All Forum Posts by: Pedro Gonzalez

The Bush administration is asking Congress to let the government buy $700 billion in bad mortgages as part of the largest financial bailout since the Great Depression. As atarget mentioned, it may take the form of an RTC type of entity that address the S&L mess.

This plan if passed would raise our national debt from $10.6 trillion to $11.3 trillion to make room for the massive rescue.

However, as of this morning the proposal does not specify what the government would get in return from financial companies for the federal help.

Something mentioned by Treasury Secretary Paulson should be considered; "I am convinced that this bold approach will cost American families far less than the alternative — a continuing series of financial institution failures and frozen credit markets unable to fund economic expansion," "The financial security of all Americans ... depends on our ability to restore our financial institutions to a sound footing."

Regardless of the decision made by our government leaders, the price to pay is high. However, the risk of doing nothing would be higher.

1) Lets create the compensation of top executives linked to the perfomance of the companies.

2) How much are we spending on this never-ending war? Lets review that and lets make an assessment of our ROI on this war. We may be able to divert some of those funds and invest them in America and prevent situations like Ofgift is explaining it happen with his/her ss benefit.

Shari:

I think that the reduction of the interest and loan balances could help slow down the foreclosures in process and prevent future ones. I do not think that banks will lose, since the governement will be there to cover the "loses".

What is important is that something be done now and drastic to revamp the real estate market, slow down foreclosures to an acceptable level, ease lending requirements so new buyers/investors have an incentive to buy again.

Something must be done to protect the jobs of Americans to ensure that they income is not lost and confidence level starts to increase once again.

We as a nation must have the confidence in our resolve to survive this recession. We must have desire to want to get out backed by faith. We must take action. If we do nothing, one thing will be certain is that there wont be a change.

Barry:

That is a very gloomy outlook for America. You have no hope for America?

Should we flee to Mexico for better opportunities?

I am hopeful that the bailout of Fannie and Freddie would bring them back to buy mortgage-backed securities and in turn motivate banks to start lending again and stop the down spiral effect we are seeing in the real estate market.

The Bush administration developed an effort to confront the worst U.S. financial crisis in decades, describing a plan that could cost taxpayers hundreds of billions of dollars to buy up bad mortgages and other toxic debt that has unhinged Wall Street. As Federal Reserve Chairman Ben Bernanke, acknowledged that the program will put a "significant amount of taxpayers' money on the line."

The government steps were clearly welcomed by financial markets and the Dow Jones industrials were up over 300 points and at one point had soared by 450 points.

Also, Mr. Paulson said mortgage giants Fannie Mae and Freddie Mac will step up their purchases of mortgage-backed securities to help provide support to the crippled housing market. As you know, the government seized control of the mortgage giants this month.

Will these measures energize our weak real estate market?

This is just posted on MSNBC about the government's financial rescue plan.

http://www.msnbc.msn.com/id/26787984/

I agree with Jason. Birddogging could be a way to get started in the real estate investing. Associate your self with reputable real estate investors, you will find a lot of them right here in BP. Do your research prior to presenting deals to the investors, to make sure that the deals make sense. Network with lenders, hard money lenders and private money lenders so you also understand about the finances of the transactions. You can present, if the investor needs it, a complete package with an awsome opportunity for an investor with a HM Lender that would finance the deal. It can be a sweet deal for an investor.

Thank you Jason.

Jason:

I am looking for the same information. If I locate it I will forward it to you. If you locate the sample agreement, could you share it with me?