Tags: Warren Buffett

With 1 in 3 Homes Unaffordable, Freddie Mac Prepares to Enter the Trailer Home Loan Market

I can’t say this is surprising. After all, with average peasants, I mean citizens, now priced out of the domestic housing market (Zillow recently showed 1 in 3 homes are unaffordable) due to billionaire financiers and foreign oligarchs buying up all real estate in cash purchases, American serfs now will find out where the “elites” think they belong. In trailer homes, naturally.

Oh, but the story gets better, a lot better. As is generally the case in the USSA these days, crony capitalist oligarchs have perfectly positioned themselves to benefit financially from the final transition of Americans to neo-feudalism. Recall that in my post from last October titled, Carlyle Group’s Latest Investment…Trailer Parks, it was noted that trailer park owners share the following attractive quality:

Our customers have no alternative shot at homeownership, nor do they [normally] even have the credit scores and quality to seek anything better…They never leave the park they are in, and the revenues are unbelievably stable as a result.

Sure, we know from the Dark Ages that peasants on the land stay put. Same concept here. However, it gets even better than this. America’s number one hypocritical, crony capitalist, Warren Buffett is also positioned to benefit.

From Bloomberg:

Want to buy a trailer park? Freddie Mac wants to give you a loan.

The unit of the government-owned mortgage giant that funds apartment buildings is set to begin financing manufactured-housing communities, the company said in a statement today.

The firm is broadening its reach in the multifamily segment of the housing market as it seeks to fulfill its mandate to provide affordable options for low-income families. The McLean, Virginia-based lender will work with established companies in the industry across the U.S., said David Brickman, the head of multifamily operations at Freddie Mac.

“It’s rounding out our ability to touch the affordable housing space,” Brickman said today in a telephone interview. “Manufactured housing is a big piece of rural affordable housing.”

Warren Buffett, the billionaire chairman of Berkshire Hathaway Inc., lamented the punitive rates charged to purchase factory-built homes in his 2009 annual letter to shareholders. Berkshire owns Clayton Homes Inc., a builder of manufactured housing.

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Serfs up!

Full article here.

In Liberty,
Michael Krieger

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Crony Capitalist “Uncle” Warren Buffett Drives Company Profits Using Derivatives

As regular readers know all too well, there are few people in these United States that I find more disingenuous than the mainstream media celebrated, crony capitalist extraordinaire Warren Buffett.  The man who used to warn about trade deficits, the U.S. dollar’s vulnerable position and famously called the derivatives “weapons of mass financial destruction,” has become nothing more than a political stooge for the status quo ever since he was bailed out in the financial crisis.  So with the derivatives market bigger and more dangerous than ever, you’d expect “Uncle Warren” to be shouting from the rooftops about how much risk they pose right?  Wrong.  Rather, America’s number one crony is using derivatives to drive earnings at his company, Berkshire Hathaway, and pimping stocks on CNBC like a cheap used car salesman every other day.  From Bloomberg:

Berkshire Hathaway Inc. (BRK/A) said fourth- quarter profit rose 49 percent on gains tied to derivatives wagers made by billionaire Chairman and Chief Executive Officer Warren Buffett.

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Net income rose to $4.55 billion, or $2,757 a share, from $3.05 billion, or $1,846, a year earlier, Omaha, Nebraska-based Berkshire said today in a statement. Gains on derivatives surged to $1.4 billion from $163 million.

Read the Full Article »

What is the Deal with Crony Capitalists and Ice Cream Cones?

So today Warren Buffet and Berkshire Hathaway host their annual pilgrimage of automatons to the heartland of America to meet the country’s richest guy who is “just like you.”  Why is he just like you?  Because he eats hamburgers, drinks cherry coke and loves ice cream cones.  This just a day after his right hand man, Charlie Munger called people that buy gold uncivilized and made some disgusting comment about how only Jews in Nazi Germany before getting thrown in a train to a concentration camp have any reason to buy it.  As a close friend of mine stated yesterday: “MUNGER TELLS CNBC `CIVILIZED PEOPLE DON’T BUY GOLD’…yeah what they do is they insider trade Lubrizol.”

What I found interesting is how many of the articles I have read on this meeting mention how he is eating ice cream at the meeting.  Then I recalled how many times I noticed pictures of Barrack Obama with his face in a cone.  Is there a connection between crony capitalism and ice cream cones?  Well of course Obama isn’t a crony capitalist.  He is just a crony.

So on that note please check out these top 30 pics of our President eating ice cream.  Is this also in the playbook?  Lie, cheat and steal but publicly eat ice cream and the sheeple won’t suspect a thing?

30 Pictures of Obama Eating Ice Cream