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Strategies & Market Trends : The Residential Real Estate Crash Index
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To: Wyätt Gwyön who wrote (13543)9/8/2003 12:37:08 AM
From: biometricgngboyRead Replies (3) of 306849
 
I'm surprised at the scant attention given to "The Coming Crash" on this thread. The book has been out for almost half a year. BTW, Talbott theorizes that even a recovering economy wouldn't suffice to prevent the housing market from crashing:

"A small increase in wages of say 3 to 5 percent from a stronger economy would be dwarfed in the [mortgage] lenders' qualifying formula if [interest] rates increased from 6 to 8 percent (a 25 percent increase in rate levels from the formula's perspective)." pg. 108.
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