Update

In case any of you wanted an update on my real estate situation, here it is:

(sound of crickets chirping)

Ok, basically the markets gone up slightly in the neighborhood of the house I tried to sell earlier this year, and down slightly in the neighborhood of the house I tried to sell last year. This is actually alright, since I'd rather get rid of the house I tried to sell this year anyway.

Mortgage rates are dropping, and the hot rumor (or rumour) is that Bernanke is going to drop the federal funds rate this month, which would obviously lower the mortgage rates even more and, hopefully, inspire some kind of confidence in a rebound.

But, other than that, things still suck, and I'm still just waiting. Stupid real estate.

Jim Cramer Loses His Shit

He does have a good point, though...

Good Grief

I just read this article in Yahoo! (via Drudge) about how Countrywide (my mortgage loaner) just posted a huge loss this quarter, due to so many borrowers with GOOD CREDIT (aka Prime loans, as opposed to Subprime loans) defaulting or paying late on their loans. The article notes that rather than the sudden interest rate reset rise causing the problems, it's the fact that no one can sell their houses for anything close to what they paid. So now, it's not just the subprime shady loans going bad, IT'S EVERYONE!!

Notable quotes from the article:

-"I do think it's important to observe what happens going forward," Countrywide Chief Executive Angelo R. Mozilo said. "We are experiencing home price depreciation almost like never before, with the exception of the Great Depression." (emphasis mine)

-"The company has set aside $292.9 million in preparation for borrowers missing payments on loans, with some $181 million of that amount for prime home equity loan losses. The reserve is more than four times the size of the reserve established in the second quarter of last year." Good to see they've provided me with a cushion!!

-"Mozilo said the number of unsold homes must fall before the market can begin to recover. He doesn't expect the market will turn around until 2009 at the earliest."

-"Barring a decline in mortgage interest rates, the company said it expects its loan production volume to decline."

The last one is the important one. While Bernanke is off fightin' inflation, the economy is starting to go to shit due to the housing collapse. Fightin' inflation is an admirable battle, but not at the expense of EVERY HOMEOWNER IN AMERICA. The bad thing is, for every asshole investor like me who just has to keep renting out to alcoholic lunatics, there are 5,000,000 poor, struggling families who are going to have to foreclose on their house.

And, speaking of inflation, I don't see Burnin' Bernanke doing anything about my $4.00/gallon gas!

He's such a dream-stealer.