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ktlight
21st April 2011, 06:56
Many banks are insolvent, yet are allowed to stay in business. Being allowed to keep two sets of books is obscuring their real estate loan problems. This is the shadow inventory you sometimes hear about. Those millions of homes “that exist, but they don’t.” They presently admit to owning some 1 million homes they cannot sell, which is almost 25% higher than last year. If you put everything together you could be looking at an 8-year supply. Making matters worse lenders are holding homes on the books at values 40% higher than what they are worth. This is very similar to what is going on in Spain presently. We’ll say this one more time. Most major banks and some middle tier and small institutions are broke and you are being lied to regarding their condition.

Distressed home sales make up about 50% of all sales and they are sold at rock bottom prices, which drives down the value of all homes. This condition could last another ten years. In California and Nevada such sales are some 70% of sales. This inventory will continue to suppress prices for some time to come, so do not even think about buying a home. Those lower foreclosure figures are a mirage caused by legal action against lenders. Those foreclosure numbers will grow higher soon, because these criminals are cutting a deal to pay fines, so no one goes to jail. Only in America. That foreclosure activity could come back slowly due to major changes in the industry.

source
http://globalresearch.ca/index.php?context=va&aid=24409
Lord Sidious
21st April 2011, 08:01
They deny the existence of shadow ledgers all the time, but bring that term up in court and see what happens.
ktlight
21st April 2011, 08:10
They deny the existence of shadow ledgers all the time, but bring that term up in court and see what happens.

I thought double accounting is a fraud, let alone keeping two sets of books. Would not Inland Revenue have something to say about it, in a court of law?
Lord Sidious
21st April 2011, 08:44
They deny the existence of shadow ledgers all the time, but bring that term up in court and see what happens.

I thought double accounting is a fraud, let alone keeping two sets of books. Would not Inland Revenue have something to say about it, in a court of law?

In most jurisdictions, you can't adduce a shadow ledger into evidence.
And the tax guys won't touch the bankers, who do you think they work for?