ESCONDIDO:Barron aims to restore city's reputation, attract corporations : North County Times - Californian: "A political novice, Barron said he has learned quite a bit about leadership serving as president of the Las Palmas Homeowners Association the past few years."
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Escondido is in north San Diego County. Their mayor has some big ideas. I hope his HOA experience stands him in good stead.
Saturday, October 04, 2008
Home crisis hampers HOAs | InsideNova.com
Home crisis hampers HOAs | InsideNova.com: "Homeowners' associations got lost somewhere in the shuffle of the home mortgage lending crisis.
No one knows that better than Deby Wine, the president of the Brandy Station Homeowners Association.
The Manassas Park HOA has become a revenue graveyard where many residents pay their quarterly association dues late or don't pay at all, said Win"
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And I wouldn't be expecting a federal HOA bailout anytime soon. The bread line is pretty long right now.
No one knows that better than Deby Wine, the president of the Brandy Station Homeowners Association.
The Manassas Park HOA has become a revenue graveyard where many residents pay their quarterly association dues late or don't pay at all, said Win"
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And I wouldn't be expecting a federal HOA bailout anytime soon. The bread line is pretty long right now.
Bill Clinton's drive to increase homeownership went way too far - BusinessWeek
Bill Clinton's drive to increase homeownership went way too far - BusinessWeek: "Add President Clinton to the long list of people who deserve a share of the blame for the housing bubble and bust. A recently re-exposed document shows that his administration went to ridiculous lengths to increase the national homeownership rate. It promoted paper-thin downpayments and pushed for ways to get lenders to give mortgage loans to first-time buyers with shaky financing and incomes. It’s clear now that the erosion of lending standards pushed prices up by increasing demand, and later led to waves of defaults by people who never should have bought a home in the first place."
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This item is from February. The blog author relies on and links to analysis by Prof. Joseph Mason of Drexel Univerisity who analyzes the Clinton Administration's National Homeownership Strategy. This policy got underway in 1994 or 1995 and was intended to increase the home ownership rate by making it possible for people to buy houses even though they could not come up with a down payment, did not have enough money to make normal interest-plus-principal payments, or otherwise couldn't afford to buy a house in the first place. Clinton gave numerous speeches throughout his administration boasting of the success of the program.
As I keep saying, I don't see how any one culprit can be identified here. But Clinton is skating on what amounted to the intentional creation of a world of bad debt, backed up by GSEs.
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This item is from February. The blog author relies on and links to analysis by Prof. Joseph Mason of Drexel Univerisity who analyzes the Clinton Administration's National Homeownership Strategy. This policy got underway in 1994 or 1995 and was intended to increase the home ownership rate by making it possible for people to buy houses even though they could not come up with a down payment, did not have enough money to make normal interest-plus-principal payments, or otherwise couldn't afford to buy a house in the first place. Clinton gave numerous speeches throughout his administration boasting of the success of the program.
As I keep saying, I don't see how any one culprit can be identified here. But Clinton is skating on what amounted to the intentional creation of a world of bad debt, backed up by GSEs.
French PM says world 'on edge of abyss' | Business News | Reuters
French PM says world 'on edge of abyss' | Business News | Reuters: "Prime Minister Fillon, whose country is hosting an emergency summit of Italian, British and German leaders on Saturday, said only collective action could solve the financial crisis. He said he would not rule out any solution to stop any bank failing.
'The world is on the edge of the abyss because of an irresponsible system,' Fillon said, alluding to widespread anger over past lax regulation of financial markets and excessive lending."
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Here in the US the media portray this as an American problem and the political class seems to go along with that, but the fact is that European banks have been doing the same things that drove American banks under. It wasn't just based on risky home loans. All kinds of debt were used to create a bizarre unregulated aftermarket consisting of various forms of derivatives that I don't remotely understand. George Soros has a book out on this. Back in March he was predicting that the crash of the $50 trillion credit default swap market would dwarf the previous bank failures. I'm not a Soros fan but his argument on the failure of the neoclassical economics model is very persuasive.
'The world is on the edge of the abyss because of an irresponsible system,' Fillon said, alluding to widespread anger over past lax regulation of financial markets and excessive lending."
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Here in the US the media portray this as an American problem and the political class seems to go along with that, but the fact is that European banks have been doing the same things that drove American banks under. It wasn't just based on risky home loans. All kinds of debt were used to create a bizarre unregulated aftermarket consisting of various forms of derivatives that I don't remotely understand. George Soros has a book out on this. Back in March he was predicting that the crash of the $50 trillion credit default swap market would dwarf the previous bank failures. I'm not a Soros fan but his argument on the failure of the neoclassical economics model is very persuasive.
FOXNews.com - Lawmaker Accused of Fannie Mae Conflict of Interest - Politics | Republican Party | Democratic Party | Political Spectrum
FOXNews.com - Lawmaker Accused of Fannie Mae Conflict of Interest - Politics | Republican Party | Democratic Party | Political Spectrum: "WASHINGTON — Unqualified home buyers were not the only ones who benefitted from Massachusetts Rep. Barney Frank’s efforts to deregulate Fannie Mae throughout the 1990s. So did Frank’s partner, a Fannie Mae executive at the forefront of the agency’s push to relax lending restrictions. Now that Fannie Mae is at the epicenter of a financial meltdown that threatens the U.S. economy, some are raising new questions about Frank's relationship with Herb Moses, who was Fannie’s assistant director for product initiatives. Moses worked at the government-sponsored enterprise from 1991 to 1998, while Frank was on the House Banking Committee, which had jurisdiction over Fannie."
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That is "partner" as in "life partner," not business partner.
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That is "partner" as in "life partner," not business partner.
Foreclosure Alley - SoCal Connected
Foreclosure Alley - SoCal Connected: "For the past few years, the Inland Empire in Riverside County has been one of the fastest growing counties in the state - home to a major housing boom. But now the Inland Empire is pretty much the poster child for the foreclosure crisis. In the newer developments, house after house sits vacant - either up for auction, for sale by a bank or going for what’s called a “short sale” which is when the owner owes more than the house is worth."
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Wow. All they need is some zombies staggering around. What a disaster.
Thanks to Fred Pilot for this grim link.
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Wow. All they need is some zombies staggering around. What a disaster.
Thanks to Fred Pilot for this grim link.
Friday, October 03, 2008
Woman, 90, shoots self inside foreclosed home - CNN.com
Woman, 90, shoots self inside foreclosed home - CNN.com: "(CNN) -- A 90-year-old Akron, Ohio, woman who shot herself as sheriff's deputies tried to evict her from her foreclosed home became a symbol of the nation's home mortgage crisis Friday. Fannie Mae foreclosed on the Akron, Ohio, home of Addie Polk, 90, after acquiring the mortgage in 2007. Addie Polk is being treated at Akron General Medical Center after shooting herself at least twice in the upper body Wednesday afternoon, her city councilman said."
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Fannie Mae Eases Credit To Aid Mortgage Lending - New York Times
New York Times, September 30, 1999: Fannie Mae Eases Credit To Aid Mortgage Lending: "In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing the credit requirements on loans that it will purchase from banks and other lenders. The action, which will begin as a pilot program involving 24 banks in 15 markets -- including the New York metropolitan region -- will encourage those banks to extend home mortgages to individuals whose credit is generally not good enough to qualify for conventional loans. Fannie Mae officials say they hope to make it a nationwide program by next spring. Fannie Mae, the nation's biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits. In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates -- anywhere from three to four percentage points higher than conventional loans."
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And there you have the essence of the problem. The Clinton Administration and the banking industry were eager to have Fannie Mae underwrite the enormous risk involved in lending money to people so they could buy houses that were beyond their means.
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And there you have the essence of the problem. The Clinton Administration and the banking industry were eager to have Fannie Mae underwrite the enormous risk involved in lending money to people so they could buy houses that were beyond their means.
Feral cats to be trapped - Milford, MA - The Milford Daily News
Feral cats to be trapped - Milford, MA - The Milford Daily NewsFRANKLIN —The Highwood Condominium Association's board of trustees has decided to trap and euthanize a colony of feral cats at the complex that has been the center of a neighborhood dispute, according to Animal Control Officer Cindy Souza. The move may be illegal, however, depending on who actually owns the woods where the cats roam and eat, she said.
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It says at one time they had over 200 of these creatures and they were jumping out of trash bins and biting people. A feral cat bit my son when he was 6 and we were vacationing in St. Maarten. They look cute up until they attack. But why does the association have to do this? Shouldn't the Animal Control people be doing this on public land, and going on private land with the association's permission, instead of reading from the rule book?
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It says at one time they had over 200 of these creatures and they were jumping out of trash bins and biting people. A feral cat bit my son when he was 6 and we were vacationing in St. Maarten. They look cute up until they attack. But why does the association have to do this? Shouldn't the Animal Control people be doing this on public land, and going on private land with the association's permission, instead of reading from the rule book?
Quick Takes: Protest Over Political Ban at Illinois, Another Scandal for Pa. Loan Agency, Patent Loss for Johns Hopkins, Sick Students at Georgetown, Ig Nobel Prizes :: Inside Higher E
Protest Over Political (make that "Obama") Ban at Illinois: "Faculty members held a rally at the University of Illinois at Urbana-Champaign to back the Obama presidential campaign Thursday to show that they will not follow guidelines issued by the university that bar them from rallies or wearing political buttons on campus, the Chicago Tribune reported. The university says it isn’t enforcing the guidelines, which it says are required by state law."
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Nothing will happen to them for defying the ban. The U of I faculty will continue electioneering for Obama in every arena, including the classroom, and nothing will be done about it.
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Nothing will happen to them for defying the ban. The U of I faculty will continue electioneering for Obama in every arena, including the classroom, and nothing will be done about it.
Schwarzenegger to U.S.: State may need $7-billion loan - Los Angeles Times
Schwarzenegger to U.S.: State may need $7-billion loan - Los Angeles Times: "SACRAMENTO -- California Gov. Arnold Schwarzenegger, alarmed by the ongoing national financial crisis, warned Treasury Secretary Henry M. Paulson on Thursday that the state might need an emergency loan of as much as $7 billion from the federal government within weeks The warning comes as California is close to running out of cash to fund day-to-day government operations and is unable to access routine short-term loans that it typically relies on to remain solvent."
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California isn't the only government that can't get a loan. But that state has been spending and regulating itself into insolvency for a long time, and the voters have made it worse by passing initiative measures that crippled the government (property tax cap, term limits, etc.) Add to that a new pattern of population movement--immigration of low income people and out-migration of the middle class to Nevada, Utah, Arizona, Colorado, etc., topped off with socialist mayors running LA and SF, oblivious to economic realities. The last thing the state needed was having their credit card cut up.
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California isn't the only government that can't get a loan. But that state has been spending and regulating itself into insolvency for a long time, and the voters have made it worse by passing initiative measures that crippled the government (property tax cap, term limits, etc.) Add to that a new pattern of population movement--immigration of low income people and out-migration of the middle class to Nevada, Utah, Arizona, Colorado, etc., topped off with socialist mayors running LA and SF, oblivious to economic realities. The last thing the state needed was having their credit card cut up.
Thursday, October 02, 2008
TEACHERS TOLD NOT TO WEAR OBAMA BUTTONS - New York Post
TEACHERS TOLD NOT TO WEAR OBAMA BUTTONS - New York Post: "The teachers union has been handing out thousands of Barack Obama campaign buttons to its members, sparking a clampdown by education brass.
The Department of Education - which has a long-standing policy barring teachers from wearing campaign buttons in schools - is set to send out an e-mail this week from Schools Chancellor Joel Klein laying down the law."
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This is looking like a concerted effort by teachers' unions to use their access to students for pro-Obama activism. Clearly, the Obama campaign knows how to influence and organize young people. And the teachers' unions are not hindered by rules against activism in the classroom.
The Department of Education - which has a long-standing policy barring teachers from wearing campaign buttons in schools - is set to send out an e-mail this week from Schools Chancellor Joel Klein laying down the law."
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This is looking like a concerted effort by teachers' unions to use their access to students for pro-Obama activism. Clearly, the Obama campaign knows how to influence and organize young people. And the teachers' unions are not hindered by rules against activism in the classroom.
Virginia Teachers Union Sparks Outrage With 'Obama Blue Day' - FOXNews.com Elections
Virginia Teachers Union Sparks Outrage With 'Obama Blue Day' - FOXNews.com Elections: "Virginia Republicans are in an uproar after the state teacher's union sent an e-mail to its members encouraging them to wear blue-colored shirts to school to show their support for Barack Obama.
State Republicans are calling it an undisguised attempt to influence students' political views.
The Virginia Education Association sponsored 'Obama Blue Day' on Tuesday. In an e-mail sent last week, it urged teachers to participate by dressing in blue."
State Republicans are calling it an undisguised attempt to influence students' political views.
The Virginia Education Association sponsored 'Obama Blue Day' on Tuesday. In an e-mail sent last week, it urged teachers to participate by dressing in blue."
What They Said About Fan and Fred - WSJ.com: "House Financial Services Committee hearing, Sept. 10, 2003:
Rep. Barney Frank (D., Mass.): 'I worry, frankly, that there's a tension here. The more people, in my judgment, exaggerate a threat of safety and soundness, the more people conjure up the possibility of serious financial losses to the Treasury, which I do not see. I think we see entities that are fundamentally sound financially and withstand some of the disaster scenarios. . .'
Sen. Charles Schumer (D., N.Y.): 'And my worry is that we're using the recent safety and soundness concerns, particularly with Freddie, and with a poor regulator, as a straw man to curtail Fannie and Freddie's mission. And I don't think there is any doubt that there are some in the administration who don't believe in Fannie and Freddie altogether, say let the private sector do it. That would be sort of an ideological position.'."
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There is more, and from a number of Democrats who are now blaming the whole thing on the Republicans. It wasn't all the Democrats fault, either, but it does take a certain chutzpah for Barney Frank to say the things he has said in the last week, after saying what he did five years ago. He was warned, and so were others, and they not only ignored the warnings, they criticized the people who delivered the news.
Rep. Barney Frank (D., Mass.): 'I worry, frankly, that there's a tension here. The more people, in my judgment, exaggerate a threat of safety and soundness, the more people conjure up the possibility of serious financial losses to the Treasury, which I do not see. I think we see entities that are fundamentally sound financially and withstand some of the disaster scenarios. . .'
Sen. Charles Schumer (D., N.Y.): 'And my worry is that we're using the recent safety and soundness concerns, particularly with Freddie, and with a poor regulator, as a straw man to curtail Fannie and Freddie's mission. And I don't think there is any doubt that there are some in the administration who don't believe in Fannie and Freddie altogether, say let the private sector do it. That would be sort of an ideological position.'."
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There is more, and from a number of Democrats who are now blaming the whole thing on the Republicans. It wasn't all the Democrats fault, either, but it does take a certain chutzpah for Barney Frank to say the things he has said in the last week, after saying what he did five years ago. He was warned, and so were others, and they not only ignored the warnings, they criticized the people who delivered the news.
Financial Crisis: So much for tirades against American greed - Telegraph
Financial Crisis: So much for tirades against American greed - Telegraph: "It took a weekend to shatter the complacency of German finance minister Peer Steinbrück. Last Thursday he told us that the financial crisis was an 'American problem', the fruit of Anglo-Saxon greed and inept regulation that would cost the United States its 'superpower status'. Pleas from US Treasury Secretary Hank Paulson for a joint US-European rescue plan to halt the downward spiral were rebuffed as unnecessary. By Monday, Mr Steinbrück was having to orchestrate Germany's biggest bank bail-out, putting together a €35 billion loan package to save Hypo Real Estate. By then Europe was 'staring into the abyss,' he admitted. Belgium faced worse. It had to nationalise Fortis (with Dutch help), a 300-year-old bastion of Flemish finance, followed a day later by a bail-out for Dexia (with French help).
Within hours they were all trumped by Dublin. The Irish government issued a blanket guarantee of the deposits and debts of its six largest lenders in the most radical bank bail-out since the Scandinavian rescues in the early 1990s. Then France upped the ante with a €300 billion pan-European lifeboat for the banks. The drama has exposed Europe's dark secret for all to see. EU banks took on even more debt leverage than their US counterparts, despite the tirades against ''le capitalisme sauvage'' of the Anglo-Saxons."
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I made note below of Steinbruck's condescension. Now it turns out that our sophisticated European betters, from whom we in the colonies need to learn so much, are in even worse shape due to their own risky credit practices.
Within hours they were all trumped by Dublin. The Irish government issued a blanket guarantee of the deposits and debts of its six largest lenders in the most radical bank bail-out since the Scandinavian rescues in the early 1990s. Then France upped the ante with a €300 billion pan-European lifeboat for the banks. The drama has exposed Europe's dark secret for all to see. EU banks took on even more debt leverage than their US counterparts, despite the tirades against ''le capitalisme sauvage'' of the Anglo-Saxons."
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I made note below of Steinbruck's condescension. Now it turns out that our sophisticated European betters, from whom we in the colonies need to learn so much, are in even worse shape due to their own risky credit practices.
Wednesday, October 01, 2008
IBDeditorials.com: Editorials, Political Cartoons, and Polls from Investor's Business Daily -- Fannie, Freddie Critic Ridiculed In 2000
IBDeditorials.com: Editorials, Political Cartoons, and Polls from Investor's Business Daily -- Fannie, Freddie Critic Ridiculed In 2000: "It is now consensus that Fannie Mae and Freddie Mac are at the heart of the systemic meltdown we are seeing in the mortgage market. They are costing taxpayers billions through their own bailouts and through the role they played in fueling an artificial mortgage boom. But eight years ago, when I testified before Congress that Fannie Mae and Freddie Mac's 'special privileges create a serious hazard to the market, to taxpayers (and) to the economy,' my criticism of these sacred financial entities was met with ridicule."
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He wasn't alone. Other people said similar things, and there was even legislation introduced that would have increased oversight of the GSEs. Nothing passed because numerous members of Congress rushed to Fannie Mae's defense. Maybe somebody should see who got what campaign contributions from whom. Maybe somebody with subpoena power might want to look into what other benefits certain people might have received.
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He wasn't alone. Other people said similar things, and there was even legislation introduced that would have increased oversight of the GSEs. Nothing passed because numerous members of Congress rushed to Fannie Mae's defense. Maybe somebody should see who got what campaign contributions from whom. Maybe somebody with subpoena power might want to look into what other benefits certain people might have received.
Teachers asked to remove Obama buttons in class - Santa Cruz Sentinel
Teachers asked to remove Obama buttons in class - Santa Cruz Sentinel: "SOQUEL -- Teachers at Soquel High School have agreed not to wear 'Educators for Obama' buttons in the classroom after a parent complained that educators were attempting to politically influence his daughter and other students."
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Hey, what about all the teachers who were wearing McCain buttons? Oh...there weren't any. What a surprise.
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Hey, what about all the teachers who were wearing McCain buttons? Oh...there weren't any. What a surprise.
Tuesday, September 30, 2008
Saudi woman driver hurt after defying ban
Saudi woman driver hurt after defying ban: "A young woman in Saudi Arabia who defied ultra-conservative kingdom's ban on women driving was injured when the car span out of control and plunged into a stream, a newspaper reported on Tuesday. The unnamed woman in her 20s 'stole' her brother's car on Sunday, picked up a female friend and drove at high speed through a town in the Eastern Province before losing control of the vehicle, Al-Riyadh said. The car hit an electricity pole and plunged into an irrigation channel. Both the driver and her friend were taken to hospital in serious condition, the paper said."
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The Saudi version of Thelma and Louise. And these policies continue because the nation sits on an ocean of crude oil.
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The Saudi version of Thelma and Louise. And these policies continue because the nation sits on an ocean of crude oil.
Feds, D.A. rebuffed HOA members - Face To Face: Final Take - Las Vegas Sun
Feds, D.A. rebuffed HOA members - Face To Face: Final Take - Las Vegas Sun: "he woman who brought her suspicions about collusion on her homeowners association board to the attention of the FBI says she didn't get far. Wanda Murray tells Jon on tonight's program that the feds deemed the issue a civil matter and had no interest. Ditto for the District Attorney, where Murray says she and her neighbors failed to get past the secretary.
So what got law enforcement to take notice? Tune in tonight to hear State Sen. Mike Schneider's (D-Clark) contention that the alleged activity extends beyond Nevada."
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So now we have two different stories of how this investigation got started, but Senator Mike's story is not out yet...stay tuned. Expiring minds want to know.
So what got law enforcement to take notice? Tune in tonight to hear State Sen. Mike Schneider's (D-Clark) contention that the alleged activity extends beyond Nevada."
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So now we have two different stories of how this investigation got started, but Senator Mike's story is not out yet...stay tuned. Expiring minds want to know.
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