRIES UP
People can not buy cars on credit (loans).
Credit cards begin capping credit lines for existing card holders.
REAL ESTATE CRASHES
No demand for houses because sub prime candidates can’t get loans.
House prices drop. (The market corrects itself).
TREASURY DEPT SUGGESTS BAILOUT OF BANKS.