Thanks for the tip. Do you always refer to UAE publications for your business news?
Incidently, conspiracy theories notwithstanding, the Japanese don't suddenly decide to "turn off the tap on ultra cheap credit." Their own credit markets offer a lower rate of return than ours, because they are suffering from deflation. That's why they buy our bonds. Which, in turn, drives the interest rate the US TReasury must offer lower. This is covered in the first week of any HS AP Economics course.
This is actually from the UK Telegraph, but in any case, the UAE is our good friend and strategic ally. What's your problem?
If you do not understand those facts, please let me explain. It is highly likely that your mortgage was sold by the lender within six months after you signed the papers. Lenders resell mortgages. They are packaged into graded bonds (based on credit review of the borrowers) and sold to buyers on Wall Street. Most of these mortgage bonds have been purchased by wealthy foreigners, hedge funds, rich Arab sheiks, governments, including the UAE.
What this all means is that if you are paying a mortgage today you may be paying wealthy foreigners. How much American credit does the UAE hold? Nobody really knows.
But one thing is certain: Be very careful about making your payments. There are mortgage scams out there. Lenders may be set up to foreclose properties rapidly. Your friendly mortgage company might even be owned by wealthy oil traders from the UAE.
The Bankruptcy Act was amended by Congress last year. People can no longer walk away from their homes when things turn bad. People will pay and pay for years after their homes have been seized. Are you getting the picture yet?
With the collapse of the housing market, bird flu and the communist take over of San Fransico, I am damn near ready to reach for another beer which is disheartning, 'cos I don't drink.