This article is the first one I have seen to cite unemployment as a driver of foreclosure. I always said that the economy was completely whacked because people with jobs were losing their houses. Now that unemployed people have Alt-A and sub-prime loans, things will get interesting in the fall or next fall. It takes a year for the bank to foreclose on a house.
Historical home price to income ratios shows that prices should be near the bottom, but there is still a large supply and questionable "real" demand. Not many move upper in this market, and how many people have money in the bank?
Any real estate article that quotes Gary London as an "expert" doesn't have much credibility with me.
This article is the first one I have seen to cite unemployment as a driver of foreclosure. I always said that the economy was completely whacked because people with jobs were losing their houses. Now that unemployed people have Alt-A and sub-prime loans, things will get interesting in the fall or next fall. It takes a year for the bank to foreclose on a house.
Historical home price to income ratios shows that prices should be near the bottom, but there is still a large supply and questionable "real" demand. Not many move upper in this market, and how many people have money in the bank?
What do you suppose this means in the market?
See second item.
Delinquent on property taxes