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.
Stockman confused me when he stated rates are going to go up in 2 years which will pop the whole bubble including the new housing speculation, but at the same time we`re beginning a currency war which means rates can go into negative territory.
Any thoughts ?