Bruddah IZ
DA
Is your home available to meet debts monthly? If so, it moves beyond you income statement to both sides of the balance sheet.
The Inevitable New The Inevitable Trump Mocking Thread
- Thread starter Nonononono
- Start date
Fishme1
GOLD
Plastic.
It’s ok not to have any money or property or other real assets.
You just need to learn to be humble about it and not hold yourself out as a financial expert.
Otherwise, you just embarrass yourself.
Just in the past 24 hours you have 1) been unable to answer the question of whether a house that you own with a mortgage on it is listed as an asset on your financial statement and 2) you have acknowledged that you don’t own a house, because you think it’s no better than renting. (Of course, what’s probably the case is you can’t afford the down payment, which is ok!)
We have all seen it and you have been exposed.
Yet you’re the guy who blabs on and on about “QE,” etc.
“Be Humble, Sit Down.” You a Kendrick fan, or is Cecilio and Kapono more your speed?
Bruddah IZ
DA
Doesnʻt take a financial expert. You just need to recognize who is paying the mortgage each month. And you need to recognize your equity purchase a.k.a. a down payment.
I recognize and acknowledge everything.
Then I build wealth.
If I have taught you anything here, it’s a) get humble about this stuff and stop letting your fear and insecurity cause you to brag about how “knowledgeable” you are about this stuff and b) get in the game.
Stop letting your “3rd-grade math” stop you.
Bruddah IZ
DA
Nobody else pays the mortgage but you.
Hey that’s very good!
I do pay the mortgage. Whose mortgage do you pay? A) the landlord’s, or B) your own?
Only one correct answer here, again, son.
Bruddah IZ
DA
I recognize that nobody pays the monthly mortgage for me, nor do I net any income from my domicile. Like all other homeowners. If our homes were assets the housing crisis would not have happened. Are you denying that event?
Incorrect.
Many people purchased assets that went underwater, so the liability exceeded the asset value and the banks, more than anyone, took the hit (they were the lenders and not the owners...so under your logic, the “real” asset holder, ie the note holder, suffered more than the homeowners). The loans were too easy to get, etc etc.
Assets devalue. Art dips, stock is massively devalued over the last month, even cash devalues during periods of high inflation (mid-70s, for example). That doesn’t change the character of these items from assets to liabilities.
None of this happened to people who bought a house they could afford or lenders who loaned against viable creditors and properties.
But maybe it happened to you...I understand. Once bitten, twice shy I guess.
Whose mortgage do you pay again? Yours or the landlord’s?
Not a complicated question. This is the second time I have asked.
Bruddah IZ
DA
I've only exposed that you and I pay the bank to live in our homes and that neither you nor I net any monthly income from our domiciles. Six years of QE made you and a lot of other people rich by inflating your home value artificially.
Bruddah IZ
DA
The 3rd grade math doesn't stop you. It should affirm your decisions to purchase an asset that produces monthly net income, which your domicile does not.
Bruddah IZ
DA
Good. I pay a mortgage like you do that does not produce monthly net income.
So the house that I bought in ‘87 and sold in ‘91 for about 60% greater (I told you about it already) was as a result of the last 6 years?
How about the house that I bought in ‘97 that doubled in value in 4 years. Was that the last 6 years of QE?
We have clearly had very different experiences with real estate purchases. But your conclusions are way skewed by your own bad experiences.
So again, despite all your arrogant talk about economics and finance, you appear to have failed at the easiest money-making adventure there is.
Maybe for you, a house isn’t an asset. That’s sad.
As I said, my income comes from my day job.
And based on our dialogue, if I need you to instruct me on how to buy real property, it would seem I would fail instead of succeed.
And as I have also said, more than 50% of my net worth is in real estate.
Do you know how to determine net worth?
You take all of your asset values and deduct all of your liabilities.
Bruddah IZ
DA
KISS. If people were buying a home asset and equity in that asset, they still would not be producing monthly Net Income. The fact that people were going underwater only underscores the fact that they had a liability to begin with since no one else was contracted to pay the mortgage but them. The note holders did not suffer because the Fed foamed the runway through QE bailouts. Where have you been, son?
Bruddah IZ
DA
Exactly. We simply have to answer the question of whether or not your alleged assets are drawing some net income for other then your lender/bank. Lol!
Bruddah IZ
DA
You're just wreaking of humility. Whether or not people could afford a loan doesn't change the fact that they, like you and I, were not and are not drawing any monthly Net Income from the homes we live in.
You were paying attention. The note holders got bailed out.
It wasn’t a “liability to begin with,” silly. Quite the contrary...it was like buying stock (an asset, correct?) high and betting it would keep going up. The stock could crash (as in right now)...it was still an asset. People loaned on the expectation that real estate “asset value” would keep increasing. It didn’t.
Right now, my stocks are still an asset, but losing value. And it’s true I don’t have specific liability, such as a margin loan, against these assets.
My real estate assets, on the other hand, against which I do have some “liabilities” (e.g., mortgages) are still maintaining their “asset value” much better than my stocks are.
So at this moment, real estate is a far more valuable asset than stock.