Mortgage Defaults

The Next U.S. Housing Crisis Has Arrived: Existing Home Sales Post Their Biggest Decline In 4 Years

Things just continue to get even worse for the U.S. housing industry.  New homes sales have been absolutely plummeting, homebuilder stocks have lost over a third of their value, and existing home sales just posted their biggest decline since 2014.  For years, we had been witnessing a real estate boom in the United States, but now that has officially ended.  It is starting to feel like 2008 all over again, and many of those that work in the industry are really starting to freak out.  The Federal Reserve has been aggressively raising interest rates, and it is having the exact same effect on the housing industry that it did just before the last recession. (Read More...)

Will 2011 Be A Nightmarish Year For The U.S. Housing Market?

As we come to the end of 2010, there seems to be very few reasons to be optimistic about the U.S. housing market as we enter 2011.  Home prices have fallen for several months in a row, mortgage rates are going up, mortgage delinquencies are increasing again, the mortgage industry is mired in horrific legal problems and the underlying economy is still extremely sluggish.  During 2009 and throughout the first half of 2010 the U.S. housing market experienced a time of stabilization and it looked like the housing industry might recover, but when the tax breaks expired things started to get bad once again.  Now many analysts are publicly using the term “double-dip” when speaking about prospects for the U.S. housing market in 2011. (Read More...)

Housing Collapse 2010?

Will we see the start of another housing collapse before the end of 2010?  That is what a number of top economists are beginning to fear.  The truth is that there are some very troubling signs in the housing numbers.  The massive tax credit that the U.S. government was offering to home buyers helped prop up the housing market for quite a while, but now that the tax credit has expired, many real estate professionals are bracing for the worst.  The reality is that foreclosures continue to set all-time records, the mortgage industry is a complete mess and another massive wave of adjustable rate mortgages is scheduled to reset in 2011 and 2012.  As the U.S. economy continues to falter, and as the nation starts to deal with the economic fallout from the Gulf of Mexico oil spill, many are now wondering how in the world Americans are going to be able to afford to purchase millions of these homes which are still massively overpriced.  The American Dream is still way too expensive for the vast majority of Americans.  So are there signs that housing prices in the U.S. could be on the verge of another major decline? (Read More...)

50 Statistics About The U.S. Economy That Are Almost Too Crazy To Believe

Most Americans know that the U.S. economy is in bad shape, but what most Americans don’t know is how truly desperate the financial situation of the United States really is.  The truth is that what we are experiencing is not simply a “downturn” or a “recession”.  What we are witnessing is the beginning of the end for the greatest economic machine that the world has ever seen.  Our greed and our debt are literally eating our economy alive.  Total government, corporate and personal debt has now reached 360 percent of GDP, which is far higher than it ever reached during the Great Depression era.  We have nearly totally dismantled our once colossal manufacturing base, we have shipped millions upon millions of middle class jobs overseas, we have lived far beyond our means for decades and we have created the biggest debt bubble in the history of the world.  A great day of financial reckoning is fast approaching, and the vast majority of Americans are totally oblivious. (Read More...)

10 Clear Signs That This Will Be A Double-Dip Recession In The United States

The U.S. economy has been riding out one of the worst recessions in modern history, but unfortunately every economic signal seems to be indicating that we are going to be experiencing a “double-dip” recession instead of a recovery.  U.S. government debt is out of control, a massive “second wave” of mortgages is scheduled to reset starting this year, banks have significantly tightened credit, pension funds across the U.S. are broke at a time when a ton of Baby Boomers are ready to retire, and a massive financial crisis in the Eurozone threatens to throw the world into financial chaos.  The truth is that 2010 is going to be another very tough year economically, and for many the American Dream is quickly becoming a distant memory.  The following are ten clear signs that this will be a double-dip recession in the United States…. (Read More...)

Housing Crash Part 2? A Massive Second Wave Of Mortgages Reset Starting In 2010

The housing crash of 2008/2009 was one of the biggest financial disasters in American history.  Approximately 6 million homes have been foreclosed on by lenders in just the last three years alone as millions of American families watched their hopes for achieving the American Dream go up in smoke.  Since early 2008, approximately 60 million U.S. homes have lost a combined 5 trillion dollars in value.  It has been an unmitigated disaster for homeowners, lenders, home builders, real estate agents and construction workers.  Now approximately one out of every four U.S. homeowners are “underwater” on their mortgages.  That means that they owe more money than their homes are worth.  If that wasn’t bad enough, it is estimated that by June of this year approximately 5.1 million American homeowners will own a home valued below 75 percent of what is owed.  Can you imagine owing $400,000 on a home that is only worth $300,000?  That is where millions of American families find themselves now.  In some areas of the U.S., the housing market is so bad that it is almost comical.  In California, one bank demolished 16 nearly completed homes because it was cheaper to knock them down than to finish building them.  The worst part is that by all indications, the housing crash is far from over.  In fact, a massive “second wave” of mortgage defaults is on the way over the next three years that could potentially deliver a knock out blow to the U.S. economy. (Read More...)