Call it what you will. I'll repeat. Speak up and be a man. I have no idea what your last post said. Please say again. I'm sincere.
To anyone but Zhivodka, please feel free to add comments. Don't let his false claim of my being unclear in any of my assertions kill the thread, in this increasingly fascist-socialist ("soscist") union of ours. fascism - a political philosophy, movement, or regime (as that of the Fascisti) that exalts nation above the individual and that stands for a centralized autocratic government headed by a dictatorial leader, severe economic and social regimentation, and forcible suppression of opposition. socialism - 1: any of various economic and political theories advocating collective or governmental ownership and administration of the means of production and distribution of goods2 a: a system of society or group living in which there is no private property b: a system or condition of society in which the means of production are owned and controlled by the state.
The funny thing is - China has no property taxes. That is in fact contributing to their housing bubble. People are buying condos as a store of value ... without any intent to live in, or rent out, the units. They simply minimize maintenance costs, and 'buy to hold.' It leaves whole new complexes bought, paid for, and completely dead quiet for lack of tenants. If the US didn't have property taxes, our bubble would have been much worse as taxes are a significant part of carrying cost. The Chinese will show us how it is really done!
The Chinese, on an economic front only, are WAY more capitalistic than we are at present. And that's allowing them the significant demerit of central planning!!! That says mountains about the USofA.
Who invented ammortization ...give em the Salvador Dali Prize for creativity. If ammortization were an animal I think it'd be a platypus. And, if the bank owns X percent of a property why don't they pay X percent of the property tax?
Ahhhh, great points all around. I have less problem with private contracts between free and willing parties, however, no matter how bad the terms of the relationship or agreement, than I do with involuntary governmental (by definition, inefficient, onerous and dis-incentivizing) tariffs, taxes and perpetual extraction of wealth, especially in the context of an allege right of outright ownership, in an alleged free market - give me the right to opt out of fire, police, public school etc. services (especially the public school tax, since it's much of the total cost, and public schools suck in most areas, and I may not even have children to "benefit" from that governmental "benefit"), at least, before slapping ridiculous taxes on my property that MUST be paid continuously.
Without amortization: How would you pay off a debt in regular installments over a period of time, calculate periodic amounts breaking down principal and loan payments, thereby enabling the loan to be paid off at the end of its term? How woud you allocate a loan to different time periods? How would you write-off intangible assets over their estimated useful life? I'm just scratching the surface here. The Bank doesn't own the house. You own the house. However, the Bank has a lien on your property to secure its loan. You owe money to the Bank. Why should the Bank pay a portion of the property taxes for you? It didn't pro-actively go out seeking property. You did. The Bank doesn't live in the house, you do. All the Bank did was enable you to buy property with its money through a mortgage and it is your responsibility to fulfill your obligaton by fully repaying the loan extended by the Bank.