Letting Off Some Steam
Apr 2nd, 2008 | By Charles Delvalle | Category: Real Estate InvestmentsFor the past few weeks there’s been a lot of talk about the senate and house drafting a plan to bail out mortgage holders. The plan is to let judges change the terms of the mortgages. That means changing the amount owed and setting lower rates. Can you believe that? If you bought a $300,000 home, the Senate wants a judge to come in and lower that to $250,000 if you’re in foreclosure. They are in essence, rewarding all of those who bought homes they never should have bought. But those that have been paying their mortgages get nothing!
Not only will this bail out come from tax payer pockets, but it could also push up mortgage rates in the future as banks would have to worry about one more risk. The risk of government changing the amount owed on the mortgage. So what will they do to deal with that risk?
Keep interest rates higher.
Ah, I can’t wait to read about the next bailout…
Advertisement
Ballooning crude prices and shifting energy technologies have pushed the world to the brink of a global rush on natural gas. Here are the 3 petro-companies one ace analyst predicts are poised to cash in the most — including one that recent history proves could quickly yield 190-fold gains. Get all the details on these companies, and the maverick who recommends them, right here...
Charles Delvalle is a self-taught market-timing professional and value analyst who's followed and invested in the market for the past ten years. He uses a unique combination of technical and fundamental research to pinpoint rapid profit opportunities with stocks and options.
Charles is also a staunch contrarian and takes pride in finding undervalued sectors and discovering undervalued, cash-rich companies. He frequently mocks government stupidities and points out the "inaccuracies (or lies, take your pick) that government reporting frequently dispels as "truth".
