Yes! It’s happening, or people are finally starting to acknowledge it, the double dip

[CA renter]

We’ve seen the seasonal weakness every year, with the exception of late 2009/early 2010, when the tax credit was in full swing.

Though it’s counter-intuitive, I think we’ll see housing weaken as the rest of the economy improves. The housing market is being propped up **because the economy is weak.** Once the economy strengthens, it will become more and more difficult to justify spending so much money on artificially propping up the housing market (including the govt-backed mortgage market).

Cheap houses and plentiful jobs…now THAT would make for a healthy economy! 😉

[briansd1]

[quote=CA renter]
Though it’s counter-intuitive, I think we’ll see housing weaken as the rest of the economy improves. The housing market is being propped up **because the economy is weak.** Once the economy strengthens, it will become more and more difficult to justify spending so much money on artificially propping up the housing market (including the govt-backed mortgage market).[/quote]

I agree with you. The government is propping up housing because it prevents the economy from collapsing. But once other sectors of the economy pickup the government will withdraw housing support, if GDP can keep on growing without it.

Double dip article in LA Times:
http://www.latimes.com/entertainment/news/music/la-fi-double-dip-20110126,0,4931371.story

[briansd1]

[quote=CA renter]
Though it’s counter-intuitive, I think we’ll see housing weaken as the rest of the economy improves. The housing market is being propped up **because the economy is weak.** Once the economy strengthens, it will become more and more difficult to justify spending so much money on artificially propping up the housing market (including the govt-backed mortgage market).[/quote]

I agree with you. The government is propping up housing because it prevents the economy from collapsing. But once other sectors of the economy pickup the government will withdraw housing support, if GDP can keep on growing without it.

Double dip article in LA Times:
http://www.latimes.com/entertainment/news/music/la-fi-double-dip-20110126,0,4931371.story

[briansd1]

[quote=CA renter]
Though it’s counter-intuitive, I think we’ll see housing weaken as the rest of the economy improves. The housing market is being propped up **because the economy is weak.** Once the economy strengthens, it will become more and more difficult to justify spending so much money on artificially propping up the housing market (including the govt-backed mortgage market).[/quote]

I agree with you. The government is propping up housing because it prevents the economy from collapsing. But once other sectors of the economy pickup the government will withdraw housing support, if GDP can keep on growing without it.

Double dip article in LA Times:
http://www.latimes.com/entertainment/news/music/la-fi-double-dip-20110126,0,4931371.story

[briansd1]

[quote=CA renter]
Though it’s counter-intuitive, I think we’ll see housing weaken as the rest of the economy improves. The housing market is being propped up **because the economy is weak.** Once the economy strengthens, it will become more and more difficult to justify spending so much money on artificially propping up the housing market (including the govt-backed mortgage market).[/quote]

I agree with you. The government is propping up housing because it prevents the economy from collapsing. But once other sectors of the economy pickup the government will withdraw housing support, if GDP can keep on growing without it.

Double dip article in LA Times:
http://www.latimes.com/entertainment/news/music/la-fi-double-dip-20110126,0,4931371.story

[briansd1]

[quote=CA renter]
Though it’s counter-intuitive, I think we’ll see housing weaken as the rest of the economy improves. The housing market is being propped up **because the economy is weak.** Once the economy strengthens, it will become more and more difficult to justify spending so much money on artificially propping up the housing market (including the govt-backed mortgage market).[/quote]

I agree with you. The government is propping up housing because it prevents the economy from collapsing. But once other sectors of the economy pickup the government will withdraw housing support, if GDP can keep on growing without it.

Double dip article in LA Times:
http://www.latimes.com/entertainment/news/music/la-fi-double-dip-20110126,0,4931371.story

[Arraya]

The government is propping up housing because RE values are directly linked to bank’s health, which is directly linked to ability to give credit, which is directly linked to consumption. The circle of destruction. Granted, they did sort circuit the system through a variety of ways.

[Arraya]

The government is propping up housing because RE values are directly linked to bank’s health, which is directly linked to ability to give credit, which is directly linked to consumption. The circle of destruction. Granted, they did sort circuit the system through a variety of ways.

[Arraya]

The government is propping up housing because RE values are directly linked to bank’s health, which is directly linked to ability to give credit, which is directly linked to consumption. The circle of destruction. Granted, they did sort circuit the system through a variety of ways.

[Arraya]

The government is propping up housing because RE values are directly linked to bank’s health, which is directly linked to ability to give credit, which is directly linked to consumption. The circle of destruction. Granted, they did sort circuit the system through a variety of ways.

[Arraya]

The government is propping up housing because RE values are directly linked to bank’s health, which is directly linked to ability to give credit, which is directly linked to consumption. The circle of destruction. Granted, they did sort circuit the system through a variety of ways.

[briansd1]

Arraya, I think that credit is the great innovation of capitalism. It allows the front- loading of consumption and accelerates wealth creation.

The future payback can be painful, but what’s the alternative to continued consumption and GDP growth? (I’m talking about an alternative that would be widely embraced by the population).

[briansd1]

Arraya, I think that credit is the great innovation of capitalism. It allows the front- loading of consumption and accelerates wealth creation.

The future payback can be painful, but what’s the alternative to continued consumption and GDP growth? (I’m talking about an alternative that would be widely embraced by the population).

[briansd1]

Arraya, I think that credit is the great innovation of capitalism. It allows the front- loading of consumption and accelerates wealth creation.

The future payback can be painful, but what’s the alternative to continued consumption and GDP growth? (I’m talking about an alternative that would be widely embraced by the population).

[briansd1]

Arraya, I think that credit is the great innovation of capitalism. It allows the front- loading of consumption and accelerates wealth creation.

The future payback can be painful, but what’s the alternative to continued consumption and GDP growth? (I’m talking about an alternative that would be widely embraced by the population).

[Author]

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