The Federal Reserves latest report on the U.S. housing market indicates its advocacy for the bundling and selling of government-owned foreclosed homes to investors who can then convert the homes into rental properties. The report notes that the market is not expected to improve and that interest in rentals will continue to increase, thereby opening the door to a government investment opportunity. Some critics believe, however, that the ulterior motive here is to neutralize an area (rental costs) that accounts the for the Feds core inflation rate by placing more rentals on the market, thereby providing more room to print money in the event of a new fiscal emergency. For more on this continue reading the following article from Tim Iacono.
The Federal Reserves new white paper about the U.S. housing market released just yesterday The U.S.
Read more…
Unusually Fed Up10.0105
–Feeling besieged by the Welfare State? Tired of rising taxes, endless browbeating by unelected bureaucrats and insipid drivel in the news papers that passes for economic thinking? You’re not alone friend. You’re not alone.
–A big welcome to www.economics.org.au. We learned of the project when we were up in Sydney recently. If you’re interested in economics and more discussion on some of the ideas you find here in the Daily Reckoning, give the site a look. It is always encouraging to find fellow travellers on the road to financial freedom and liberty. They usually make good drinking buddies too. So have a look.
–When we have a look at markets today, well…it’s depressing.
Read more…
A joint statement from the Federal Trade Commission and the Federal Reserve Board released in late December announced new rules for lenders who offer some borrowers less favorable loan terms than others.
With active participation from the borrowers in question, this measure could provide an important safeguard against certain predatory lending practices.
Current Mortgage and Home Loan Requirements
As things now stand, lenders are not required to inform individual borrowers whether their loan terms are better or worse than those offered to others.
When the new rules take effect, though, borrowers will receive a notice if they are offered loans that are “materially less favorable” than a significant amount of loans offered to other customers.
Ideally, the new requirement will help people make better choices about their loans. Man
Read more…