I don't want to hear about housing, residential permits, interest rates, consumer confidence, bad markets, foreclosures, sub prime mess, housing bubble or housing slump!
All of this negative talk would make someone jump off the Chesapeake Bay Bridge. I bet you and thousands of others are becoming to get numb to the constant dripping of bad housing news almost as though we expect it. We all know that the bubble was a mania of cheap and easy credit. Now the mania is over.
According to the Hanley Wood Market Intelligence, the partial disregard for negative news represents the "eye of the storm" and still waiting for the other shoe to drop. And only then, will we start to see recovery.
Since you expect the deliverance of stained news, get a load of this: U.S. housing starts fell to its lowest level since March 1991 while building permits fell to their lowest levels since April 2001. Source: Hanely Wood Market Intelligence.
Let's face it: most people who follow the housing market are looking for that small glimmer of hope, a spark, an uprise on the bell shaped curve, the number of days on market to drop, building permits to rise, and so on. As Americans, we are hopeful, we know it's just a matter of time, maybe months or years, but it will happen.
Interestingly, I read that the percentage of Americans who actually own their homes is at a record low. However, there is a record number of people who actually have title to their house and have high mortgage debt. So, ironically, all of the defaults we are experiencing is making downpayments a good idea again. You can see that lending standards are getting back to what they should've been.
Americans need to stop spending and become savers. We will cheer again, we will go out and build new homes again, and new homebuyers will walk away from renting and the American Dream will live on. Be very patient.
1 comments:
Hallelujah!!!!!
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