CAT | Home Sales Stats
10
Are We Really 2 Years Away From a Bottom?
2 Comments · Posted by admin in Bank Owned, Foreclosure, Home Sales Stats, REO, Short Sales
I read an article recently that discussed the obstacles facing the housing market which suggested we still may be a full 2 years away from a bottom in the housing market.
Here at www.sellmyhouse.comwe know all to well that there is a lot of pain right now in the housing market. Almost 25% of homeowners owe more on their house than it is worth and figuring out how to help these people when the short sale process is so bogged down right now is definitly a challenge. The psycholigical effects of this can be devistating, but that is not what we are discussing in this post.
What are the specific challenges that our economy is facing that might make this true:
- Jobs have not started to return. The real unemployment number is alot closer to 15% than the 9.7% rate offered up by the governments report. It doesn not inlcude folks that have given up on finding a job or those that are working part time because they cant get full time work. We’ve heard runblings from our wall street buddies that this number will approach 20% before it is all said and done. No housing boom in history has every occured without outright job creation, much less a slowing of job losses.
- Foreclosures for the most part have been put off for a year because of TARP and all of the government foreclosure incentives. We have heard that almost 5 million houses are on the verge of foreclosure. If that is true, then that means there is almost 1 full year of inventory waiting on the sidelines.
- Money is very tight. Banks are not lending, and moreover, seem to be looking for reasons not to lend. I read a report that said it isnt that they dont want to lend, it is they just dont have the money to lend right now. Their money is out, and it is out on properties that have lost value. The rest of their money is being horded in case the economy does not get better.
- The government stimulous, which has done a good job of getting potential buyers off the fence to date, is set to end this spring. Will they renew it? Time will tell.
- People are scared of the future. ‘Main street’ America is still struggling mightely with lost hours at work, higher heating bills from this winter, and the economy is on the verge of collapse again.
Those are all very goood reasons why it is possible that we may not see a housing bottom until 2012. Scary thought, especially if you make your living from this industry.
Jason Roberts
Founder & CEO
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2
An Outright Assualt on the Realtor Profession.
1 Comment · Posted by admin in Bank Owned, FSBO, Foreclosure, Home Sales Stats, Lead Generation, REO, Short Sales
We always try to stay on top of the news, trends, etc here at www.sellmyhouse.com. In doing our daily research of the goings on in the market we came across the following blog written from somebody who clearly thinks that Realtors are the absolute scum of the world and we created the entire Economic collapse.
Enjoy:
Please chime in!
www.SellMyHouse.com Staff Writter
Bank Owned · Foreclosures · Freddie Mac · Home Prices · housing market · sell my house · sellmyhouse.com · short sale
24
Freddie Mac in Serious Trouble
No comments · Posted by admin in Bank Owned, Foreclosure, Home Sales Stats, REO
How are these for statistics:
Last year Freddie lost almost $26 BILLION. Over the last 3 years that total is approaching $80 Billion. Almost 4% of loans on their books are at least 3 Months behind. Between Freddie and Fannie last year, they backed almost 70% of the new mortgages.
Freddie Mac warned there is “significant uncertainty as to whether or when we will emerge” from government control. “We now have unlimited taxpayer exposure to the bailout of Fannie and Freddie, a bailout nation where the big get bigger, the small get smaller and the taxpayer gets poorer,” Rep. Jeb Hensarling, R-Texas, said at a House hearing Wednesday.
Charles Haldeman, Freddie’s CEO warned today of a “potential large wave of foreclosures” still to come.
At www.sellmyhouse.com, the number of phone calls we get daily from people afraid of losing their house has gone up, not down. We worry that after this Spring season is over and the Tax Credit is gone, and the massive wave of foreclosures hit the market, and the job market keeps getting worse, and the…. and the…..we’ll have to pay the piper. And the payee this time is the Government. We’ve just put of the inevitable for a few more years and made everybody feel like all is well. Of course everybody does not include main street America. We’ve been paying the piper the entire time…guess where the Government gets their money!
Hold on..it’s not over yet! Our investor network is going to have a tremendous few years.
www.SellMyHouse.com Staff Writter
New home sales plummet 11.2 percent in January to annual rate of 309,000, lowest on record.
January’s weakness was evident in all regions except the Midwest, where sales posted a 2.1 percent increase. Sales were down 35 percent in the Northeast, 12 percent in the West and almost 10 percent in the South.
The drop in sales pushed the median sales price down to $203.500. That was down 5.6 percent from December’s median sales price of $215,600, and off 2.4 percent from year-ago prices.
New home sales for all of 2009 had fallen by almost 23 percent to 374,000, the worst year on record. The National Association of Home Builders is forecasting that sales will rise to more than 500,000 sales this year, an improvement from 2009 but still far below the boom years of 2003 through 2006 when builders clocked more than 1 million new home sales per year.
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