Housing woes...

12 Reasons Why The U.S. Housing Crash Is Far From Over

Banks and other lending institutions all across the U.S. have seriously tightened their lending standards and so it is now much more difficult to get approved for a mortgage. That means that there are going to be less home buyers in the marketplace.

In addition, while mortgage rates are at record lows right now, the truth is that they will not stay there indefinitely. When interest rates do start to rise that is going to suck even more home buyers out of the market.

Truthfully, the housing market is not going to be as good as it was during the first several months of 2010 for quite some time. The entire U.S. economy is on the verge of collapse, and when it does the real estate industry is going to be one of the first to feel the pain.

The following are 12 reasons why the U.S. housing crash is far from over....

#1) Now that the huge home buyer tax credit (government bribe to purchase homes) has expired, the real estate industry is bracing for the worst. The truth is that a significant percentage of those Americans that planned to buy a home in 2010 really tried to squeeze their purchases in before the April 30th deadline in order to take advantage of the tax incentive. According to mortgage consultant Mark Hanson, "buyers were bidding on everything and sellers were accepting anything and everything before 4/30." Now that the tax credit is over, things could get really slow for the U.S. real estate market.

#2) A massive "second wave" of adjustable rate mortgages is scheduled to reset in 2011 and 2012. In fact, there are many analysts that are openly speculating that this second wave could be even more brutal than the first wave that we experienced in 2007 and 2008.

#3) The number of home sale closings in May was down more than 5% compared to April.

#4) Newly signed home sale contracts dropped more than 10% in May.

#5) There has been an even more dramatic decline in mortgage applications. In fact, home purchase applications are now almost 40 percent below the level of just four weeks ago.

Link to the rest of the list:
http://theeconomiccollapseblog.com/archives/10-reasons-why-the-u-s-housing-crash-is-far-from-over