Home Mortgage Quotes

Choose Life. Choose a job. Choose a career. Choose a family. Choose a fucking big television, choose washing machines, cars, compact disc players and electrical tin openers. Choose good health, low cholesterol, and dental insurance. Choose fixed interest mortgage repayments. Choose a starter home. Choose your friends. Choose leisurewear and matching luggage. Choose a three-piece suit on hire purchase in a range of fucking fabrics. Choose DIY and wondering who the fuck you are on Sunday morning. Choose sitting on that couch watching mind-numbing, spirit-crushing game shows, stuffing fucking junk food into your mouth. Choose rotting away at the end of it all, pissing your last in a miserable home, nothing more than an embarrassment to the selfish, fucked up brats you spawned to replace yourselves. Choose your future. Choose life… But why would I want to do a thing like that? I chose not to choose life. I chose somethin’ else. And the reasons? There are no reasons. Who needs reasons when you’ve got heroin?

But depression wasn't the word. This was a plunge encompassing sorrow and revulsion far beyond the personal: a sick, drenching nausea at all humanity and human endeavor from the dawn of time. The writhing loathsomeness of the biological order. Old age, sickness, death. No escape for anyone. Even the beautiful ones were like soft fruit about to spoil. And yet somehow people still kept fucking and breeding and popping out new fodder for the grave, producing more and more new beings to suffer like this was some kind of redemptive, or good, or even somehow morally admirable thing: dragging more innocent creatures into the lose-lose game. Squirming babies and plodding, complacent, hormone-drugged moms. Oh, isn't he cute? Awww. Kids shouting and skidding in the playground with no idea what future Hells await them: boring jobs and ruinous mortgages and bad marriages and hair loss and hip replacements and lonely cups of coffee in an empty house and a colostomy bag at the hospital. Most people seemed satisfied with the thin decorative glaze and the artful stage lighting that sometimes, made the bedrock atrocity of the human predicament look somewhat more mysterious or less abhorrent. People gambled and golfed and planted gardens and traded stocks and had sex and bought new cars and practiced yoga and worked and prayed and redecorated their homes and got worked up over the news and fussed over their children and gossiped about their neighbors and pored over restaurant reviews and founded charitable organizations and supported political candidates and attended the U.S. Open and dined and travelled and distracted themselves with all kinds of gadgets and devices, flooding themselves incessantly with information and texts and communication and entertainment from every direction to try to make themselves forget it: where we were, what we were. But in a strong light there was no good spin you could put on it. It was rotten from top to bottom.

If you’re not yet wealthy but want to be someday, never purchase a home that requires a mortgage that is more than twice your household’s total annual realized income.

Society invents a spurious convoluted logic tae absorb and change people whae's behaviour is outside its mainstream. Suppose that ah ken aw the pros and cons, know that ah'm gaunnae huv a short life, am ah sound mind, ectetera, ectetera, but still want tae use smack? They won't let ye dae it. They won't let ye dae it, because it's seen as a sign ay thir ain failure. The fact that ye jist simply choose tae reject whit they huv tae offer. Choose us. Choose life. Choose mortgage payments; choose washing machines; choose cars; choose sitting oan a couch watching mind-numbing and spirit-crushing game shows, stuffing fuckin junk food intae yir mooth. Choose rotting away, pishing and shiteing yersel in a home, a total fuckin embarrassment tae the selfish, fucked-up brats ye've produced. Choose life. Well, ah choose no tae choose life. If the cunts cannae handle that, it's thair fuckin problem. As Harry Launder sais, ah jist intend tae keep right on to the end of the road...

What's happened is somewhere, along the line, as a society, we confused the notion of 'home' with the possibility of 'an investment opportunity'. What kind of creature wants to live in an 'investment opportunity'? Only man. The fox has his den. The bee has his hive. The stoat, has, uh... his stoat-hole... but only man chooses to make his nest in an investment opportunity. Mmm, snuggled down in the lovely credit! All warm, in the mortgage payment, mmmmm...

Choose us. Choose life. Choose mortgage payments; choose washing machines; choose cars; choose sitting oan a couch watching mind-numbing and spirit-crushing game shows, stuffing fuckin junk food intae yir mooth. Choose rotting away, pishing and shiteing yersel in a home, a total fuckin embarrassment tae the selfish, fucked-up brats ye've produced. Choose life.

Stop being chained down by bad credit I have the key to set you free...

We have not noticed how fast the rest has risen. Most of the industrialized world--and a good part of the nonindustrialized world as well--has better cell phone service than the United States. Broadband is faster and cheaper across the industrial world, from Canada to France to Japan, and the United States now stands sixteenth in the world in broadband penetration per capita. Americans are constantly told by their politicians that the only thing we have to learn from other countries' health care systems is to be thankful for ours. Most Americans ignore the fact that a third of the country's public schools are totally dysfunctional (because their children go to the other two-thirds). The American litigation system is now routinely referred to as a huge cost to doing business, but no one dares propose any reform of it. Our mortgage deduction for housing costs a staggering $80 billion a year, and we are told it is crucial to support home ownership, except that Margaret Thatcher eliminated it in Britain, and yet that country has the same rate of home ownership as the United States. We rarely look around and notice other options and alternatives, convinced that "we're number one.

My grandfather used to say ‘It is my house I am paying the bills’, my dad used to say ‘this is my house I pay the mortgage’, my generation is saying this is my house I pay the rent.

Ask most people who live in a home and have a mortgage on it whether they own their own home and the answer is almost guaranteed to be a resounding 'yes'. Yet it's the wrong answer. Technically speaking, until they have paid the mortgage off, they don't own it. Herein lies the difference between reality and illusion, between ownership and control. This confusion lies not only at the individual level, but also at the heart of government thinking.

Choose life. Choose a job. Choose a career. Choose a family. Choose a fucking big television, Choose washing machines, cars, compact disc players, and electrical tin openers. Choose good health, low cholesterol and dental insurance. Choose fixed- interest mortgage repayments. Choose a starter home. Choose your friends. Choose leisure wear and matching luggage. Choose a three piece suite on hire purchase in a range of fucking fabrics. Choose DIY and wondering who you are on a Sunday morning. Choose sitting on that couch watching mind-numbing sprit- crushing game shows, stuffing fucking junk food into your mouth. Choose rotting away at the end of it all, pishing you last in a miserable home, nothing more than an embarrassment to the selfish, fucked-up brats you have spawned to replace yourself. Choose your future. Choose life... But why would I want to do a thing like that?

And a mortgage used to be something you were expected to repay. But now that every other middle-income family has a mortgage for an amount they couldn't possibly save up in their lifetimes, then the bank isn't lending money anymore. It's offering financing. And then homes are no longer homes. They're investments. ...It means that the poor get poorer, the rich get richer, and the real class divide is between those who can borrow money and those who can't. Because no matter how much money anyone earns, they still lie awake at the end of the month worrying about money. Everyone looks at what their neighbors have and wonders, "How can they afford that?" because everyone is living beyond their means. So not even really rich people ever feel really rich, because in the end the only thing you can buy is a more expensive version of something you've already got. With borrowed money.

We make our house a home, but the sooner the mortgage is paid off, the sooner it truly turns into our own home.

By late 2008, one out of every five mortgage holders owed more than their homes were worth. The banks called in the loans, and the foreclosure notices piled up.

debt is dumb, cash is king, and the paid-off home mortgage has taken the place of the BMW as the status symbol of choice.

Choose us. Choose life. Choose mortgage payments; choose washing machines; choose cars; choose sitting on a couch watching mind-numbing and spirit-crushing game shows, stuffing fuckin junk food intae yir mooth. Choose rotting away, pishing and shiteing yersel in a home, a total fuckin embarrassment tae the selfish, fucked-up brats ye've produced. Choose life.

Society invents a spurious convoluted logic tea absorb and change people whae's behaviour is outside its mainstream. Suppose that ah ken all the pros and cons, know that ah'm gaunnae huv a short life, am ay sound mind etcetera etcetera, but still want tae use smack? They won't let ye dae it. They won't let ye dae it, because it's seen as a sign ay thir ain failure. The fact that ye jist simply choose tae reject whit they huv tae offer. Choose us. Choose life. Choose mortgage payments; choose washing machines; choose cars; choose sitting oan a couch watching mind-numbing and spirit-crushing game shows, stuffing fucking junk food intae yir mooth. Choose rotting away, pishing and shiteing yourself in a home, a total fucking embarrassment to the selfish, fucked-up brats ye've produced. Choose life.

You need to have a Why Having a “Why” whatever it is, becomes food. It makes your dreams become more urgent.

Society invents a spurious convoluted logic tae absorb and change people whae's behaviour is outside its mainstream. Suppose that ah ken aw the pros and cons, know that ah'm gaunnae huv a short life, am ah sound mind, etcetera, etcetera, but still want tae use smack? They won't let ye dae it. They won't let ye dae it, because it's seen as a sign ay thir ain failure. The fact that ye jist simply choose tae reject whut they huv tae offer. Choose us. Choose life. Choose mortgage payments; choose washing machines; choose cars; choose sitting oan a couch watching mind-numbing and spirit-crushing game shows, stuffing fuckin junk food intae yir mooth. Choose rotting away, pishing and shiteing yersel in a home, a total fuckin embarrassment tae the selfish, fucked-up brats ye've produced. Choose life.

We meet in the midst of a nation brought to the verge of moral, political, and material ruin. Corruption dominates the ballot-box, the Legislatures, the Congress…. The people are demoralized; The newspapers are largely subsidized or muzzled, public opinion silenced, business prostrated, homes covered with mortgages, labor impoverished…. The fruits of the toil of millions are badly stolen to build up colossal fortunes for a few, unprecedented in the history of mankind; and the possessors of these, in turn, despise the Republic and endanger liberty. From the same prolific womb of governmental injustice we breed the two great classes—tramps and millionaires.

Conscience is strong in women. Children are very violently taught that they owe all to their parents, and the parents are not slow in foreclosing the mortgage. But the home is not a debtor's prison - to girls any more than to boys. This enormous claim of parents calls for extermination. Do they in truth do all for their children; do their children owe all to them? Is nothing furnished in the way of safety, sanitation, education, by that larger home, the state? What could these parents do, alone, in never so pleasant a home, without the allied forces of society to maintain that home in peace and prosperity. These lingering vestiges of a patriarchal cult must be left behind. Ancestor-worship has had victims enough. Girls are human creatures as well as boys, and both have duties, imperative duties, quite outside the home.

To all of my young male readers: no means no. Nothing good comes from spending your hard-earned money on a “family home” that your wife doesn’t want. You are putting a down payment on discord and for years you will be paying off a mortgage of misery.

Why is it that because ye use hard drugs every cunt feels that they have a right tae dissect and analyse ye? Once ye accept that they huv that right, ye’ll join them in the search fir this holy grail, this thing that makes ye tick. Ye’ll then defer tae them, allowin yersel tae be conned intae believin any biscuit-ersed theory ay behaviour they choose tae attach tae ye. Then yir theirs, no yir ain; the dependency shifts from the drug to them. Society invents a spurious convoluted logic tae absorb and change people whae’s behaviour is outside its mainstream. Suppose that ah ken aw the pros and cons, know that ah’m gaunnae huv a short life, am ay sound mind etcetera, etcetera, but still want tae use smack? They won’t let ye dae it. They won’t let ye dae it, because it’s seen as a sign ay thir ain failure. The fact that ye jist simply choose tae reject whit they huv tae offer. Choose us. Choose life. Choose mortgage payments; choose washing machines; choose cars; choose sitting oan a couch watching mind-numbing and spirit-crushing game shows, stuffing fuckin junk food intae yir mooth. Choose rotting away, pishing and shiteing yersel in a home, a total fuckin embarrassment tae the selfish, fucked-up brats ye’ve produced. Choose life. Well, ah choose no tae choose life. If the cunts cannae handle that, it’s thair fuckin problem. As Harry Lauder sais, ah jist intend tae keep right on to the end of the road …

From the 1930s through the 1960s, black people across the country were largely cut out of the legitimate home-mortgage market through means both legal and extralegal. Chicago whites employed every measure, from 'restrictive covenants' to bombings, to keep their neighborhoods segregated.

Someone who takes the trouble to see her file at one of the many brokerages, for example, might see the home mortgage, a Verizon bill, and a $ 459 repair on the garage door. But she won’t see that she’s in a bucket of people designated as “Rural and Barely Making It,”or perhaps “Retiring on Empty.

Therefore, to you, and to the fifty governors, I have a request. Please, do not send me politicians. We do not have the time to do the things that must be done through that process. I need people who do real things in the real world. I need people who do not want to live in Washington. I need people who will not try to work the system. I need people who will come here at great personal sacrifice to do an important job, and then return home to their normal lives. “I want engineers who know how things are built. I want physicians who know how to make sick people well. I want cops who know what it means when your civil rights are violated by a criminal. I want farmers who grow real food on real farms. I want people who know what it’s like to have dirty hands, and pay a mortgage bill, and raise kids, and worry about the future. I want people who know they’re working for you and not themselves. That’s what I want. That’s what I need. I think that’s what a lot of you want, too.

Why is pain the emotion we so easily make our home? It’s like we sign up for the thirty-year mortgage on pain, but only do short-term leases or annual time-shares on pleasure.

By any measure this is a lot of money—it equals the mortgage on my Seattle home

Our primary objective in every mortgage transaction should be to borrow in a way that reduces debt, improves financial stability, and helps us get debt free in as short a time as possible!

The traditional fixed-rate 30-year mortgages, which were once a majority of all mortgages, were no longer a majority during the housing boom, as ARMs and other “creative” ways of financing the purchase of a home grew rapidly to cope with soaring housing prices. Such innovative mortgages quickly went from being rare to becoming common, especially in places with very high housing costs.

One of my foundation’s main initiatives is to build smart homes for severely wounded veterans. We provide these houses and the land they’re built on at no cost to the vets, completely mortgage free.

Today the man who has the courage to build himself a house constructs a meeting place for the people who will descend upon him on foot, by car, or by telephone. Employees of the gas, the electric, and the water- works will arrive; agents from life and fire insurance companies; building inspectors, collectors of radio tax; mortgage creditors and rent assessors who tax you for living in your own home.

My only allegiance is to my country.  The success of our country is built on hard work, sacrifice, innovation, integrity, and confidence.  How can you be confident if you can’t get a job?  How can you be confident if the mortgage on your home is higher than your home’s value?  How can you be confident when our elected officials haven’t given us one single idea how to fix this situation? – Jeremy Lyons

We meet in the midst of a nation brought to the verge of moral, political and material ruin. Corruption dominates the ballot box, the legislatures, the Congress, and touches even the ermine of the bench. The people are demoralized. . . . The newspapers are subsidized or muzzled; public opinion silenced; business prostrate, our homes covered with mortgages, labor impoverished, and the land concentrating in the hands of capitalists. The urban workmen are denied the right of organization for self-protection; imported pauperized labor beats down their wages; a hireling standing army . . . established to shoot them down. . . . The fruits of the toil of millions are boldly stolen to build up colossal fortunes. . . . From the same prolific womb of governmental injustice we breed two classes—paupers and millionaires. . . .

The ARM, Adjustable Rate Mortgage, was invented in the early 1980s. Prior to that, those of us in the real estate business sold fixed-rate 7 or 8 percent mortgages. What happened? I was there in the middle of that disaster of an economy when fixed-rate mortgages went as high as 17 percent and the real estate world froze. Lenders paid out 12 percent on CDs but had money loaned out at 7 percent on hundreds of millions of dollars in mortgages. They were losing money, and lenders don’t like to lose money. So the Adjustable Rate Mortgage was born, in which your interest rate goes up when the prevailing market interest rates go up. The ARM was born to transfer the risk of higher interest rates to you, the consumer. In the last several years, home mortgage rates have been at a thirty-year low. It is not wise to get something that adjusts when you are at the bottom of rates! The mythsayers always seem to want to add risk to your home, the one place you should want to make sure has stability. Balloon mortgages are even worse. Balloons pop, and it is always strange to me that the popping sound is so startling. Why don’t we expect it? It is in the very nature of balloons to pop. Wise financial people always move away from risk, and the balloon mortgage creates risk nightmares.

For the tourist, immersed in the oblivion of vacation spending, Cypress Street provided a bonanza of curious gifts to prove to the folks back home that they had been somewhere. Somewhere where they had obviously forgotten that soon they would return home to a mortgage, dental bills, and an American Express bill that would descend at the end of the month like a financial Angel of Death. And they bought. They bought effigies of

The scale of the catastrophe was objectively enormous—We owned a home, and then we lost it—but there was such relief in no longer having to think about the house, the vertiginous mortgage payments and constant upkeep

It was during my explanation to my young daughter that I finally realized why I had been drawn to this particular practice of law. Yes, some of my clients were just gaming the system. They were charlatans no better than the banks they were taking on. But some of mu clients were downtrodden and disadvantaged. They were true underdogs in society and I wanted to stand for them and keep them in their homes for as long as I possibly could.

On its surface, the booming market in side bets on subprime mortgage bonds seemed to be the financial equivalent of fantasy football: a benign, if silly, facsimile of investing. Alas, there was a difference between fantasy football and fantasy finance: When a fantasy football player drafts Peyton Manning to be on his team, he doesn’t create a second Peyton Manning. When Mike Burry bought a credit default swap based on a Long Beach Savings subprime–backed bond, he enabled Goldman Sachs to create another bond identical to the original in every respect but one: There were no actual home loans or home buyers. Only the gains and losses from the side bet on the bonds were real.

The rest of us, on the ·other hand-we members of the protected classes-have grown increasingly· dependent on our welfare programs. In 2020 the federal government spent more than $193 billion on homeowner subsidies, a figure that far exceeded the amount spent on direct housing assistance for low income families ($53 billion). Most families who enjoy those subsidies have six-figure incomes and are white. Poor families lucky enough to live in government-owned apartments of often have to deal with mold and even lead paint, while rich families are claiming the mortgage interest deduction on first and second homes. The lifetime limit for cash welfare to poor parents is five years, but families claiming the mortgage interest deduction may do so for the length of the mortgage, typically thirty years. A fifteen-story public housing tower and a mortgaged suburban home are both government subsidized, but only one looks (and feels) that way. If you count all public benefits offered by the federal government, America's welfare state (as a share of its gross domestic product) is the second biggest in the world, after France's. But that's true only if you include things like government-subsidized retirement benefits provided by employers, student loans and 529 college savings plans, child tax credits, and homeowner subsidies: benefits disproportionately flowing to Americans well above the poverty line. If you put aside these tax breaks and judge the United States solely by the share of its GDP allocated to programs directed at low-income citizens, then our investment in poverty reduction is much smaller than that of other rich nations. The American welfare state is lopsided.

When the first of us failed at growing or herding or plowing the fields, we were told that we could sign a piece of paper and get money for the land, without anyone taking it. Mortgage, this was called, a piece of banker’s cleverness that sounded good to many. I spoke against this trick, but who listened to Nanapush? People signed the paper, got money, came home night after night full of whiskey and food. Suddenly the foreclosure notices were handed out and the land was barred. It belonged to someone else.

unpleasant odor wafting from the subprime mortgage industry that Eisman had detected. These companies disclosed their ever-growing earnings, but not much else. One of the many items they failed to disclose was the delinquency rate of the home loans they were making.

MYTH: Car payments are a way of life; you’ll always have one. TRUTH: Staying away from car payments by driving reliable used cars is what the average millionaire does; that is how he or she became a millionaire. Taking on a car payment is one of the dumbest things people do to destroy their chances of building wealth. The car payment is most folks’ largest payment except for their home mortgage, so it steals more money from the income than virtually anything else. The Federal Reserve notes that the average car payment is $495 over sixty-four months. Most people get a car payment and keep it throughout their lives. As soon as a car is paid off, they get another payment because they “need” a new car. If you keep a $495 car payment throughout your life, which is “normal,” you miss the opportunity to save that money. If you invested $495 per month from age twenty-five to age sixty-five, a normal working lifetime, in the average mutual fund averaging 12 percent (the eighty-year stock market average), you would have $5,881,799.14 at age sixty-five. Hope you like the car!

During the 1980s, prudent New Deal rules concerning mortgage loans were repealed, allowing people to get home loans with too little money down and interest rates that would “adjust” to unaffordable heights. So during the 1980s, the average price of a house in America doubled.

When the Goldman Sachs saleswoman called Mike Burry and told him that her firm would be happy to sell him credit default swaps in $100 million chunks, Burry guessed, rightly, that Goldman wasn’t ultimately on the other side of his bets. Goldman would never be so stupid as to make huge naked bets that millions of insolvent Americans would repay their home loans. He didn’t know who, or why, or how much, but he knew that some giant corporate entity with a triple-A rating was out there selling credit default swaps on subprime mortgage bonds. Only a triple-A-rated corporation could assume such risk, no money down, and no questions asked. Burry was right about this, too, but it would be three years before he knew it. The party on the other side of his bet against subprime mortgage bonds was the triple-A-rated insurance company AIG—American International Group, Inc.

They’re nice cages,” I responded. “No space around them. Nothing alive. Places like this turn a man into a gerbil. He comes home and scurries inside. Then he stays there until he’s forced to go back out to the job he has to work so that he can make the mortgage payments on this gerbil habitat.

Back in the 1980s, the original stated purpose of the mortgage-backed bond had been to redistribute the risk associated with home mortgage lending. Home mortgage loans could find their way to the bond market investors willing to pay the most for them. The interest rate paid by the homeowner would thus fall. The goal of the innovation, in short, was to make the financial markets more efficient. Now, somehow, the same innovative spirit was being put to the opposite purpose: to hide the risk by complicating it. The market was paying Goldman Sachs bond traders to make the market less efficient.

Buying a home is always an impulse buy. It's an impossible thing for your brain to absorb fully: to warp your whole emotional and financial life around the shape of this absurd physical thing, this new collection of problems and regrets, ants and undiscovered mold, bad drainage, and cracked foundations that will be your burden until you sell it or it kills you. A thirty-year mortgage is hilarious when you are young and you don't even remember what day it is; it's a grim thing when you are older and see that this debt is a bright, un-ignorable line from the now of your life to its addled decline.

No governments in modern history save Apartheid South Africa and Nazi Germany have segregated as well as the United States has, with precision and under the color of law. (And even then, both the Third Reich and the Afrikaner government looked to America’s laws to create their systems.) U.S. government financing required home developers and landlords to put racially restrictive covenants (agreements to sell only to white people) in their housing contracts. And as we’ve already seen, the federal government supported housing segregation through redlining and other banking practices, the result of which was that the two investments that created the housing market that has been a cornerstone of building wealth in American families, the thirty-year mortgage and the federal government’s willingness to guarantee banks’ issuance of those loans, were made on a whites-only basis and under conditions of segregation.

There's one big difference between the poor and the rich,' Kite says, taking a drag from his cigarette. We are in a pub, at lunch-time. John Kite is always, unless stated otherwise, smoking a fag, in a pub, at lunch-time. 'The rich aren't evil, as so many of my brothers would tell you. I've known rich people -- I have played on their yachts -- and they are not unkind, or malign, and they do not hate the poor, as many would tell you. And they are not stupid -- or at least, not any more than the poor are. Much as I find amusing the idea of a ruling class of honking toffs, unable to put their socks on without Nanny helping them, it is not true. They build banks, and broker deals, and formulate policy, all with perfect competency. 'No -- the big difference between the rich and the poor is that the rich are blithe. They believe nothing can ever really be so bad, They are born with the lovely, velvety coating of blitheness -- like lanugo, on a baby -- and it is never rubbed off by a bill that can't be paid; a child that can't be educated; a home that must be left for a hostel, when the rent becomes too much. 'Their lives are the same for generations. There is no social upheaval that will really affect them. If you're comfortably middle-class, what's the worst a government policy could do? Ever? Tax you at 90 per cent and leave your bins, unemptied, on the pavement. But you and everyone you know will continue to drink wine -- but maybe cheaper -- go on holiday -- but somewhere nearer -- and pay off your mortgage -- although maybe later. 'Consider, now, then, the poor. What's the worst a government policy can do to them? It can cancel their operation, with no recourse to private care. It can run down their school -- with no escape route to a prep. It can have you out of your house and into a B&B by the end of the year. When the middle-classes get passionate about politics, they're arguing about their treats -- their tax breaks and their investments. When the poor get passionate about politics, they're fighting for their lives. 'Politics will always mean more to the poor. Always. That's why we strike and march, and despair when our young say they won't vote. That's why the poor are seen as more vital, and animalistic. No classical music for us -- no walking around National Trust properties, or buying reclaimed flooring. We don't have nostalgia. We don't do yesterday. We can't bear it. We don't want to be reminded of our past, because it was awful; dying in mines, and slums, without literacy, or the vote. Without dignity. It was all so desperate, then. That's why the present and the future is for the poor -- that's the place in time for us: surviving now, hoping for better, later. We live now -- for our instant, hot, fast treats, to prep us up: sugar, a cigarette, a new fast song on the radio. 'You must never, never forget, when you talk to someone poor, that it takes ten times the effort to get anywhere from a bad postcode, It's a miracle when someone from a bad postcode gets anywhere, son. A miracle they do anything at all.

In the brain, all data is freely associated. When I go with my spouse to sing on a mortgage for our new home, I am reminded of the first place we lived together, which reminds me of our honeymoon in New Orleans, which reminds me of alligators, which remind me of dragons, which remind me of The Ring of the Nibelungen , and suddenly, before I know it, there I am humming the Siegfried leitmotif to a puzzled bank clerk. In bureaucracy, things must be kept apart. There is one drawer for home mortgages, another for marriage certificates, a third for tax registers, and a fourth for lawsuits. Otherwise, how can you find anything?

Gross rental income (including utilities fee) –  Mortgage payment (including principal, interest, taxes, and insurance) – Cost of utilities –  Vacancy allowance (10 percent of gross rents) –  Maintenance and CapEx (estimated at 1 percent of the property’s value, divided by 12 for monthly cost) –  Property management (10 percent of gross rents) Cash flow

Take up the White Man’s burden, And teach the Philippines What interest and taxes are And what a mortgage means. Give them electrocution chairs, And prisons, too, galore, And if they seem inclined to kick, Then spill their heathen gore. They need our labor question, too, And politics and fraud— We’ve made a pretty mess at home, Let’s make a mess abroad.

Purchase Price $250,000 Down Payment $ 25,000 Mortgage Amount $225,000 At 7% Interest Rate 30 Years $1,349 $485,636 15 Years $1,899 $341,762 Difference $550 $143,874 Five hundred fifty dollars more per month, and you will save almost $150,000 and fifteen years of bondage. The really interesting thing I have observed is that fifteen-year mortgages always pay off in fifteen years. Again, part of a Total Money Makeover is putting in place systems that automate smart moves, which is what a fifteen-year mortgage is. Thirty-year mortgages are for people who enjoy slavery so much they want to extend it for fifteen more years and pay thousands of dollars more for the privilege. If you must take out a mortgage, pretend only fifteen-year mortgages exist. If you have a great interest rate, it is not necessary to refinance to pay a mortgage off in fifteen years or earlier. Simply make payments as if you have a fifteen-year mortgage, and your mortgage will pay off in fifteen years. If you want to pay any mortgage off in twelve years or any number you want, visit my website or get a calculator and calculate the proper payment at your interest rate on your balance for a twelve-year mortgage (or the number you want). Once you have that payment amount, add to your monthly mortgage payment the difference between the new principal and interest payment and your current principal and interest payment, and you will pay off your home in twelve years.

When I go with my spouse to sign on a mortgage for our new home, I am reminded of the first place we lived together, which reminds me of our honeymoon in New Orleans, which reminds me of alligators, which remind me of dragons, which remind me of The Ring of the Nibelungen, and suddenly, before I know it, there I am humming the Siegfried leitmotif to a puzzled bank clerk.

Romantic literature often presents the individual as somebody caught in a struggle against the state and the market. Nothing could be further from the truth. The state and the market are the mother and father of the individual, and the individual can survive only thanks to them. The market provides us with work, insurance and a pension. If we want to study a profession, the government’s schools are there to teach us. If we want to open a business, the bank loans us money. If we want to build a house, a construction company builds it and the bank gives us a mortgage, in some cases subsidised or insured by the state. If violence flares up, the police protect us. If we are sick for a few days, our health insurance takes care of us. If we are debilitated for months, social security steps in. If we need around-the-clock assistance, we can go to the market and hire a nurse – usually some stranger from the other side of the world who takes care of us with the kind of devotion that we no longer expect from our own children. If we have the means, we can spend our golden years at a senior citizens’ home. The tax authorities treat us as individuals, and do not expect us to pay the neighbours’ taxes. The courts, too, see us as individuals, and never punish us for the crimes of our cousins. Not only adult men, but also women and children, are recognised as individuals. Throughout most of history, women were often seen as the property of family or community. Modern states, on the other hand, see women as individuals, enjoying economic and legal rights independently of their family and community. They may hold their own bank accounts, decide whom to marry, and even choose to divorce or live on their own. But the liberation of the individual comes at a cost. Many of us now bewail the loss of strong families and communities and feel alienated and threatened by the power the impersonal state and market wield over our lives. States and markets composed of alienated individuals can intervene in the lives of their members much more easily than states and markets composed of strong families and communities. When neighbours in a high-rise apartment building cannot even agree on how much to pay their janitor, how can we expect them to resist the state? The deal between states, markets and individuals is an uneasy one. The state and the market disagree about their mutual rights and obligations, and individuals complain that both demand too much and provide too little. In many cases individuals are exploited by markets, and states employ their armies, police forces and bureaucracies to persecute individuals instead of defending them. Yet it is amazing that this deal works at all – however imperfectly. For it breaches countless generations of human social arrangements. Millions of years of evolution have designed us to live and think as community members. Within a mere two centuries we have become alienated individuals. Nothing testifies better to the awesome power of culture.

Alan Greenspan assures us that home prices are not prone to bubbles—or major deflations—on any national scale,” he’d said. “This is ridiculous, of course…. In 1933, during the fourth year of the Great Depression, the United States found itself in the midst of a housing crisis that put housing starts at 10% of the level of 1925. Roughly half of all mortgage debt was in default.

How happily we explored our shiny new world! We lived like characters from the great books I curled up with in the big Draylon armchair. Like Jack Kerouak, like Gatsby, we created ourselves as we went along, a raggle-taggle of gypsies in old army overcoats and bell-bottoms, straggling through the fields that surrounded our granite farmhouse in search of firewood, which we dragged home and stacked in the living room. Ignorant and innocent, we acted as if the world belonged to us, as though we would ever have taken the time to hang the regency wallpaper we damaged so casually with half-rotten firewood, or would have known how to hang it straight, or smooth the seams. We broke logs against the massive tiled hearth and piled them against the sooty fire back, like the logs were tradition and we were burning it, like chimney fires could never happen, like the house didn't really belong to the poor divorcee who paid the rates and mortgage even as we sat around the flames like hunter gatherers, smoking Lebanese gold, chanting and playing the drums, dancing to the tortured music of Luke's guitar. Impelled by the rhythm, fortified by poorly digested scraps of Lao Tzu, we got up to dance, regardless of the coffee we knocked over onto the shag carpet. We sopped it up carelessly, or let it sit there as it would; later was time enough. We were committed to the moment. Everything was easy and beautiful if you looked at it right. If someone was angry, we walked down the other side of the street, sorry and amused at their loss of cool. We avoided newspapers and television. They were full of lies, and we knew all the stuff we needed. We spent our government grants on books, dope, acid, jug wine, and cheap food from the supermarket--variegated cheese scraps bundled roughly together, white cabbage and bacon ends, dented tins of tomatoes from the bargain bin. Everything was beautiful, the stars and the sunsets, the mold that someone discovered at the back of the fridge, the cows in the fields that kicked their giddy heels up in the air and fled as we ranged through the Yorkshire woods decked in daisy chains, necklaces made of melon seeds and tie-dye T-shirts whose colors stained the bath tub forever--an eternal reminder of the rainbow generation. [81-82]

The immense new suburban sprawls of American cities have not come about by accident—and still less by the myth of free choice between cities and suburbs. Endless suburban sprawl was made practical (and for many families was made actually mandatory) through the creation of something the United States lacked until the mid-1930’s: a national mortgage market specifically calculated to encourage suburban home building.

In just a few years, the time-tested practices of the entire lending industry had been abandoned under government pressure. One in five mortgages were now financed by subprime loans, and loans with no money down had risen to nearly 14% of all mortgages.39 Denying the laws of financial gravity was not a practice that could go on indefinitely, and it soon led to a tidal wave of home foreclosures across the United States.

You are not in love with Rinaldo Damiani whose hair smells like Sunday morning in the sun, you do not even know him, he doesn’t know you. You can rest your hands on the scars of his shoulders and long to rid him of every breath of pain and still, you will not be in love with him, because this isn’t love. Love is a home and a mortgage and the promise of permanence; love is measured and paced, and this, the too-hasty sprint of your pulse, that’s drugs. You know drugs, don’t you, Charlotte? Euphoria can be bottled, it can be smoked, it will dissolve on your tongue and burn through the vacant cavity of your empty fucking chest. His hands on you, that can be preserved, it can be painted, it can be committed to the canvas of your imagination, and it can stay in the vaults of your private longings, your little reveries, your twisted dreams.

Opportunity can be hoarded, then, not only by abandoning public goods for private ones, but also by leveraging individual fortunes to acquire access to exclusive public goods, buying yourself into an upscale community. In many corners of America, a pricey mortgage doesn’t just buy a home; it also buys a good education, a well-run soccer league, and public safety so thick and expected it appears natural, instead of the product of social design.

To review briefly, in the late 1960s, men got paid more than women (usually double) for doing the exact same job. Women could get credit cards in their husband's names but not their own, and many divorced, single and separated women could not get cards at all. Women could not get mortgages on their own and if a couple applied for a mortgage, only the husband's income was considered. Women faced widespread and consistent discrimination in education, scholarship awards, and on the job. In most states the collective property of a marriage was legally the husband's since the wife had allegedly not contributed to acquiring it. Women were largely kept out of a whole host of jobs--doctor, college professor, bus driver, business manager--that women today take for granted. They were knocked out in the delivery room... once women got pregnant they were either fired from their jobs or expected to quit. If they were women of color, it was worse on all fronts--work education, health care. (And talk about slim pickings. African American men were being sent to prison and cut out of jobs by the millions.) Most women today, having seen reruns of The Brady Bunch and Father Knows Best, and having heard of Betty Friedan's The Feminine Mystique, the bestseller that attacked women's confinement to the home, are all too familiar with the idealized yet suffocating media images of happy, devoted housewives. In fact, most of us have learned to laugh at them, vacuuming in their stockings and heels, clueless about balancing a checkbook, asking dogs directions to the neighbor's. But we should not permit our ability to distance ourselves from these images to erase the fact that all women--and we mean all women--were, in the 1950s and '60s supposed to internalize this ideal, to live it and believe it.

Consider the recent financial crisis and its link to faulty reward systems. President Bill Clinton's objective of increasing homeownership by rewarding potential home buyers and lenders is one example. The Clinton administration "went to ridiculous lengths" to increase homeownership in the United State, promoting "paper-thin down payments" and pushing lenders to give mortgage loans to unqualified buyers according to Business Week editor Peter Coy.

A return to classical bank policy would deem loans fraudulent and annul debts when creditors do not lend with any reasonable calculation of how the debt can be paid in the normal course of economic life. Loans made without such a calculation should be considered predatory. The natural check on such behavior is to permit mortgage debtors to walk away from their homes, free of the debts attached to them, letting title revert to the banks that over-lent.

My mother wasn’t much into politics, but I’m sure she would have assumed that fifty years later, the minimum wage would be a lot higher. If it could feed a family of three and pay a mortgage in 1965, surely by now a minimum wage would let a family afford, say, a home and a car—and maybe even a little money for college applications for a skinny daughter. Right? Wrong. Way wrong. Adjusted for inflation, the minimum wage today is lower than it was in 1965—about 24 percent lower.

You may well ask: when the bubble finally burst, why did we not let the bankers crash and burn? Why weren't they held accountable for their absurd debts? For two reasons. First because the payment system - the simple means of transferring money from one account to another and on which every transaction relies - is monopolised by the very same bankers who were making the bets. Imagine having gifted your arteries and veins to a gambler. The moment he loses big at the casino, he can blackmail you for anything you have simply by threatening to cut off your circulation. Second, because the financiers' gambles contained deep inside the title deeds to the houses of the majority. A full-scale financial market collapse could therefore lead to mass homelessness and a complete breakdown in the social contract. Don't be surprised that the high and mighty financiers of Wall Street would bother financialising the modest homes of poor people. Having borrowed as much as they could off banks and rich clients in order to place their crazy bets, they craved more since the more they bet, the more they made. So they created more debt from scratch to use as raw materials for more bets. How? By lending to impecunious blue collar worker who dreamed of the security of one day owning their own home. What if these little people could not actually afford their mortgage in the medium term? In contrast to bankers of old, the Jills and the Jacks who actually leant them the money did not care if the repayments were made because they never intended to collect. Instead, having granted the mortgage, they put it into their computerised grinder, chopped it up literally into tiny pieces of debt and repackaged them into one of their labyrinthine derivatives which they would then sell at a profit. By the time the poor homeowner had defaulted and their home was repossessed, the financier who granted the loan in the first place had long since moved on.

The sudden introduction of these magic mortgage bonds into the marketplace pushed most every major institutional investor in the world to suddenly become consumed with the desire to lend money to American home borrowers, even if they didn’t know to whom exactly they were lending or how exactly these borrowers were qualifying for their home loans. As a result of this lunatic process, houses in middle- and lower-income neighborhoods from Fresno to the Jersey Shore became jammed full of new home borrowers, millions and millions of them, who in many cases were not equal to the task of making their monthly payments. The situation was tenable so long as housing prices kept rising and these teeming new populations of home borrowers could keep their heads above water, selling or refinancing their way out of trouble if need be. But the instant the arrow began tilting downward, this rapidly expanding death-balloon of phony real estate value inevitably had to—and did—explode.

We owned a home, and then we lost it—but there was such relief in no longer having to think about the house, the vertiginous mortgage payments and constant upkeep. There were moments of true joy, actually, in this transient life. He loved sitting here on the beach with Marie. For all they’d lost, he often felt lucky to be here with her, in this life. But they were citizens of a shadow country that in his previous life he’d only dimly perceived, a country located at the edge of an abyss.

These senior claims were supposed to be very low-risk; after all, how likely was it that a large number of people would default on their mortgages at the same time? The answer, of course, is that it was quite likely in an environment where homes were worth 30, 40, 50 percent less than the borrowers originally paid for them. So a lot of supposedly safe assets, assets that had been rated AAA by Standard & Poor's or Moody's, ended up becoming "toxic waste", worth only a fraction of their face value.

Kids shouting and skidding in the playground with no idea what future Hells awaited them: boring jobs and ruinous mortgages and bad marriages and hair loss and hip replacements and lonely cups of coffee in an empty house and a colostomy bag at the hospital. Most people seemed satisfied with the thin decorative glaze and the artful stage lighting that, sometimes, made the bedrock atrocity of the human predicament look somewhat more mysterious or less abhorrent. People gambled and golfed and planted gardens and traded stocks and had sex and bought new cars and practiced yoga and worked and prayed and redecorated their homes and got worked up over the news and fussed over their children and gossiped about their neighbors and pored over restaurant reviews and founded charitable organizations and supported political candidates and attended the U.S. Open and dined and travelled and distracted themselves with all kinds of gadgets and devices, flooding themselves incessantly with information and texts and communication and entertainment from every direction to try to make themselves forget it: where we were, what we were. But in a strong light there was no good spin you could put on it. It was rotten top to bottom. Putting your time in at the office; dutifully spawning your two point five; smiling politely at your retirement party; then chewing on your bedsheet and choking on your canned peaches at the nursing home. It was better never to have been born—never to have wanted anything, never to have hoped for anything.

A nice idea, but here’s how it worked out in practice: a bank arm that specialized in mortgage lending started the homeowner on lower payments; an arm of the same bank that specialized in foreclosures then noticed that the homeowner was suddenly paying less, declared them in default, and seized the home. “No one imagined silos like that inside banks,” a government adviser said later. Overspecialization can lead to collective tragedy even when every individual separately takes the most reasonable course of action.

Back in July 2003, he’d written them a long essay on the causes and consequences of what he took to be a likely housing crash: “Alan Greenspan assures us that home prices are not prone to bubbles—or major deflations—on any national scale,” he’d said. “This is ridiculous, of course…. In 1933, during the fourth year of the Great Depression, the United States found itself in the midst of a housing crisis that put housing starts at 10% of the level of 1925. Roughly half of all mortgage debt was in default. During the 1930s, housing prices collapsed nationwide by roughly 80%.

Most of the crime-ridden minority neighborhoods in New York City, especially areas like East New York, where many of the characters in Eric Garner’s story grew up, had been artificially created by a series of criminal real estate scams. One of the most infamous had involved a company called the Eastern Service Corporation, which in the sixties ran a huge predatory lending operation all over the city, but particularly in Brooklyn. Scam artists like ESC would first clear white residents out of certain neighborhoods with scare campaigns. They’d slip leaflets through mail slots warning of an incoming black plague, with messages like, “Don’t wait until it’s too late!” Investors would then come in and buy their houses at depressed rates. Once this “blockbusting” technique cleared the properties, a company like ESC would bring in a new set of homeowners, often minorities, and often with bad credit and shaky job profiles. They bribed officials in the FHA to approve mortgages for anyone and everyone. Appraisals would be inflated. Loans would be approved for repairs, but repairs would never be done. The typical target homeowner in the con was a black family moving to New York to escape racism in the South. The family would be shown a house in a place like East New York that in reality was only worth about $15,000. But the appraisal would be faked and a loan would be approved for $17,000. The family would move in and instantly find themselves in a house worth $2,000 less than its purchase price, and maybe with faulty toilets, lighting, heat, and (ironically) broken windows besides. Meanwhile, the government-backed loan created by a lender like Eastern Service by then had been sold off to some sucker on the secondary market: a savings bank, a pension fund, or perhaps to Fannie Mae, the government-sponsored mortgage corporation. Before long, the family would default and be foreclosed upon. Investors would swoop in and buy the property at a distressed price one more time. Next, the one-family home would be converted into a three- or four-family rental property, which would of course quickly fall into even greater disrepair. This process created ghettos almost instantly. Racial blockbusting is how East New York went from 90 percent white in 1960 to 80 percent black and Hispanic in 1966.

I would be happy just about anywhere, as long as I can be surrounded by tall trees and maybe a lake or river with majestic mountains in the background. I always admired how they lived during the frontier times. You could find yourself a nice spot and build your dream home without worrying about paying rent or a mortgage. Simpler times. I think what’s happening now could possibly lead to something like that happening, again. We’re already experiencing a breakdown in government, as far as New York City goes. If more cities become infected elsewhere, who knows how things will turn out?

Posterity can pay for its ancestors’ lives because posterity can be richer through innovation. If somebody somewhere takes out a mortgage, which he will repay in three decades’ time, to invest in a business that invents a gadget that saves his customers time, then that money, brought forward from the future, will enrich both him and those customers to the point where the loan can be repaid to posterity. That is growth. If, on the other hand, somebody takes out a loan just to support his luxury lifestyle, or to speculate on asset markets by buying a second home, then posterity will be the loser.

The big celebration, the wedding or housewarming, takes place not when the debt is discharged, but when it is undertaken. What is emphasized on TV, for example, is not the middle-aged man who has finally paid off his mortgage, but the young man who moves into his new home with his family, proudly waving the papers he has just signed and which will bind him for most of his productive years. After he has paid his debts—the mortgage, the college expenses for his children and his insurance—he is regarded as a problem, a “senior citizen” for whom society must provide not only material comforts but a new “purpose.

She wasn't satisfied by the play she saw the following Saturday either. All right. The long lost lover came home just in time t pay the mortgage. What if he had been held up and couldn't make it? The landlord would have to give them thirty days to get out - at least that's how it was in Brooklyn. In that month something might turn up. If it didn't and they had to get out, well, they'd have to make the best of it. The pretty heroine would have to go out peddling papers. The mother would have to do cleaning by the day. But they'd live. You betcha they'd live, thought Francie grimly. It takes a lot of doing to die.

Income tax rules also made borrowing against a home’s equity attractive. Because mortgage interest payments can be deducted for income tax purposes, the interest paid on home equity loans could also be deducted, although interest on credit card debt or other debt was not deductible. Therefore it often paid anyone with any other kind of debt to pay off that debt with a home equity loan, whose interest would be deductible for income tax purposes. More and more people began to do this during the housing boom. In 2003, home equity loans totaled $593 billion. Such loans soared during the housing boom, nearly doubling to $1.13 trillion in 2007.

She wasn’t satisfied with the play she saw the following Saturday, either. All right. The long-lost lover came home just in time to pay the mortgage. What if he had been held up and couldn’t make it? The landlord would have to give them thirty days to get out—at least that’s how it was in Brooklyn. In that month something might turn up. If it didn’t and they had to get out, well, they’d have to make the best of it. The pretty heroine would have to get on piece work in the factory; her sensitive brother would have to go out peddling papers. The mother would have to do cleaning by the day. But they’d live. You betcha they’d live, thought Francie grimly. It takes a lot of doing to die. Francie

The truth is that I'm a bad person. But, that's gonna change - I'm going to change. This is the last of that sort of thing. Now I'm cleaning up and I'm moving on, going straight and choosing life. I'm looking forward to it already. I'm gonna be just like you. The job, the family, the fucking big television. The washing machine, the car, the compact disc and electric tin opener, good health, low cholesterol, dental insurance, mortgage, starter home, leisure wear, luggage, three piece suite, DIY, game shows, junk food, children, walks in the park, nine to five, good at golf, washing the car, choice of sweaters, family Christmas, indexed pension, tax exemption, clearing gutters, getting by, looking ahead, the day you die.

And what people want to own, of course, is real estate. So a dental hygienist with bad credit making forty thousand dollars a year felt that she deserved to park her ass in a million-dollar home. With a little creative financing, and as long as housing prices continued to rise, she believed that she could afford a million-dollar home. And as long as the dental hygienist continued to pay interest on the mortgage for the million-dollar home, as long as housing prices continued to rise, as long as more loan officers approved more loans for more dental hygienists with bad credit who could continue to pay the interest on their overblown mortgages, housing prices would indeed stay stratospheric, and banks could print money based on that certainty. And, like your nursery rhyme, that was the house that Jack built.” Kalchefsky

Here’s a crash course in the economy,” said Hunter. “Americans get up each morning and go to factories and farms and fire stations and work their whole lives, creating actual products you can hold in your hands. Or some service that benefits. I mean, what the fuck’s that about?” “Work isn’t good?” “It’s the damn workers who crashed the economy.” “I thought it was you,” said Serge. “Don’t be a comedian.” Hunter started counting off on his fingers. “They lost their retirement accounts, their mortgages, their homes, even their jobs. Can’t these assholes do anything right?” “You on the other hand?” “We ended up with all the cash. And then the people turned to the government and went, ‘Holy shit! What happened to all our goddamn money? Do something!’ So the government takes even more money from the workers and—this part is absolutely priceless—they give it all to us again! Now you tell me who’s the success story.” “But what’s so hard about accepting free money?” “That’s exactly what I was thinking when half the country screamed, ‘I’ll kick your fucking ass if you give me health care!’ ” “Sounds too good for words,” said Serge. “It’s good enough for one word,” said Hunter. “Socialism.” Serge pounded the bar with his fist. “Fuck socialism.” “Don’t say that!” Hunter took a swig. “I love socialism.” “You do?” Hunter nodded hard. “Finest word in the English language. Just mention socialism, and everyone gets blinded by rage, takes their eyes off us and prints up T-shirts that insult the president.” Bleadoph raised his hands toward the ceiling in exultation. “Thank God he was elected!” “Forgive my ignorance,” said Serge, “but weren’t the bailouts socialism?” Hunter shook his head. “It’s only socialism if the money goes down, not up.” “A toast,” said Serge. “To socialism!” “To socialism!

Some employees were offered jobs in Georgia, but few took up the offer to relocate. They had houses and mortgages, and the real estate market was already grim, thanks to the closing of two smaller mills the year before. True, people weren’t sure how they’d pay those mortgages now, but they had kids in school and family nearby that might be able to help a little, and many irrationally clung to the possibility that the mill might reopen under new ownership. They stayed, many of them, because staying was easier and less scary than leaving, and because for a while at least they’d be able to draw unemployment benefits. Others remained out of pride. When the realization dawned that they were the victims of corporate greed and global economic forces, they said, okay, sure, fine, they’d been fools but they would not, by God, be run out of the town their grandparents and parents had grown up in and called home.

It is evident that wealth is even more unevenly distributed than income and that the gap is widening. Since 1976, wealth has increased by 63 percent for the wealthiest 1 percent of the population and by 71 percent for the top 20 percent. Wealth has decreased by 43 percent for the bottom 40 percent of the U.S. population (Economic Policy Institute 2011). The widening gap has multiple causes. First, shifts in the U.S. tax code have lowered the top tax rate from 91 percent in the years from 1950 to 1963, to 35 percent from 2003 to 2012, allowing the wealthy to retain far more of their income (Tax Policy Center 2012). Second, wages for most U.S. families have stagnated since the early 1970s. Moreover, credit card, education, and mortgage debt have skyrocketed. Finally, the collapse of the housing market beginning in 2007 dramatically affected many middleclass families who held a significant portion of their wealth in the value of their home. By 2012, fully 31 percent of all homeowners owed more on their mortgages than their homes were worth (Zillow 2012).

But depression wasn’t the word. This was a plunge encompassing sorrow and revulsion far beyond the personal: a sick, drenching nausea at all humanity and human endeavor from the dawn of time. The writhing loathsomeness of the biological order. Old age, sickness, death. No escape for anyone. Even the beautiful ones were like soft fruit about to spoil. And yet somehow people still kept fucking and breeding and popping out new fodder for the grave, producing more and more new beings to suffer like this was some kind of redemptive, or good, or even somehow morally admirable thing: dragging more innocent creatures into the lose-lose game. Squirming babies and plodding, complacent, hormone-drugged moms. Oh, isn’t he cute? Awww. Kids shouting and skidding in the playground with no idea what future Hells awaited them: boring jobs and ruinous mortgages and bad marriages and hair loss and hip replacements and lonely cups of coffee in an empty house and a colostomy bag at the hospital. Most people seemed satisfied with the thin decorative glaze and the artful stage lighting that, sometimes, made the bedrock atrocity of the human predicament look somewhat more mysterious or less abhorrent. People gambled and golfed and planted gardens and traded stocks and had sex and bought new cars and practiced yoga and worked and prayed and redecorated their homes and got worked up over the news and fussed over their children and gossiped about their neighbors and pored over restaurant reviews and founded charitable organizations and supported political candidates and attended the U.S. Open and dined and travelled and distracted themselves with all kinds of gadgets and devices, flooding themselves incessantly with information and texts and communication and entertainment from every direction to try to make themselves forget it: where we were, what we were. But in a strong light there was no good spin you could put on it. It was rotten top to bottom. Putting your time in at the office; dutifully spawning your two point five; smiling politely at your retirement party; then chewing on your bedsheet and choking on your canned peaches at the nursing home. It was better never to have been born—never to have wanted anything, never to have hoped for anything.

The state and the market are the mother and father of the individual, and the individual can survive only thanks to them. The market provides us with work, insurance and a pension. If we want to study a profession, the government’s schools are there to teach us. If we want to open a business, the bank loans us money. If we want to build a house, a construction company builds it and the bank gives us a mortgage, in some cases subsidised or insured by the state. If violence flares up, the police protect us. If we are sick for a few days, our health insurance takes care of us. If we are debilitated for months, national social services steps in. If we need around-the-clock assistance, we can go to the market and hire a nurse – usually some stranger from the other side of the world who takes care of us with the kind of devotion that we no longer expect from our own children. If we have the means, we can spend our golden years at a senior citizens’ home. The tax authorities treat us as individuals, and do not expect us to pay the neighbours’ taxes. The courts, too, see us as individuals, and never punish us for the crimes of our cousins.

The subprime market tapped a segment of the American public that did not typically have anything to do with Wall Street: the tranche between the fifth and the twenty-ninth percentile in their credit ratings. That is, the lenders were making loans to people who were less creditworthy than 71 percent of the population. Which of these poor Americans were likely to jump which way with their finances? How much did their home prices need to fall for their loans to blow up? Which mortgage originators were the most corrupt? Which Wall Street firms were creating the most dishonest mortgage bonds? What kind of people, in which parts of the country, exhibited the highest degree of financial irresponsibility? The default rate in Georgia was five times higher than that in Florida, even though the two states had the same unemployment rate. Why? Indiana had a 25 percent default rate; California, only 5 percent, even though Californians were, on the face of it, far less fiscally responsible. Why? Vinny and Danny flew down to Miami, where they wandered around empty neighborhoods built with subprime loans, and saw with their own eyes how bad things were. “They’d

I have enough faith in my fellow creatures in Great Britain to believe that when they have got over the delirium of the television, when they realize that their new homes that they have been put into are mortgaged to the hilt, when they realize that the moneylender has been elevated to the highest position in the land, when they realize that the refinements for which they should look are not there, that it is a vulgar society of which no decent person could be proud, when they realize all those things, when the years go by and they see the challenge of modern society not being met by the Tories who can consolidate their political powers only on the basis of national mediocrity, who are unable to exploit the resources of their scientists because they are prevented by the greed of their capitalism from doing so, when they realize that the flower of our youth goes abroad today because they are not being given opportunities of using their skill and their knowledge properly at home, when they realize that all the tides of history are flowing in our direction, that we are not beaten, that we represent the future: then, when we say it and mean it, then we shall lead our people to where they deserve to be led.

Ohio hadn’t gone through the same real estate boom as the Sun Belt, but the vultures had circled the carcasses of dying industrial towns––Dayton, Toledo, Mansfield, Youngstown, Akron––peddling home equity loans and refinancing. All the garbage that blew up in people’s faces the same way subprime mortgages had. A fleet of nouveau riche snake oil salesmen scoured the state, moving from minority hoods where widowed, churchgoing black ladies on fixed incomes made for easy marks to the white working-class enclaves and then the first-ring suburbs. The foreclosures began to crop up and then turn into fields of fast-moving weeds, reducing whole neighborhoods to abandoned husks or drug pens. Ameriquest, Countrywide, CitiFinancial––all those devious motherfuckers watching the state’s job losses, plant closings, its struggles, its heartache, and figuring out a way to make a buck on people’s desperation. Every city or town in the state had big gangrenous swaths that looked like New Canaan, the same cancer-patient-looking strip mall geography with brightly lit outposts hawking variations on usurious consumer credit. Those entrepreneurs saw the state breaking down like Bill’s truck, and they moved in, looking to sell the last working parts for scrap.

Romantic literature often presents the individual as somebody caught in a struggle against the state and the market. Nothing could be further from the truth. The state and the market are the mother and father of the individual, and the individual can survive only thanks to them. The market provides us with work, insurance and a pension. If we want to study a profession, the government’s schools are there to teach us. If we want to open a business, the bank loans us money. If we want to build a house, a construction company builds it and the bank gives us a mortgage, in some cases subsidised or insured by the state. If violence flares up, the police protect us. If we are sick for a few days, our health insurance takes care of us. If we are debilitated for months, national social services steps in. If we need around-the-clock assistance, we can go to the market and hire a nurse – usually some stranger from the other side of the world who takes care of us with the kind of devotion that we no longer expect from our own children. If we have the means, we can spend our golden years at a senior citizens’ home. The tax authorities treat us as individuals, and do not expect us to pay the neighbours’ taxes. The courts, too, see us as individuals, and never punish us for the crimes of our cousins.

Romantic literature often presents the individual as somebody caught in a struggle against the state and the market. Nothing could be further from the truth. The state and the market are the mother and father of the individual, and the individual can survive only thanks to them. The market provides us with work, insurance and a pension. If we want to study a profession, the government’s schools are there to teach us. If we want to open a business, the bank loans us money. If we want to build a house, a construction company builds it and the bank gives us a mortgage, in some cases subsidised or insured by the state. If violence flares up, the police protect us. If we are sick for a few days, our health insurance takes care of us. If we are debilitated for months, national social services steps in. If we need around-the-clock assistance, we can go to the market and hire a nurse – usually some stranger from the other side of the world who takes care of us with the kind of devotion that we no longer expect from our own children. If we have the means, we can spend our golden years at a senior citizens’ home. The tax authorities treat us as individuals, and do not expect us to pay the neighbours’ taxes. The courts, too, see us as individuals, and never punish us for the crimes of our cousins. Not

The overall U.S. homeownership rate increased from 64 percent in 1994 to a peak in 2004 with an all-time high of 69.2 percent. Real estate had become the leading business in America, more and more speculators invested money in the business. During 2006, 22 percent of homes purchased (1.65 million units) were for investment purposes, with an additional 14 percent (1.07 million units) purchased as vacation homes. These figures led Americans to believe that their economy was indeed booming. And when an economy is booming nobody is really interested in foreign affairs, certainly not in a million dead Iraqis. But then the grave reality dawned on the many struggling, working class Americans and immigrants, who were failing to pay back money they didn't have in the first place. Due to the rise in oil prices and the rise of interest rates, millions of disadvantaged Americans fell behind. By the time they drove back to their newly purchased suburban dream houses, there was not enough money in the kitty to pay the mortgage or elementary needs. Consequently, within a very short time, millions of houses were repossessed. Clearly, there was no one around who could afford to buy those newly repossessed houses. Consequently, the poor people of America became poorer than ever. Just as Wolfowitz's toppled Saddam, who dragged the American Empire down with him, the poor Americans, that were set to facilitate Wolfowitz's war, pulled down American capitalism as well as the American monetary and banking system. Greenspan's policy led an entire class to ruin, leaving America's financial system with a hole that now stands at a trillion dollars.

According to Bartholomew, an important goal of St. Louis zoning was to prevent movement into 'finer residential districts . . . by colored people.' He noted that without a previous zoning law, such neighborhoods have become run-down, 'where values have depreciated, homes are either vacant or occupied by color people.' The survey Bartholomew supervised before drafting the zoning ordinance listed the race of each building's occupants. Bartholomew attempted to estimate where African Americans might encroach so the commission could respond with restrictions to control their spread. The St. Louis zoning ordinance was eventually adopted in 1919, two years after the Supreme Court's Buchanan ruling banned racial assignments; with no reference to race, the ordinance pretended to be in compliance. Guided by Bartholomew's survey, it designated land for future industrial development if it was in or adjacent to neighborhoods with substantial African American populations. Once such rules were in force, plan commission meetings were consumed with requests for variances. Race was frequently a factor. For example, on meeting in 1919 debated a proposal to reclassify a single-family property from first-residential to commercial because the area to the south had been 'invaded by negroes.' Bartholomew persuaded the commission members to deny the variance because, he said, keeping the first-residential designation would preserve homes in the area as unaffordable to African Americans and thus stop the encroachment. On other occasions, the commission changed an area's zoning from residential to industrial if African American families had begun to move into it. In 1927, violating its normal policy, the commission authorized a park and playground in an industrial, not residential, area in hopes that this would draw African American families to seek housing nearby. Similar decision making continued through the middle of the twentieth century. In a 1942 meeting, commissioners explained they were zoning an area in a commercial strip as multifamily because it could then 'develop into a favorable dwelling district for Colored people. In 1948, commissioners explained they were designating a U-shaped industrial zone to create a buffer between African Americans inside the U and whites outside. In addition to promoting segregation, zoning decisions contributed to degrading St. Louis's African American neighborhoods into slums. Not only were these neighborhoods zoned to permit industry, even polluting industry, but the plan commission permitted taverns, liquor stores, nightclubs, and houses of prostitution to open in African American neighborhoods but prohibited these as zoning violations in neighborhoods where whites lived. Residences in single-family districts could not legally be subdivided, but those in industrial districts could be, and with African Americans restricted from all but a few neighborhoods, rooming houses sprang up to accommodate the overcrowded population. Later in the twentieth century, when the Federal Housing Administration (FHA) developed the insure amortized mortgage as a way to promote homeownership nationwide, these zoning practices rendered African Americans ineligible for such mortgages because banks and the FHA considered the existence of nearby rooming houses, commercial development, or industry to create risk to the property value of single-family areas. Without such mortgages, the effective cost of African American housing was greater than that of similar housing in white neighborhoods, leaving owners with fewer resources for upkeep. African American homes were then more likely to deteriorate, reinforcing their neighborhoods' slum conditions.

Collateral Capacity or Net Worth? If young Bill Gates had knocked on your door asking you to invest $10,000 in his new company, Microsoft, could you get your hands on the money? Collateral capacity is access to capital. Your net worth is irrelevant if you can’t access any of the money. Collateral capacity is my favorite wealth concept. It’s almost like having a Golden Goose! Collateral can help a borrower secure loans. It gives the lender the assurance that if the borrower defaults on the loan, the lender can repossess the collateral. For example, car loans are secured by cars, and mortgages are secured by homes. Your collateral capacity helps you to avoid or minimize unnecessary wealth transfers where possible, and accumulate an increasing pool of capital providing accessibility, control and uninterrupted compounding. It is the amount of money that you can access through collateralizing a loan against your money, allowing your money to continue earning interest and working for you. It’s very important to understand that accessibility, control and uninterrupted compounding are the key components of collateral capacity. It’s one thing to look good on paper, but when times get tough, assets that you can’t touch or can’t convert easily to cash, will do you little good. Three things affect your collateral capacity: ① The first is contributions into savings and investment accounts that you can access. It would be wise to keep feeding your Golden Goose. Often the lure of higher return potential also brings with it lack of liquidity. Make sure you maintain a good balance between long-term accounts and accounts that provide immediate liquidity and access. ② Second is the growth on the money from interest earned on the money you have in your account. Some assets earn compound interest and grow every year. Others either appreciate or depreciate. Some accounts could be worth a great deal but you have to sell or close them to access the money. That would be like killing your Golden Goose. Having access to money to make it through downtimes is an important factor in sustaining long-term growth. ③ Third is the reduction of any liens you may have against these accounts. As you pay off liens against your collateral positions, your collateral capacity will increase allowing you to access more capital in the future. The goose never quit laying golden eggs – uninterrupted compounding. Years ago, shortly after starting my first business, I laughed at a banker that told me I needed at least $25,000 in my business account in order to borrow $10,000. My business owner friends thought that was ridiculously funny too. We didn’t understand collateral capacity and quite a few other things about money.

But depression wasn’t the word. This was a plunge encompassing sorrow and revulsion far beyond the personal: a sick, drenching nausea at all humanity and human endeavor from the dawn of time. The writhing loathsomeness of the biological order. Old age, sickness, death. No escape for anyone. Even the beautiful ones were like soft fruit about to spoil. And yet somehow people still kept fucking and breeding and popping out new fodder for the grave, producing more and more new beings to suffer like this was some kind of redemptive, or good, or even somehow morally admirable thing: dragging more innocent creatures into the lose-lose game. Squirming babies and plodding, complacent, hormone-drugged moms. Oh, isn’t he cute? Awww. Kids shouting and skidding in the playground with no idea what future Hells awaited them: boring jobs and ruinous mortgages and bad marriages and hair loss and hip replacements and lonely cups of coffee in an empty house and a colostomy bag at the hospital. Most people seemed satisfied with the thin decorative glaze and the artful stage lighting that, sometimes, made the bedrock atrocity of the human predicament look somewhat more mysterious or less abhorrent. People gambled and golfed and planted gardens and traded stocks and had sex and bought new cars and practiced yoga and worked and prayed and redecorated their homes and got worked up over the news and fussed over their children and gossiped about their neighbors and pored over restaurant reviews and founded charitable organizations and supported political candidates and attended the U.S. Open and dined and travelled and distracted themselves with all kinds of gadgets and devices, flooding themselves incessantly with information and texts and communication and entertainment from every direction to try to make themselves forget it: where we were, what we were. But in a strong light there was no good spin you could put on it. It was rotten top to bottom. Putting your time in at the office; dutifully spawning your two point five; smiling politely at your retirement party; then chewing on your bedsheet and choking on your canned peaches at the nursing home. It was better never to have been born—never to have wanted anything, never to have hoped for anything. And all this mental thrashing and tossing was mixed up with recurring images, or half-dreams, of Popchik lying weak and thin on one side with his ribs going up and down—I’d forgotten him somewhere, left him alone and forgotten to feed him, he was dying—over and over, even when he was in the room with me, head-snaps where I started up guiltily, where is Popchik; and this in turn was mixed up with head-snapping flashes of the bundled pillowcase, locked away in its steel coffin.

Some landlords neglected to screen tenants for the same reason payday lenders offered unsecured, high-interest loans to families with unpaid debt or lousy credit; for the same reason that the subprime industry gave mortgages to people who could not afford them; for the same reason Rent-A-Center allowed you to take home a new Hisense air conditioner or Klaussner “Lazarus” reclining sofa without running a credit check. There was a business model at the bottom of every market.

Contrary to popular opinion, a home is not an asset for creating real wealth, it is a liability.22 Your home does not generate any income; it is a Money Pit. You have to pay the mortgage, utilities, maintenance, property taxes that continue to go up each year, and, insurance that tends to also increase annually. After so many years, kitchens need remodeling, carpets & flooring replaced, and, painting and decorating requiring new furniture to match the updated changes. And, the larger the home the more furniture that is needed to fill it up.

Focusing only on the short term puts us in a position to make bad choices. We ignore all other factors that lead to the overall value of the loan in order to achieve that one singular goal now—whether the goal is a lower payment, a lower interest rate, or a dream home. In the long term, this always proves to be costly.

We tend to compartmentalize our debt: categorizing our mortgage debt as one kind of debt, installment loans as another, and credit cards as still another. Most treat all person (consumer) debt separately from mortgage debt. The fact is that debt is debt. All of it is owed and has to be paid back!