Yes, once again here’s the old bloviator talking about an impending crash in the housing market.
Economists have been predicting a mortgage and financial collapse many times greater than the nightmare of 2008-2009. The indicators are there. The national budget is raging out of control. Interest rates are far too low to sustain the banking industry. Investors are losing their shirts betting on the U.S. economy. China now owns a huge percentage of America’s debt. Mortgage companies at some point will have to massively raise the requirements on all new mortgages. If this happens the value of homes, starting with all those in Homeowners Associations, will crash.
In a recent blog I mentioned that this whole cascade of events will start with a minor story, a pebble being dislodged from an already unsteady dam.
The story linked below is more than a loose pebble. And it should be read and absorbed by absolutely every person with even a minor link to the Homeowners Association industry.
(Las Vegas running out of water)
Wow! Condos in Vegas will soon be selling really cheap. Of course, the cost of hauling water all the way from Lake Michigan every two weeks could offset the bargain price of the condo pretty quickly!
Jokes aside, this is a serious problem for Las Vegas. It will be interesting to see how they plan to overcome this one.
It will not be long until we hear similar stories from Florida – the land of aquifers, golf courses, HOAs and high rise condos.
Deborah,
I have no doubts you are correct.
I am convinced HOAs and COAs will go down in history as the self-destructing segment of American housing.
They are nothing more than a pipe dream.