Bay Area Real Estate Trends

I know it has been several months since I have posted, honestly it has been a blood bath out there and tough to stay focused. There have been lots of changes on the Real Estate front to have been beaten up over. The saviour of the Short Sale program was supposed to be the HAFA [...]

None of us knows how the housing bust will play out. Some contend it already has, but those living in the reality-based community know we have a tremendous problem with delinquencies lenders are unable to resolve. What are we waiting for? Lenders to take losses.

The delinquency problem will be resolved through a combination of loan modifications, short sales and foreclosures. Those are the only three viable options. Loan modifications are proving to fail, so that leaves short sales and foreclosures. Either solution will push prices lower.

Every six months or so, Washington’s political will seems to coalesce in support of the only issue where there is true agreement across party lines: The housing market is still broken. Sadly, in our view, the Treasury Department’s Home Affordable Foreclosure Alternatives Program, or “HAFA,” is simply the latest in a series of flawed legislation aimed more at pacifying popular outrage rather than offering real, tangible solutions to the challenges facing the US housing market.

Any of several critical factors could trigger the next phase shift decline in housing prices. One of the central ironies of the current “housing recovery” is that it is 100% “socialist,” that is, funded entirely by the Federal Reserve and the Federal Government. The Fed has purchased quite literally 99% of all the mortgage-backed securities [...]

I was cruising the blogs and sites today and came up with a group that really caught my attention. The first article that I read is in direct relation to a previous post of mine, “To Whom does that Fed Intend to Sell its MBS?” In the article there is several quotes from the St. Louis [...]

So I was cruising the blogs and daily financial news blasts and came across this little update to my post the other day with some additional thoughts about how quickly we are printing money and IF the Federal Reserve has a choice when it comes to stop buying MBS’s by 3/31/2010. check it out here. [...]