Skip to comments.Amherst Sees 7m Foreclosures Poised to Distress House Prices
Posted on 09/30/2009 10:45:33 PM PDT by TigerLikesRooster
Amherst Sees 7m Foreclosures Poised to Distress House Prices
By DIANA GOLOBAY
September 24, 2009 10:34 AM CST
Recent analysis by the Amherst Securities Group indicates the housing industry will not only worsen as a delayed pipeline of foreclosed loans begins to liquidate, but that the Administrations Making Home Affordable Modification Program (HAMP) will have no lasting effect on keeping delinquent loans current.
The early signs of stabilization seen among housing industry observers may soon recede as an overhang of the shadow inventory of foreclosures waits to enter the market.
The general outlook that the housing market has bottomed is premature optimism, according to analysis this week from Amherst.
The single largest impediment to a recovery in the housing market is the large number of loans that are either in delinquent status or in foreclosure that are destined to liquidate, analyst Laurie Goodman said in an insight report Wednesday.
(Excerpt) Read more at housingwire.com ...
Another $35 billion down the socialist rat hole.
Sad thing is, The Obammunist and every congress critter knew the Anherst info months ago.
This info has been in black and white at many government and independent web sites for a long time.
They need to shut up an pay their damn mortgage.
That just means they get another year's worth of subsidized rent on a single family dwelling.
Why would they do that? That is certainly not something one with even two functioning brain cells would accept an obligation to do as a given.
The value of real estate is directly proportional to the real median individual income. That is not a new observation, any Belgian school economist will go on ad nauseum about it.
The banks and mortgage companies had every means to know the home prices they were giving loans on were vastly inflated - no innocent victims there. Some of the buyers, however, were simply inexperienced and naive.
If real estate prices free fall to the actual value, more people will be able to buy without crippling loans. Socialist schemes to prop up prices are never good in the long run.
And yes, I am one of those people who were forecasting the housing bubble collapse. Simple very basic math.
Consider this your “I told you so.” for the evening.
never saw this coming... oh wait, yes i did. october 1 on the dot
I don’t see what’s so distressing. Houses are still overpriced.
Makes me want to sell ....
Maybe HAMP isn’t working because this administration is smoking too much HEMP!!
I remember MrEdd's forcast at least back in 2006.
Let the free market work. Some people will be hurt financially, some will become very wealthy.
The purpose isn’t to make things better: wealth transfer is the name of the political game.
It is like going in for a one hour surgery in only 1 minute intervals over sixty days. Anyone with half a brain cell could see that for the physical body it would be devastating, but for some reason economics is hard to understand.
It is for Congress which is full of people who can't even balance their checkbook.
And one reason these homes will sit unsold — 50 million potential homeowners aborted.
On what planet? None of this is affecting home prices in this part of Texas. What a joke.
Somehow, the default character of the average politician never lives up to the rhetoric.
That a free people would seek to be ruled by the political class, a group of people whose top skill is obsequiousness during elections and monarchical conceit afterward, completely blows my mind.
A speculator has bought a small house on two acres adjoining my property. I met him two days ago and he told me he is asking $89000. for it. This was after he had told me that the company which had foreclosed on the place had asked $79000. and then cut it to $69000. and then cut it again and he, “made them an offer”. I gather that he paid no more than $50000. which is less than it sold for five or six years ago when it was bought by the owner who was foreclosed on.
Not only does he tell me he wants what sounds like at least a fifty percent profit but he proposes to cut off a small lot on either side of the house and asked me what I thought of that. I told him I didn’t think it was a very good idea. I suspect he may wind up taking a loss before all is said and done.
If he doesn’t turn it quickly then by late March he will be facing huge maintenance costs for the lot, a few weeks in the spring here without maintenance will make it look like a house abandoned in the woods.
US to Home Prices: Come on DOWN!!!
If there is a way to rid ourselves of these people, we should do so.
“you should do him a favor and graffiti the house.”
Oh, no, I would never do that. I don’t resent the man for trying to make some money on the property. I just think he is misjudging things and I thought it a little odd that he told me how much the mortgage company cut their price before he made them an even lower offer and bought it and then turn around and tell me he is asking ten thousand more than the mortgage company wanted at the start. Why does he think he can do so much better than the mortgage company could do?