Juicy Economic Collapse Rumor – 4 Million Houses To Be Dumped On To The Market

camaro68ss writes on the ATS forums:

So I have a story to tell you. Last week I went to my local gun shop to pick up some ammo and I got to talking to the owner about quantitative easing 2 (QE2) ending and its impacts to the economy and how the supply chain disruption in Japan will hit wall street hard once the quarterly earnings come out. He starts laughing at me and says I got some info that will make that look like a picnic.

He motions me to come in closer and lean over the counter. He then starts to speck in a low voice and starts to explain. He tells me that he has been doing “contract work” for the FDIC, I’m guessing he must be body guarding some banker. He says the banker he was working for got to talking economics and told him there are 4 million homes that have not been paying there house payments. So that’s 4 million families not spending their money on house payments and putting that money into the economy.

He says in the 3rd quarter, it was either the FDIC or the FED’s, are forcing the banks to clam those 4 million homes and foreclose on them and balance their books for the losses. He says,

1.) bank will go bankrupt over this because they now have to clam there loses that have been growing for years.

2.) 4 million families will become homeless and or will have to rent and take that discretionary spending they had for not paying there mortgage out of the economy and back into rent.

3.) Housing will collapse again having 4 million more homes pop up into the market.

He says it’s a one two three punch that will start the chain reaction of the economic collapse. So that’s what he told me. You can take it or leave. I believe the guy because he is a no BS type of person. Just wanted to share that with you guys

Obviously such a situation is entirely plausible.  Indeed, it is probably inevitable.

I just recently authored an article that covers why housing prices still need to fall by at least half.

  • http://www.facebook.com/people/Bob-Boren/1382613529 Bob Boren

    I love it. Leave it to you anarchists to come up with something this stupid. Yeah, I know that some homes are probably still over-valued, but 4 million being in this condition doesn’t smell right to me, and the whole story seems suspect as well. A “gun shop guy” with insider info like this. Please. If this really happened, then you have a stupid red neck that owns a gun shop and wants to sound important.

    Some of the hourly folks I used to work with years ago told me that if I got into management at the company that I work for, I’d have to join the Masons because they “control everything”. I’ve since been in Management (for the last 30 years) and don’t know any Masons there. Maybe your gun shop owner knows these folks? The same group of folks also told me that the Masons are really the “Illuminati” – LOL. My grandfather was a Shriner and I knew some of these folks growing up. They are about as sinister as the Rotary Club. Geez.

    • http://www.libertariannews.org/ Michael Suede

      Dude, its a god damn rumor.

      Did I say it was the gospel of Christ?

      No.

      So shut the fuck up with your bitching.

      • http://twitter.com/Praxisseizure Get out the info

        I don’t discount the possibility of this being quite true. There are explicit video reports of people living in foreclosed and utility-less houses in south CA. (i.e. they’re using friggen candles)  Bob, your argument is in certain areas literally fantasy. Where you live, that might not be the case and where I live it certainly isn’t but you cannot assume the recent gross overbuying will not dissolve causing more housing imbalances. 

        Masonic nonsense isn’t a decent justification for discounting reality. Some areas and their nominal way of lives are seriously under threat. I guess I’m lucky the rich morons in my area still continue to buy stuff they don’t need.

    • http://twitter.com/Praxisseizure Get out the info

      I don’t discount the possibility of this being quite true. There are explicit video reports of people living in foreclosed and utility-less houses in south CA. (i.e. they’re using friggen candles)  Bob, your argument is in certain areas literally fantasy. Where you live, that might not be the case and where I live it certainly isn’t but you cannot assume the recent gross overbuying will not dissolve causing more housing imbalances. Masonic nonsense isn’t a decent justification for discounting reality. Some areas and their nominal way of lives are seriously under threat. I guess I’m lucky the rich morons in my area still continue to buy stuff they don’t need.

  • pool

    And while there is a Presidential moratorium on new American wells in the Gulf of Mexico, Saudi Arabia can drill there.