Recent Posts At Straight Talk

• Please tell me my numbers are wrong…. March 10, 2010
  Okay, here are some scary numbers…… Fannie and Freddie own 131,000 properties between them (as of the end of 2009) They sold 200,000 units in 2009 that they “inherited” from people who defaulted. But they own more now than they did at the end of 2009 (the situation is getting worse rather than better) This doesn’t count the homes [...] […]
  Kenny
• Another Example of why Fannie and Freddie don’t like condos…… March 10, 2010
  Here are two more examples of why Fannie and Freddie are not very excited about condos: Example #1 we have a 216 unit condo complex with only 1 occupied unit.    That means that for an association who’s budget is $86,400 per month ($400 x 216 units – strictly an example), they are taking in $400 per [...] […]
  Kenny
• Economy ‘Far too Close’ to Double Dip: Roubini – CNBC March 10, 2010
  You know, you can argue all you want that Nouriel Roubini is way too negative.    You can argue all you want that things are better than they seem.   You can argue all you want that the debt issues aren’t bad. But I don’t think anyone can argue with Nouriel Roubini’s track record in the last few [...] […]
  Kenny
• Housing Prices in Michigan March 9, 2010
  I found this chart in the Detroit Free Press.   It illustrates the challenges that we’ve got in Michigan….. Related PostsMarch 9, 2010 -- How to Fix The Water Problem….November 24, 2009 -- 23% Underwater – your results may vary…..January 14, 2009 -- Region’s home sales on the rise – The Detroit News […]
  Kenny
• Uhhh….. No kidding? March 9, 2010
  Okay, call me Captain Obvious, but does anyone else think that this is one of the most obvious statements?   Consumers didn’t understand the mortgages that they took out?    Yep, the consumer didn’t understand what they were getting.    And let’s look at why that might be: Because so many people in our country are basing all of [...] […]
  Kenny
• How to Fix The Water Problem…. March 9, 2010
  What?  Are we now talking about plumbing problems here on Straight Talk?   Nope. We’re talking about underwater mortgages.    You know, the situation where people owe more than what their house is worth. So what’s the scoop and how do we deal with it? The scoop – the property values were vastly over inflated by the housing bubble of [...] […]
  Kenny
• Post Traumatic Shock Syndrome – What does that mean? March 3, 2010
  Fed President Fisher made some interesting comments today about interest rates and the overall economy.   A couple of main points: I like his description of post traumatic shock syndrome.   I think it explains quite well what we’re in.   The fall of 2008 was the worst of it all.    Now we’re dealing with the issues that are [...] […]
  Kenny
• Let’s Call It What It Is – Sovereign Risk March 2, 2010
  So who is this Mohamed El-Erian?  He’s the CEO of PIMCO.    Who is PIMCO?   One of the largest institutional investors in the bond market, that’s all. What’s he talking about when he says that Sovereign Risk is the key issue for this year? Plain and simple, it’s the concern over whether any countries are going to default [...] […]
  Kenny
• Now I’m not saying it’s true….. March 1, 2010
  but this story reminds me of the John Grisham novel, The Rainmaker.   Why?   Let’s just put it this way:   The insurance company in the Grisham novel made a practice out of denying every single claim that came in, no matter how valid they were. Am I saying that the PMI companies are doing the same thing?   [...] […]
  Kenny
• Home Prices Going Up? Don’t Hold Your Breath! March 1, 2010
  Housing Wire has the story about how analysts from Barclays are predicting only another 4 to 5% drop before things stabilize.   But they are also predicting that we’ll see basically zero appreciation for several years.    Why?    A couple of things: There are a LOT of foreclosures that have been temporarily stalled due to loan modification programs [...] […]
  Kenny