Years of continually relaxed loan underwriting standards at the insistence of politicians and "guaranteed" by the federal government against loss eventually turned rotten. Now they're doing it again.
The stand out number from the ADP report for everyone told of the great housing recovery by the Columbia regurgitators, is the number of construction jobs added in March; 0. That’s right, the great housing recovery added a whopping zero construction jobs in March.
At a time when banks have more concentrated assets, with more concentrated risk, the administration, foolishly, inexplicably and predictably is leaning on mortgage lenders to lend to people less likely to be able to pay back loans.
Here we examine the factors that kept the first U.S. housing bubble going, even after the Fed acted to stop throwing so much fuel on the fire.
Investors snapped up the available properties for sale in these states at a very rapid clip in the early stages of the first U.S. housing bubble, sending house prices skyrocketing in the places they coveted.
As all fans of the Discovery Channel's Mythbusters know, it takes three things to make a fire: fuel, oxidizer and a spark. If you combine these three things in the right proportions, you too can make a fire.
All the great news about rising home prices creating a wealth effect is an overstatement, because consumer debt remains double that of 2001.
Unfortunately, the apparently robust growth of housing prices in the last several months is suggestive of something other than fundamental factors at work.
We seem to already be in a recession or we are reaching an inflection point and the economy is growing. Guess those are our two choices. Before we make our decision, let us consider some factors
Obama thinks Americans are so stupid they would believe the miniscule 2.4% decrease in the increased rate of spending would cause a recession.
Perhaps you remember the rich history of Chicago? Obama reminds me of a fellow named Capone who sent out his version of Holder, Napolitano, Panetta, and LaHood to tell people; say nice business you got here, be a shame anything happens to it.
Pent up demand is finite. After a certain period of time that demand becomes satisfied. Any sudden increase in interest rates and that demand disappears.
Setting aside the fact that the government can come take your home, with or without a mortgage, it’s hard to say you really “own” it unless it’s all yours.
An organic recovery driven by demand emanating from real job growth adding qualified buyers to the market has not happened
The world has changed immeasurably, but prized real estate certainly hasn't gone out of style.
At the first presidential press conference Obama says he won a mandate to move his balanced approach forward by raising the tax rates on the wealthy and implementing spending cuts to avoid the fiscal cliff.