loan default rate:facts

here's some housing info that is old but gives an indication of default rates that include a downturn in the housing market in Ca.

http://www.huduser.org/Publications/pdf/FHASingleFamilyDefaultLossRates.pdf

it shows how your government thinks about problems and tirelessly tries to explain why loans should be made to people who should be renting.

add in that the cost of housing is raised by exemptions such as interest rate deduction, property tax deduction, lower percent down, a 2nd home with the same financing requirement as the first, 2nd loans, home equity loans, home equity loans with deduction for interest, deduction for fees on the first loan, etc.

it's pretty clear that the government caused this problem.  they financed spending and caused inflation of housing prices.

but of course you won't notice or care.  this of course overflows into the price of real estate for farming and essentially makes it impossible for new farmers to get started due to high land prices.  of course people with land will complain it's their retirement so of course they don't want prices to come down.

anyone who thinks we don't already have a managed economy are fooling themselves.

This is what happens when you allow a bunch of lawyers to become social engineers.

They used our, the taxpayers, money to finance the bad loans in the first place. And now they are using our, the taxpayers money, to bail themselves, the politicians, out. :'(

SD said:

This is what happens when you allow a bunch of lawyers to become social engineers.

They used our, the taxpayers, money to finance the bad loans in the first place. And now they are using our, the taxpayers money, to bail themselves, the politicians, out. :'(

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and they are hurting the new farmers out even more because of the Bailout they have cut funding for the new farmers loans that they had for a while.  I just pray that before I turn 30 that they will be able to bring those back. 

You are so right on the money or NO MONEY that is.  Goes back to my thing about rewarding people for BAD BEHAVIOR.  There are those who can't manage there money, never need to be homeowners, and certainly shouldn't be given equity loans.  The person who passed that (equity lending) I think was out of his mind.  There are those that can manage it, but really shouldn't.  Its ruined the housing markets, people borrow to the max then default, and they owe more on there houses than they're worth. I still think the best feeling in the world is knowing the roof over my head is mine.  Its bad enough we're at the mercy of the property tax burdens.

Farmers are on the endangered species list already.  As a land real estate agent I think FARMLAND is the best investment out there.  I fear though since the good ole USA has let every foreigner come in here and buy our land our businesses etc, and give them more special treatment than us legal born in America Americans, (if we don't we're considered "racists") we'll be answering to them before long, if not already.  

(argue)

kobo_ranch said:

we'll be answering to them before long, if not already.  

(argue)

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which is why democrats/UN want to get rid of the 2nd amendment.

Locally, east central KS, we have not seen a sharp price drop, but the housing market is at a crawl.  Of course we did not see 3x the appreciation like some of the areas out in CA.

We have also started to uptick on foreclosures.  I don't remember seeing any earlier in 2008, now we have about 7 available right now in my town.  They are selling, because banks are discounting to move them.