Cataclysmic Collapse in Housing on the Horizon-Fabian Calvo

Fabian CalvoBy Greg Hunter’s USAWatchdog.com 

Real estate expert Fabian Calvo says, “They are pumping up the housing market all the way to the top until—boom.  The thing blows up.  I think that’s what’s happening and what people are counting on.”  Calvo, whose company handles $100 million in distressed debt annually, goes on to say, “You’ll know the cataclysmic collapse is on the horizon . . . when the government starts handing out loans like crazy, and we’re already getting there.”  Calvo deals with multi-billion dollar hedge fund managers.  Calvo reports, “They all believe once we do reach the end of the road here . . .  it’s going to get pretty nasty. . . Will we enter another Great Depression that’s much worse than the original great depression?  Yeah . . . When this leg goes down, it’s going to be much worse.”  Calvo predicts, “The Fed is just going to keep printing money . . . eventually, that leads to a much bigger economic collapse, which is what many prominent people I deal with on a daily basis believe as well.”  If war breaks out in the Middle East, Calvo says, “All bets are off.”  Join Greg Hunter as he goes One-on-One with Fabian Calvo from TheNoteHouse.us.

Comments
  1. Troy

    Mahalo Greg for all your work with the video interviews. Haven’t posted of late, but still watching!

    • Greg

      I have wondered where you have been Troy. Thanks for checking in man!!
      Greg

  2. Allen Ols

    Greg

    I agree, china , russia will not go to war over syria, but will Wait for usa to go bankrupt; I have thought this as russia ‘s oppor. To make osama obama look like the weak minded , ‘i have a drone’ president he actually is.

    As always;

    Finger on pulse, usawatchdog

    Alols

    • Greg

      Allen Ols,
      I hope you are right but I feel you are underestimating our adversaries.
      Greg

      • Allen Ols

        Greg

        Ijust read jim willies interview on silverdoc and he comments ”the usa will back down in syria like a bully on a school yard”.

        I agree w/ that, as there is too much at stake w/ GB voting in parliment against it, and IF obama does want to go it alone he has too much fear as 91% of amerikans are against, and by the fact that , he obama announced his missle strike approx. Locations and that he is only trying to send a message to assad, indicates to me a soft, timidity, and a backing down.

        But u may be more correct :-)

        Alols

        • Allen Ols

          …..cnt’d

          I just read on KWN. Robert Fitzwilson said, ‘war will be averted w/syria due to vote in GB and china, russia; report an attack on syria would be attack on them”

          I know obama, berneke diamon etc need a massive diversion But this Weak ”message in a bomb” won’t get the support of UN and the world

          finger on pulse@usawd

          Al ols

      • Shadow of Doubt

        Our adversaries appear to include those in the leadership of the Republican party as well. As you can see there is never a bad war or a stand they can’t reverse course on.

  3. Jerry

    Greg you need to listen to Fabian Calvo. He’s telling the truth. I sold a house just last week that was funded 100% by the USDA. The buyer even got government subsidies to help make the monthly payments. If that isn’t Pump and Dump” I don’t know what is? This time its the government doing it, instead of the Banks. This Regime seems to be hell bent on having its tentacles into every aspect of our economy.From healthcare, auto production, right on down to real estate. It doesn’t seem to matter to them how much money they are losing in the process, because they can always print more. Right? The truth of the matter is, we’ve already fallen of the physical cliff, we just haven’t hit the bottom yet. I see another housing bubble in the making, because many of these people who are buying these houses won’t be able to make the payments. How long can this continue to go on Greg? Like I’ve said, either this is part of the plan to collapse our economic system (which I think it is) or we are led by some really stupid people.
    As far as Syria? Its still going to happen. They just haven’t figured out a way to blame Bush and the Republicans for it yet. Just this morning I heard CBS news say that the Brits backed out because they didn’t want to go on another “Weapons of Mass Destruction” wild goose chase like they did with Bush. How convenient? But in the end don’t under estimate the steely resolve of a narcissus. Especially when the house of Sad (that hold our treasury notes) and the NWO are involved. Brace yourself Greg. The next three months could be very interesting. Thanks again for your hard work. Your interviews. And for reporting the real news.

    • Greg

      Thank you jerry for the real world feedback. I think Calvo is very smart and connected and that is why I feel it is worthwhile having him on.

  4. Sylvia Sterling

    Thanks for having Fabian Calvo on.
    He makes a lot of sense.

    • Greg

      Thank you Amman and Sylvia for you comments on Mr. Calvo’s interview. I thought this one was one of his best.
      Greg

  5. Amman

    Greg, a picture is worth 10,000 words…

    Residential Housing from 1940 to 2025

    http://www.cycleprooutlook.com/Charts/SP500/HousingForecast2025_ABC.jpg

  6. Dee Miller

    I have been watching your UTUBE videos for a couple of weeks. You have begun to irritate more than inform. Your guest on this show was just a neocon mouthpiece spewing out divisive detritus to keep the people from uniting to do the things they need to do to constructively and meaningfully reform the government’s return to its real purpose. While he blames the entitlement mentality of the people, I don’t get the feeling that he’s talking about the banksters or the corporatists that are all being subsidized using we, the taxpaying people, who also paid for our social security and therefore ARE entitled to it; while they are NOT entitled to these subsidies which is just payola for their bribing congress. You have a great opportunity here to inform the people with actual facts that has more of a possibility to get us out of this mess and not leave us feeling like gold and silver is the only answer to all your disasterous what-ifs. I hope you will investigate Larry Lessig and the rootstrikers to inform yourself and balance the body of work you produce. Thank you for this opportunity.

    • Finn

      Whaaaaa?????

  7. Tim

    Excellent interview with Fabian calvo. You both do great work.. Keep it up.

    • Greg

      Thank you Tim.

  8. John

    This guy Fabian Calvo is not someone i would bother interviewing plus his voice gets on my nerves. He knows some of the facts but saying Russia won’t protect their oil interests in Syria, who is he kidding.
    A man involved in housing is not exactly a man involved in the real political world is he. All i can say in his favour is he does know something about what is going on today, but he would be much lower down my list of people to interview. I also think most informed sources would rule out Assad’s involvement in chemical attacks.
    You are still worth watching Greg, even if not all those interviewed impress me.

    • Greg

      John,
      Please be open minded. His company handles $100 million in distressed property and paper annually. Calvo sits across the table from some of the richest investors in the country. He’s got some good nuggets for you despite what you think of his voice. Thank you for your comment and perspective.

      • John

        Thanks for the reply Greg, i am just voicing my opinion about various guests, some impress me more than others and i did not rule out Fabians contribution to having knowledge in some areas. The main thing is i still like to come visit your website for information and enjoy your interviews even if i might be a bit critical at times.
        All the best John

        • Greg

          John,
          Thank you for your support. I try to get the very best qualified guests I can get. Dr. Paul Craig Roberts tonight past midnight.
          Greg

        • Finn

          So John, WHEN Russia doesn’t respond to a military strike from the US, will you come back on and apologize to Fabian? You know Putin has stated (fwiw) that he will not get involved in a military exchange of any kind…

    • Amman

      I was surprised he was on to Syria with that hidden Agenda comment. Some points – 10′s of millions on the streets, Govt coming after the rich to give to the unfortunate, rise in expatriation by the American wealthy (a la Frenchman Gerard Depardieu), and a new crisis lurking the background- Lets call it “2008- part Deux – Revenge of the Quants.” Greg, I am sure you see the common ground he shares with Martin Armstrong and Dr. Jackass.

  9. Frank

    The real interesting part of this interview is the part about the distressed housing market. This is no surprise since Mr. Calvo is a specialist in this area, but not really a specialist on geopolitics. (No offense intended.)

    To be honest the entire housing market is a bit of a paradox right now. Never before in history has a bubble which has crashed been re-inflated so quickly. Moreover, housing has decoupled from wages. This is a significant point since the difference is being made up by investors.

    I agree that this is a pump-and-dump, but I think these billionaire real estate investors that Mr. Calvo mentioned are the ones getting dumped on. (Again no offence.)

    This is a scenario where the banks found themselves with enormous numbers of badly performing loans on their balance sheets. If they foreclosed and listed the properties for sale it would have been a fire-sale and they would have had to recognize the losses. So instead they withheld the properties from the market to drive up prices. Essentially the banks have a majority control and are colluding to raise prices. Once your share of the total market reaches a certain percentage it makes economic sense to do this. Obviously the banks have done the calculations and realized that it is economically sensible to do this.

    Since these investors are buying the properties at the pumped up prices, they are the dumpees not the dumpers; Yet!!

    Now this is where it gets interesting. These banks have enormous cash reserves which they could use to promote no money down loans as Mr. Calvo suggests, if they so desired. But, will people borrow?

    If yes, then we have deja vu all over again with another housing crash 2005 style. New and improved, now with bail-ins!

    If no, then its going to be an absolute circus as both the banks and the hedge funds rush for the exits on these illiquid assets.

  10. Jay

    Why is it everybody I talk to thinks the housing bubble won’t implode?
    Its like talking to crazy people. They think I’m crazy but they don’t even know the facts. Well, at least they’ll wake up when this bubble pops.

  11. Charles H.

    Greg,

    In brief, Fabian Calvo seems to be waving warning flags really hard; which is remarkable giving that he runs with the Big Dogs. Owing to his position in life – he shouldn’t afford to “come-off” as an alarmist: but he sure nailed a bunch of danger signals. It’s like a tsunami on the horizon, that grows more ominous with time. I think he is saying as much as he can, the best he can. I also feel it shows he is genuinely afraid; and time is short. Good job.

    • Greg

      Charles H.
      This is why I like Calvo.
      Greg

  12. Mohammad

    Greg,

    I could not verify the authenticity of this interview that took place in 2012 with Henry Kissinger but it came from a reputable source of Jim Sinclair’s web site and here is the link:

    http://www.globalresearch.ca/accurate-satire-henry-kissinger-if-you-can-t-hear-the-drums-of-war-you-must-be-deaf/28610

    [Quote]
    “The United States is bating China and Russia, and the final nail in the coffin will be Iran, which is, of course, the main target of Israel. We have allowed China to increase their military strength and Russia to recover from Sovietization, to give them a false sense of bravado, this will create an all together faster demise for them. We’re like the sharp shooter daring the noob to pick up the gun, and when they try, it’s bang bang. The coming war will will be so severe that only one superpower can win, and that’s us folks. This is why the EU is in such a hurry to form a complete superstate because they know what is coming, and to survive, Europe will have to be one whole cohesive state. Their urgency tells me that they know full well that the big showdown is upon us. O how I have dreamed of this delightful moment.”
    [/quote]

    I will also remind you with the famous picture of a time bomb that Netanyahu presented in the united nations with a red line on the top of it where he said this is the limit of the Israeli’s tolerance with the nuclear program of Iran.

    I sense the retreat of the Brits is not because they are hesitant, rather because what is coming is big, they do not want to be part of it, same applies to Obama seeking the congress approval because it is not a small matter rather it is something big.

    Turkey is poised to be the boots on the ground supporting Obama’s promise no American boots on the ground, do any one think the Iranians will sit tight? can they afford losing Syria to have time enough to complete their program? I guess not.

    Israel also is poised to pull the trigger on Iran’s nuclear sites.

    A slap on the wrist does not need congress approval nor frightens the Brits from participating.

    I hope am wrong.

    • Greg

      Mohammad,
      I saw this and I think it is satire.
      Greg

  13. Jaffo

    Here’s what happens after the financial crimes industry flatlines:

    CANNIBAL ANARCHY!

    Are you ready?

    FACE!

    It’s what’s for dinner!

  14. hardrock

    Greg,All,

    Of course it is satire. It even states it on the front page. I informed Jim Sinclair of the fact and he re-posted it as “Truthful Satire”.

  15. Joanna

    Hi Greg,
    I wanted to throw a question out to you and your reader’s as you have some very intelligent people commenting on your site.
    I’ve noticed photo’s going viral of active military men (hiding their face), with written notes in front of them stating they do not support a war with Syria or they will not fight along side Al-Qaeda in Syria while their brother’s and sisters are being killed by Al-Qaeda in Afganistan. So here’s the question: “Do you think a war with Syria will be the straw that breaks the camel’s back with our service men and women and does anyone think we’d ever have a Military coup to remove this Government?
    I think asking our military to fight along side a terrorist group that is responsible for “9-11″ and losing all our freedoms is TRULY the “red line in the sand!” The corrupt Government is so desperate that they’ve pushed it too far and are waking people up on their own with their crazy, absolutely insane hypocrisy!
    Maybe this should be your next interview. Someone in the military to talk about the hypocrisy and any possibility of the military removing the psychopaths in Washington that are trying to lead us to WWIII and to the end of the world as we know it!
    Keep up the good work Greg!!

    • Greg

      Joanna,
      I think the photo’s of our military folks are real but I cannot prove it. Anybody else like to weigh in? Please do.
      Greg

      • mohammad

        Johanna,
        This rhetoric (i mean inflamed emotions towards the governments) is the trap that they want you and others to fall in, this is the trap the middle east fell in before, (they=banksters).

        It is very important to know that Morgan Stanley bought large shares of Facebook in 2010 to the tune of 1.45 billion dollars just before the “ARAB SPRING” in Tunisia started….Well….DID THEY KNOW SOMETHING THEN…I guess the answer is obvious!
        Here is the link from Reuters and i quote from the article:

        the link:
        http://www.reuters.com/article/2012/02/02/us-facebook-banks-idUSTRE81105320120202

        [quote]
        “In December 2010 and January 2011, Goldman Sachs purchased 69.5 million shares of Facebook’s Class A common stock for $1.45 billion, according to filing. In 2010 and 2011, Morgan Stanley purchased shares of Facebook’s Class B common stock.

        A year ago, Facebook entered into a credit agreement with five lenders, including Morgan Stanley, JPMorgan, Goldman Sachs, Bank of America Merrill Lynch, and Barclays to borrow up to $1.5 billion in revolving loans, according to the filing.

        In September 2011, the credit agreement was amended to increase the borrowing capacity to $2.5 billion, the filing said.”
        [/quote]

        Aljazeera was the media that took a big role in inflaming the emotions of the public towards their governments, now they want to open ALJAZEERA AMERICA, when i heard that i thought to my self oh my god here we go again.

        What i want to say, it is very important not to submit to any inflammatory source trying to throw a wedge between you and your government, the hands of middle easterns was burnt by that and still is.

        extend dialogues with your elected governors extend hands to them, do not let any one remove the rational thinking by inflaming emotions, you will be better off believe me and the beautiful US will be preserved.

        Just look at the middle east and see what those evil banksters have done, they played both sides and they won, do not get played, out smart them.

        • John Galt

          Mohommad, I like to read your perspective on the middle east. You have experience there. However, America is a different animal. Joanna is asking a question that an American patriot would ask; and the answers are found in the writings of our forefathers. For a primer on the subject look to Thomas Jefferson’s tree of liberty quote. http://www.monticello.org/site/jefferson/tree-liberty-quotation

          • Mohammad

            John Galt,
            Believe me John and am not trying to be here politically correct nor am BS’ing. Being of middle eastern origin does not make me any less patriotic nor does make me any less American.
            The issue at core is to be aware of the bankster’s game they fineness, and that is throwing a wedge between the people and their government, then getting that wedge widened to the degree they make the two clash, it happened here in US during the civil war, people were closer than me and you to the founding fathers, actually it was the era of the founding fathers, and yet the war broke out because the banksters set it so subtly their role was ignored, yes US came out of it stronger but the seeds for any future similar divism is set.
            There are good people in the government, like wise there are bad people among the public that seek ill masking themselves as patriotic.
            All i want to say here is always extend arms to those who are good in the government, same wise be aware and vigilant to the bad apples in the public even if they pretend they care for the constitution.
            inflammatory emotions that cloud the mind and judgment does more harm than good.
            I only referred to middle east in that regard because it is a living example on how the masses can be taken to the slaughter house under the name of freedom!
            Out smart the banksters and do not fall in their trap.

  16. J.C. Davis

    People please realize those that control the dollar dont care about people. They only want control. All we must do to know what will happen is look at the main streem media and watch the spin they produce. McCain was on cbs this morning acting like he was not sure what he will do. He and most all of congress are puppets. Obama is without a doubt a puppet. The string holders have gained world dominance threw the control of the dollar. Russia must be verry weak if they do not respond with force. Only someone like Edward Snowden will tell the people who really sprayed the gas. Syria, then Iran, and korea. world control is the end result.How a oligarchy uses there tiolet paper is never a factor in there game plan.Be critical of the reports on t.v. the truth will eventually arive, after the lies have been spread around the world. Thanks to all that support this site, and of course you Greg.

  17. Shane

    Greg,

    Avid reader of your site and eagerly await each new post. With the topic of the housing recovery farce being spewed by the MSM I thought I would share a story from very close to home. A house up the street from mine has been vacant for well over a year. I guessed the owner had probably walked away and given it back over the bank. Well, surprise, surprise last week there was an exterior and interior fix up crew at the house and this week there is a for sale sign out front. On that sign I noticed a unique web address http://www.homesteps.com. Go there and you’ll see for yourself that it’s a listing site for all foreclosed Freddie Mac homes. Seemed very strange to me that not only can you get a Federal Home Loan, but heck, now you can buy a Fed House direct from the Fed, with a new Fed Loan! And this house has come up for sale with perfect timing for the other four houses similar to it in the same neighborhood. I’m sure all those people looking to upgrade to their next house are happy they are getting undercut by ol’ Freddie Mac.

    Also, one last thought from the real world. My wife and I bought our house (first one) in 2009, after prices had dropped and still in the get “free Fed” money incentive. The only reason we are staying in our house is because if we sell before five years, we’d have to “repay” that money. Think of all the people that bought with that incentive and are waiting like me until that five years is up. Flood the market much?

    Keep up the great work!

    • Greg

      Shane,
      Thank you for the real world reporting!!
      Greg

  18. jon

    Look how much tapering over and game playing has taken place in Greece. Time and time again another bail out another scam to buy some more time. Don’t you think the same will happen with the USA?

  19. Albert Tesla

    “War is not good for the economy”

    ….

    I disagree. Although war may not produce a product that you can essentially sell, what happens during war is that chaos ensues, and when a nation is disorganized, you can get away with more, and hence, wealth is easily transferred with little detection and evidence of a trail.

  20. Jerry

    Greg I thought I would share this short video with your readers. It explains pretty well what is happening to us economically. I call it Economic Collapse 101. Enjoy.

    http://youtu.be/OJk6vcztEds

  21. hello

    Great doomsday scare. I like reading these. And sometimes they happen. The question is when.
    Could be scary.

  22. al

    Greg: as always great interview and a great no crap guy.
    I have told you this now for years- he mentioned the fact this is all planned out decades ahead by the “elite” bankers, but never mentions them by name. People who doubt this will suffer the most for believing the government lies. This will all come down soon as you and I know- the warning has been put out. The date to come now in less than 2 weeks.

  23. Dave In Denver

    This guy Fabian Calvo is full of b.s. He makes it sound like he has some inside track because he talks to big hedge funds. Note, he mentions that they are “all in” on housing. Having dealt with these same big hedge funds as a junk bond trader, let me just say that they are “talking their book.”

    Yes, they may be all in, but now they’re hoping for the greater fool theory to kick in.

    Also, where are these zero-down-payment mortgage programs he talks about? Google it. Ya the VA has one but they always have. The FHA is offering 3.5% down payment mortgages but they’ve been doing that for quite some time.

    The numbers show the housing market is already collapsing. The 60% cash purchase cohort right now is big hedge funds like Blackstone defending their positions.

    I’m seeing “for sale” signs pop up all over the place in Denver right now. That should NOT be happening after Labor Day.

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