HowardJuly Home Sales and Economic Thoughts
Real Crash- Looking at the Financial System and the War Drive:
Waiting for the dead cat bounce on the economy?
Real crash is getting some significant competition in the doom and gloom department on the economy, especially on real estate right here in the USA. No make that especially on everything. Look at this yahoo finance article taken from CNBC, with some comments and notes:
It's been a while since I've sensed quite this much doom among the folks obsessed with housing (one told me simply, "You're going to be very busy!"), but July existing home sales are unquestionably the product of a perfect storm: (The economy is crashing and the credit crunch is tightening. The loose money is for only ONE purpose-- bailing out the big banks again).
1. The home buyer tax credit expired April 30th, and originally you had to close by June 30th. Yes, that closing deadline was extended, but the bulk of tax credit-inspired sales likely closed by the end of June; hence, the July hangover.
2. Renewed concerns about a double-dip recession and lackluster job growth have pushed confidence in the housing market lower. (You can't buy a house, or even pay rent as a shelf stocker at Walmart as some of my blogger friends have been reminding me).
3. Rock-bottom mortgage interest rates have done nothing to boost mortgage purchase applications in the past few months.
4. Foreclosures are taking a turn for the worse yet again. (Should have listened to Lyndon LaRouche and frozen the home foreclosures. We are just creating a bottomless pit in housing markets, plus more homeless too.)
...But what about the fact that the first time buyers are out (mostly) of July's numbers? "Their share is likely to drop into the mid or low 30's in July, dragging existing home sales down to their lowest level since the present data series begins in 1999," say the folks over at IHS Global Insight.
Why not get the straight and early disaster mongering stuff at larouchepac.com, and then get the solution too with the water from Alaska project, high speed rail and other great projects.
