The Shutdown: The Hustle of the Year…….so far


Why should Mexico pay for the wall? What’s the reason? We don’t need a wall. If Trump wants to build a wall, he has to go to Congress, and he has to tell the truth to U.S. taxpayers that they’re going to pay for that.  ‘We’ll never pay for that fucking wall,’” Vicente Fox, former president of Mexico.


The shutdown of the United States government continues, as the sleight of hand maneuver led by President Donald Trump, backed by soundbites coming from Mitch McConnell, Sarah Sanders, and other Trump acolytes try to shield the obvious.  They have gone to great lengths to communicate someone else is responsible for shutting down the government rather than the person in the White House.  Instead, they try to shield him from further humiliation as people have awaken to his ruse of Mexico paying for the wall, and realize it is he who must accept the blame.

One thing is clear – Everyone wants secure borders.  What has been lost in this aspiration is the government has been shut down on a promise that something would happen that had nothing to do with those affected!

Now the truth is before us

Trump has pulled off a capper that will go down in the history books as a hustle of all-time.  No one is doubting one of the strengths of his campaign and subsequent administration message was getting his supporter’s stoked into creating a chorus line which has become famous, “Mexico is going to pay for it.”  The call and response message seemed so convincing that supporters never realized they would be the “suckers” who Trump really meant would finance the wall.

R.J. Matson / Roll Call

Maybe you were one in the fired-up crowds when the question of who would pay for the wall Trump claimed would secure the world from any more ills?  There was no mention of a shutdown.  No mention about any negotiation being necessary with political leaders.  It seemed like a slam-dunk, especially coming from the lips of Trump.

Instead, as most hustlers do when things don’t pan out, the blame gets quickly shifted.  As mentioned it’s a common sleight-of-hand maneuver.  Now all of a sudden people who had no hand in getting folk pumped up such as Nancy Pelosi, Chuck Schumer and others who are onto Trump’s hustle are now being blamed because they will not subject U.S. taxpayers to pay for something that someone else was supposed to pay for.

Instead, the likes of Sanders and Trump supporters blame them for not going along and agreeing to pay for the wall.  They have moved to new dimensions by claiming those in opposition do not support Trump, dismiss all of the great things he has done since assuming the presidency, do not wish for border security, so on and so forth.

The reasoning is silly and dismisses a core element of this statement.  “They want you to believe everybody knew Trump was just playing!  C’mon be a patriot and fund the wall so we can open the government”

At what point will those in support of the wall realize they knew all along Donald Trump was hustling them as a backdrop to his charade?  In the meantime, the reality is those tied to the United States government are shamelessly being held hostage by those who know they are being hustled, yet still have blind loyalty to Trump and his antics.   Like many who are duped on a daily basis, they never believed the joke was on them, at least not until they finally come to their senses.  And, that is how hustlers and those like Trump maneuver from issue to issue, business deal to business deal, on and on, leaving their victims in a pool of despair.

[postscript]

The latest antic as it has become clear Mexico will not be paying (upfront) for the wall, Trump has finally fessed up and asked folk to him fund his wall via his website >>>>>  HELP ME

Mortgage rates continue to drop……..but


Consumer mortgage rates have continued their decline and normally this would be great news for those financing the purchase of their home or refinancing their existing mortgage.

 

Low rates do not mean a thing if you can’t qualify!!!

MATTHEWS, NC – JANUARY 8: Brooks Troxler, owner of a small IT company called TroxTech, poses for a portrait at his office in a small office park in Matthews NC on January 8, 2019. Troxler is waiting for loan approval from the Small Business Association so he can close on a property that will allow him to expand his business. Because of the government shutdown, there are no federal workers at the SBA to approve his loan and his property deal is in jeopardy. (Photo by Logan Cyrus for The Washington Post via Getty Images)

Today Freddie Mac released its weekly rate survey.  The benchmark thirty-year mortgage is now at 4.450%.  The fifteen-year mortgage came in at 3.890%.  The Freddie Mac rate survey is the industry standard which consumers and professionals used to gauge and monitor rate activity.  The report data is compiled from a sample of Freddie Mac lenders across the nation.

 

Verifying income hampered

 

The dip in mortgage rates has resulted in a spike in mortgage applications.  The trick for lenders processing those applications is being able to have the loans fund in light of the Government shutdown.

Some applicants who are tied to the shutdown have voluntarily pulled their applications and some have seen lenders pull their applications because it is hard to verify income that does not exist.

 

IRS affected by shutdown

Another effect is not being able to verify income using the standard 4506T process.  The 4506T is a process initiated by lenders in wake of the 2008 financial crisis.  It is an internal revenue form that most borrowers execute as part of the documents when making an application.   It is used to match the income as reported on your federal income tax reporting.   Unfortunately, due to the shutdown the IRS cannot verify income as reported.


The drop-in rates have helped to spur what was stalled real estate activity.  While the shutdown is one metric affecting the economy, experts are pointing to the imposed tariffs and basic international uncertainty as further softening that may erode consumer confidence.

In the meantime, those whose income can be verified are more aggressive in taking advantage of the rate dip before the window closes.

 

Snapshot of this week’s rates:

  • 30 year fixed rate – 4.450%
  • 15 year fixed rate – 3.890%
  • 5/1 Adjustable rate mortgage 3.83%