Happy days are here again, right? With the 27% jump in new home sales, announced last week, the real estate crisis is over and we can move on – right? Not by a long shot. The New York Times latest giddy article about the end of Obama’s recession entitled “From the Mall to the Docks, Signs of Rebound” is propaganda.
The Commerce Department told us new home sales grew to 411,000 last month; the biggest jump in monthly activity in 47 years: Meaningless.
A sober look at the numbers proves the Times is wrong again. The “big jump” was based on February’s all time low of 324,000.
The “good” price news on these new homes is not exactly what we were led to believe either. While the median sales price rose to $214,000 even that was down from February.
A recent report from LPS Applied Analytics grimly announced the number of foreclosed homes in the possession of banks and other lending institutions is so large it would take 103 months to clear the backlog. That means it will take more than 8 years to get to zero PROVIDED there were NO MORE new foreclosures.
The raw number of foreclosed homes is 1.1 million. This is up 20% from last year, and doesn’t include the vast number of homes in arrears that are NOT being moved on by lenders because they are simply incapable of managing this huge number of properties.
Overwhelmed courts
Lenders holding delinquent mortgages are frequently electing to do nothing. The number of these distressed properties in many counties has their civil calendars blocked out for YEARS. Demands for foreclosure relief fall on deaf ears and there is no reversal in sight.
Happy days aren’t here no matter the Times and others say: It’s all just a mirage.
What the media is smothering
What the Democrat controlled media is NOT making clear about the “big” new sales rebound is that it is being funded by us, the taxpayers. We have been forced to partially finance almost 1.8 million new home buyers with tax credits costing $12.6 billion. Today’s “bounce” is real to be sure, but it is built on sand and can’t be sustained. The National Association of Home Builders predicts that when our money runs out the balloon will break.
Consider this: in spite of all the bribes the Obama Administration has handed out new home sales are STILL down 70% from just five years ago.
Organize and work or they will drain every last cent we have. These people don’t even feel the need to hide their larcenous intentions. It’s time to stand up or be rolled over. It’s time to choose whether you will be a slave or live free. It really is as simple as that.
What did you do to support and defend American freedoms yesterday? What will you do today and tomorrow?
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