This, I believe. I think there may be more housing pain in 2011 because of the increased chances of a double-dip recession in the housing market. There were some bad statistics last week that seem to point to this in the future.
Increased chances? Oil prices are zooming up. Its guaranteed.
——there may be more housing pain ——
Consider my poor slut ex neighbor.
She auditioned new husbands after being forced to leave her happy home and husband because she was unfaithful. She auditioned four live in friends, at least one of which sinned by going after her 17 year old daughter, but none proved suitable. She conned a Bronze Star winning postman stud she bought at an man auction into marrying her.
Thus were joined two dysfunctional families that include 5 children and the 17 year old who left immediately on turning 18. The two sons, both around 10 actually seem to get along. The two teenage daughters did not. One was paid many visits buy deputies and the other somehow got pregnant
But I digress. The house was small and actually owned by her father. To remedy that, tens of thousands of $$$ of improvements were made, all with no sweat equity. A parade of contractors came and went from the complete makeover including garage and swimming pool.
Alas, the slut being a slut couldn’t resist and sinned again. She was forced to leave. The house is up for sale. The first mortgage is on her father and the second(s) are on her and her new hubby stud. She and her collection of antiques ( old furniture) are gone. He is left living in the bag that is for sale. Alas, no one will buy the overpriced bag that includes all the superficial improvements because they are superficial.
The loss is going to be huge and the only way to settle the acrimonious divorce is to sell the property. Easy money led to very very difficult and very very costly divorce.
Houses in our region are selling and have not really lost value like other places. The easy money and need to sell a gussied up but small house are the problem.
The boys seem to take it all in stride.
The thread is concerned about further decreases. This must be examined in light of the current inflation. It has not yet got to real estate, but it will. The inflation will float the properties back from underwater. It may be a long time before the prices begin to inflate above original levels but losses will be mitigated. One purpose of the inflation by design is to resolve the housing problem.