Mike Morgan recently wrote the following, this is why I respect him, click on title above or cut and paste link below for a funny, yet sad clip:
Hank Paulson was devious, corrupt and an outright criminal that far exceeded anything Madoff did. But he's a Goldman Sachs untouchable.
Tim Geithner is also devious, corrupt and an outright criminal, but he is also dumb as a box of rocks. Then again, maybe he is sly as a fox and just continuing the masterful fraud that Hank Paulson started.
Below is a link to a clip everyone should watch. Here is Tim the Tax Cheat telling us AGAIN that the recession is over AND the housing crisis is over . . . but he can't sell his old house!
http://www.thedailyshow.com/watch/wed-july-29-2009/home-crisis-investigation
Let me assure you, the housing crisis is NOT over. In fact, it is going to get much worse as unemployment rises and the banks are eventually forced to release the foreclosed homes on their books.
As a Florida real estate broker working with banks and asset managers, I can definitively state that there are a flood of foreclosures backing up in the system. Moreover, when they do come on the market, here in Florida we have a thing called mold. Since the banks are not properly managing these properties, many of the homes we see come on the foreclosure market have had no air conditioning for months . . . which means they are full of toxic mold. Sometimes these properties are given a quick white wash.
Basically, banks are not in the real estate business. Most of them hire inept asset managers that destroy value by ignoring what needs to be done to manage these properties. We don't work with them, but we see the results of their inattention every day. The asset managers we work with demand perfection, and this means clean the homes up and turn on all utilities. Beware if you are buying a foreclosed home, and beware of the flood of foreclosures yet to hit the markets.
The Housing Crisis is not over. Think of it like a drowning person that comes up for yet one more breath of air before sinking to the bottom.
