The mortgage meltdown is far from over – a mere $10 billion pledge to by sub primes by Freddie Mac and Fannie Mae will not help
Peter Oberois
Apr. 19, 2007

The extent of the bubble was beyond imagination. The echoes are still out there since the bubble did not burst yet. The ninety-year banking cycle says banks are going belly up again. Well these things do not happen over night – it takes time. The mortgage meltdown is far from over. The extent of the damage is beyond comprehension by the banks and the financial institutions. It has shaken the beliefs of the common people. They are getting rid of all kinds of loans at this time – not just home loans.

A stealth depression is taking place in the mortgage and real estate market at this time. Silently people are pledging not to borrow ruthlessly. The consumerism perhaps is dead. In the next six months the bankruptcies will triple. The foreclosures will double. The ripple effect in the economy is sending chilling waves in the main street.

Freddie Mac and Fannie Mae pledged to buy tens of billions of dollars of new subprime mortgage loans over the next few years to help prop up the market. It is too little and too late. The financial health of Freddie Mac and Fannie Mae pledged is questionable too. A mere $10 billion pledge to by sub primes by Freddie Mac and Fannie Mae will not help avoid the meltdown in the financial markets all around the world.

The mortgage meltdown is far from over – a mere $10 billion pledge to by sub primes by Freddie Mac and Fannie Mae will not help
Peter Oberois
The extent of the bubble was beyond imagination. The echoes are still out there since the bubble did not burst yet. The ninety-year banking cycle says banks are going belly up again. Well these things do not happen over night – it takes time.
READ MORE>>

The meltdown has started in Asia – stocks collapsing with possible rate rise in Japan and China
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Falling March Housing Starts is a major concern – real estate far weaker than many can even imagine
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After the real crash between now and 2012, the laws will be enacted when people will be asked to put down at least 30% before they can get a mortgage.
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