It’s official. The market for homes is being fixed like a corrupt poker game. The banksters are playing with a loaded hand, playing the 99 percent for fools, playing the news media like they’re a well tuned piano, and they’re doing this by rigging the housing market; they’re artificially pushing home prices up. That’s the only way home prices can be rising, because home buyers aren’t buying.
The number of 30-year fixed mortgage applications hit a record low on December 9, 2012, well after the housing market began to heat up a few months earlier. Since December 9, the number of mortgage applications have inched up a bare fraction, and they’re at near record lows. Roughly 80 percent of all home mortgages are 30-year fixed mortgages.
Remember the bad old days back in 2008, 2009, 2010, 2011 and 2012 when the values of homes were in a virtual free fall? The number of mortgage applications was significantly higher then than they are now. In other words, given the weakness of demand, housing prices should still be dropping.
A quick look at all home mortgage applications called the price index, which includes 15-year flexible and 30-year fixed, shows almost the same pattern. The number of total mortgage applications have remained the same for the last three years.
The evidence is clear. The demand for mortgages remains at or near record lows. So demand is not pushing up home prices.
That means the supply is artificially drying up. Nearly a million homes have been taken off the market since 2009 by the big banks. They’re just sitting there. Several banks, such as Citigroup and Wells Fargo, are no longer foreclosing on home owners who are behind on their payments because that expands the supply of available housing. The job of the banksters is to get home prices to go up by shrinking the supply.
This is called a collusion in restraint of trade. It is a violation of the Sherman Anti-Trust Act. Don’t expect Wall Street President Barack Obama to order his Wall Street attorney general, Eric Holder, to do anything about these criminal acts either. Obama’s biggest campaign contributions have been from members of the Wall Street gang, such as Goldman Sachs and Citigroup.
All of this market manipulation redounds to the benefit of Wall Street. Trillions of dollars of mortgage backed bonds held by hedge funds, mutual funds, investment banks, governments, and the 1 percent are worthless because of the decline of the housing market. The Federal Reserve has been bailing out these incompetent investors for years with $26 trillion dollars of so-called loans that have never been paid back, and it’s unlikely they will ever need to be paid back since the Fed has already claimed they were paid back when it was impossible to have occurred. (See The $26 Trillion Bailout). The Fed has also purchased trillions of dollars of these bonds at their face value, rather than at their worthless value.
Now that the housing market is moving up in value through manipulation, those bonds will begin to regain value. Wall Street will be better off. Hedge Funds will be better off. The 1 percent will be better off, and all because the 99 percent are paying higher prices for homes because of market manipulation, and because mortgage rates are also being manipulated upward.
In other words, on all levels, income is being massively shifted from the 99 to the 1 percent through market manipulation, something Wall Street President Barack Obama and Wall Street US Attorney General Eric Holder apparently approve of. Otherwise, they’d do something about the newest criminal activities of the banksters.
The banksters and Obama are creating another housing bubble that will improve Obama’s economic numbers, but it’s simply another illegal income redistribution scam.
This shows how rotted to the core the US government has become, and how insane it is for people believe that markets operate in some text book way featuring a market of buyers and suppliers determining prices through supply and demand.
Click on the link below to see the graphs of 30-year fixed mortgages and the Purchase Index yourself. By the way, “the Purchase Index includes all mortgage applications for the purchase of a single-family home. It covers the entire market, both conventional and government loans, and all products. The Purchase Index has proven to be a reliable indicator of impending home sales.” Click the link below and see for yourself.
The fix is In! The Banksters are Manipulating the rise in housing prices: Mortgage applications are down for home sales!
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