I think we can all agree, the housing market is helping hold this economy back from any substantial comeback.  And if you agree (which I do) that housing will play a key roll in the upcoming election.  Then why did Obama put a limit on the number of foreclosures banks can release this year?  I have been saying it all year, it’s an election year people, do not trust the media.  Do not trust the numbers (if you really believe we are at 8% unemployment, have I got a bridge for you)  and do not believe for a second that foreclosures are slowing.  In fact 2nd quarter 2012 is 10% higher in most states than it was a year ago for foreclosures on the books.


Here’s the deal, the current administration thinks you are not intelligent enough to understand the games they are playing and believe that you will believe the hype.  If you do, get ready and if you don’t, get ready anyway.  The back log of houses coming back to the banks is far greater than what we have seen already.  Someone has a mess to clean up, do you want the government to do it, or free market enterprise?  Well that’s your choice, choose wisely, it’s four more years.


In the attached article Carla Hill talks about banks and how it is harder than ever to get a loan while the Housing Affordability Index is off the charts in favor of home buyers.  This is more true than she delves into. Today, it is absolutely ridiculous as to how difficult it is to get a loan.  Good credit, money in the bank, great job, long history, it doesn’t matter.  Good luck at getting that loan.  Banks have all but locked down the industry as a whole.  If you want to buy a home to rehab, you better have cash, there is not a loan for you.  Outside the realm of the banks which are regulated by the government, you have private money and hard money.  These options are out there, but knowing you don’t have another option, makes this one very costly.


Why are banks making it so hard to get a loan?  Think about it, if you had a business where the sole purpose is to make money, which party would you want in?  In thinking that way, you clearly chose free enterprise.  So how would you get out the opposition and get back to business?  You simply hold an industry hostage!  Banks have been doing just that for the past few years.  When business was good, it was easy to get a loan.  When the government got involved and said free money to those who can’t afford to ever pay it back (sub prime loans) business became bad over night.  Now that the dust has settled, banks are simply taking their business back by saying to the government, get out of our business.


You can’t blame them, and you can’t blame them for your woes.  You should not have over extended yourself in the first place.  Yes it’s tough, but hang in there, good times are coming and you will be back in the money.  In the meantime, go after your dreams.  If you sideline as the article states due to uncertainty of job or future, you are part of the problem.  This country was built by risk takers, those who are not afraid to make money.  If you are not one of them, then step aside, but don’t complain when they have more than you do.  That too is your choice!