stocks kept going up. everything. people didn t know that it was going to fall off the cliff till it fell off a cliff. in hindsight, everybody is thinking i knew, this or that. there s a book, the book out the big short. there were a few people who saw it. they were atypical people and i m not even sure, but for the benefit that they d been prove right, how if it didn t happen, how would they have looked. now, look at all the people who they were so much smarter than. we were so expert. we didn t know. look at all those firms that failed because of the housing risk. did they know? look at all those smart investors. nobody really knew and some people really thought it and nobody could have been that sure. otherwise, it never would have happened the first place. but the public was created in part by the wild leverage off
they were atypical people. and i m not even sure but for the benefit that they have been proved right how if it didn t happen, how would they have looked. now look at all the people who they were so much smarter than. we were so expert. we didn t know. look at all those firms that failed because of the housing risk. did they know? look at all those smart investors. nobody really knew and some people really thought it and nobody could have been that sure. otherwise it never would have been the bubble in the first place. but the bubble was created in part by the leverage of the whole of the street. do you regret your part at goldman sachs in contributing to what was probably the largest bubble in history? well, i don t know if it was the largest bubble in history, but let me answer your question.
is riskier to the home purchaser than 10% down? if you carefully look at other considerations and take them into account john: the man mumbling an answer is mel watt. he s now in charge of regulating fannie mae and freddie mac. then you can insure that a 3% loan is just as safe as a 10% down payment loan. john: really? a 3% down payment is as safe as a 10% one? how can that be? neither mel watt nor the secretary of housing would talk to us about the government s eagerness to give your money away, but we re fortunate that former fha commissioner david stephens will. he says in his two years serving under president obama he made the system safer. but not safe enough, says ed pinto, who studied housing risk for the american enterprise institute. he says we re on the way to another bubble. the government is once again doing the same thing that
is riskier to the home purchaser than 10% down? if you carefully look at other considerations and take them into account john: the man mumbling an answer is mel watt. he s now in charge of regulating fannie mae and freddie mac. then you can insure that a 3% loan is just as safe as a 10% down payment loan. john: really? a 3% down payment is as safe as a 10% one? how can that be? neither mel watt nor the secretary of housing would talk to us about the government s eagerness to give your money away, but we re fortunate that former fha commissioner david stephens will. he says in his two years serving under president obama he made the system safer. but not safe enough, says ed pinto, who studied housing risk for the american enterprise institute. he says we re on the way to another bubble. the government is once again doing the same thing that happened in the early 90s