Mr. Twist and I were trying to invision what could possibly bring about a soft landing at this point. I found this soft landing theory on the Toll Brothers Message Board – I’m not quite certain if they are serious or not:
2) Tens of millions all over the world are trying to come to the U.S., Bush will invite them in.
3) Bush will direct HUD and the FHA to give no-qual 125% loans to anyone.
4) Bennie will slash rates (forget about inflation-there isn’t any)
5) So far 4.5 TRILLION $$’s of home equity has been tapped, there are still TRILLIONS more where that came from.
6) Paulson and the PPT, using the assets of the BOJ, People’s Bank, etc, can hold up the stock markets and reverse declines, as needed. This boosts consumer confidence, so they borrow and spend more.
7) Foreigners will continue to buy our debt keeping rates very low. They have to!
8) We now have limitless debt, so long as they can reverse the decline in home prices, the home ATM will be resupplied.
9) It is too big to fail, they big boys will do WHATEVER it takes to shore up housing.
I’m sure there are more…you cannot use rational thought here…a truly sick and depraved government encouraged millions to give their home equity away to the wealthy for cash to buy fun stuff made in China…they will stop at nothing to stay in power!!! Good luck..If anyone figures it out, let me know. I especially like cheap labor to buy expensive housing theory. ; )