The entire place of landlords in the economy is to absorb risk for banks and skim off the top. A pandemic and eviction moratorium are part of that risk. The fact that they don't understand this and think that being a landlord is just free money is ridiculous.
I've also had the thought that the use of pro small business policies by the bourgious parties and banks are a way to create a massive army of reactionaries.
Like the black owned business investment fund by Goldman sachs. Creating thousands of new black little capitalists is a solid way of preventing the BLM current from going farther left.
It sounds like it helps average everyday folk but in the end itll only help a few with the added negative of creating new reactionaries.
Black capitalism is why I feel the Tulsa Massacre is held up high especially lately.
Tulsa Massacre seems to me to be a repudiation of the case for black capitalism, but I guess it's all in how the history is presented
That’s a really interesting mechanism to mitigate risk. Is it the default risk where tenants who can’t pay rent would possibly also default on mortgage if they had purchased?
Exactly, they're very foreclosure averse because it costs a bunch in legal fees and other expenses and loses them a ton of interest money. In some states foreclosure can also be a 4+ year long legal process that mostly happens on the bank's dime. Then they now become in charge of upkeep on the house as well as selling it, typically at a discount from its actual market value.
Banks really like sure things, that's why they have switched to consumer debt products after 2008. When they give you a credit card the limit is typically a number they predict that you can max out and comfortably pay interest on forever. Low risk of default but nearly guaranteed interest money from the customer and guaranteed interchange fee money from merchants.
Amazing how much money you
paysave by not giving landlords a vig.Edit: Words Mean Things
Unfortunately the leech can probably can sue them and even foreclose on their new house with the help of courts and police.
Capitalist justice is class justice after all.
In communist China each citizen is assigned a social credit score, etc. etc.
Are you saying that in the US creditors can't take defaulting debtors' assets?
Not if the assets weren't designated as collateral in the original agreement.
Now, if a person declares bankruptcy, property that isn't exempt can be liquidated to pay off creditors, but the specifics of this are fairly complicated, especially in practice (assets of nominal value may be ignored even if not exempt, for example).
Damn... In my Scandinavian socialist welfare paradise, creditors can go to a court that is essentially a kangaroo court used to rubber-stamp this kind of stuff, and take whatever they want until their demands are covered. If they're really mad at you they can come to your house with the cops and just take most of your shit.
I sometimes wish I'd gone to law school just so I could turn the tables in situations like this.
"On behalf of your former tenant, we're prepared to offer you a settlement of $3000. It's a very generous offer and I suggest you take it. The legal battle could draw out for years and get very expensive."
Hey, that's not fair. Only Wall Street and other powerful interests get to play the "take it or leave it" game.
Motherfucker wants to put a lien on the former tenant's new house until they get their money back lol. Fuck you.
with all these stimulus checks coming in
BRB gonna buy a house with like $2500.
My advice is they should take a [redacted] with a [redacted] until they [redacted]
Yeah learning to be nice in this world really just means to bend over. Sad how people treat others.
t. Landlord :mao-aggro-shining:
