the Headline says Why Home Values Will Take Decades to Recover ?
The Thing is Folks, the Realtors and the Morgage Brokers with the Full Support of the Lenders created false markets rising and rising and of Course it Will Now take Decades to Recover, the "Value" was False, it was an illusion created by the Sub-Prime Lenders and their Cronies the Mortgage Brokers and the Realtors along with Real Estate Appraisers that kind of got forced into the mix. The Lenders allowed the Values to Come in around 10% higher then any real proven data, this was to Prove the Home Values, the Realtor CMA and the Appraiser would "Prove" these values. So the Lender knowingly allowing loans for buying and home equity loans to come in higher and higher, each time raising 10% with no real proof.. it is kind of Obvious that at some point the Bubble would not only BURST but the bottom would completely fall out.
It tooks years upon years for the markets to rise based on false data and greed, it should take years to recover. Those making money in the False Rise will also be the ones making the money as the market falls. I am not talking about the Real Estate Consumer, I am talking about the Realtors, the Mortgage Broker - they get to Re-List the Foreclosures, Give Loans again and though the market is taken a turn for the worst for some these folks are still going to come out on top of the Real Estate Food Chain.
the Lenders ? Oh they are fine, they SOLD their mortgages long ago and Fannie and Freddie, along with Big Banking are getting hundreds of Billions to Bail them out. So as I always say, there is No Protection in Real Estate for the Real Estate Consumer that Foots the Bill..
Below is the Article I am Ranting About...
Why home values may take decades to recover
Rick Wallick moved into a new, three-bedroom $200,000 home in Maricopa, Ariz., in October 2005. Today, the home is worth $80,000.
The disabled software engineer stopped making mortgage payments this month. His $70,000 down payment is now worthless. His dream house will be foreclosed on next year.
"We're so far underwater it's not funny," says Wallick, 57, who had to return to his original home in Oregon to care for a sick family member and tend to his own medical problems. Wallick, one of the hardest-hit victims in one of the states hit hardest by the housing crisis, lost 60% of his home's value in three years.
His story is an extreme example, but home values have fallen so sharply since hitting a historic peak in the spring of 2006 that many Americans are wondering how much more prices can sink.
As painful as the decline has been, history suggests home values still may have a long way to drop and may take decades to return to the heights of 2½ years ago.
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