Real estate is a bad investment does not show up in Google News and other interesting housing trends – Strategic default searches went viral in 2010. Banks betting against American homeowners.
82 percent of American households have internet access. Of those with internet access, a large number are homeowners. The vast majority use Google to search for many things including foreclosure advice or investigating the real estate market. The online trends give of a sense of what is happening in the collective psyche of our country […]
Shipping the housing market overseas. Long-term housing prospects hinge on an economic recovery for working Americans first – No housing bottom until middle class recovers a foothold in the U.S.
The housing market can have no sustainable recovery without the employment market improving. It is incredible that over three years into this crisis that there has been little focus on coupling employment with housing. Banks argue that many are simply not paying their mortgage yet they want the Federal government to ease lending restrictions. Who […]
Will the U.S. face a generation of underperforming housing values? It happened from 1915 to 1945 and the current trend is not looking favorable. Current U.S. housing values over priced by 30 percent.
It is hard to imagine a time in U.S. history when housing was actually perceived as cheap for an entire generation. Yet this is the exact experience that occurred from 1915 to 1945. Home values were cheap in relative inflation adjusted terms. Even after 1945, homes were still affordable and this is where the seeds […]
Bank of America has $2.3 trillion in assets but $956 billion of that is made up in loans. Think those loans are valued at current market levels? The FDIC would have a challenge even breaking up one too big to fail bank.
The FDIC has a herculean challenge in confronting the too big to fail banks. There is little doubt that having institutions that are too big is part of the reason for the current systemic crisis. Yet through the last few years the solution has been to make these banks even bigger allowing their web to […]