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We need a housing bubble or else home prices would collapse

We need a housing bubble or else home prices would collapse

Bureaucrat | Feb 8, 2013 12:04 PM ET In my area, rents are still very soft, maximus34. Many, many folks who move these days are being forced to rent their current homes very cheaply because they are underwater and can`t cough up enough cash to retire their mortgage with a home sale. Prices are roughly 40% below the 2006 peak and not many folks can take a 40% loss on their property, therefore they are renting their homes out just to generate some cash flow. I am in the process of selling my old house and will take a $56K loss on the property. As I don`t have a mortgage, selling at a loss is better than hanging on to a high tax, insurance and maintenance liability.

Leopold31 | Feb 8, 2013 02:53 PM ET So prices in SW Florida are OK now due to Baby Boomers entering retirement. We`ve seen how this population bulge has affected many parts of the economy from housing, to mini-van purchases, and so forth. But what happens when that winds down and you have more houses available than people moving in? Just like everything else we`ve seen, when the baby boomer`s move on, they leave economic devastation in the vacuum they create. What happens when baby boomer retirement no longer drives your real estate prices AND the Fed no longer pumps a hundred billion bucks a month into the market? Yikes.

tarandfeathers | Feb 8, 2013 09:52 PM ET We need a housing bubble or else home prices would collapse. You could byuy a house for a song! Whr do you think the Bernanke is not picking up interest rates? Guess people!






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15-year mortgage rate hits record low - We`re witnessing the beginning of the next housing bubble. These rates are artificially low thanks to the money being pumped into circulation by the Federal Reserve. Spend wisely, within your means, a... - by 15yrMort

Modest US Growth in 2013, Housing Recovery to Continue: NABE - We.are.being.played | Dec 17, 2012 09:10 AM ET Well - you may be calling for sunny weather - BUT - I don`t buy it (literally). Given the large Sheeple population, that are breeding with the Lemmings,... - by Force_R

You will not sell in two years for 200k - Cooleridge | Jan 29, 2013 11:24 AM ET "Huge demand as the Obama economy is creating massive wealth" Is this a joke? I voted for Obama but "...massive wealth?" I don`t think so. BTW, You overpaid. Whe... - by Cheap5p

Housing Market May Not Be as Healthy as It Appears - sidfeinberg | Feb 27, 2013 02:04 PM ET WTF does an Economist know? He`s some egghead in an office making 40k a year. Look at the articles the past few days. New home builds are up, pending sales up, ... - by Chicago75

first time home buyers back in the market - LoganMohtashami | Feb 14, 2013 12:44 PM ET If you take an economic view of it.. We clearly don`t have the traditional or first time home buyers back in the market as strong as the cash buyers have be... - by CatGB24



We need a housing bubble or else home prices would collapse

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