Saturday, February 21, 2009

Obama Subsidizes the Wrong People

The Obama mortgage bailout plan is a subsidy to all the wrong people, a continuance of the economically errant past, and generally expensive and nonsensical.

President Obama needs to say that a big part of the reason the housing market in the U.S. is so screwed up is that government has for decades been using housing as a misguided social engineering experiment. There is a lethally romanticized vision of home ownership in this country, one that says that right after flag and country, comes a 2,200 square-foot house with a yard.

Opinion: Obama Subsidizes the Wrong People

Friday, February 20, 2009

Santelli's Tea Party

CNBC's Rick Santelli and the traders on the floor of the CBOE express outrage over the notion they may have to pay their neighbor's mortgage, particularly if they bought far more house than they could actually afford.

Video -

Southern California Housing Report

The Southern California housing situation is deteriorating even further with the recent report showing that the median price is now back to $250,000; at this level we would have to go back to February of 2002 which means we have erased 6 years of price gains. And we are not far from 2000 price levels. The median price of a Southern California home on January of 2000 was $209,000.

Median SoCal Price

February 2002: $246,000

March 2007: $505,000

[5 years and 1 month to reach peak from $250,000]

July 2007: $505,000

January 2009: $250,000

[1 year and 6 months to lose 5 years of gains]


Monday, February 02, 2009

Top 10 Reasons to Oppose the Stimulus

Top 10 Reasons to Oppose the Stimulus --

1. The Stimulus Will Not Work
2. The Stimulus follows the same plan that ruined Japan’s economy
3. The Stimulus is full of Wasteful Projects
4. The Government Can’t Afford the Stimulus
5. We Can’t afford the Stimulus
6. The Stimulus is Bigger Than the Economic Output of Most Countries
7. Central Planning like the Stimulus Doesn’t Work, Ask the USSR
8. Remember the $750 Billion Bailout from this Fall?
9. This Money Doesn’t Grow on Trees
10. Economists do NOT Agree this is a Good Idea

How To Move Those Buyers Off The Fence

How To Move Those Buyers Off The Fence - Realty Check with Diana Olick -

"Asked why they hadn’t committed to a purchase,
44 percent said they’re holding out for lower mortgage rates,
41 percent said they weren’t sure they could qualify for financing,
and 38 percent said they expect to see lower house prices.”"