[Oldeconomybuyer]

It's out there.

[ScottinVA]

In fairness, I’m sure his wasn’t the only one to have similar problems.

[DoughtyOne]

[zedee]

I think it's a great time to start a mortgage company," Donald Trump told CNBC.

It was April 2006.

Now, that's a man who had his finger on the pulse of the real estate market!

[zedee]

Recently, as a candidate, Trump has presented himself as a truth teller who sounded an early alarm about the pending mortgage crisis. He told MSNBC last July that he had known the housing market “was a bubble that was waiting to explode.”

“I told a lot of people,” Trump said. “And I was right. You know, I’m pretty good at that stuff.”

Little things like "the truth" don't seem to matter so much to Mr. Trump, do they?

[blueplum]

making a billion in one year, the year before Schumer collapsed the banking system to elect Obama, is being unsuccessful? what world do these people live in?

[TheStickman]

Another nothing burger story. Thanks :)

[mountainlion]

The reason we have most of our economic problems is the government interference in markets. The government got people that could not afford houses to buy then forced banks and investors to pay for the houses. Kicking illegals out will create an rental surplus but making it possible to buy houses will be a wash. If you really want to screw up things use windows8 or the government.

[Amity]

Trump’s got a poor understanding of basic economics. I lack a degree from the Wharton School of Business, or a degree in anything related, and I still knew that was a dumb move back when he did it. Trump’s also endorsed a lot of dumb Obama moves (including Obamacare), and made other predictions indicating he really doesn’t get stuff like unintended consequences, economic bubbles, or (when it comes to his tariff plan) even basic things like how people respond to rising prices.

Trump has gotten good at spending other people’s money while protecting himself from financial harm, but that’s not the same thing as understanding basic economics. He doesn’t seem to realize that, and I’m afraid a lot of his supporters don’t, either.

[jimfree]

Outside the box thinking. Takes reasonable risks. Folds rather than pours good money into bad projects. The way government should be run.

[William Tell]

The linked article is very lean on details.

How much money was lost and who lost it?

I knew of a guy who was making a couple hundred thousand per year originating mortgages. He was just raking in the money because buyers were lining up to get into the market.

When the market dropped, I'm sure he lost that income. But he had little or nothing invested to lose. When the business was gone he moved on to something else.

If that is what Trump did, then where's the problem? He provided some employment based on market expectations. The expectations were not met and the employment disappeared.

Trump himself probably made money when the money was there and reduced his risk prior to the crash, thus losing nothing and keeping his prior gains.

I certainly don't know how much money Trump has. But I would be incredibly surprised if it was less than I have. His enemies would like to have it both ways. Trump is greedy and takes advantage of people. And Trump is incompetent and people take advantage of him. So, which is it?

The truth I hope is a third alternative. It's not a "zero-sum game". Making good business decisions can make money for all involved and improve the lives of customers. Only socialists think otherwise.