The Jack Ass and the Herd
Posted by admin in The Preforeclosure Biz on 03 24th, 2008 | 6 responses
You might be thinking … what does a Jack Ass have to do with a herd? That’s simple, one controls the other!
As many of you already know, I’m not a big fan of the boob- tube. However, admittedly, I have been watching much more TV in the past few weeks than normal.
Why?
Because I’m intrigued, excited, appauled and disgusted all at the same time with the whole financial debacle that’s going on. Intrigued with the entire financial inner workings from Wall Street to asset backed securities to there effect on commodities to the intervention of the government on all these issues … and that’s just scraping the surface.
My excitement comes from the cold hard fact, supported by years of history that show with every contraction (in the economy) comes a much greater expansion. And the time to make money is early in the expansion cycle. I’m feeling like a little kid waking up on Christmas too early in morning and have to wait a little longer before I can go down stairs and rip into all the goodies.
Why appalled and disgusted? There’s no real polite way to put this. It’s because of all the absolute JACK ASSES in the news on TV, on the financial shows, in the editorials, in the newspapers all doing every thing they possibly can do to take a challenging situation (our financial markets, foreclosures, etc) and driving them into the ground for no good reason outside of there own 2 minutes in the spot- light looking for the next best ear grabbing head line.
And these guys and gals call themselves experts, even professionals? I call them lying, dishonest, low life scum!
These experts were crying recession 6 months ago for the sake of a shocking news headline and that was quite frankly BULL SHIT.
4 months ago, they said we’re in a recession, again a blatant lie!
2 months ago, still going into this same recession, which we were not in yet, again, dead wrong. Way to go experts!
Yesterday, the ‘experts’ released a poll, trying to validate their lies. “3 out of 4 people polled feel we are in a recession.” HUH?
Do 3 out of 4 people even know what a recession is? NOT LIKLEY!
The sad (but true) truth is that 3 out of 4 people (actually 9.5 out of 10) are part of the herd and here lies the big problem.
When you’re part of the herd, you do what everybody else does. If they’re scared, you’re scared, If they’re happy, you’re happy. If the news you watch tells you we’re in a recession, YOU BELIEVE IT! And once the herd begins to believe this rubbish, they act as if it’s reality, so it becomes reality! WE BECOME WHAT WE BELIEVE.
The masses now believe we are in a recession, not withstanding the fact that we ARE NOT or the fact that most have no clue what the term recession even freakin’ means.
So I want to first thank the JACK ASSES for steering the herd off the cliff. Well done!
You’re the ones who should be put in jail for STEALING from the pockets of every single American.
If you’re really not too sure on who this whole herd thing is, I’ll make it simple. It’s the 95-97% of all those out there who will die, dead broke. It’s those who could not and would not think on their own. It’s those who constantly run for shelter at the first ring of thunder, and then blame others for missing out on the picnic. It’s those who seek safety instead of growth, it’s those who are a prisoner of their comfort zone. It’s those who spend their time talking about others instead of working on themselves. It’s those that believe they are a product of their circumstances, instead of a dictator of circumstances. It’s those who look out the window for help instead of in the mirror.
It’s a God given birth right to seek whatever we want in life.
I believe this, as does the 5% that live outside the herd. The difference is that the 5 % know you have to work hard, sacrifice, constantly push outside your comfort zone … often times in to the unknown, tempering fear, a constant application of pressure in a positive forward direction … it’s a belief system, a mentality, an attitude, a commitment.
The herd, simply believes it’s an entitlement. (by the way, if you’re ever confused about which direction to go, just run directly opposite of the masses. The path may be bumpier, no doubt, but the reward and outcome will be the envy of the herd…and OH they’re an envious bunch)
Homeownership could not be a better example. In our country, it is a constitutional right to own a home. But you have to first earn the right to own a home. Work, save, stay employed, the basics. (I won’t even get into my thoughts on foreclosing on people who don’t pay their mortgages and NEVER earned the right or deserved to own a home in the first place)
So let me bring this back around now.
Most of you reading this are entrepreneurs, if not in action, at least in heart. Most of you want OUT of the herd. (Those who are offended by any of this ARE most likely way deep in the herd. Pinch yourself, ask some one to punch you in the face, Do what it takes to WAKE UP … it’s for your own good)
This is not the time to react in fear.
The herd will REACT to change as it comes, mostly by hiding. It’s time you ACT NOW and CREATE the change. It’s time to kick into overdrive and start creating your history. Many investors will come out of this next cycle millionaires, even multi-millionaire and at a bare minimum, a ton better then when we went in. The majority of real estate investors or the herd for that matter however, will fall back or QUIT all together just like 95% of everybody else. Now is the time to FIGHT!
IT’S A CHOICE, YOUR CHOICE!
Run from the herd. Create your own history.
To your success,
Patrick H Precourt
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March 25th, 2008 at 7:49 pm
Someone much smarter than you and me recently said that we are, in fact, in a recession:
http://tinyurl.com/2cec3k
NEW YORK (Reuters) – Warren Buffett, chief executive of Berkshire Hathaway Inc., said on Monday that “from a common sense standpoint right now, we’re in a recession.”
Speaking on CNBC, Buffett said the United States might not be in a recession from a technical standpoint but, based on what he sees from the businesses Berkshire Hathaway manages, the economy is contracting.
That doesn’t mean one can’t “act now” and “create the change” but facing the facts head on is a necessary part of doing that, in my opinion.
March 26th, 2008 at 9:30 am
“People much smarter than you and me” also encouraged investing in internet stocks with unrealistic P/E ratios and companies that never made a dime. “People much smarter than you and me” with MBAs and financial backgrounds obviously didn’t see this mortgage mess coming either. I – and many of us – saw this coming two years ago. Overpriced homes being financed with adjustable rate mortgages at 100% (no equity) by people with low credit scores was just begging for trouble when the economic cycle started its downturn. A recession is generally 2 consecutive quarters of negative economic growth which, too my knowledge, hasn’t happened yet, though it is on the way. Inflation is around 6% as opposed to 14% in 1980. Unemployment at 4.8% as opposed to 9% in 1973 and 10% in 1983. In fact, when Reagan was re-elected with a record landslide in 1984, part of it was for bringing unemployment DOWN to 7.4%. People can still finance a home for a 5%-6% interest rate, as opposed to the double digit interest rates of the 1980s. Those who think things can’t get worse are in for a shock when the economic hard times REALLY hit. The current economic downturn is just starting – no recession yet, but soon – and is part of an economic cycle that is an intrinsic part of the free enterprise system. Fortunately, I am old enough to remember the economic downturn of the early 90s and, this time, I am prepared for the bargains coming our way and the economic expansion to follow.
To my knowledge, Warren Buffet, who is “smarter than you and me” is not a Real Estate investor, nor did he invest in Mortgage Backed Securities.
March 26th, 2008 at 9:51 am
Warren along with his twin Bill Gates, have the money, but they also both have the concomitant morals of a jackal.
Because of their diseased LIBERAL minds…they cannot discern right from wrong.
Be careful of who you think is smarter.
Murder is murder…it’s not just a legal term.
They both condone, applaud and endorse abortion.
My hero was penniless, (Mother Theresa), but she was blessed with just enough knowledge and common sense to do the right thing.
March 26th, 2008 at 10:49 am
<>
Au contraire. 7% of Berkshire Hathaway is invested in mobile home parks and self-storage units.
And, yes, the wealthiest man in the world is smarter–at least in how to make money–than you and me.
March 26th, 2008 at 11:00 am
And, Frank? Berkshire Hathaway is exposed to MBS through its substantial investment in a couple of banks, notably Wells Fargo Bank.
http://www.coattailinvestor.com/members/holdings/holdings.aspx?c=BH
March 26th, 2008 at 11:31 am
Thanks SoCalGal!
If so, then not even the great Warren Buffet saw what was happening in the mortgage market until it was too late.
Still – I’m not going to cry that the sky is falling until I see unemployment, inflation, and interest rates rise quickly and substantially.
Irrational exuberance is going to give way to irrational panic and, if we play our cards right, we will be able to invest at the beginning of the next “irrational exuberance” cycle.