January 2012 U.S. Economic Fundamentals
- Thread starter Ally
- Start date
- Joined
- Mar 24, 2009
- Messages
- 16,743
Robert Shiller on why home prices could fall for several decades
No one knows what will happen, but it's not hard to argue that the housing market is nearing a bottom. Home construction is as unsustainably low today as it was unsustainably high during the bubble. The more builders like KB Homes (NYSE: KBH ) and Lennar (NYSE: LEN ) are beaten into submission today, the bigger the housing rebound will eventually become.
That's the good news. But here's a question few are asking: After the housing market does bottom, what you should expect from it going forward?
Read the full article here.
No one knows what will happen, but it's not hard to argue that the housing market is nearing a bottom. Home construction is as unsustainably low today as it was unsustainably high during the bubble. The more builders like KB Homes (NYSE: KBH ) and Lennar (NYSE: LEN ) are beaten into submission today, the bigger the housing rebound will eventually become.
That's the good news. But here's a question few are asking: After the housing market does bottom, what you should expect from it going forward?
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Case Shiller: House prices fall to new post-bubble lows in October (seasonally adjusted)
S&P/Case-Shiller released the monthly Home Price Indices for October (a 3 month average of August, September and October). This release includes prices for 20 individual cities and and two composite indices (for 10 cities and 20 cities).
Read the full article here.
S&P/Case-Shiller released the monthly Home Price Indices for October (a 3 month average of August, September and October). This release includes prices for 20 individual cities and and two composite indices (for 10 cities and 20 cities).
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Deutsch bank offers plans for renting U.S. foreclosed homes
Fortress Investment Group LLC (FIG) and Deutsche Bank AG (DB), whose executives played roles in the housing bubble, are among the hundreds of firms that responded to a U.S. government request for proposals to rent out foreclosed homes.
The Federal Housing Finance Agency asked for ideas as Fannie Mae and Freddie Mac, the mortgage companies seized by the government in 2008, seek to reduce losses, stabilize neighborhoods and support housing values by turning into rentals a portion of the more than 180,000 repossessed homes in their inventory. The submissions were due by Sept. 15.
Read the full article here.
Fortress Investment Group LLC (FIG) and Deutsche Bank AG (DB), whose executives played roles in the housing bubble, are among the hundreds of firms that responded to a U.S. government request for proposals to rent out foreclosed homes.
The Federal Housing Finance Agency asked for ideas as Fannie Mae and Freddie Mac, the mortgage companies seized by the government in 2008, seek to reduce losses, stabilize neighborhoods and support housing values by turning into rentals a portion of the more than 180,000 repossessed homes in their inventory. The submissions were due by Sept. 15.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Forecasters cut U.S. growth outlook
Forecasters are cutting their outlook for U.S. economic growth as new evidence shows consumer and business spending is heading into 2012 with less momentum than previously thought.
Consumer spending rose 0.1 per cent in November from the previous month, less than most Wall Street analysts were expecting. And new orders for durable goods, excluding transportation equipment, rose a modest 0.3 per cent, as a sharp drop in requests for computers and electronics sapped overall demand.
Read the full article here.
Forecasters are cutting their outlook for U.S. economic growth as new evidence shows consumer and business spending is heading into 2012 with less momentum than previously thought.
Consumer spending rose 0.1 per cent in November from the previous month, less than most Wall Street analysts were expecting. And new orders for durable goods, excluding transportation equipment, rose a modest 0.3 per cent, as a sharp drop in requests for computers and electronics sapped overall demand.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Snowbirds flock to U.S. bargains
Foreign ownership in American real estate sits at about eight per cent - but that percentage is worth $82 billion US, says the National Association of Realtors.
Homes in many parts of the United States are now worth what they were nearly 10 years ago in 2002, says a report from the association - and it's this decline that is attracting foreigners, mostly Canadians, to snap up a seasonal home at dirt-cheap prices.
Read the full article here.
Foreign ownership in American real estate sits at about eight per cent - but that percentage is worth $82 billion US, says the National Association of Realtors.
Homes in many parts of the United States are now worth what they were nearly 10 years ago in 2002, says a report from the association - and it's this decline that is attracting foreigners, mostly Canadians, to snap up a seasonal home at dirt-cheap prices.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Five U.S. metros hit highest job levels in decade
Recovery is more than a dream in Texas and Pittsburgh. It's a fact of life.
Only five of the nation's 100 major metropolitan areas are currently at their highest employment levels in a decade, according to an On Numbers analysis of Follow this company data.
Read the full article here.
Recovery is more than a dream in Texas and Pittsburgh. It's a fact of life.
Only five of the nation's 100 major metropolitan areas are currently at their highest employment levels in a decade, according to an On Numbers analysis of Follow this company data.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Signs point to slow improvement
In the closing days of 2011, reports on consumer confidence, job creation, manufacturing, and yes even housing, appeared to show cautious signs of improvement. But for many casualties of the recession the suffering is far from over.
At employment fairs across the country the lines of job seekers were long while full-time opportunities remained scarce. Long-term unemployment is still close to record high levels. `People who are getting jobs tend to be people who haven`t been unemployed for very long,` says economist Diane Swonk at Mesirow Financial in Chicago. Many employers who advertise jobs won`t even interview someone who has been out work for more than a few weeks.
Read the full article here.
In the closing days of 2011, reports on consumer confidence, job creation, manufacturing, and yes even housing, appeared to show cautious signs of improvement. But for many casualties of the recession the suffering is far from over.
At employment fairs across the country the lines of job seekers were long while full-time opportunities remained scarce. Long-term unemployment is still close to record high levels. `People who are getting jobs tend to be people who haven`t been unemployed for very long,` says economist Diane Swonk at Mesirow Financial in Chicago. Many employers who advertise jobs won`t even interview someone who has been out work for more than a few weeks.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Squatters say foreclosed homes beat homeless shelters
Reporting from New York`
Slips of paper are pasted to the broken door of the corner row house, violations for the garbage piled near the front steps. The stench of trash wafts up the dark interior stairway, where an ashtray filled with cigarette butts sits like an abandoned potted plant on the second-floor landing.
Nobody lives here, at least not officially.
But as you climb the narrow stairs to the top floor, a door opens into an airy apartment that is home to Tasha Glasgow, who is part of a largely invisible population of squatters occupying vacant homes across America. Given their clandestine lives, it's impossible to say how many people are squatting in this country, but with more than 1.3 million homes in foreclosure and hundreds of thousands of people homeless, advocates say it's safe to assume the number is growing.
Read the full article here.
Reporting from New York`
Slips of paper are pasted to the broken door of the corner row house, violations for the garbage piled near the front steps. The stench of trash wafts up the dark interior stairway, where an ashtray filled with cigarette butts sits like an abandoned potted plant on the second-floor landing.
Nobody lives here, at least not officially.
But as you climb the narrow stairs to the top floor, a door opens into an airy apartment that is home to Tasha Glasgow, who is part of a largely invisible population of squatters occupying vacant homes across America. Given their clandestine lives, it's impossible to say how many people are squatting in this country, but with more than 1.3 million homes in foreclosure and hundreds of thousands of people homeless, advocates say it's safe to assume the number is growing.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Unemployment rate drops in most metro areas in November
The majority of U.S. metropolitan areas reported lower unemployment rates in November with 351 of the 372 localities seeing a decline from a year earlier.
The Bureau of Labor Statistics said unemployment rose in 16 areas and remained the same in five, according to nonseasonally adjusted figures released Wednesday.
Data show 58 metropolitan areas saw jobless rates of at least 10%, down from 112 a year earlier. Another 129 areas recorded jobless rates below 7%, which is up from 65 in November 2010.
Read the full article here.
The majority of U.S. metropolitan areas reported lower unemployment rates in November with 351 of the 372 localities seeing a decline from a year earlier.
The Bureau of Labor Statistics said unemployment rose in 16 areas and remained the same in five, according to nonseasonally adjusted figures released Wednesday.
Data show 58 metropolitan areas saw jobless rates of at least 10%, down from 112 a year earlier. Another 129 areas recorded jobless rates below 7%, which is up from 65 in November 2010.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
U.S. consumers slowly digging out of debt
WASHINGTON, Jan 4 (Reuters) - More consumers made their home equity loan payments on time in the third quarter of 2011 and a broad measure of consumer delinquencies fell to its lowest point in four years, according to data released on Thursday by the American Bankers Association.
The group said consumers are making progress on digging out of debt.
'Subtle improvements in the economy such as lower gas prices and a better job market have reduced some of the stresses facing consumers,' said ABA Chief Economist James Chessen.
Read the full article here.
WASHINGTON, Jan 4 (Reuters) - More consumers made their home equity loan payments on time in the third quarter of 2011 and a broad measure of consumer delinquencies fell to its lowest point in four years, according to data released on Thursday by the American Bankers Association.
The group said consumers are making progress on digging out of debt.
'Subtle improvements in the economy such as lower gas prices and a better job market have reduced some of the stresses facing consumers,' said ABA Chief Economist James Chessen.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Washington, D.C. leads U.S. in attracting new residents
NEW YORK (CNNMoney) -- Among those who moved last year, the nation's capital was once again the most popular destination.
According to a United Van Lines annual migration study, which took into account 146,000 interstate moves, nearly twice as many Americans moved to Washington, D.Chttp://http://money.cnn.com/magazines/moneymag/bplive/2011/snapshots/PL1150000.html?iid=EL. than moved out, making it the most migrated to destination in the nation for the fourth year in a row.
Often, people go where the jobs are. As unemployment soared throughout most of the nation over the past four years, jobs were being created in or near D.C., thanks to one big employer: The government.
Read the full article here.
NEW YORK (CNNMoney) -- Among those who moved last year, the nation's capital was once again the most popular destination.
According to a United Van Lines annual migration study, which took into account 146,000 interstate moves, nearly twice as many Americans moved to Washington, D.Chttp://http://money.cnn.com/magazines/moneymag/bplive/2011/snapshots/PL1150000.html?iid=EL. than moved out, making it the most migrated to destination in the nation for the fourth year in a row.
Often, people go where the jobs are. As unemployment soared throughout most of the nation over the past four years, jobs were being created in or near D.C., thanks to one big employer: The government.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Fed treads new path with U.S. housing push
WASHINGTON ` The Federal Reserve has launched a potentially controversial push to revive the battered U.S. housing market, calling on other government officials to act after largely exhausting its own tools to support the fragile economic recovery.
After the Fed slashed interest rates to near zero more than three years ago and amassed US$2.3-trillion in bonds to spur growth, the U.S. economy showed some momentum toward the end of 2011. But many analysts are doubtful the recovery will achieve take-off velocity in 2012 and housing is one of the biggest drags.
Read the full article here.
WASHINGTON ` The Federal Reserve has launched a potentially controversial push to revive the battered U.S. housing market, calling on other government officials to act after largely exhausting its own tools to support the fragile economic recovery.
After the Fed slashed interest rates to near zero more than three years ago and amassed US$2.3-trillion in bonds to spur growth, the U.S. economy showed some momentum toward the end of 2011. But many analysts are doubtful the recovery will achieve take-off velocity in 2012 and housing is one of the biggest drags.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Turning foreclosures into rentals
NEW YORK (CNNMoney) -- Federal officials hope to launch a pilot program in early 2012 to convert government-owned foreclosures into rental properties.
The program, which was cited by Federal Reserve Chairman Ben Bernanke last week as one way to address the housing crisis, would sell foreclosed homes now owned by Fannie Mae (FNMA, Fortune 500) and Freddie Mac (FMCChttp://http://money.cnn.com/quote/quote.html?symb=FMCC&source=story_quote_link, Fortune 500http://http://money.cnn.com/magazin...11/snapshots/3018.html?source=story_f500_link) to investors in bulk. The properties would then be converted into rentals.
The initiative began back in August, when the Federal Housing Finance Agency, the Treasury Department and the U.S. Department of Housing and Urban Development announced they were seeking suggestions on ways to dispose of repossessed homes now owned by Fannie Mae, Freddie Mac and the Federal Housing Administration.
Read the full article here.
NEW YORK (CNNMoney) -- Federal officials hope to launch a pilot program in early 2012 to convert government-owned foreclosures into rental properties.
The program, which was cited by Federal Reserve Chairman Ben Bernanke last week as one way to address the housing crisis, would sell foreclosed homes now owned by Fannie Mae (FNMA, Fortune 500) and Freddie Mac (FMCChttp://http://money.cnn.com/quote/quote.html?symb=FMCC&source=story_quote_link, Fortune 500http://http://money.cnn.com/magazin...11/snapshots/3018.html?source=story_f500_link) to investors in bulk. The properties would then be converted into rentals.
The initiative began back in August, when the Federal Housing Finance Agency, the Treasury Department and the U.S. Department of Housing and Urban Development announced they were seeking suggestions on ways to dispose of repossessed homes now owned by Fannie Mae, Freddie Mac and the Federal Housing Administration.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
A poor year for home building ends on a hopeful note
WASHINGTON (AP) -- Builders ended 2011 with a third straight year of dismal home construction and the worst on record for single-family home building. But improvement at the end of the year lifted hopes for an eventual recovery.
In December, builders broke ground on a seasonally adjusted annual rate of 657,000 homes, the Commerce Department said Thursday. A third straight increase in single-family home building was offset by a drop in volatile apartment construction. Building permits, a gauge of future construction, were essentially unchanged.
Read the full article here.
WASHINGTON (AP) -- Builders ended 2011 with a third straight year of dismal home construction and the worst on record for single-family home building. But improvement at the end of the year lifted hopes for an eventual recovery.
In December, builders broke ground on a seasonally adjusted annual rate of 657,000 homes, the Commerce Department said Thursday. A third straight increase in single-family home building was offset by a drop in volatile apartment construction. Building permits, a gauge of future construction, were essentially unchanged.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
U.S. real estate market may bounce back in five years
Zillow`s most recent Real Estate Market Report again provided less than encouraging results for the property market.
According to the report, values of residential housing in the United States dropped 0.1% in November 2011 from its October standing ` a marginal decrease, but a decline nonetheless. The annual Zillow Home Value Index also dropped close to 5% from its level in November 2010.
Read the full article here.
Zillow`s most recent Real Estate Market Report again provided less than encouraging results for the property market.
According to the report, values of residential housing in the United States dropped 0.1% in November 2011 from its October standing ` a marginal decrease, but a decline nonetheless. The annual Zillow Home Value Index also dropped close to 5% from its level in November 2010.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
U.S. unlikely to fully recover, Carney warns
Canada needs to look beyond its southern neighbour for markets because the United States economy is unlikely to ever fully recover, Bank of Canada governor Mark Carney said Sunday.
In an interview with CTV's Question Period, Carney said that it is vital for Canada to look for new trading partners in the Asia-Pacific region and elsewhere to prevent the economy from being dragged down by the U.S.
"It's going to take a number of years before they get back to the U.S. that we used to know - in fact, they are not, in our opinion, ultimately going to get back to the U.S. that we used to know," he said.
Read the full article here.
Canada needs to look beyond its southern neighbour for markets because the United States economy is unlikely to ever fully recover, Bank of Canada governor Mark Carney said Sunday.
In an interview with CTV's Question Period, Carney said that it is vital for Canada to look for new trading partners in the Asia-Pacific region and elsewhere to prevent the economy from being dragged down by the U.S.
"It's going to take a number of years before they get back to the U.S. that we used to know - in fact, they are not, in our opinion, ultimately going to get back to the U.S. that we used to know," he said.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
U.S. homes sales at 11-month high
Sales of previously owned homes rose to an 11-month high in December and the supply of properties on the market tumbled to a near 7-year low, pointing to a nascent recovery in the U.S. housing market.
The National Association of Realtors said on Friday existing home sales increased 5 per cent month over month to an annual rate of 4.61 million units.
November's sales pace was revised down to a 4.39 million-unit pace, previously reported as a 4.42 million-unit rate.
Read the full article here.
Sales of previously owned homes rose to an 11-month high in December and the supply of properties on the market tumbled to a near 7-year low, pointing to a nascent recovery in the U.S. housing market.
The National Association of Realtors said on Friday existing home sales increased 5 per cent month over month to an annual rate of 4.61 million units.
November's sales pace was revised down to a 4.39 million-unit pace, previously reported as a 4.42 million-unit rate.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Unthinkable is poised to happen, economist warns
The Aftershock Survival Summithttp://http://w3.newsmax.com/a/aftershockb/video97.cfm?PROMO_CODE=CD97-1 is a gripping, no-nonsense presentation that`s quickly becoming a financial beacon in an economic tsunami.
Featuring an exclusive interview with famed economist and best-selling author Robert Wiedemer, this disturbing presentation exposes harsh economic truths along with a dire financial warning ` a prophetic message that`s spreading across America like wildfire.
But it`s not just the grim predictions that are causing the sensation; rather, it`s the comprehensive blueprint for economic survival that`s really commanding global attention.
Read the full article here.
The Aftershock Survival Summithttp://http://w3.newsmax.com/a/aftershockb/video97.cfm?PROMO_CODE=CD97-1 is a gripping, no-nonsense presentation that`s quickly becoming a financial beacon in an economic tsunami.
Featuring an exclusive interview with famed economist and best-selling author Robert Wiedemer, this disturbing presentation exposes harsh economic truths along with a dire financial warning ` a prophetic message that`s spreading across America like wildfire.
But it`s not just the grim predictions that are causing the sensation; rather, it`s the comprehensive blueprint for economic survival that`s really commanding global attention.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Miami home sales break record in 2011
Miami home sales set a new record in 2011, exceeding transaction levels during the height of the real estate boom in 2005, according to the 26,000-member MIAMI Association of REALTORS and the Southeast Florida Multiple Listing Service (SEFMLS). Total 2011 sales, including both condominiums and single-family homes, in Miami-Dade County were 24,929, up four percent from the 24,025 in 2005 and 46 percent from 17,068 in 2010. Year-end closed sales of condominiums surged 54 percent, from 9,760 in 2010 to 15,009 in 2011. Total single-family home sales increased 36 percent from 7,308 in 2010 to 9,920 in 2011.
`The Miami real estate market exceeded all expectations in 2011, posting record sales that yielded rising prices,` said Jack H. Levine, 2011 Chairman of the Board of the MIAMI Association of REALTORS. `Miami is a very unique city in most ways, and the real estate market recovery proved no different. Miami is hot, and it`s not just the weather!`
Read the full article here.
Miami home sales set a new record in 2011, exceeding transaction levels during the height of the real estate boom in 2005, according to the 26,000-member MIAMI Association of REALTORS and the Southeast Florida Multiple Listing Service (SEFMLS). Total 2011 sales, including both condominiums and single-family homes, in Miami-Dade County were 24,929, up four percent from the 24,025 in 2005 and 46 percent from 17,068 in 2010. Year-end closed sales of condominiums surged 54 percent, from 9,760 in 2010 to 15,009 in 2011. Total single-family home sales increased 36 percent from 7,308 in 2010 to 9,920 in 2011.
`The Miami real estate market exceeded all expectations in 2011, posting record sales that yielded rising prices,` said Jack H. Levine, 2011 Chairman of the Board of the MIAMI Association of REALTORS. `Miami is a very unique city in most ways, and the real estate market recovery proved no different. Miami is hot, and it`s not just the weather!`
Read the full article here.