., May 28, 2009 — The Securities and Exchange Commission today charged 10 brokers with fraud for falsely marketing investments in derivatives of mortgage-backed securities as safe It is my contention that with all the current losses and complaints of homeowners upside down because of the recent economy that if the SEC can not reach the mortgage securites (trust deeds) with their regulations that the current governmental forces may try to accomplish something similar with their regulations for the homeowners losses.

Here is part of the Declaration of Independence, which, by the way, is NOT law.We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness. — That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed, — That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness.

Following Joshua Dorkin's suggestion to open a new thread, the question derived from the conversation about cash flow vs. appreciation.

The name is derived from the military concept of flying false colors; that is, flying the flag of a country other than one's own.

(Yes, it a long name for a game, and yet it seems to be true)Take the credit card companies' game which we often complain about in this forum, add to that the cell phone companies, the cable companies, the wall street wizards ("You could never understand what derivatives are"), the predator lenders, the greedy politicians.It is all about grab it now because it will not be there tomorrow and that part may be right.

When any lender provides a loan to a landlord/property owner, they are considering the income derived from the rents.

Vikram, Here's a "how to" that is often suggested for deriving those seeming random combinations for a password.

Ray Alcorn's article on, "Deriving YOUR Capitalization Rate" is a great read too.

Sam,I would suggest a different approach, that would derive from the way banks word their REO addenda.

Looking at the comps its slightly less than what I derived.