Mayors Redline Summit

It is a dark blue sky approaching storm, when the real estate market. Since the variable-rate subprime and bankruptcy law, foreclosures have clearly and significantly reduces the value of the houses are, for example, rain falls, and a mortgage to create confusion.

Here is the property of the current report in real time. Foreclosures rose 75% in 2007 over 2.2. per deposits in the country. Biggest cloud over the Nevada, Florida, Michigan, California and Colorado, or hang, and California, the same protocol, with 481,392 positions. 2008 should do the same and worse than in 2007.

With more and more classes, and the houses are desperate and discouraged. Financial authorities to see in urban Detroit, expect the correlation between the different seizure and burning of homes. The conclusion is that the fire is growing, as the owners require motivation to fight the fire, and we hope to reap the benefits, and their needs, without going through the process.

The collapse of the mortgage, because some of the districts around the country, the scourge of degradation, because the owners do not make payments can poor and variable mortgage rate of false informing the origin of their payments balloon over the availability of empty or abandoned property never the houses left for homeless animal and insect infestation sites.

Some homeowners, frustrated by the situation of all the mortgages in the mud, it is much more harmful intentionally leave the water before you go and create and mold problems or in part, only forms of physical destruction of the house.

Currently, the FBI raided the 14 companies in connection with mortgage fraud mortgage crisis, stock exchanges, SEC and other alleged irregularities in the body of the housing market.

Mayor of Baltimore, Maryland, said the Wells Fargo Bank that the bank loan was guilty “reverse red lining” action – deliberately mortgage market in the vicinity of high-risk minority situation that the bank knew or ought reasonably to know. This argument against the bank a few years ago, when he spoke of drawing the red line areas that do not intentionally loans – was mostly ethnic minority neighborhoods, convicted, where the term red line. Mayor said minorities have more than 60% fixed-rate mortgage loans that Wells Fargo, and now most of these loans is the default and closure of the grim reaper of destruction.

These facts are strong evidence for the hypothesis that the housing industry has been asked to turbulence. The dark cloud of the subprime failures and attacks that the future looks dark and black ….But there is a glimmer of hope in the middle of a dark cloud.

If there is a positive side? New evidence now. It is not, and probably a good real estate market as soon as possible. Depends be seen through the lens.

Federal funds was reduced from 3% 30 January 2008. Mortgage rates have to react and start it too small. This requires more resources and help of many houses still refinance troubled loans in the form of variable-rate loans 30-40 years, so that the closure or other future financial problems.

Congress looks completely and regulations or changes in the regulations the maximum loan to purchase insurance on the support of the FHA. Credit Line $ 417,000 is unrealistic in the current market situation. Democrats have credit limits over $ 700,000 to try. Republicans proposed, making the $ 600,000. The observation is that both sides of the border, and $ 417,000, should be considered. After that happens, the buyer may receive additional funding of loans and buy houses that are not currently available.

House sales have dropped to new homes at historically low levels. Sellers are very motivated and willing to finance customers to help. All who contribute to the buyer on the market. “It is a positive side effect.

Homebuyers, especially first-time buyers are an important factor in the storm mortgage mess. The winds of change for us. History repeats itself. Landfills outside of the housing market and said that rising Phoenix .