Once those viable credit worth borrowers have been routed with f

John McCloy

This is a perfect example of why price deflation needs to be embraced from the very start. Reality is always trying to correct. Instead we have severe problem not before seen in this country about to emerge which will make the home declines very sharp.
By jacking markets, offering record low rates, tax credits and creating temporary jon security by entering into debt the government just used responsible Americans for the benefit if banks. They created a false bottom by holding back inventory, playing home modification stall games, allowing Americans to stay in their homes for an extraordinary period of time and sucking the future by tricking thise with savings and jobs to buy home prices at what will come to be a top in home prices for a decade. Once those viable credit worth borrowers have been routed with freshly underwater homes and their credit worthiness vanishes we will see the 75% decline in homes I have been predicting.
Of course those holding cash, gold etc and standing pat will be able to purchase homes at their true bottom in 5+ years and we can rebuild a strong foundation.
What is so hard for them to understand?
Inflated home prices through ease of credit and irresponsibility created this disaster. Te difference was they were able to spin the wheels briefly because Americans had service jobs at the time and savings. Now we have had the greatest wealth destruction in history and no savings and immense debt more so than before and no jobs as no credit. They cannot force inflation and home prices up because like the banks profits they were all false and turned out to be debt. Easy stuff here.