Trump runs for POTUS / Trumped Up! Part V

[CapelDodger]

Plus of course the leverage works both ways as you are beholden to those that hold the lever!

Crossed.

 

[pgwenthold]

And now it comes out that he violated the Embargo against Cuba.

Sunmaster - is THIS enough yet? Logger? TBD?

Yea, but it ain't Emails! (LOL)

I just want them to go with the "the embargo was a bad idea so who cares if he broke it?"

 

[Tony Stark]

I just want them to go with the "the embargo was a bad idea so who cares if he broke it?"

But that would be admitting that Obama is right.

Also ignores the extreme hypocrisy.

 

[applecorped]

Time well spent

 

[sunmaster14]

Karen had a friend in Knoxville who was a real estate developer/investor that at one point owned about 53 properties, highly leveraged. Flying high, as it were.

Then the real estate bubble burst and he lost literally everything.

I have a friend in Tallahassee with something like 5 properties, not highly leveraged. He came through the same bubble burst bruised but not broken.

That is why leverage can be a problem.

There's a huge difference between the two situations. Trump's properties produce revenue which cover the debt service. He is not at the mercy of the market. I suspect that your friend was essentially gambling on housing prices, as were millions of other speculators who bought more real estate than they could reasonably afford. It was very typical for people to buy a house in the expectation that they could flip it out for more money 6 months to a year later, relying on their ability to service the mortgage at the introductory teaser rates in the interim. Commercial real estate financing doesn't work the same way.

 

[Tony Stark]

There's a huge difference between the two situations. Trump's properties produce revenue which cover the debt service. He is not at the mercy of the market. I suspect that your friend was essentially gambling on housing prices, as were millions of other speculators who bought more real estate than they could reasonably afford. It was very typical for people to buy a house in the expectation that they could flip it out for more money 6 months to a year later, relying on their ability to service the mortgage at the introductory teaser rates in the interim. Commercial real estate financing doesn't work the same way.

In the past he has been unable to pay multiple times. Once he even had his daddy make an illegal loan by buying casino chips. Not that it ended up working.

Major US banks won't even deal with him.

 

[sunmaster14]

Pray for me. I died laughing.

You honestly don't understand the difference between an intentional false statement and accidental nonsense coming out of one's mouth? Do you think that George Bush was lying when he said that people were "[...] working hard to put food on your family?"

 

[sunmaster14]

In the past he has been unable to pay. Major US banks won't even deal with him.

This is utterly false. Every bank in the world would kiss his ass to do business with him. Creditors don't care about his history, frankly. Their investments are protected by contractual rights, not by his word. In any case, Trump's history isn't even worse than average, near as I can tell. Casinos are extremely risky investments, which is why they were financed with debt yielding 14%. The cost of the debt implies creditors were expecting roughly a 15-20% default probability per year. It is hardly surprising that something with that high a default rate would eventually default.

 

[Tony Stark]

This is utterly false. Every bank in the world would kiss his ass to do business with him. Creditors don't care about his history, frankly. Their investments are protected by contractual rights, not by his word. In any case, Trump's history isn't even worse than average, near as I can tell. Casinos are extremely risky investments, which is why they were financed with debt yielding 14%. The cost of the debt implies creditors were expecting roughly a 15-20% default probability per year. It is hardly surprising that something with that high a default rate would eventually default.

So which big US banks deal with him?

And LOL at you trying to explain away the fact that Trump bankrupted three different casinos by taking debt he clearly couldn't afford.

 

[sunmaster14]

So which big US banks deal with him?

And LOL at you trying to explain away the fact that Trump bankrupted three different casinos by taking debt he clearly couldn't afford.

Did you watch the video that Zaganza linked? Here it is again, started at the relevant place:



ETA: Not sure why the start code doesn't work. Advance it to 3:35 for the relevant segment.

 

[Tony Stark]

Did you watch the video that Zaganza linked? Here it is again, started at the relevant place:

The link is broken.

ETA: I don't deny that he owes money to banks, but that major US banks won't deal with him.

From the liberal rag the WSJ:

Other Wall Street banks, after doing extensive business with Mr. Trump in the 1980s and 1990s, pulled back in part due to frustration with his business practices but also because he moved away from real-estate projects that required financing, according to bank officials. Citigroup Inc., J.P. Morgan Chase & Co. and Morgan Stanley are among the banks that don’t currently work with him.

At Goldman Sachs Group Inc., bankers “know better than to pitch” a Trump-related deal, said a former Goldman executive. Goldman officials say there is little overlap between its core investment-banking group and Mr. Trump’s businesses.

http://www.wsj.com/articles/when-donald-trump-needs-a-loan-he-chooses-deutsche-bank-1458379806

 

[Foolmewunz]

Let's get back to areas we can actually whup his orange ass on. Leveraged property is not such an area.

Hillary was applying the Law of Really Scary Numbers. The accurate figure is nearly double that one. If you take his 30% stake in the properties on 6th Ave and California Street and assume a 30% of that debt, then he really owes about 1.1 billion. OMG!! Lookit that number!

But that's about it. Even if there's a dip in real estate, particularly rentals, it's not going to effect the overall value of his properties which is about ten fold that number. Owing 10/12%, even 20% against your book value is NOT a bad position.

I had trouble finding the article because they were editing it to include post-debate comments.

http://fortune.com/2016/08/24/5-things-you-need-to-know-about-donald-trumps-debt/

 

[quadraginta]

They probably wouldn't care if he personally murdered someone.

On Fifth Ave.

In broad daylight.

If nothing else Trump has the measure of his supporters.

 

[Darat]

There's a huge difference between the two situations. Trump's properties produce revenue which cover the debt service. He is not at the mercy of the market. I suspect that your friend was essentially gambling on housing prices, as were millions of other speculators who bought more real estate than they could reasonably afford. It was very typical for people to buy a house in the expectation that they could flip it out for more money 6 months to a year later, relying on their ability to service the mortgage at the introductory teaser rates in the interim. Commercial real estate financing doesn't work the same way.

And how do you know this to be the case?

 

[Darat]

This is utterly false. Every bank in the world would kiss his ass to do business with him. Creditors don't care about his history, frankly. Their investments are protected by contractual rights, not by his word. In any case, Trump's history isn't even worse than average, near as I can tell. Casinos are extremely risky investments, which is why they were financed with debt yielding 14%. The cost of the debt implies creditors were expecting roughly a 15-20% default probability per year. It is hardly surprising that something with that high a default rate would eventually default.

Trump's claims when starting the businesses was that he would be able to borrow at much lower rates than other people. As with most of his claims this was a lie and he had to pay through the nose for money.

 

[Belz...]

No what isn't? Are you saying that innocent words _can't_ be used against you?

Darat?

 

[Foolmewunz]

I posted this in the 538 thread... polling and all that.... But it belongs here.

If Rasmussen has this large a swing, Hillary may be up quite a bit.

The real stinker for the GOP is that in the 4-way their house polling group, Rasmussen shows a huge swing to Clinton from their previous poll.

Clinton | Trump | Johnson | Stein
39 | 44 | 8 | 2 -- Sep 20/21 1000 LV
42 | 41 | 7 | 2 -- Sep 26/28 1500 LB
+3 -3 -1 nc

 

[sunmaster14]

The link is broken.

ETA: I don't deny that he owes money to banks, but that major US banks won't deal with him.

From the liberal rag the WSJ:



http://www.wsj.com/articles/when-donald-trump-needs-a-loan-he-chooses-deutsche-bank-1458379806

It's a load of crap. There is no way - none - that Wall Street bankers wouldn't kiss his ass to do a financing deal with him. I completely believe Ivanka Trump when she says that the Trump Organization is constantly being solicited by Wall Street banks. A Wall Street bank shunning Donald Trump would be like a prostitute shunning Brad Pitt because she didn't like his last movie. Bankers are whores, and the institutional memory for being stiffed lasts less than a year, if it even lasts the length of time between deal opportunities.

 

[Darat]

It's a load of crap. There is no way - none - that Wall Street bankers wouldn't kiss his ass to do a financing deal with him. I completely believe Ivanka Trump when she says that the Trump Organization is constantly being solicited by Wall Street banks. A Wall Street bank shunning Donald Trump would be like a prostitute shunning Brad Pitt because she didn't like his last movie. Bankers are whores, and the institutional memory for being stiffed lasts less than a year, if it even lasts the length of time between deal opportunities.

What is the credit rating of the Trump businesses?

 

[acbytesla]

You honestly don't understand the difference between an intentional false statement and accidental nonsense coming out of one's mouth? Do you think that George Bush was lying when he said that people were "[...] working hard to put food on your family?"

There is nothing accidental about Trump's reckless disregard for the truth.