Take a look at the data provided by the nation's top foreclosure data collection service (click on article title above or cut and paste http://www.realtytrac.com/news/Press/newsletter-articles.asp?a=b&ItemId=6959&accnt=216648 ) It clearly states the following:
One out of every 380 households in the entire United States received a foreclosure notice in just the month of June 2009! If you divide the 380 by 12 months you will quickly see (1 out of every 32) how many households we are now on pace to have receive notices over the next year. If you are an average American, you know at least 300+ people. That means YOU know someone who received a notice last month, someone who will receive one this month and every month for the next several years. When will it be your turn?
Nationwide foreclosure filings were up 5% in June 2009 over May 2009. A 5% increase in just one month!
Nationwide foreclosure filings were up 33% over the same period in 2008 - simple math tells us that we have averaged less than a 3% per month increase to total 33% over the course of the past year - if the past month is 5%, isn't that more than 3%? doesn't that mean the rate of foreclosure filings is INCREASING? Rapidly?
Overstating the obvious and asking questions:
Over 2/3 of the homes already foreclosed on by banks have not yet come back on the market, what impact have the less than 1/3 already had on pricing?
If 2/3 haven't come back on and 1/3 has, does that mean that the impact on pricing created by this 2/3 will be twice the impact of the first 1/3? Or is 2/3 not twice 1/3? (Reality is the impact will be far more than twice, but I don't have the patience to explain why right now, I'm too irritated by the lying politicians and Realtors blowing sunshine up everyone's asses telling them all is wonderful!)
If the rate of foreclosure filings is increasing, is there any way a sane individual with any more than rocks in their head could reasonably think that, as our government's leaders and the liars at NAR would have us believe "we have hit a bottom?"
If we know that on average it is taking well over a year for properties entering the foreclosure process to actually go through the process and come back on the market, when will these new filings actually add to the already staggering supply currently available? Or will they simply be put on the shelf w/ all the other shadow inventory being held by lenders? Do you really expect them to hold the properties forever? Is it possible that a handful of individuals could actually profit beyond anything we could fathom by using this shadow inventory to push prices down?
If we realistically expect foreclosure filings to peak in the later half of 2012 (see previous entries at www.smashedfeet.com) when will the peak of distressed home supply actually hit the market?
How long after that will demand increase at a sufficient enough pace to start putting a dent in the enormous supply?
If we know that once supply has peaked and demand is not falling we will hit a market bottom within 6-12 months, when will that occur?
Once we reach that market bottom, will buyers, lenders and others magically forget what happened to get us there and start diving back into the real estate market throwing caution to the wind or will the bottom be extended with an eventual slow and careful re entry by the lenders and buyers?
If we can realistically assume inventory won't peak until late 2013 at the earliest, and a bottom won't be reached until most likely at least 2015, how long will that bottom last?
How many years will it take to get back to today's levels?
How many baby boomers will still be around, let alone buying at that point?
How many lenders will still be around, let alone lending at that point?
When our government, NAR, etc all start insisting that things are turning around, almost jumping up and down shouting that it's getting better . . . what is the one thing you know it's not getting?
Or are you one of the sheep who believes what our politicians and Realtors tell you?
More questions to consider:
What happens when the rest of the world, led by Brazil, Russia, India and China no longer permit the US Dollar to be artificially propped up?
What happens when no one wants to lend $ to the US?
What happens when the US can't even afford to make interest payments on the debt owed to the rest of the world?
What happens when US citizens realize that the money they were told was available for their pensions and retirements really isn't there?
What happens when all the sheep stop being fed?
Hmmmm . . .
The most important question:
What are you doing to position yourself and those you care about to help as many others as possible through the stress, chaos and turmoil that exists today and the unavoidable future pain already guaranteed by asinine irresponsible choices over the past 60+ years?
