In recent mortgage news and commentary about the depressed state of the economy, even “The Boss” is singing the blues. In an interview conducted in his home studio, Bruce Springsteen told NBC’s Brian Williams, “When the economy went away from serving everyday working people and the small businessman and turned into a gambling house, it spelled doom…”
There a lot of people who agree with “The Boss” especially when it comes to the housing market. Mortgage news reports of worsening conditions in many areas across the U.S. continue to saturate the internet, newspapers and television news. Many real estate agencies and even the National Association of Realtors are running print and online ads or commercials encouraging people to buy a home now because of the massive inventory of low-priced properties. Other mortgage news reports warn people not to be hasty in running out and scooping up their dream home because no one is really certain whether the housing market has hit its all-time-low or still has room to fall.
One thing is for sure is that there is a tremendous glut of empty houses as well as foreclosed properties, and homes in the process of being foreclosed that are occupied by people who can no longer afford to pay their mortgage loan. Many of these homeowners saw the value of their home fall so substantially below their original purchase price that even if they could afford to pay the mortgage, they decided it was not worth continuing to pour money into an ever deepening pit. Many of these “upside down” property owners chose to simply walk away from an obligation that might never have been paid off.
As further evidence that the housing market may have reached an all-time low comes the mortgage news that even builders and home improvement contractors are being forced to drop their prices in order to keep their businesses operating. Many builders have a lot of extra inventory that they are unable to sell without drastically reducing the selling prices, and as more houses are built and competition increases from other builders anxious to reduce their inventory, there seems to be little positive mortgage news of a housing recovery in the near future.
In recent mortgage news and commentary about the depressed state of the economy, even “The Boss” is singing the blues. In an interview conducted in his home studio, Bruce Springsteen told NBC’s Brian Williams, “When the economy went away from serving everyday working people and the small businessman and turned into a gambling house, it spelled doom…”
There a lot of people who agree with “The Boss” especially when it comes to the housing market. Mortgage news reports of worsening conditions in many areas across the U.S. continue to saturate the internet, newspapers and television news. Many real estate agencies and even the National Association of Realtors are running print and online ads or commercials encouraging people to buy a home now because of the massive inventory of low-priced properties. Other mortgage news reports warn people not to be hasty in running out and scooping up their dream home because no one is really certain whether the housing market has hit its all-time-low or still has room to fall.
One thing is for sure is that there is a tremendous glut of empty houses as well as foreclosed properties, and homes in the process of being foreclosed that are occupied by people who can no longer afford to pay their mortgage loan. Many of these homeowners saw the value of their home fall so substantially below their original purchase price that even if they could afford to pay the mortgage, they decided it was not worth continuing to pour money into an ever deepening pit. Many of these “upside down” property owners chose to simply walk away from an obligation that might never have been paid off.
As further evidence that the housing market may have reached an all-time low comes the mortgage news that even builders and home improvement contractors are being forced to drop their prices in order to keep their businesses operating. Many builders have a lot of extra inventory that they are unable to sell without drastically reducing the selling prices, and as more houses are built and competition increases from other builders anxious to reduce their inventory, there seems to be little positive mortgage news of a housing recovery in the near future.
This entry was posted
on Tuesday, August 3rd, 2010 at 8:02 am and is filed under
: Mortgage News.