Archives for January 2009

Bad Bank Floating of Swimming

By Mike Colpitts The mass media loves to float ideas -- concepts that many times never do become reality. But in the effort to get the news out news sources of all types online, TV and in print jump on the band-wagon. The so-called "BAD BANK" President Obama may propose to handle the toxic mortgages that have weakened the nation's financial structure is a perfect example. Flash back to 1989. The U.S. Savings and Loan Crisis was exploding … [Read more...]

Rental Rates Drop

Rental rates are declining along with home prices in the majority of the nation, according to new reports. It's good news for renters, but another sign that the economy is weakening as job losses and worsening consumer confidence force many renters to seek cheaper housing. The new studies also indicate that investors are less likely to build new projects or buy multifamily projects. Occupancy rates also declined in the fourth quarter along … [Read more...]

Awakening from the Sham

By Brad Risen Economist There are few fundamentals in economics that matter more to the U.S. economy. When the largest sector of the economy is severely beaten and plundered by its business hierarchy the rest of the country suffers. The largest sector of the national economy is real estate from a dollar point of view, and the whole economy is suffering as a result of the troubled housing market. That may be why most nations do not offer … [Read more...]

Walk-Aways Pick Up as Foreclosures Rise

Homeowners are walking away from their homes at all-time historic rates as foreclosures rise in the face of a deteriorating economy, according to a new Housing Predictor study. The fact emerged from a study of 15 metropolitan markets scattered throughout the U.S. as a result of increasing foreclosures. Mortgage experts say the incentive to freely walk away from a home is highest in the ten states that have anti-deficiency statutes, prohibiting … [Read more...]

Real Estate in Economic Cross Hairs

By Mike Colpitts Editor More than three years ago housing markets began to bring down the national economy with increasingly sluggish sales. At first home sales faltered in the strong western markets in California, known for leading the nation in a wide variety of businesses, and then in Florida after devastating hurricanes hit the state in a series of storms not experienced in more than 50 years. "So goes real estate, so goes the … [Read more...]