Interesting theory. So we've gone from The bulk of that "NET WORTH" is tied up to PAPER appreciation in their homes.. which, can disappear as quickly as it appeared... not to mention, that most folks have taken nearly every ounce of equity out of it as well (kinda funny how you can have the bulk of your net worth tied up in paper gains while at the same time drawing down your equity to zero, LOL!) to 50% of the people have no mortgages while 50% have 100% mortgages (no equity).
Fact is simple, you don't build wealth on -2.2% savings rates..
And yet, our net worth still increases.
You can't borrow yourself to prosperity
Why not? If I borrow at 6% and earn 12% that sounds like I'm on the way to prosperity.
57% equity position has to include all CORPORATELY and Municipally held land, not just housing held by owner occupied.
Wrong again. Just houses owned by households. That'd be people, not governments.
You can'g have a 57% equity position and have record foreclosures... it just doesn't work that way.
Really? Record foreclosures? You have a link? How many is a record?
Just doesn't add up.
Just 'cause (as we've proven) you don't know how to add? LOL!
Toddster, your ignorance on this topic is astounding.
Record foreclosures have been going on in most states for the last 5 years, Colorado, New York, Pa... etc.. the fact is Foreclosures are at the highest they have been in decades, and have been for years now... in 2002, foreclosures were at their highest nationally than they had been in 30 years. (see any number of news reports on this one)
For a more recent take, see the May 30, 2005 Washington Post... (A Bane Amid The Housing Boom: Rising Foreclosures).. Or perhaps RealtyTrac (National Foreclosures Increase Almost 19% in October According to RealtyTrac(TM) U.S. Foreclosure Market Report 11-28-2005) one out of ever 1,422 households was in some part of the Foreclosure process. NJ had the highest with 1 in 422 homes.. Colorado which actually had a 29% decrease in October from September, still managed to stay in the top 5 for foreclosures... Ohio is average 1 Foreclosure per every 1,018 households....
You are blindly ignorant if you don't know that foreclosures are at all time highs in most of the country and have been for years. And its for the same reasons I've been stating over and over.... folks have no equity, because they have taken what they have had and spent it on crap usually. You don't build wealth by consuming more than you produce.
You don't build wealth by having a national average savings rate of -2.2%. You aren't winning if it takes 2 people workign to make the same real dollars that 1 did in 1970.. Free Trade is a scam, particularly in its current incarnation.