Stockman called out this scam in the early eighties, and Reagan “took him to the woodshead”. Stockman called for tax increases back then...and pointed out that deficit spending had to be curtailed...he was publically almost booted out of the GOP.
It’s payback time.
Actually those foreclosures are being scooped up en masse, but then money is put into them to prepare them to be rentals.
There is no avalanche of homeowners wanting to be homeowners again. The price increase is strictly and only a result of demand for the house so that it can be rented out.
It’s similar to the stock market. Volume is microscopic. Home sales rates are at 1998 levels. Price moves on such low volume really doesn’t mean much.
The government is being used as a clearing house, tax payer paid, to prime spending and making the economy look good for Obama. It is as simple as that. The endless borrowing by the government allows it. However one cannot pay for corruption indefinitely because corruption lives its own legacy of destruction. Ultimately the economy will become potemkin and crap will be sold.
When he was elected after the crash which mysteriously surfaced when Mc Cain was ahead, the crash continued unabated. This TARP was to save his arse.
We are basically raking the credit card debt with no end in sight and not paying interest rates on it or not willing to. This will end soon when the Chinese are going to ask for some dividends and inflation will go up, and a policy of high dollar is going to go on, just like the French had a strong currency policy in order to finance German reunification and the EUSSR project.