Quote:
Originally Posted by jmecklenborg
Bill Clinton set the stage for the 08-09 crash in his push to increase low income/minority ownership. There were other factors as well (especially all of the spec vacation condo construction), but the people pushing improved low income/minority home ownership are too young to remember that what it took to make it possible led to the biggest economic crisis in almost 100 years.
Meanwhile, since Clinton left office 23 years ago, the US has continued to attract tons of immigrants from South and East Asia who not only quickly became home owners but also landlords. So the face of the mysterious evil landlord has changed in the United States.
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it's definitely not as simple as you put it. do you really think there aren't enough American-born minorities with enough capital and excellent credit who have wanted to own a gas station for example? there are a couple obvious reasons why gas station owners seem to fall under certain groups no matter where in the country they are located.
and it is foolish to only blame Clinton because although he was a part of it, pretty much all of government and "private" institutions (banks) had a role, even when Clinton was out. Bush sure didnt try stopping it. it was a money grab by the powers that be, and it pushed more Americans to rely on the government as planned
there is a reason why they shut down occupy wall street so fast. 10 years since then see where we are now. not good at all
Quote:
Originally Posted by iheartthed
No, that's not the only thing that happened. It completely distorted the housing market. Even people who were not buying homes with ARMs were paying inflated prices and found themselves underwater with their traditional mortgages once the bottom fell out. There were also people that refinanced the homes they owned before the bubble, and also found themselves affected. And, to a point that jmecklenborg was making above, it fueled a construction boom that sucked people out of cities in some slower growing metros.
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but did these people have the right capital/downpayment before going into those ARM deals? I don't think so. people this time around were putting down way more cash than the 00s crash which was far more credit based.