Silicon Investor (SI) -- The First Internet Community

SiliconInvestor

register

Sponsor

register

Technology Stocks : Valence Tech & Market Talk With Don Wolanchuk -- Ignore unavailable to you. Want to Upgrade?

To: lipid who wrote (68344)	10/7/2011 1:42:05 PM
From: Winfastorlose	Read Replies (1) \| Respond to of 82287

This is not a housing bust driven recession. The housing boom was only created to cover up for the fact that millions of jobs were being exported and the US middle class was being dismantled. It bought time before the chickens would come home to roost. You can't just export millions of high paying jobs and believe there will be no consequences I told people at the time the housing boom was in full swing (2004ish) to sell their homes into the boom because when it burst it would be the worst housing bust in history due to the fact it was so artificial and so many jobs were being lost that no one would be able to afford to buy their expensive homes from them. I was 100% right about that. Some of my friends & family listened and sold into the top of the market in 2006-2007 and rented houses for less than the property taxes on their old homes cost. Others did not and are now reaping the consequences. Housing prices will not recover soon either because they will not make a half million dollar loan in the future to a lettuce picker or a gas station attendant with no money down. The mini mansions that were built during this last housing boom will be sectioned off and turned into duplexes and 4-plexes, just like it happened after the roaring 20s crashed and burned. (and it took about 60 years before people started buying large homes again). That is already happening in some areas of California and Florida (believe it or not, Florida is even worse off than Cali insofar as real estate is concerned)

Copyright/IP Policy

Copyright © 1995-2013 Knight Sac Media. All rights reserved.