/biz/ - Business & Finance

[Anonymous No.18415546]

Holy shit.

This really is financial crisis pt 2.

JP Morgan is saying all their past mortgages are at high risk.

[Anonymous No.18415555]

>>18415546
Unironically bullish. Green dildo Monday

[Anonymous No.18415580]

>>18415555
Average JPM down is from 3 to 10%.

This is huge!
All the other banks are going up so the same. Then it will be harder to get loans. This is the start of a major housing crisis.

[Anonymous No.18415584]

>there are people out there without a 700 credit score trying to buy a house

[Anonymous No.18415611]

>>18415584
>burgers yelling at the chinks social score
>muh DEMOCRUCY DOWN
>burgers have been jew-scored and feel ok about that
>muh land of freedums
ahahahaha

[Anonymous No.18415637]

>>18415611
Credit score doesn't change much except your ability to get a loan, mine is above 800 and it's meaningless because I don't have much capital to take out a loan with.

[Anonymous No.18415658]

>>18415637
Same boat. sitting at 802 or so but I have no capital to take out a loan. It’s worthless.

[Anonymous No.18415661]

>>18415584
What if I told you 10% of mortgages were to people with a credit score under 647!

[Anonymous No.18415678]

>>18415637
>Credit score doesn't change much except your ability to get a loan
for now, let them work

[Anonymous No.18415698]

>>18415611
People in your country go to jail for Tweets

[Anonymous No.18415729]

This news was less that one year ago. If you aren't a brainlet then you get how serious this is.

[Anonymous No.18415749]

>>18415729
Ive watched big short, and i know what a synthetic cdo is. ITS OVER GUYS AAAAAAAAAAAAA

[Anonymous No.18415750]

>>18415729
IT'S A BUBBLE

[Anonymous No.18415770]

>>18415729
JENGA BLOCKS AND GOSLING

[Anonymous No.18415822]

But guys this isn't just a housing bubble and a subprime bubble. We also got an index fund bubble.

This is a trifecto. Short everything!

[Anonymous No.18415866]

>>18415822
What's passive investment?

[Anonymous No.18415880]

>he thought the current debit levels and loaning standards were sustainable
Brainlet, it's always been obvious that this would eventuate.

[Anonymous No.18415885]

>>18415546
>"For those of you that haven't been through this before, this is what the beginning of a fire sale looks like..."

https://www.youtube.com/watch?v=1e1iiUIZxQk

[Anonymous No.18415897]

>>18415822
what about corporate debt bubble? thats a big one too.

[Anonymous No.18415907]

>>18415770
>JENGA BLOCKS AND GOSLING

Here I even made a diagram!

[Anonymous No.18415926]

>>18415897
>what about corporate debt bubble? thats a big one too.

This one is hard, because just because the Feds are giving JPM tons of liquidity, JPM is cutting their risk, so less liquidity for the consumer. Basically they are trying to get consumers to take away all their corporate risk. I think they will win, like last time. Corporate debt for S&P 500 companies will be fine.

[Anonymous No.18415951]

>>18415546
Why do we always have to pay for the mistakes of these fucking jews? Fuck them.

[Anonymous No.18415996]

>>18415866
Most normies put 5% of their paycheck into a 401k account managed by an investment firm.

[Anonymous No.18416027]

>>18415885
so let me get this straight...

yhymm

we bobo now?

[Anonymous No.18416036]

>>18415996
Not anymore when 10% of the USA is laid off!

>>18416027
>we bobo now?
We are very close. Right now it is the big banks trying to hide how bad things are, so they can hedge the risk.

[Anonymous No.18416059]

>>18416036
but but
always always things seems to be unlogical right?

it is 100% sure that we bobo now?

[Anonymous No.18416109]

>>18415926
JPM has the largest silver position on the world. Physical one. They will be fine.

I think that solving liquidity problems is not gonna work this time. The economy has came to a halt. No amount of currency printing is gonna work... The only way out is a reality check of stocks, or hyperinflation. The system is collapsing as we speak.

[Anonymous No.18416126]

>>18416109
>The only way out is a reality check of stocks, or hyperinflation.
I believe Drumpf has already made his choice

[Anonymous No.18416127]

>>18416036
10%. For now. For each 1% of unemployment 40k people die. People are about to be awoken from their "american dream"

[Anonymous No.18416148]

>>18416126
I believe this is beyond Drumpfs choices. Did he choose this monetary system? No. But he might choose the next one.

[Anonymous No.18416150]

>>18416059
>it is 100% sure that we bobo now?
Do you need an expert to tell you how to invest?
Usually too late then, but okay...

>pic related, though it will actually be the second great depression soon!

[Anonymous No.18416158]

>>18415546
>JP Morgan is saying all their past mortgages are at high risk.
Lol they didn’t say that at all.

Are you retarded or is biz the new buzzfeed

[Anonymous No.18416169]

>>18416127
>People are about to be awoken from their "american dream"
1/3 of people didn't pay their rent this month!

[Anonymous No.18416191]

>>18416158
It isn't very complex man.

Let us start with now and what they said:
>CURRENT BUYERS RISKY, so PAY 20% down instead of 3 to 10%.
You accept this right?

What they didn't say:
>PAST BUYERS not paying:
>>18416169
You accept this right?

[Anonymous No.18416212]

>>18416191
>>18416169
yeah shits fucked. The only thing i dont know what to do is either to short the market in some way(put options pref.) , or not because of the possible hyperinflation driving numbers up, making my short obsolete.

[Anonymous No.18416236]

>>18416169
>1/3 of people didn't pay their rent this month!

Look at the normal monthly missed-rent % for previous years. Pretty much every month, even through good economies, about 20% of people didn't pay rent.

[Anonymous No.18416253]

>>18416150

[Anonymous No.18416259]

>>18416212
I don't think it matters what you do, just don't bother with very short term expensive options that will expire before the market comes to a head. Also heavily leveraged index funds are also bad for the same reason. Just short normally and wait. If you want to get fancy research companies that likely won't survive, but not easily known ones like Gamestop which is experiencing a short squeeze.

[Anonymous No.18416274]

>>18416169
Yes anon. The housing market is about to crash.

[Anonymous No.18416278]

>>18416253
Just watch your eggs man.
Watch them good!

[Anonymous No.18416287]

>>18416259
Im 70% link and 30% silver. Got some cash to throw around... Either long term put options or more silver and shitcoins.

[Anonymous No.18416292]

>>18416278
Anon thoughts on DRV?

[Anonymous No.18416334]

>>18416150
The government ordered half of the service sector shut down, lol. Of course we're already in a recession. You didn't even need the unemployment numbers to tell that. This is probably the easiest recession to call in American history.

[Anonymous No.18416353]

>>18415611
>credit score literally just says how reliable you are at paying denbts
>yurop (probably greek) has problem with this

unsurprising

[Anonymous No.18416367]

>>18416292
That is a leveraged product meant for short term trades. It loses value when you hold and quickly.

>that would be a no anon

>>18416334
>Of course we're already in a recession.
I think of this as dominos. It is triggering something big that goes beyond a virus shutdown.

[Anonymous No.18416376]

>>18416292
I was in it before but took my losses. The fed and the treasury and congress are all hyper aware of the mortgage market because of the scars of the 2008 financial crisis. It won’t fall so easily, but it may happen eventually. I don’t expect it to be the first domino to fall.

[Anonymous No.18416424]

>>18415729
does this mean I'll be able to buy a house for cheap pretty soon with all the money I've been sitting on?

[Anonymous No.18416434]

>>18416424
Yes, soon you can buy a cheaper house.
Whether you should is up to you.

[Anonymous No.18416461]

>>18416424
Yeah your going to be buying it with pesos

[Anonymous No.18416491]

>>18416424
Asking prices in some regions are already starting to come down. Sellers are getting nervous. No one is buying right now.

[Anonymous No.18416503]

>>18416491
3% down is a joke. This is total denial.

[Anonymous No.18416576]

>>18416491
>DFW
probably the flow of Californians is slowing down since no one has the money to move anymore

[Anonymous No.18416672]

>>18416491
>Really? Let me check Zillow and see if it's true in my area too
>Foreclosure
>Foreclosure
>Foreclosure
>Foreclosure
>Foreclosure

kek it's fucking ogre

[Anonymous No.18416844]

>>18416672
does ZIllow have a way to see foreclosed homes, or is there a better site for finding homes that are foreclosed?

[Anonymous No.18416950]

>>18415546
>how do we get more money during this period of time where people have EVEN LESS MONEY
>MAKE THEM PAY MORE
>PERFECT

[Anonymous No.18416974]

>>18415866
>>18415996
Not quite. Passive investment means putting money into index funds. Most indexes are market cap weighted so when money floods in, they have to buy more of the biggest cap stocks. Thus, you have a lot of money going into Alphabet (Google), Apple, Amazon, Facebook, etc. These companies can become grossly overpriced and make the general stock market more susceptible to a crash. If one of the major components of the indexes crashes, it'll cause the index itself to crash and it could trigger selling from programmed traders.

Active investment is stock picking. As an example, in the 2000s, it was obvious that the banking system was going to collapse so a investor who bought the S&P 500 but shorted the banks in the S&P 500 would clearly outperform someone who was strictly invested in the S&P 500.

[Anonymous No.18417030]

>>18415822
>Short everything!
what shorts do you have your eye on, OP? I would like to hear your opinion

[Anonymous No.18417074]

>housing prices on the verge of going down
>uh-oh, gotta find another way to make it harder for millennials to buy houses!

IM FUCKING SICK OF THIS SHIT!!!

[Anonymous No.18417133]

>>18416844
Foreclosures are pretty local. You got to find how your county does it.

>>18417030
This is my current shorts and lone put. It was all positive before the bull run last week.

[Anonymous No.18417140]

>>18415611
Hey my credit store didn't go down when I was arrested for assault with a deadly weapon and public endangerment and possession of controlled substance. In the Jews eyes I'm still Jonny good goy score 756

[Anonymous No.18417157]

>>18415584
This wtf

[Anonymous No.18417167]

>>18417140
During the recession the credit card companies started to decrease people's limits. This may decrease a lot of credit scores.

[Anonymous No.18417184]

>>18417167
Now that I did not account for! I must hedge against this eventuality

[Anonymous No.18417242]

>>18415546
How is it not already 700 and 20%? Without a cosigner that's not much to ask.

[Anonymous No.18417288]

>>18416287
Why silver hasn't it been declining for years now?

[Anonymous No.18417305]

>>18415546
I just shorted boomer stonks, and am already 40% up. Buying ARPA and all Asian shit. I wish LK was open. FUCK

[Anonymous No.18417307]

>>18417288
Silver is like the penny stock of precious metals. Like how people buy a cheaper stock vs a more expensive one even if the cheaper stock is with a horrible company. Gold just about always outperforms silver.

[Anonymous No.18417336]

>>18415546
700 credit score I can understand.

But 20% down required? A hard requirement? Even a married couple who is good with their money won't be able to manage. Add to that the places were the jobs are and the cost of those homes.

I'm glad I bought last year.

[Anonymous No.18417378]

>>18415661
I'd have thought more than that desu.

[Anonymous No.18417397]

I was actually waiting for this to blow over to get a place because I figured prices would go down. There's no way it won't with these requirements unless stubborn boomers sit on them for four years.

[Anonymous No.18417412]

>>18417378
In due fairness that is what the bank reports. And the banks lie to boost the value of their mortgage backed securities.

>>18417336
Yeah they just basically stopped giving out loans to most people.

[Anonymous No.18417431]

>>18417336
It's because they're thinking that's how much value may retract in the short term.

[Anonymous No.18417450]

>>18417336
Yeah I don’t have 100k to drop as a down payment, the only home in my area under 500k is a 670sq ft apartment. Feels good.

[Anonymous No.18417475]

>>18417450
Not anymore. That apartment isn't worth anything.

>>18417336
>He bought
>dump it

[Anonymous No.18417483]

>>18417397
same here
wonder how this will effect FHA mortgage requirement, usually its 640 3.5% down

[Anonymous No.18417491]

What kind of credit score do I have if I have only ever used a debit card and never had any debt or problems?

[Anonymous No.18417518]

>he wants to take credits
Oh boy, you Americans sure are silly

[Anonymous No.18417525]

>>18416672
I've gotten more foreclosure and price drop notifications in the past week than I ever have.

>>18417074
The protection of wealth always requires people to stand on. Boomers don't care about their children and are willing to stand on them until death.

[Anonymous No.18417553]

>>18415580
People aren't buying housing while they're quarantined.

[Anonymous No.18417576]

>>18417491
Why dont you sign up foe credit karma?

[Anonymous No.18417618]

>>18417576
Not in the US.

[Anonymous No.18417626]

>>18416287
I went all shitcoins. We will see. Ill have some left over for shorting once the time actually comes

[Anonymous No.18417629]

>>18417491
Probably like 600, maybe in the 500’s. No credit is worse than “bad credit”

[Anonymous No.18417633]

I have a credit score of 820 but I have $1,000 in savings. F***

[Anonymous No.18417642]

>>18416844
Auction dot com

[Anonymous No.18417655]

>>18417525
It takes months to get a foreclosure. Whatever you people are seeing is not because of corona-chan.

[Anonymous No.18417666]

>>18417336
20% has always been the standard for a mortgage down payment. Dual income seems pretty feasible in your 30s. And your first home is not your dream home. I see people that live in apartments driving around in cars that cost half a down payment. Who cares what car you drive if you're throwing money down the drain every month on rent.

[Anonymous No.18417677]

>>18415546
Looks like the rental market is trying to be saved

[Anonymous No.18417686]

>>18417074
Housing prices will go down if this goes through. The reason house prices are so expensive is because every swinging dick can get a $400k for almost nothing down. Good houses in good locations get BID on. You COMPETE. Ask anyone who bought a house in the last 3 years how many offers they had to put in before one was accepted. Bet it was a lot.

Now, sure, you’re gonna have to pony up the full %20 but I bet you’ll get the seller to pay all your closing costs and take a -10% offer. If you are financially responsible and save money, this is good news.

[Anonymous No.18417689]

>>18417666
yeh same in straya, unless you blow 10k on mortgage insurance which you will never see again.

[Anonymous No.18417695]

Shorting private and office real estate is definitely worth it, but REITs in the generic commercial space and cellular spaces are exploding. Also basically any REIT stock worth over $10 is leveraged low enough to avoid bankruptcy for at least a year or two, so you're mainly playing for the dip. I was going to short NRZ but it's been pumping because it sold off $6B and got liquidity. Can't even short banks because the government is giving them a fuck ton of business by handling CARES act stuff. At this point I need to find bleeding office REITs or rental REITs (all hotel REITs are near bottom anyways).

[Anonymous No.18417701]

This week is set up to be red as fuck.

[Anonymous No.18417734]

>>18417689
Isnt it a one off payment of less than $1000? Or is there two types

[Anonymous No.18417754]

>>18417074
>>18417074
Trust me, they want to take your money. Badly. Obviously. Look at 2008. But at a certain point it becomes too risky. No one wants to raise the standards it means less profits.

[Anonymous No.18417917]

>>18415546
Credit to debt ratio
add 700+ fico
Boomers keep winning.

[Anonymous No.18417996]

>>18417754
Are you retarded? It is written in the article already.

[Anonymous No.18418081]

>>18417450
So don't live in a wasteland like California

[Anonymous No.18418213]

>The residential mortgage market is already under strain after borrower requests to delay mortgage payments rose 1,900% in the second half of March, Reuters reported.

>The National Association of Realtors last month said home sales could fall by around 10% in the short-term, compared to historical sales for this time of year. A Federal Reserve March consumer survey said home prices were expected grow 1.32% over the year, the lowest reading since the survey began in 2013.

So you can snag a discount if you're willing to shop for a plague house, but otherwise things are on course to continue screwing over young home buyers. Do I have that about right?

[Anonymous No.18418229]

>>18415611
>Saying mean things about the CCP is literally the same thing as being an unreliable debtor
Ok Zhang

[Anonymous No.18418255]

>>18418213
they reckon house prices in straya will fall a bit on account of the govt not allowing traditional auctions due to social distancing. As a result sellers are removing their properties from the market, for the time being. Experts reckon it will be the overpriced top end of the market that will lead the falls. The rest will stagnate.

[Anonymous No.18418443]

>>18417491
Guess I’m out of luck

[Anonymous No.18418448]

>>18418443

[Anonymous No.18418486]

>>18418213
The cost of "disinfecting" is pretty negligible. There's probably going to be a number of people withdrawing listings from the market in the interim, rather than letting people undervalue their properties. The one's who actually need to "absolutely MUST SELL NOW", as in those who bought new houses before closing the sales on their previous houses, are gonna niggle their way out no matter what it takes.
The housing crisis won't happen until it happens. Hold onto your money, despite the AAAAAAA-posting.

[Anonymous No.18418500]

>>18418448
Christ, have you never owned a credit card, or do you own about 4 of them?

[Anonymous No.18418509]

Take every boomers house and kick them to the streets.

[Anonymous No.18418518]

>>18418500
Defaulted on 1. Comcast and 1 other bill in collections. One year or so of skipped student loans. Was 750 before

[Anonymous No.18418522]

>>18415546
Where’s the profit here

[Anonymous No.18418545]

>>18418522
Its long gone along with the credit score kek

[Anonymous No.18418608]

>>18418518
Oh, in that case, your credit score is actually not as bad off as I'd figure you'd be. My sis defaulted on one CC and a pretty sizeable unsecured LoC (which I have no idea how she qualified for) and got sent into the 300-zone.
You probably know about the uphill battle and all that shit, so no lectures.

[Anonymous No.18418678]

>>18415611
why does this truth elicit such COPE?

[Anonymous No.18418685]

can you lovely burgers please answer this question, i didnt realise there was another thread up >>18418475

[Anonymous No.18418701]

>>18416059
From Forbes:

Paradoxically, said Gene Goldman, the chief investment officer of Cetera Investment Management, the shockingly high numbers of jobless claims can even be viewed as helpful to the market, as they increase political pressure on Congress to scale up rescue measures beyond the $2 trillion legislation already enacted.

That's right. Unemployment is bullish because it means corporations are more likely to receive bailouts

[Anonymous No.18418837]

>>18418701

>Gene (((Goldman)))

Every fucking time

[Anonymous No.18418928]

>>18418518
>>18418608
credit scores baffle me. it's like you guys are living in that black mirror episode where everyone rates each other, only in real life

[Anonymous No.18418930]

>keeping a score of your ability to be a good loankek
People asked for slavery, and now they get it. Next year everyone ia getting chipped too.

[Anonymous No.18418955]

>>18415880
/thread
fuck

[Anonymous No.18418977]

fucking event of a generation to snap up real estate and i have no money
robinhood lets you do fractional investing with stocks
can you do it with houses?

[Anonymous No.18418984]

>>18415584
what the hell is a "credit score", is it the US equivalent of China's social points?

[Anonymous No.18418985]

>>18417701
>set up to be red
According to clown market this means you'll make +100% if you market buy otm calls at open.

[Anonymous No.18419013]

>>18416950
there sole reason for existence is to make exorbitant amounts of money, by loaning you money, by charging interest and fees on money they loan to you, money they originally get from the fed for free

what they do ought to be illegal. the entire financial system and 99% of what wallstreet does ought to be illegal

[Anonymous No.18419029]

>>18419013
>someone making money
>this must be illegal
FUCK OFF

[Anonymous No.18419033]

>>18417242
thank bill Clinton

[Anonymous No.18419046]

>>18417491
ask experian

[Anonymous No.18419055]

>>18419029

Yes, it should be illegal. You should be forced to work for your shit. Protip: usury and ownership isn't work.

[Anonymous No.18419069]

>>18417629
>No credit is worse than “bad credit”
A history of always paying your bills is worse than some junkie who keeps going bankrupt? Seems about capitalism.

[Anonymous No.18419070]

>>18419055
fuck off commienigger

[Anonymous No.18419072]

>>18418977
Ya its called a time share and they suck ass

[Anonymous No.18419080]

>>18419070
Fuck you, kike

[Anonymous No.18419085]

>>18419080
t. turbocommiekike

[Anonymous No.18419089]

>>18419070
not talking about communism here you dumb long nose nibber

[Anonymous No.18419093]

>>18419085
>>18419080

[Anonymous No.18419098]

>>18416148
trumpbux here we come

[Anonymous No.18419127]

>>18415546
>JP Morgan is saying all their past mortgages are at high risk.
Anon, I read the CNBC article from your pic, and JP Morgan doesn't say anything like that.

Could it be you're a doomer panictard with an active imagination?

[Anonymous No.18419133]

>>18419089
>people must not be allowed to make money
>not talking about communism
fuck off, kike

[Anonymous No.18419151]

>>18416376
Appraiser and former AMC employee here. Things are worse than you would imagine. The idea post 2008 was to separate the banks from appraisers and then require an appraisals support before a loan is approved so as to prevent unsupported loans from being made by greedy banks. The reality became that any loan for less than 200k can be done with an 'evaluation', completed by a real estate agent for $50 for less, and any loan can be traded without either an appraisal or evaluation. These evaluations are used for the vast majority of loans, espescially for banks like Wells that specializes in cutting corners. The evaluations are only accurate to 25-50% market value, but the banks use them to portfolio up properties without any idea how broad the range of values could possibly be.

Now that the market is shifting quickly, rents are going unpaid, mortgages will begin to go late/unpaid and then a reassessment of individual properties will be made, again by a system that isn't at all accurate to actual market values. Across the board this will lead to mortgage banks or anyone invested in the back end of real estate to underperform/fail as their anticipated portfolio returns dry up.

Interesting times ahead lads

[Anonymous No.18419152]

>>18417336
now people will have to start saving a couple of years i they have a goal of buying a house

[Anonymous No.18419184]

US housing market is hilarious.
The standard in China is 30% down payment for your 1st house, 50% for 2nd. And US media constantly hype for muh Chyna bubble burst soon.
Who is bursting now? Again?

[Anonymous No.18419190]

>>18419055
You better not own a single share in any company.

[Anonymous No.18419204]

>>18419152
That was already the case when banks raised the downpayment requirements after the 2008 crisis, and guess what the housing market did?

It boomed higher than ever.

[Anonymous No.18419231]

>>18419184
Downpayments are a scam.
They're supposed to protect the bank if the buyer gets in financial trouble, but it achieves the exact opposite because it drastically reduces a buyer's emergency reserve.

All downpayments achieve is give banks more short-term liquidity.

[Anonymous No.18419232]

Real question. Sorry, I'm a brainlet.
What happens to the values of stocks and crypto when the house market crashes? Do they crash alongside them as well?

[Anonymous No.18419242]

>>18419232
Part of the reason why JP Morgan (and others) are raising the requirements is because the housing market is booming too hard; partly due to the non-existent interest rates.
This move isn't going to change dick.

[Anonymous No.18419259]

>>18419242
Aren't a lot of people becoming unable to pay their mortgages though? Specially landlords who rent the houses they "buy". Won't that cause a crash?

[Anonymous No.18419270]

>>18415750
what do you mean? i have 5 houses

[Anonymous No.18419281]

>>18419231
They’re to protect themselves from seething consumerists such as yourself. Get that check engine light fixed yet? Probably not. Good thing amazon basically shut down otherwise your trumpbux we’re going to be wasted just like the rest of your income

[Anonymous No.18419284]

>>18419259
In a lot of countries, banks are actively granting deferments and even extensions on mortgages because of the virus.
This isn't like an actual depression, it's an artificial pause button that's been pushed.

Last recession (2008) was actually CAUSED by the housing market being poisonous; and the housing market recovered and boomed higher than ever in a matter of years.
Don't get your hopes up for a huge crisis.

[Anonymous No.18419290]

>>18419281
t. banker

[Anonymous No.18419293]

>>18419284
all of this

[Anonymous No.18419295]

>>18419151
>image
No good deed goes unpunished.
Sigh.

[Anonymous No.18419297]

>>18419270
Ouch! You have 6 months of mortgage payments set aside for each, right? You didn’t fall for the full leverage meme did ya? Seething topkeks everywhere with no money in the bank because the car has to be Better than your neighbors! Mr shekelstain wins again, and he’s coming to buy your foreclosures.

[Anonymous No.18419298]

>>18419284
Thank you for the insight

[Anonymous No.18419299]

>>18419133
fuck you kike
kikes make money off of other peoples actual work, thus the money lenders deserve the rope

[Anonymous No.18419307]

>>18419299
You’re right, they deserve to be lynched because the goyim such as yourself have zero self control and money discipline! The only rope wearer is you! Enjoy

[Anonymous No.18419311]

>>18419270
Why do you have 5 houses? For renting, as investments or do you live in them periodically?

[Anonymous No.18419321]

>>18419284
>In a lot of countries, banks are actively granting deferments and even extensions on mortgages because of the virus.
>This isn't like an actual depression, it's an artificial pause button that's been pushed.
Sure, and that is not a problem at all, right? It's not like banks don't like to borrow from other banks so for example JPMorgan has a debt to equity ratio of over 1

[Anonymous No.18419333]

>>18419321
It's all connected, the good and the bad.
You're looking at banks in isolation.

[Anonymous No.18419377]

>>18419297
>>18419311
https://youtu.be/MesrrYyuoa4?t=287
>newfags not getting the reference

[Anonymous No.18419455]

>>18419029

They are literally printing money on promises they can't keep. Look up what a bank run is.

[Anonymous No.18419470]

>>18419377
i don't watch movies

[Anonymous No.18419518]

>>18417074

give it time, anon

[Anonymous No.18419586]

>>18418255
Boomers will take their million dollar shacks off the market for now because they know the CCP will order the Aus govt to let chinks back in soon enough. Boomers can afford to wait for the yellow peril to return, their profits are certainly worth the destruction of the nation.

[Anonymous No.18419624]

>>18419284
A lot of the debt is as bad as the debt in 2008. We have seen a huge return in subprime lending, hell the Australian government was even insuring subprime mortgages for banks. This isn't a 100% virus situation.

>>18419586
I hope that China have their own shit to deal with for a bit so I can get a house, fucking hell that's a bleak prediction.

[Anonymous No.18419655]

>>18419624
>A lot of the debt is as bad as the debt in 2008.
The situation is not even remotely comparable.

[Anonymous No.18419680]

>>18418977
Look into REITs.

[Anonymous No.18419737]

>>18419284
I hope you’re right but I think you’re wrong lol but god I hope you’re right.

[Anonymous No.18419761]

>>18418984
No. It’s banks assessing how likely you be to pay your loans back, chang

[Anonymous No.18419786]

>>18419655
Sorry what is different with the lending standards in 2019 than 2007? The FED is already buying mortgage backed securities which contain a heap of bad debt. Doesn't that tell us that this situation IS at least comparable to 2008?

[Anonymous No.18419792]

>>18419680
Is now the time to buy tho

[Anonymous No.18419796]

>>18418984
>>18415611

Yes, it's true. USA has good goy points.

[Anonymous No.18419798]

>>18419761
You don’t need credit if you can pay for the house in cash

t. Dave Ramsey

[Anonymous No.18419825]

>>18419796
You glow. Stop chang

[Anonymous No.18419836]

>>18419792
I doubt it.

[Anonymous No.18419892]

>>18419284
>This isn't like an actual depression, it's an artificial pause button that's been pushed.
C O P E
O
P
E

[Anonymous No.18420016]

>>18415907
Is there any way whatsoever to know what range of market cap CDOs have? Probably bigger than the other two combined, yes?

[Anonymous No.18420026]

>>18419242
>the housing market is booming too hard; partly due to the non-existent interest rates.
oh yeah, thats totally why the increased the down payment rate, since that means that banks actually make less money from the loan long term.
>housing boom? how can we NOT profit from this?
based retard

[Anonymous No.18420182]

>>18420026
yeah i dunno that green id kinda sounds smart but some of their thinking is backwards, the interest rates have been manipulated to be so low by central banks so that people borrow more money, people aren't borrowing more money because they woke up and went "hmmm fedbros what should we make the interest rate today?"

[Anonymous No.18420471]

>>18416353
>Greece's GDP growth was lower than the average interest rate from all its memorandum bailout packages
>Greece's public debt was unsustainable and non-viable even before the Coronavirus crisis
>Now Greece is facing a minimum -8% GDP recession
>JUST PAY DENBTS BRO
Fuck you

[Anonymous No.18420484]

>>18415885
Fucking epic movie, recommend it to everyone

[Anonymous No.18420547]

>>18420026
>oh yeah, thats totally why the increased the down payment rate
>since that means that banks actually make less money from the loan long term.
But they gain more liquidity in the short term.
Also, read the article from OP; a large part of the reason for increasing down payments is to ease the burden off their staff due to the low interest rates.
You're not very smart are you?

[Anonymous No.18420602]

>>18420547
Not guy you're responding to, I admit your point of view is refreshing lets chat about it.

I think you're suggesting people with say 30k in savings wanting to buy a 100k house will now need to spend 20k while they wouldn't have spent that much previously? I suppose because of the low interest rates its not out of the question that this is the case and they see an increase in capital in the short term but you have to agree that the point of the low cash rate set by the central banks in pretty much every western country at this point is about trying to get people to buy a house to prop up the housing bubble? As in don't you think if someone vaguely wanted an overpriced house they would have gotten one by now?

Also Re: taking the burden off banking staff, I know people who work in banking, they're all busy with refinancing and government backed mortgage freezing, not helping people get new homes...

[Anonymous No.18420632]

>>18420547
Like don't you think its likely that the banks are realising no one is going to want to buy this shit debt off them anymore (there were several articles last week about how the banks have had their debt securities downgraded) and are like "oh shit we better make some aaaaa+++++ or whatever its called shit so we can bundle the toxic shit with that, lets raise lending criteria"

[Anonymous No.18420651]

>>18420602
Look at it this way:
Suppose there's a dude with 30k in savings and he wants to buy a 200k house.

Situation 1: 20% downpayment:
>needs 40k for downpayment
>has to save up for five years while losing money on rent
>saves until he reaches 50k
>downs 40k on the downpayment
>10k left in savings
>loses job
>almost no reserve to tide him over
>loses house after a few months

Situation 2: no downpayment
>takes out the mortgage
>still 30k savings
>after 5 years has 40k in savings
>loses job
>can hold out for years to find a new job

So after 5 years, the guy with the high downpayment can just barely "afford" the house and is left with 10k in savings, while the first guy can "afford" the house 5 years earlier and has 40k in savings on the same day the first guy only had 10k.

[Anonymous No.18420661]

>>18420651
And this is under the assumption that the guy in situation 1 manages to save twice as much as guy in situation 2 during those 5 years.
Just to be generous to the opposing pov.

[Anonymous No.18420746]

>>18420602
>Also Re: taking the burden off banking staff, I know people who work in banking, they're all busy with refinancing and government backed mortgage freezing, not helping people get new homes...
But anon, JP Morgan is increasing the downpayment so they can move staff away from new mortgages over to refinancing.

Increasing the downpayments reduces people wanting new mortgages, it does not change the number of refinancings whatsoever.

[Anonymous No.18420773]

>>18420547
>But they gain more liquidity in the short term.
and that matters in what? a housing boom? or do you need short term liqudity in a recession scenario?
>a large part of the reason for increasing down payments is to ease the burden off their staff due to the low interest rates.
you are either a shill, trolling or just stupid as fuck if you actually take jps "explanation" at face value
>>18420651
>implying the "no downpayment" guy will actually save the 40k for shits and giggles and not buy a new car with the money
>implying the average american makes wise financial decisions

[Anonymous No.18420795]

>>18420773
>and that matters in what?
In short-term financial results.

>you are either a shill, trolling or just stupid as fuck if you actually take jps "explanation" at face value
See >>18420746

>implying the "no downpayment" guy will actually save the 40k for shits and giggles and not buy a new car with the money
>implying the average american makes wise financial decisions
At least the guy in situation 1 has that choice.
The guy in situation 2 is just soundly fucked. His only options pretty much are selling the house or taking out a pitiful second mortgage on his 40k equity jump start.
Also, a car is pretty liquid.

[Anonymous No.18420957]

>>18415907

man this picture is a new low even for retards

[Anonymous No.18420977]

>>18417074
Millenial here. If you cant come up with 30k to put down on a 150k home then you shouldn't be buying. If you're spending more than 150k on your first home as a millenial then you should be making enough that saving for a down payment should be feasible. You people wanting a home for nothing are the same ones getting foreclosed on. Dont be so eager for a subprime loan on a house you cant afford.

[Anonymous No.18421074]

>>18415546
The same JP Morgan that lambasted bitcoin and then bought billions of dollars worth of it in the ensuing dump? Ok.

[Anonymous No.18421108]

>>18420977

20% downpayment:
>get a good job
>have to save up for 5 years to be able to buy a house (meanwhile having to lose money on rent)
>drop a ton of money into the downpayment
>back to almost no savings, so at high risk of losing house if something goes wrong

no downpayment:
>get a good job
>get a mortgage right away
>5 years later have a ton of savings

Downpayments are a scam.

[Anonymous No.18421199]

>>18417242
If it is then the lefties cry foul. Check what barney frank did before the last crash

[Anonymous No.18421235]

I got a morgage with a 680 credit score. Granted we had 25% down and the house was only 79k.

[Anonymous No.18421316]

>>18415637
>>18415658
What do you guys mean by having capital? What kind of capital do you need to take a loan out?

[Anonymous No.18421350]

>>18420977
LOL great job idiot you got fucked. Probably spent way too much time listening to boomers tell you "how it is". If you're a millennial and spending $150k on a house, you're part of the problem. Like >>18421108
said, huge down payments are a scam and realistically most millennials cannot afford to shell out thousand of dollars at a time. If you aren't a total retard though, like you, you could probably save up ~$5k, have a decent job, and get a USDA loan with a 1% down payment and much less jewry involved.

[Anonymous No.18421444]

Didn't see anything looking like DD here, so let me give you some ...

Mortgage rates are tied to the prime rate, which we all know went to nothing when the fed cut it. Now tons of good folks want to re-fi, makes sense right?
Only thing is; $JPM, $BAC, and $WFC don't want to re-fi them out of existing mortgages and into lower rate loans, because the old loans print, and low APR fixed rates aren't worth the effort the write them. They just don't make any money.

So any excuse to duck these is good enough. They are too busy with small business stimulus loans, which is the best loan to write right now because guaranteed repayment from the FDIC. So you will see all the banks do this.

Pick an arbitrary criteria like credit score, or the color of the siding on the house to exclude people by. Who wants to be tying up manpower to do cheap re-fi loans with no profit margin when there is so much money to be made on other instruments right now.

[Anonymous No.18421458]

Explain why negative interest rates won't fix all of these problems.
Protip, you can't.

[Anonymous No.18421497]

>>18417140
>In the Jews eyes I'm still Jonny good goy
this is true

[Anonymous No.18421515]

>>18421444
This is retarded. Majority of home loans are variable and benefit from rate cuts without refinancing.

[Anonymous No.18421619]

>ETF leverage capped at 3x
>Mortgage leverage dropped from 20x (or even 33x) to 5x
>People bitch

Someone care to explain this?

[Anonymous No.18421748]

For every financial crisis there are survivors and winers, the winners of this financial crisis are those who buys into blockchain prjoect like Finnexus and other DEFI related projects

[Anonymous No.18422260]

These threads are so much more interesting than indian bots shilling cryptocurrencies

[Anonymous No.18422545]

>>18417686
I was in such case. I ask an owner and he told me he received around 60 offers per day. To be able to buy my house I had to hire a house-hubter that would make offers before owners put it on the market. It's insane, people get loans way too easily.

[Anonymous No.18422562]

>>18420016
Trillions of dollars.

[Anonymous No.18422777]

>>18421515
Record low rates and people take out variable rates?
>dear god

[Anonymous No.18422966]

>>18420651
a few issues youre missing
if down payment is less than 20% you're paying mortgage insurance. PMI is $2000 a year on a $200k home. property tax is another $2000 a year
that's basically 50% of a rent payment already. #2 will also pay more in interest over the course of the loan

and not everyone qualifies for 5% loans

[Anonymous No.18422992]

>>18421350
I havent bought a house yet because I'm saving for a down payment. Between my wife and myself we currently have 30k in liquid savings and intend to save another 20k in the next year for a down payment. As a veteran I am guaranteed a 0% down loan but I want to do it the boomer way becuse honestly, even if I put zero down, I have proven myself (even if only to myself) capable being financially capable of home ownership. You honestly think millennials crying about down payments are worried about spending all of their savings? No, they have no savings and that's why they want easy loans. Also not sure if you're implying 150K is too much for a millenial to spend on a house? If that's the case then you're probably from Ohio or some other job desert where houses are dirt cheap. Where I am at 150k gets you 1000 square feet which is a fine home for 2 people in their late 20s with a combined income of >100k

[Anonymous No.18423664]

>>18418984
>>18419761
To prove to our Jewish overlords that we are indeed the goodest of Goys.
But the Goyim have had enough.
www.youtube.com/watch?v=OUq9rhuiD7k

[Anonymous No.18423688]

>>18419307
idiot

[Anonymous No.18423864]

>>18418608
Meh I’ve defaulted on 3 credit cards and ny s ore is 700

[Anonymous No.18423956]

>credit
>scores

[Anonymous No.18423985]

>>18417553
False. Realtor had two people look at my mom's house listed for $650k yesterday. They are going to choose between this house or the other one. They have a big truck and asked for garage measurements lmao

[Anonymous No.18424087]

>>18423985
how does that silver spoon taste.

[Anonymous No.18424314]

>>18415584
credit score lmao wtf is that hahahahahaha
fucking mericans I tell you

[Anonymous No.18424666]

>>18422966
>if down payment is less than 20% you're paying mortgage insurance.
I was talking in general. No such thing applies in Europe.
Also, this isn't a legal requirement.
Also also, that only lasts until 20% of the principal is paid off.

>#2 will also pay more in interest over the course of the loan
Sure, but spread out over the entire duration of the mortgage.

There are no holes to poke, down payments are absolute scams.

[Anonymous No.18424714]

>>18424087
>mom is selling her house
>enjoy that silver spoon
You're retarded anon. I went to public school my whole life and now go to my states in state university that costs less than $2k a year as I have the max academic scholarship possible. I made $14k last summer during my internship alone which covers the full cost of attendance. Have a job lined up in this coronavirus environment for $75k starting and am graduating with zero debt and an EE degree. I put in a lot of time and effort in studying, joining clubs, and getting internships and am graduating with a 3.5 GPA in EE and I made a lot of sacrifices to achieve this.

[Anonymous No.18425121]

>>18418448
That’s ugly. Look up trade line supply to get that fixed.

[Anonymous No.18425755]

>>18417336
> I'm glad I bought the top
Anon...

[Anonymous No.18426212]

>>18424314
How do you qualify for bank loans? Have you taken out a loan before?
>>18421350
No you’re part of the problem. You’re a broke bitch.

[Anonymous No.18426225]

>>18417140
>756
>Good

[Anonymous No.18426297]

Credit score is the biggest jewery I have ever witnessed in my life.

> Pay off car early.
> Credit score goes down.

It is like it rewards you for being financially retarded, but not so retarded that you don't pay.

[Anonymous No.18426365]

>>18415546
>tfw have a J.P. Morgan chase mortgage and I put 3% down

Thank you greedy banks for letting me get into a condo when for half the average monthly payment I would have been paying for rent

[Anonymous No.18426367]

>>18426212
In any place on God’s green earth but America and China you need proof of income and to have no defaulted debts. That’s it. Credit scoring is literally good goy points.

[Anonymous No.18426428]

>>18421316
Money. All my money is in crypto.

[Anonymous No.18426458]

>>18426297
>It is like it rewards you for being financially retarded
It literally does. You can't have a very high credit score without carrying a lot of active debt.

[Anonymous No.18426491]

>>18421108
Even with mortgage rates as low as they are I have found that the saving in interest on a loan is generally worth paying rent until I have a 20% deposit anyway.

[Anonymous No.18426528]

>>18419055
Usury is a buzzword for people with poor quantitative reasoning skills. Mortgages are bad ass, literally the only reason to buy a house. I’d be a life long renter if I had to pay cash.

[Anonymous No.18426556]

>JPMorgan missed the bottom
Lol

[Anonymous No.18426876]

>>18426367
>history of paying debts on time
>good goy points

[Anonymous No.18426989]

>>18426528
Yep. Only niggers are seething about banks and credit score.
>they let you leverage income producing property
Only a nigger who doesn’t understand money would complain
>They have a formula that factors whether you are too retarded to pay them back
Only a nigger would complain

[Anonymous No.18427201]

>>18416127
Lol this thread is literally full of ignorant teenagers watching The Big Short and Margin Call and thinking they’re prescient economics wizards

[Anonymous No.18427210]

>>18415749
>>18415750
>>18415770
Here's a deal /biz/, you tell me how many linkies you're worth, and I'll tell you how many linkies I'm worth.

[Anonymous No.18427559]

>>18417307
WRONG

[Anonymous No.18427634]

>>18415546
They want bail out money, standard procedure.

[Anonymous No.18427668]

>>18427201
Honestly, understanding that the stonks also can go down sometimes is already beyond the capabilities of an average /biz/ investor.

[Anonymous No.18427967]

>>18427668
Stop saying “stonks,” it is very cringey

[Anonymous No.18428045]

>>18417633
Congratulations anon, you can buy a $5,000 house!

[Anonymous No.18428157]

>>18419284
Wrong. There is already a huge wave of corporate and personal debt default happening right now. Corporate bond ETFs are tanking. Mortgage backed securities WILL fail when the month grace period is over. The obligation to pay has only been deferred. Money as debt is destroyed when loans are paid back or defaulted on. Due to financialisation and fractional reserves this whole system is like a house of cards built upside down

The fed has been desperately trying to prop up the market by buying MBS and other debt and forcing liquidity into the market but they are swimming against the tide. Velocity of currency is slowing to a crawl. Severe deflation is coming. Everything is working against them, add to that record number of boomers retiring and starting to cash in their stocks and real estate and there's even more downward pressure on asset prices

[Anonymous No.18428186]

Lol a fucking bottom barrel house is $150k.

Fucking no one has $30k and closing cost money.

If all the banks do this home values will fail 50%

[Anonymous No.18428194]

>>18417633
Credit rating is a fucking joke and the system is retarded for basing ANY assessments based on them.
When I had $400 in checking and mooching off of my parents my score was 800+. Now that I have a stable job that I can work remotely it's at 680. Why? Because Cumcast """forgot""" to process my cancellation request and I had internet bills piled up for a year. Fuck this black mirror bullshit rating and the brainlet financefags. Fuck them all.

[Anonymous No.18428237]

>>18428157
I'm planning on ordering a short on MMB (w/ trailing los) if it drops enough that I think it will be a considerable dip (haven't studied the chart yet but I plan on doing it and placing my order today). Sounds like easy money right?

[Anonymous No.18428295]

>>18428237
Up to you anon. I prefer put options for shorting although they're higher risk. I do think markets will recover for the next month or two before we get another massive leg down, followed by a multi year depression

[Anonymous No.18428339]

>>18428295
Yeah I'm with you on the short-term recovery, as you said it'll basically be once the government is basically forced to lift the frozen rent and mortgages and the people respond "we don't have jobs lol". Most rallys after the first leg of a bear gain 50 - 66% of the loss.

[Anonymous No.18429503]

>>18428157
ok doomer

[Anonymous No.18429676]

>>18429503
Kek

It's not all doom and gloom you can become incredibly wealthy in the next 2 years if you position yourself correctly and take advantage of the massive wealth transfer that is coming