Amen to that 70degrees.
That our savers getting screwed is due to the deliberate Bernanke/Fed policy of keeping interest rates at a minimum in order to prop up the stock market and housing market. He is hurting those who play by the rules and save for their future, and apparently doesn’t care about how much it hurts the frugal and the elderly who hoped to live off their interest during retirement.
As far as Canadians and other foreigners buying here, let’s bring it on. They did not cause our bubble and bust–we did. If prices are now a bargain to them, and their currency is stronger than ours because they did not mismanage their economy, then they deserve to come here and pick up bargains.
BTW, Canadian fiscal and monetary policy for the last decade is in remarkable contrast to that of the U.S. They did not allow extreme leverage in their banking and mortgage sector, they did not oversupply their housing stock with excessive building fed by cheap loans, their budget is close to being balanced as they did not hype their economy with excessive spending. Markets reward smart policies like this, and the strength of the Canadian dollar is the result. Canadians are big factors in the Phoenix housing market, and I’m not surprised they are also buying in the Palm Springs area.
