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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: TobagoJack who wrote (71349)	8/28/2009 8:51:21 PM
From: Maurice Winn	2 Recommendations Respond to of 74559

TJ, with CB's "Holy" housing price discoveries during bankruptcy processes, and interest rates pausing and going negative, it's premature at best to think things are back to normal. When interest rates are back up to Happy Meal standards, rents are higher than the price of buying a house, incomes, taxes and trade are happily in balance, with unemployment under 8%, then we can relax and prepare for the next events. There has been a LOT of market clearing and the process continues apace and we have avoided cascading implosion for another year since the plunge last September. But there is plenty of potential for more. Big Ben still has to fly his helicopters around and vacuum up all those bales of bucks he threw out over the last year. It's a LOT easier to throw bales of bucks out a door than to tidily gather them all back up, stacking them neatly at the helicopter base. Before that happens, millions of people need to get their mortgages onto a more stable financial footing or close them down. Mqurice