I have a feeling we’re ending the era of Private Real Property soon.
Frankly, I’m not completely convinced there ever was such a thing as private property. Sure, we “own” it, but we pay the government for that privilege. If we don’t pay, then they take it back. Is that owning?
Let’s look at the whole structure of real estate loans, here. Usually, we don’t even come close to owning that property. You know who owns it? The bank owns it. We don’t pay the bank, and they — yep — take it back. Is that owning?
When someone finally explained to me how home loans really worked, I was appalled. The way the compound interest is determined, you actually sign up for several times your loan amount by the time the day is done. Buying a hundred-thousand dollar house? Expect to pay a whole lot more than that! Three hundred thousand or more, depending on your rates and the period of the loan. And if you default on the loan and the bank takes away your house and sells it someone else, they never lose. They really don’t! The only thing that gets lost is the payment against principle for that month or two, and for a thirty-year mortgage, that might be, oh, forty bucks a month. Houses are a commodity owned by banks, and every time they can cycle tenants through there, the bank sets itself up for a little more money. Is that the part where we own something?
I see more shopping malls that have apartments built into them, with the excuse that private people simply don’t provide the kind of income that a bank needs to keep slurping, so now there are these hybrid neighborhoods, lame-ass human tenants clinging to the sides of small businesses in order to not be completely marginalized by the ravenous banks running this freak show. Is this where we should be grateful we “own” that condo? If we don’t pay our mortgage, or we don’t pay our fees — we lose the place!
I think “private property” must be an unwholesome social construct, fabricated by banks during a time when they were trying to figure out how to squeeze more money out of individuals. Up until that moment, only big amounts of money could afford to buy a home. But somewhere, in a meeting, someone said “Hey, if we simply charge three times the price, but structure the loan to reduce the bank risk to practically nothing, we can make out like bandits.”
Of course, the tool to keep people in line is also a bank tool: your Credit Score. If your Credit Score sucks, then you can’t get those big shiny things. So, if you want a good Credit Score, then you better keep paying this horrifying amount of interest.
You know, there is a business where you think you own something, but you don’t. Other people control you by manipulating your fear, and threaten that if you don’t make regular payoffs, you will lose the thing you own.
I believe that business is called extortion.
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