Nationwide Home Sales Collapse: There Is No Recovery and This Chart Proves It

Now may be the best time to buy a home. At least that’s what the majority of real estate agents in America will tell you if you ask them how the housing market is doing.

They’ll cite various statistics and give you a “feel” for the market from their personal experiences to convince you this is the case. But if you’re paying attention, then it should be clear that there is, in fact, no recovery in the housing sector. And any gains we may have seen over the last few years are nothing short of a Federal Reserve fueled mirage, much like the stock market.

The following chart from Bank of America is indicative of some serious fundamental problems, not just with the housing market, but the broader economy as a whole.

first-time-homebuyers

If you ask the experts they’ll give a host of reasons for why sales are down, as well as prognostications for why the real estate market is about to turn the corner and head back to new highs.

The weather, of course, is always to blame for lackluster sales in homes and consumer products, and that, apparently, is the case once again. But the National Association of Realtors has, for the first time ever, indicated that there is another key challenge facing home buyers.

Student debt appears to be a factor in the weak level of first-time buyers.

“The biggest problems for first-time buyers are tight credit and limited inventory in the lower price ranges,” he said. “However, 20 percent of buyers under the age of 33, the prime group of first-time buyers, delayed their purchase because of outstanding debt. In our recent consumer survey, 56 percent of younger buyers who took longer to save for a downpayment identified student debt as the biggest obstacle.”

Brown notes the survey results are for recent homebuyers. “It’s clear there are other people who would like to buy a home that are not in the market because of debt issues, so we can expect a lingering impact of delayed home buying,” Brown added.

NAR via Zero Hedge

In short, we’re broke as a nation and we’re broke as individuals.

A recent micro documentary that discussed America’s College Debt Bubble in detail predicted that we would soon begin seeing the fall out from trillion dollar student loans. Apparently, that fall out has already begun.

But not to worry, because housing experts indicate that we may soon see home sales and prices start to rise, an effect that will be fueled by more jobs and rising incomes:

“Going forward it will take sustainable job and income growth to propel would-be-homebuyers back into the market. But with the labor market uneven at best, it may take some time before the housing industry regains the momentum seen earlier last year.”

Housing Wire

As you have probably deduced, there’s one key problem here. There is no job growth. And, any income growth already has inflation priced right in, so purchasing power will not increase and is likely to actually decrease because the rate of inflation is outpacing what Americans are being paid.

Thus, if we are awaiting a real estate recovery and the necessary steps for such a recovery require an improvement in the jobs market then you can forget about it.

The housing market is the pulse of our nation. It was the trigger event for the collapse of 2008, and it looks like it is now indicating what many of us already know: that we are in the midst of another recession within a broader depressionary trend.

Couple this with the Federal Reserve now indicating that they are pulling back on $ 85 billion in monthly market stimulus, and you can probably guess where this is headed next.

Welcome to Round 2.

housing-crash


SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You

Please pray for Billy Graham, who seems close to going home to be with the Lord.

Billy Graham is pictured during a celebration for his 95th birthday in Asheville, North Carolina, in this November 7, 2013 handout photo provided by the Billy Graham Evangelistic Association (Reuters)

Billy Graham is pictured during a celebration for his 95th birthday in Asheville, North Carolina, in this November 7, 2013 handout photo provided by the Billy Graham Evangelistic Association (Reuters)

(Washington, D.C.) — Please join me in praying for Dr. Billy Graham, who at the age of 95, appears to fading and ready to go home to be with the Lord. Please also pray for his family and staff at this challenging and emotional time.

“Franklin Graham, son of the Rev. Billy Graham and president of his evangelistic association, gave an update on the minister’s health to The Christian Post this week, stating that while the elder Graham was not in any immediate danger, a simple cold could turn the tide,” reported the Christian Post. “Meanwhile, Will Graham, the elder evangelist’s grandson, has said he believes the 95-year-old Southern Baptist preacher was ready to ‘go home’ to be with the Lord.”

“He’s not doing real well,” Franklin Graham told The Christian Post on Thursday. “His vitals are good. It’s not like he’s in danger right this second. But if he got a cold right now, it could be deadly. So I just ask the people to pray that he gets his strength back. I’ve never seen him this weak in all my life, so I know he’d appreciate your prayers.”

“The BGEA president’s son, evangelist Will Graham, made similar remarks the day prior during a speaking engagement at a California church,” noted the Post.

“I saw my grandfather last week and he is not doing well,” Will Graham told Assist News Service. “He’s not suffering or anything. It’s just that old age has caught up to him and is sucking the life out of him.”

He added, “On November 7, he finished his race and up until that time, God had protected his health and gave him supernatural strength and now, the only thing left is for him to come home. God has removed his hand of protection and old age has set in.”

The Post added that when asked how supporters could pray for his grandfather, Will Graham did not sound very optimistic: “I don’t know how to answer that anymore. I wish He would give him strength, but I don’t think he needs strength anymore. It’s time to go home.”


Joel C. Rosenberg’s Blog

Shock Interview: Welfare Recipient: “I Get to Sit Home… I Get to Smoke Weed… We Still Gonna Get Paid”

welfare-state-2

While millions of Americans spend half their lives or more toiling for a paycheck, millions more are sitting on the sidelines waiting for the government to issue them their next monthly distribution.

You’d think that emergency funds or government subsidization through programs like welfare would be used to help recipients purchase the things that they need to get by and help them get back on their feet so that they can find meaningful labor and contribute to society, but in a system without cross-checks and billions being dished out year-after-year, many have learned that they don’t need to work.

And why should they? You’re doing the work for them in the form of taxpayer subsidies that are deducted from your earnings on a weekly basis.

In America, those who work get punished. Those who don’t, get a free ride, courtesy of a nationwide policy of spreading the wealth around through confiscation and redistribution.

Case in point: A welfare recipient in Austin recently contacted a morning radio show and explained that she gets a lot of money from the program. What she does with it may (or may not) surprise you.

Here’s how your hard earned money is being used to help the less fortunate:

While workers out there are preaching morality at people like me living on welfare, can you really blame us?

I get to sit home… I get to go visit my friends all day… I even get to smoke weed…

Me and people that I know that are illegal immigrants that don’t contribute to society, we still gonna get paid.

Our check’s gonna come in the mail every month… and it’s gonna be on time… and we get subsidized housing… we even get presents delivered for our kids on Christmas… Why should I work?

Ya’ll get the benefit of saying “oh, look at me, I’m a better person,” but when ya’ll sit at home behind ya’lls I’m a better person… we the ones gettin’ paid!

So can you really blame us?

Listen to the full interview with Austin’s Morning News:

This month the establishment media proposed that the solution to poverty in America, and one that would eliminate wasteful programs like welfare, is to give every American adult a basic monthly income.

That way, we can all just stay home, visit with our friends, contribute nothing to society and smoke a bunch of weed… just like this guy:

Obama Tokes the Ganja
(Pictured: A community organizing Barack Obama tokes some primo ganja)

When the government takes 20% out of your check for payroll taxes next week, and you spend three times as much next year on health insurance, just remember that the Lucy’s of the world are thankful for every red cent, and that she’s making good use of all your hard work and contributions.

Hattip Red Leader


SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You

Awesome News: North Carolina Public School Teachers Sending Pro-Union Propaganda Home With Kids

As Scott Walker’s experience in Wisconsin taught us, public sector union bosses are the lowest of the low.

In North Carolina, the radical Marxist agitators have stooped to using schoolchildren to disseminate pro-union propaganda.

A line was crossed tonight in Holly Springs, NC by the North Carolina Association of Educators (NCAE). A flyer for a planned Teacher “Walk In” was distributed to kids at Holly Ridge Elementary school in their ‘take-home folders’ today. This “Walk In” has been talked about in the media a bit but nothing hit as close to home as this did. This flyer had no business being ferried home by our children…

…The flyer has a website on it: www.Organize2020.com… This is a site affiliated with the NCAE. It is almost purely politics, shows shots of teachers protesting at Moral Monday…

Now go read the mission statement, which ends with this paragraph detailing the point of Organize 2020 — to bring unions into our schools…

The mission statement page concludes with the following timeless plea for more taxpayer cash:

We need hope. We need a union.

Never mind that public sector unions have effectively bankrupted the teachers’ retirement systems in Illinois and California.

Never mind that Detroit more resembles Mogadishu than an American city, thanks in large part to forced unionization.

Never mind all that.

North Carolina’s teachers want a union and if the taxpayers don’t like it, well, **** you.

If you don’t like your kids being used as pawns to promote more failing public schools, well, **** you.

In short: just when you think the Left has hit rock bottom, they break out a jackhammer and start digging a new septic tank.

Hat tip: BadBlue News Service.

Doug Ross @ Journal