Posted on 08/09/2019 8:19:59 AM PDT by C19fan
U.S. mortgage rates may be low, but they're likely even more attractive to homebuyers in Denmark.
Danish 20-year fixed-rate mortgage loans just hit a new low: Zero.
(Excerpt) Read more at foxbusiness.com ...
And they will wonder why their few children can’t afford a house, can’t afford to have their own children and move to Poland/Hungary.
How does that make a lick of sense?
Expectations of deflation in northern Europe. People who want to invest in safe Euro securities avoid bonds from southern Europe and lap up Germany and like bonds.
People say: "That can't happen. It's impossible. It's unthinkable."
But that just means that they think it would be an awful, awful thing. Maybe so. But as a simple statement of fact: It could happen.
On the other hand, the world is about $200T in debt.
Can that debt be paid back? Simple statement of fact: No, it cannot.
So, what's going to happen? Will we pay all of our debts, or will we default?
I think the answer is pretty clear.
Since at least 2 of them fully support sharia law, I’m surprised that topic hasn’t come up yet. I’m sure it will, but it will be disguised as something else.
Interesting question. Since the interest rate is zero so one is not paying interest does that make the Denmark mortgage halal.
“In Germany and other northern European countries government debt pays negative interest rates. /src on/I am sure The Squad will demand zero mortgage rates in the US too./src off/ “
I’m not even sure what you said. But I do know that since the end of WWII, America has “financed” Europe through our stationing troops there for 70 years, and allowing them to get away with not paying their agreed upon contributions to NATO. I just wished we had the resolve to tell Europe that they are on their own, and that the next time one of their number coughs up a Hitler (or maybe a Putin), they can deal with him themselves. These feckless pr!cks keep the Iranians in business because they can make a buck and they know we will try and keep things in the ME in some semblance of order anyway. If it were not for Israel, I’d say walk away from all of it. If we are going to use our troops, put them on our southern border with orders to shoot anyone climbing our wall, and/or send them into Venezuela to kill Maduro and any Chinese, Russians or Cubans who get in the way.
We need to revive the Monroe Doctrine and send the Chinese packing.
Or an Erdogan.
“Or an Erdogan.”
Another dictator who needs killing!
I suppose the loan origination fee equal to half of the loan amount should work. Then of course there are closing costs of a few more thousand dollars. Believe me, no financial institution will take on that risk with being compensated by the government. (Read: Taxpayers)
Does that make the Denmark mortgage halal?
Thanks for cracking the code.
Far, far, far too few folks actually learned NOTHING from 2008. And included among them is far, far, far too many that are “our” financial regulators, central banksters and elected officials.
The boom and bust cycles have not changed nor been prevented by the central banksters. They have themselves become some of the main actors whose efforts have contributed to them.
My take is the U.S. is itself in a 2006 period, in housing, with just as in 2004-6 refinancing is a booming part of mortgages, and with the refinancing the taking of equity, and the spending of the equity taken, and the positioning of many of folks to be “under water” as the boom turns down, with a depression again in the market values of mortgage-backed securities, and leading again to the impact of that on financial institutions and markets. Then it will expand to other forms of unable to pay debt, like car loans, college loans, and credit card balances. All of which have helped explode the level of personal debt.
In Germany and other northern European countries government debt pays negative interest rates.
...
This is because they refuse to cut taxes and regulations to revive their economies.
Instead they rely on their Big Government proxies, the central banks to use monetary policy.
It’s not working.
Anyone got the 1+xxx-xxx-xxx number for the loan department of the Bank of Copenhagen?
> I expect massive global default on debt. <
When it comes to government and government-backed debt, I expect wild inflation instead. To hell with the debt ceiling. Just crank up the printing presses.
I tend to oversimplify.
That’s why I read the headline and thought to myself “Sounds like nobody wants to live in Denmark any more - at least not long-term”
Is the country imploding? Is property no longer safe? Are they being overrun?
Sometimes it’s better to stay mobile...
Real rates are negative if the interest rate is less than the inflation rate. In other words, a negative return on investment
People are paying for the privilege of storing their money in Europe.
https://www.bloomberg.com/news/articles/2019-08-08/the-non-weirdness-of-negative-interest-rates
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