The Wave of "Don't Pay The Rent"

Discussion in 'Economics' started by Scataphagos, Mar 26, 2020.

  1. %%
    IF that would happen@ not likely @all-- it would change the news business for the better.80 % have to find some productive work...…………………………………………………………………………………...
    Our local WMT is doing a good job; sign says please limit 1 carton of eggs .LOL[No limit on bottled water ; plenty of that]
     
    #11     Mar 26, 2020
  2. zdreg

    zdreg

    Maybe you are an introvert in your physical reality but here on ET you are a gregarious extrovert.:D
     
    #12     Mar 26, 2020
  3. schizo

    schizo

    Sad times for both renters and landlords.
     
    #13     Mar 26, 2020
    Bugenhagen likes this.
  4. For the renter it's money permanently saved. For the landlord, permanently lost.

    Bugs me the government steps into and alters renter/landlord agreement/contract.... and mandates one benefit at the other's expense.
     
    #14     Mar 26, 2020
  5. gaussian

    gaussian

    It’s a power move. That’s all.

    Makes sense. It's a power play @bone. They know they'll come out ahead because the entire system falls apart if no one is willing to pay rent (and reasonably so imo). They'll probably shutdown a few unprofitable stores to show good faith and their creditors will figure out a way to wash the difference. Strangely enough the situation in retail is probably the opposite of housing. These guys swing huge lines and no landlord wants to see a warehouse sized restaurant property go empty.

    There will probably be rent strikes in apartments and housing soon. The banks don't want to see a chain reaction of mortgages go under and all their properties become worthless. Logistically evicting hundreds of thousands of people is easy, practically speaking its economic suicide.

    But let's be honest. The banks won't suffer. They'll go to Daddy Fed, who will happily print them money, and then the taxpayer will be paying back the country's debt to the fed via higher taxes for generations. The only people that suffer are us. We need to abolish the fed.
     
    #15     Mar 26, 2020
    bone likes this.
  6. Specterx

    Specterx

    The cost has to be paid by someone. Presumably agreements between tenants and landlords will involve some elements of burden sharing. What solution would you propose?
     
    #16     Mar 26, 2020
  7. TommyR

    TommyR

    i would hold on indefinitely. the major blows are yet to be dealt. i would not have much time what i would call bungling burocracy.
     
    #17     Mar 26, 2020
  8. I don't offer a solution. Should be up to the renter and landlord to work things out as best they can.
     
    #18     Mar 26, 2020
  9. schizo

    schizo

    Even if you evict the lessee, could you find a replacement at a time when mobility is restricted? You might as well just suck it up and get at least 50% rent when you can.

    Damned if you do and damned if you don't. I think we have set ourselves up for a vicious cycle of deleveraging at taxpayers' expense.
     
    #19     Mar 26, 2020
  10. comagnum

    comagnum

    This is still a financial crisis - the liquidity is still rotten because collateral got stretched way beyond it's limits. The pandemic is the banksters looting again like they did in 2008.

    The Fed & government are taking advantage of the panicked herd by ramping up corporate welfare. Tax payers & future generations pay for this. This is the transfer of wealth from the 99% to the 1% on steroids.

    The stimulus gives the public a crumb back of what is being taken from them to keep riots at bay, remember occupy? The dollar will have to be destroyed down the road, otherwise the deck of cards will collapse - making 2008 look like a dressed rehearsal.

    The 30 year bid is still wide enough to drive a truck through it - despite QE infinity. upload_2020-3-26_11-46-6.png
     
    Last edited: Mar 26, 2020
    #20     Mar 26, 2020