Comments on: BIG Problems Need Simple Solutions; A Bailout Plan that Works http://www.biggerpockets.com/renewsblog/2008/10/10/big-problems-need-simple-solutions/ Learn, Network, Invest Sat, 11 Feb 2012 16:57:56 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Jackson Hole Real Estate Bloggerhttp://www.biggerpockets.com/renewsblog/2008/10/10/big-problems-need-simple-solutions/#comment-60863 Jackson Hole Real Estate Blogger Mon, 27 Oct 2008 21:35:42 +0000 http://www.biggerpockets.com/renewsblog/?p=1738#comment-60863 I think plenty of blame can be placed on the Feds and Greenspan. At least thats what the lowly real estate broker in Jackson Hole was thinking BEFORE this happened. It was those guys who dropped the interest rates for multi years while at the same time lending regulation relaxed. This proved to be a deadly combination. Then you add the guys selling derivatives and credit default swaps adding leveraged "products" to the portfolio of many unsuspecting investors and whamo - here we are. Great article. Thanks I think plenty of blame can be placed on the Feds and Greenspan. At least thats what the lowly real estate broker in Jackson Hole was thinking BEFORE this happened. It was those guys who dropped the interest rates for multi years while at the same time lending regulation relaxed. This proved to be a deadly combination. Then you add the guys selling derivatives and credit default swaps adding leveraged “products” to the portfolio of many unsuspecting investors and whamo – here we are.
Great article. Thanks

]]> By: Robhttp://www.biggerpockets.com/renewsblog/2008/10/10/big-problems-need-simple-solutions/#comment-60577 Rob Sat, 11 Oct 2008 12:53:39 +0000 http://www.biggerpockets.com/renewsblog/?p=1738#comment-60577 The situation is not really any different than getting 100% financing on a new vehicle that you drive off the lot. Everyone knows that when you purchase a brand new vehicle, the “value” sinks that minute it becomes “used”. The situation is not really any different than getting 100% financing on a new vehicle that you drive off the lot. Everyone knows that when you purchase a brand new vehicle, the “value” sinks that minute it becomes “used”.

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