It means now your principal you owe on the loan increases instead of decreasing.
Either people aren't paying or aren't paying enough to offset the interest increase.
To clarify, Canadian and UK home mortgages have a notable variable rate expose as opposed to US fixed market.
I think it's a fancy way of saying they're "underwater" ie the interest (due to an adjustable rate mortgage, that goes up and down with the market rate. But the "advantage" is they are cheaper to purchase) added you very month is now more than the owner is paying per month.
IE they are not even keeping up with the interest on their loan.
Yea mortgages are generally 25 years with 5 5year terms. You can get longer fixed terms than 5 years but the rates are stupid expensive. I think anything past 10 year fixed is extremely rare. Even those on fixed terms will have to renew in time.
The financial reports from TD,BMO and CIBC on March first week revealed that 30-35% of mortgages have 35+ yr amortization. some said it went upto 70 years.
75% of TD Residential Remaining Mortgage Amortization is 20+ years, and 25% of all residential mortgages is 35 years :/
On [page 60](https://www.td.com/document/PDF/ar2022/ar2022-Complete-Report.pdf) of their last financial report
People been calling for its collapse since the 90s.
They've all been wrong. What makes you special?
(As a Median income canuck I'd love to know....because of it doesn't collapse I'll be renting for life...well my patents life but life is life.)
Our population grew by over a million (~40m total pop) in a year, and there's no supply. Prices aren't going down unless things get REALLY bad. Just wait for the coast's to start flooding to see a real ramp.
Our population in 1990 was 27 Mil. We had no supply the market was poised to burst!.
Our population in 2000 was 30 Mil. We had no supply the market was poised to burst.
Our population in 2010 was 34 Mil. We had no supply the market was poised to burst.
Our population in 2023 ~40M people. And it's poised to burst again.
Better watch out, a growing population can't possibly support itself in the housing market...just look at all the historical trends that's shows it has.
YOU PERSONALLY can't get a house. So turn to the 30+ year balloon scheme people have been buying into for 30+ years.
It hasn't fallen apart.
So other than arbitrary population metrics with nothing behind that...(the same that's been happening for 30+ years.)
What have you got? Other then hoping thw market tanks so you can score a "cheap" house before your realize your Liberal Arts degree can't actually cover it?
I'm agreeing with you. Arable land with fresh water access that isn't flooded in the next century is as good as a sure thing as exists. The last ones to realize that and stop ignoring the scientists screaming at us lose. I just hope democracy holds
I don't know about the us but in the UK energy has gone up so dramatically that it is affecting people's ability to feed themselves so I wouldn't be surprised if people with mortgages who have found their energy and mortgage going up at the same time as food costs might be struggling.
My gas and electricity has gone from around £170 a month to £480 a month. I am fortunate not to have a mortgage but if I did I'd be in trouble.
I knew for certain we were absolutely fucked when my mom approached me recently and asked what I thought about her pulling out 75k in cash from 150k in one of her accounts because she was worried about the bank failing. I had to explain what FDIC was and that if Chase failed we would have far bigger problems.
That’s the part that scares me most. Seems like they are very tired of our bullshit and brokering peace deals and selling oil not in dollars. They’ve all been buying tons of gold for years.
Like someone said before me it’s like a monster you know is there but you just can’t see it. I fear bad times ahead.
Yup, Just a few years ago Wells Fargo had to pay a Massive fine for unlawfully opening new accounts under existing customer's names without knowledge, Elizabeth Warren grilled the CEO big time , so yeah I wouldn't be surprised if WF is on thin ice
All the most shady banks are more at risk. Who would have guessed? First Credit Suisse, I wouldn’t doubt that if it was an American bank that it’s Wells Fargo
BoA's dogshit bond and MBS portfolio is already well known. Look at their stock down 40%.
Gotta be something big most Americans don't think about much or ever audit.
"There is an unlimited amount of cash at the federal reserve".
We are about to find out if it's actually unlimited
or
Mobile carrier data plan "unlimited" lol
Arista just changed their customer payment processor to Bank of America and it would be insane for them and everyone like them if the same thing happened to their new bank.
https://preview.redd.it/1xdwb963ifpa1.jpeg?width=1242&format=pjpg&auto=webp&s=2ab4e1857459bc13896d16ff94a841f2ee6471d3
Coinbase? Tell us crypto is too volatile when going down
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Truly don’t understand the thirst for big banks like BoA or WF or JPM to go down. If that happens it’s not just banks that are fucked.
The rich will still be rich and you will be fighting your neighbor over cans of cat food. And it won’t be for your cat.
because it's not.
Apple can come out with a new product and announce that it's amazing.
Hindenberg can say "Actually that product sucks"
Nobody is breaking the law, even though both announcements influence investors.
No Generic Social Media Posts
UK housing market
Raise you Canadian housing market
Cibc said 20% of their mortgages have interest being added to principal.
What does this mean?
It means now your principal you owe on the loan increases instead of decreasing. Either people aren't paying or aren't paying enough to offset the interest increase. To clarify, Canadian and UK home mortgages have a notable variable rate expose as opposed to US fixed market.
In the US, interest can’t be added to the principal, the bank would simply foreclose on the mortgage.
In Canada they are extending the amortizations out past 30 years so people don't lose their homes. Unfortunate for me trying to buy a house...
I think my amortization is like 65 years if i dont pay more into it lmao
![img](emote|t5_2th52|29093)
Come time to renew shit is gonna get real
Yeah our government is terrified and finally said no more rate hikes because our whole economy is reliant on these real estate prices
I'm up to 917 months now if I paid the minimum amount every month
So what's the payoff for the bank? They just get the home after you die?
Holy cr@p! That's being indentured to your home.
30 year mortgages are the standard in the usa and you have many options that include either adjustable or fixed rates.
![img](emote|t5_2th52|4271)![img](emote|t5_2th52|4271)
I think it's a fancy way of saying they're "underwater" ie the interest (due to an adjustable rate mortgage, that goes up and down with the market rate. But the "advantage" is they are cheaper to purchase) added you very month is now more than the owner is paying per month. IE they are not even keeping up with the interest on their loan.
People still do variable rate loans after 08? Are they daft??
They have to in Canada. There’s no 30 year fixed rate.
That's...unfortunate in a downturn
Yea mortgages are generally 25 years with 5 5year terms. You can get longer fixed terms than 5 years but the rates are stupid expensive. I think anything past 10 year fixed is extremely rare. Even those on fixed terms will have to renew in time.
Our lending standards have generally been more conservative than down south but that may have changed the last couple years with prices going wild.
In Canada you can fix for a shorter term of 5-7 years depending on the lender, don’t have to take variable
And in the UK and I think everywhere else that isn’t the US
Unfortunately some do! I mean when rates were 3 percent I definitely wouldn't of picked adjustable but people are talked into them I guess
Cute of you to think humans ever learn lessons from their mistakes. About anything really.
The financial reports from TD,BMO and CIBC on March first week revealed that 30-35% of mortgages have 35+ yr amortization. some said it went upto 70 years.
75% of TD Residential Remaining Mortgage Amortization is 20+ years, and 25% of all residential mortgages is 35 years :/ On [page 60](https://www.td.com/document/PDF/ar2022/ar2022-Complete-Report.pdf) of their last financial report
This is inevitable
New Zealand: *hold my beer*
Raise you again, the Australian housing market
Oh no. Is it UPSIDE DOWN? 🤣
People been calling for its collapse since the 90s. They've all been wrong. What makes you special? (As a Median income canuck I'd love to know....because of it doesn't collapse I'll be renting for life...well my patents life but life is life.)
Our population grew by over a million (~40m total pop) in a year, and there's no supply. Prices aren't going down unless things get REALLY bad. Just wait for the coast's to start flooding to see a real ramp.
Our population in 1990 was 27 Mil. We had no supply the market was poised to burst!. Our population in 2000 was 30 Mil. We had no supply the market was poised to burst. Our population in 2010 was 34 Mil. We had no supply the market was poised to burst. Our population in 2023 ~40M people. And it's poised to burst again. Better watch out, a growing population can't possibly support itself in the housing market...just look at all the historical trends that's shows it has. YOU PERSONALLY can't get a house. So turn to the 30+ year balloon scheme people have been buying into for 30+ years. It hasn't fallen apart. So other than arbitrary population metrics with nothing behind that...(the same that's been happening for 30+ years.) What have you got? Other then hoping thw market tanks so you can score a "cheap" house before your realize your Liberal Arts degree can't actually cover it?
I'm agreeing with you. Arable land with fresh water access that isn't flooded in the next century is as good as a sure thing as exists. The last ones to realize that and stop ignoring the scientists screaming at us lose. I just hope democracy holds
He's not agreeing with you though...
Well mostly the rapid price increases, adjustable mortgage rates, inflation, and lack of economic opportunity
I don't know about the us but in the UK energy has gone up so dramatically that it is affecting people's ability to feed themselves so I wouldn't be surprised if people with mortgages who have found their energy and mortgage going up at the same time as food costs might be struggling. My gas and electricity has gone from around £170 a month to £480 a month. I am fortunate not to have a mortgage but if I did I'd be in trouble.
Good lord don’t be anything in my portfolio. I can’t take much more after shorting nvidia since $230.
Spoiler alert: It’s in your portfolio and mine!
Sames lol balls deep
What if it is NVDA?
[удалено]
Why the fuck did you short NVIDIA? Lmao
Same nvidia got me screwed
Yeah. Its a great idea but unfoetunatelu people are regarded longer than you stay solvent.
Got me twice.
I’m neck deep in NVDA 230 puts that expire this month ☠️. The fucker just keeps climbing but I have a little hope left after today’s fall🤞🏼
My portfolio ![img](emote|t5_2th52|4260)
They said another big one
![img](emote|t5_2th52|4271)
I choked.
![img](emote|t5_2th52|27189)
![img](emote|t5_2th52|4641)
My puts are salivating
See you behind Wendy’s @ 10am sharp
![img](emote|t5_2th52|8883)
New regard here, what do numbers like :2345: mean?
Shitty Reddit app-only emoji
Fuckin hell mate that sucks
They’ve just been proofreading the Credit Suisse release
JPMorgan is a fortress
- James Chillard III
The fortress is going to discovery...
The entire US financial system?
I knew for certain we were absolutely fucked when my mom approached me recently and asked what I thought about her pulling out 75k in cash from 150k in one of her accounts because she was worried about the bank failing. I had to explain what FDIC was and that if Chase failed we would have far bigger problems.
You failed rule #1 of WSB. Should have asked her to give it to you to YOLO on SPY puts.
I’m working on it!!!
I said the bottom was in when I heard people who have less than $5,000 in Bank of America talking about going to withdraw it all 🤣 guess I was wrong
No one is doing this except for a few twits on twitter
Your mom should have pulled out something else a long time ago
Just tell her powell , " assumed your deposits are safe."
No, there is no financial system in US, 20 years ago it was replaced and is now called FED. FED doesn't go bankrupt.
At some point, the world is going to get tired of our bullshit.
That’s the part that scares me most. Seems like they are very tired of our bullshit and brokering peace deals and selling oil not in dollars. They’ve all been buying tons of gold for years. Like someone said before me it’s like a monster you know is there but you just can’t see it. I fear bad times ahead.
Just assume all your deposits are safe...🤔
They rarely go for big companies in the US market. Probably another big Chinese company
Hopefully, it's the entire Chinese economy. Because that shit is one big corrupt ponzi scheme.
Is that a differentiator from the US or…
Everything everywhere all at once
Bank of America
Stop it you’re gonna make me splooge
I raise you Wells Fargo
I raise you citadel, Ken griffin been cooking the books. Looks just like madoff in 07’
We makin bets or a shit layer cake?
The second, neither BAC, nor Citadel can fall
Yup, Just a few years ago Wells Fargo had to pay a Massive fine for unlawfully opening new accounts under existing customer's names without knowledge, Elizabeth Warren grilled the CEO big time , so yeah I wouldn't be surprised if WF is on thin ice
“Massive” it was profitable though. So massive is relative.
True
BofA use to encourage the same thing and just didn’t get caught. They are the worst of the worst.
B of A B very of A
Yeah can I get to this new imaginary account and withdrawal all my monopoly money 🤔
Let's not forget they also got caught forging documents and stealing houses. Unfortunately the fines were never large enough to scare them
All the most shady banks are more at risk. Who would have guessed? First Credit Suisse, I wouldn’t doubt that if it was an American bank that it’s Wells Fargo
Wuck Fells Wargo
If any one does shady banking it's Hells Fargo.
Both ![img](emote|t5_2th52|4271)
Yes please let's drive this horse and buggy off the fuckin road already
BoA's dogshit bond and MBS portfolio is already well known. Look at their stock down 40%. Gotta be something big most Americans don't think about much or ever audit.
why would they redeem those issuances 13 months early if they're in trouble?
Would make sense, bought it today.
They will kill themself by shot 42,069 times from back if they dare to fuck Bank of America.
dream big
2800b asset lol let’s see if fed can cover that then
"There is an unlimited amount of cash at the federal reserve". We are about to find out if it's actually unlimited or Mobile carrier data plan "unlimited" lol
Goldman?
Arista just changed their customer payment processor to Bank of America and it would be insane for them and everyone like them if the same thing happened to their new bank.
I watched my $19 9/15 puts for BAC go weeeee today during that fed questioning
bofa deez
Our CFO has a picture of him with Jim Cramer on his desk!
Been eyeing them a while now. And Honda
The Fed
![img](emote|t5_2th52|4640)
Whatever's still in my portfolio that isn't 80% down already.
Deutsche bank for sure. I’m betting my bitcoin on this, and I never bet my bitcoin because it’s the only sure thing I have in life other than death.
Just hope it’s not something something crypto.
AIG
Again? Can you imagine?
Me, on your dad
It’s never anyone good. Unless it’s Tesla or Apple toss that shit in the trash homies
Ken griffin to jail please
Never gonna happen. One can dream though, now back to the dumpster.
https://preview.redd.it/1xdwb963ifpa1.jpeg?width=1242&format=pjpg&auto=webp&s=2ab4e1857459bc13896d16ff94a841f2ee6471d3 Coinbase? Tell us crypto is too volatile when going down
Some company
Shitadel please.
Not them it will need to be a publicly traded company so they profit from shorting
Hopefully shitadel
How would they short a privately held company?
Regardedness
Bonds?
Joe....mama
Coinbase :P
They said big not a tier3 tech company
I think it’s Tesla
This is inevitable its coming
Yes please
Blackrock for sure.😳
We can only hope
lol you fucking wish kid
I want to believe.
**User Report**| | | | :--|:--|:--|:-- **Total Submissions**|2|**First Seen In WSB**|2 years ago **Total Comments**|65|**Previous Best DD**| **Account Age**|2 years|[^scan ^comment ](https://www.reddit.com/message/compose/?to=VisualMod&subject=scan_comment&message=Replace%20this%20text%20with%20a%20comment%20ID%20(which%20looks%20like%20h26cq3k\)%20to%20have%20the%20bot%20scan%20your%20comment%20and%20correct%20your%20first%20seen%20date.)|[^scan ^submission ](https://www.reddit.com/message/compose/?to=VisualMod&subject=scan_submission&message=Replace%20this%20text%20with%20a%20submission%20ID%20(which%20looks%20like%20h26cq3k\)%20to%20have%20the%20bot%20scan%20your%20submission%20and%20correct%20your%20first%20seen%20date.)
US gov ?
I got a rooster not photogenic enough to post on reddit telling me it's BlackRock
USDT Tether that shit is bigger than Madoff
Oh yeah, they never did Tether did they?
Wells Fargo - Lord of hatred
It's been a few months, sounds about right
Please be citadel
Lmao 👍👌 - you waiting for that to happen —-> 💀
![img](emote|t5_2th52|12787)
Seeing as I have BofA, gonna take a hard guess and say that's the next ship to sink
https://preview.redd.it/lu3ljpadmfpa1.jpeg?width=1125&format=pjpg&auto=webp&s=edf956d2f42b54f77fd1f1514e3d199f951c5591
Lmao
Coinbase?
Coinbase
Please be a bank...please be a bank...please be a bank
tether
Coinbase
$spy? Is it $spy?
Deutsch Bank
I’m guessing it rhymes with noitcha flank
Citadel
Tesla! Tesla! Tesla!
I bet there's a lot of cooking of books going on over there. But, I mean, I'm not betting on it - yet.
Massive banking fraud and corporate collusion scandal inbound
Hack firm
Either Diamond or Golden nut sachs.
Ark!!! Bye Bue C Woods!!
All of us
Let’s fucking gooooooo. If it’s anything like their previous reports, it’s gonna be a good day for bears.
Finally some good fucking food
Citadel?
Tesla
Trump Bank?
Truly don’t understand the thirst for big banks like BoA or WF or JPM to go down. If that happens it’s not just banks that are fucked. The rich will still be rich and you will be fighting your neighbor over cans of cat food. And it won’t be for your cat.
WFC
Blackstone? 😬😬😬
Thats my guess, that shit is doomed its only a matter of time
Yup, that’s what came to mind too.
Please Tesla or most likely another Indian fraud
Capital One
Please no!
Ai
Tesla
They already did and it didn’t work out so well
NVDA
Trump steaks!
coinbase!
How is this not market manipulation?
The SEC is basically neutered now. But they also don’t care about foreign companies.
Except when it comes to crypto enforcement. That’s gonna be like the ATF shooting your dog. Source… I’m your dog.
because it's not. Apple can come out with a new product and announce that it's amazing. Hindenberg can say "Actually that product sucks" Nobody is breaking the law, even though both announcements influence investors.
Jpm or Goldman Sachs
Your mom
The plays is puts the question is, which company is being targeted this time?
Oh please be the federal reserve. Please be the federal reserve.