Sunday, May 24, 2020

👉Mortgage Crisis has Begun Mass Foreclosures & Mortgage Market Mayhem.

👉Mortgage Crisis has Begun Mass Foreclosures & Mortgage Market Mayhem.

4.7 million Americans cannot pay their mortgages right now. That's a million and a half more than in 2008. In May, 8.8% of mortgages are in forbearance. One-third of the American tenants stopped paying their rent. Millions of Americans unable to pay May's rent and mortgage.Up To 30% Of All Mortgages Will Default In Biggest Wave Of Delinquencies In History. The Mortgage Market Is On The Verge Of Collapse. The Mortgage Crisis has Begun, with mass foreclosures and mortgage market mayhem. Americans affected by the coronavirus pandemic are struggling to pay their rent when they have lost income. More and more tenants are protesting, paying their rent. Missed rent, in turn, adds up to landlords who can’t pay their mortgages or property tax. And then cities and states will struggle to provide the basic services that tax payments fund. Tenants can't pay their rent. Then owners can't pay their bank mortgage. Then the banks collapse. Welcome to the future, folks.And what about the Ponzi scheme that allowed the mortgages to exist at all? A Ponzi scheme with no incoming payments collapses. And that is exactly what is going to happen. But don't worry, the bank executives will be just fine. The economy’s dead, and as is standard practice these days, the autopsy report will make no mention of pre-existing conditions or diseases, it will just say Corona. In Los Angeles County, they announced tax increases starting June. So a bunch of people lost their jobs, and oh yeah, your taxes have gone up. It is insane that construction workers pay more in taxes than amazon or Jeff Bezos, who’s worth around 130 billion dollars. State and Federal government tax everyone at an average rate of 7% on everything. Corporations get their money from the exploitation of the working class' labor. Large corporations got their tax breaks even when the economy was booming. Ordinary folks can't get a break even when they can't pay. April and May are pretty irrelevant. The crisis has barely even hit. Just wait and see how those numbers change in the next few months after the real fallout from this crisis hits and after the unemployment money potentially runs out. The first $2.2 trillion bailouts will take us out to about the beginning of summer. Then what? In the coming months, there's going to be a wave of defaults within 6 to 8 months that will make 2009 look like a blip. Skid Rows will be created all over America. Even before this crisis, a lot of Americans were living paycheck to paycheck. Some were spending more than half of their take-home on rent alone. Now that they're stuck at home and don't know when they'll get back to work, they've got some tough choices to make. More than 38 Americans have filed for unemployment since mid-march leading to long lines sneaking into food banks from coast to coast and rent strikes across the country, from New York to Los Angeles. More than one-fifth of Americans said they had little or no confidence they can pay the next month´s rent or mortgage on time, a survey found. In April, we witnessed the largest single-month jump that has ever been recorded. Mortgage delinquencies surged by 1.6 million in April, the largest single-month jump in history, according to a report from Black Knight, a mortgage technology and data provider. The data includes both homeowner's past due on mortgage payments, which aren’t in forbearance, along with those in forbearance plans and who didn’t make a mortgage payment in April. At 6.45%, the national delinquency rate nearly doubled from 3.06% in March, the largest single-month increase recorded, and nearly three times the prior record for a single month during the height of the financial crisis in late 2008, Black Knight said. Frustrated and struggling Americans took to the street across the country in rent strike as bills come due, and families face hard choices. Many states have suspended evictions or foreclosures during the pandemic. The governor of New York said, there's a moratorium you can't evict anybody for three months. California and many other states and cities have followed suit, pausing evictions for the next two to three months. A growing movement is now calling for a rent strike. But after three months, In July, the eviction notices are going to come, the homelessness problem is going to rise, and the real economy is going to be sacrificed to the financial sector. The American economy will look pretty much like Greece. It'll be in austerity. There will be people who don't have jobs. They are going to be evicted from their apartment. They will have to run through the savings. They will not be able to pay their credit card debt and other debts. So arrears are going to rise, and the banks will be squeezed. And Trump says the one thing we can't save the people, but we can save the banks. The Federal Reserve has enough money to keep all the banks afloat even if they're not getting the mortgage payments, even if they're not getting the debt collection. And the banks can now make up for the money they're not getting by having a huge new market lending money to private capital and to the large companies to buy out all of these small businesses that are going under. It's a bonanza. And that's what Trump said that'll make the country rich again, meaning the 1%. Not a problem when the Government prints money, and the peasants don't have to rely on the elites to lend to them. Or is using the "magic wand" only okay when it comes to bailing out the wealthy, propping up their portfolios by manipulating the stock market. As a result of Wuhan flu, most companies in the US declare bankruptcy, financial institutions stick their hands out to Fed, Fed fills their pockets. Companies borrow from financial institutions (again), lenders on hook for unlimited amounts of money with no fear of risk. Rinse and repeat. The FED balance sheet (the one we get to view) will be 12-18 trillion in the next 6-12 months. All hands on deck to keep the stock and bond market from imploding. They are going to cannibalize and feed everyone to their friends on top. We see the collapse of civilization as we know it. And, This is only the beginning. We have a $22T debt owed to a private central bank. That is the problem. They buy bonds and flood the country with money. Then, those 10-year bonds mature, and money is transferred from wherever it was, back to the central bank. That is the problem—private central banks. There is no way out peacefully. The powers that be think inflation is prosperity. They are firmly squeezing the economy into hyperinflation, where they own everything, and the people are left to perish. The banksters don't need us anymore, and the real disastrous calamity has yet to occur. This is the retirement of bonds purchased by the fed for QE2. There's a 3rd wave, due over the next year. Ten years from QE1 happened in 2018. This is QE2. Quantitative easing 3 is due to retire shortly. The money supply will be hugely contracted. Money has only served to enslave those who can't create it from nothing. We need a new course, with or without money. Where your inspiration and drive can manifest tangible and beneficial results, everyone has some talent or ability that may or may not be harnessed, because of the question "how well does it pay?" It's not human nature to be selfish or greedy. That comes as a result of deprivation or scarcity. Some people may always behave that way, but if there were enough for everyone, that condition would surely subside. It will become our duty to rebuild this great nation. I hope we have the ability and the commitment to make it how the founders desired, with liberty and justice for all. The government causes the problem for the people, then the people go to that same government that caused their plight and expect different results. The government might keep you alive. But only self-sufficiency and your own critical-thinking will turn lemons into lemonade. Welcome back to The Atlantis Report. You are here for your daily dose of the truth, the full truth, and nothing but the truth. What is clear is that Americans don’t have savings. That most Americans are living paycheck to paycheck. Half of Americans have less than one month's savings. Even small business owners and entrepreneurs. We have the lowest minimum wage rate in the world. Things continue to get more and more expensive, yet wages never go up. For decades you lose if you have “savings.” Cash devalues 2-3% per year from inflation pre corona. The only yield for commoners to keep up was gambling in the stock market. Now that’s demolished and pilfered. Rip off capitalism for the Dollar printers and lenders (lending what they print that costs nothing) and theft of time and resources from the serfs. This is Feudalism 2.0. The message from state governments to all business owners large and small is, "You exist at our pleasure, and we can cancel you in a minute. You will kowtow, or you will not have a business anymore." I believe that was also the arrangement under feudalism. We destroyed that paradigm when this country was founded. Now we have reverted to it. What in God's name happened? 2/3 of landlords are renting rooms or one stand-alone house. They are not rich. The Government is the cancer, no matter the form. Anyone who is a landlord knows the precise point: "People dealing directly with people can figure everything out." The Hobbesian view of every man against every man is pure nonsense, as man's default condition is one of mutual cooperation. Of course, bad apples exist, but if Hobbes was right, humans would have gone extinct millennia ago. Government creates the discord, not people entering contractual, voluntary relationships. What we have now is socialism for the corporate welfare bums and debt for the slaves, which doesn't work either. Large businesses own the state. They use it to crush the competition. This means that the banks and government will be the major owners of real estate in this Country. The end result is the fed (a private bank) buys the property for pennies on the dollar. Why is it landlords and lenders who get jacked? Most landlords are just regular businessmen too. And, keep in mind, the Land Lords will still have to pay the property tax to the Grube, which is the lion's share of every payment anyway. Landlords will default. How can they pay taxes under such extremities? The government wants to own everything. This is communist! The only one's buying will be banks. In the end, banks will own everything, and everyone else will be a serf, and they will be your lords. The banks get your property, that was the plan, part of the pandemic. The Banks bleed you first, then take the property. 30% or more of mortgages could easily be in a state of default by the time this is said and done. Try kicking 1/3 of the country out of their homes. You'll have a population that is no longer fat, happy, and comfortable. That's when you have to worry about the boogaloo. Whatever they do, they will NEVER let the markets clear on their own. Never let anyone go broke again, least of all the banks. Never let the debt Ponzi end. Never let anyone who has been fiscally responsible with their life or business have a shot at succeeding when others less responsible fail. Never let anyone get ahead in society by their own effort and intelligence. Never let consumers decide what they want to buy with their own money, nor producers provide it for them of their own free will. Never let anyone who defers immediate consumption in favor of profligate spending be allowed to gain by their behavior. The sad part is that bankers would rather evict you and have the property vacant and rot than negotiate a much lower rent and forbearance. We did bailouts in 2008 and crossed that moral hazard again when the government and fed literally handed out 6 trillion and counting this time around. I think only 500 billion went to the plebs. Time for a Debt Jubilee! Wall Street essentially gets at least once a decade. Now it's the tax slaves turn. I am, like you fiscally conservative and have virtually no debt, but my sense of fair play says it's time. Time for a debt jubilee and a return to honest money.Although I am sure that the debt shackles ain't coming off serfs without a BIG fight. We live in a system with $10.000 GPD per every human on the planet, $40.000 debt per every human, and $200.000 derivative per every human. It is unsustainable, and now with Wuhan's plague irreversible that we are at the endgame. It may take a decade, but endgame it is. And fine by me, debt should be something you are scared off. At the end of the day, it's mathematics. Usury is exponential, and our world is finite. Why not look at modern-day Russia instead, who is doing quite well after defaulting on its debt. We have an option, either cancel the debt or become debt slaves. The world owes hundreds of trillions of dollars. To who????? The system is rigged. Time to change the rules. This Coronavirus is the excuse to transition us into a global, communist, totalitarian, satanic, one-world government. The quarantine was the most diabolical event ever perpetrated. Millions of people instantly all out of work for two months because of unreliable models, Mainstream media, and cabal propaganda. Tragic, so many fell for it. And with so many, it will be nearly impossible to break the spell. This was The Atlantis Report. Please Like. Share. Subscribe. And please take some time to subscribe to my back up channels, I do upload videos there too. You'll find the links in the description box. You will also find a PayPal link if you want to make a donation. Thank you wholeheartedly to all those of you who have already donated. Stay safe and healthy friends!

Nouriel Roubini is an American professor of Economics at New York University`s Stern School of Business and chairman of RGE Roubini Global Economics

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