– Why Housing Will Crash Again – But For Different Reasons Than Last Time (OfTwoMinds, July 9, 2014)
The man who trades freedom for security does not deserve nor will he ever receive either. – Benjamin Franklin
– Why Housing Will Crash Again – But For Different Reasons Than Last Time (OfTwoMinds, July 9, 2014)
Until recently, you were fortunate if your home went up 3% a year. The only way one could buy a home for $150K and sell it a year later for $300K would be a huge surge in inflation and/or wages. I have lived long enough to see both occur and both fail.
A home should not be an investment, it ought to be a place to live. When greedy gut thinking got into home buying, that is when the trouble started.
Now, it is a mess, and I would estimate 50 years before it stabilizes the housing market if I believed the US would survive 50 years.
If the Eurozone dumps the dollar, the US dollar won’t survive. Until a month ago, I did not think that would happen, but the US has insulted German and French interests to the point where I am now getting concerned.
The US insults to Russia in retaliation for giving Ed Snowden a place to live is beyond belief……but now, they are using heavy handed acts against France and Germany. Germany leads the Eurozone, and if they get disgusted enough, they will push the rest to follow their lead and dump the dollar in favor of eastern interests, probably Russian.
E120 Billion goes into the Eurozone every year because of trade with Russia. They are not going to give that up because of petulant demands by the childish and belligerent screams by the US. The US is becoming the most hated nation on the globe. Where it was once loved as a peacemaker and one to smooth over differences, now it is distrusted as a nation that attacks without motive or warning.
It has gotten so bad that the US cannot get together a coalition to start a war with anyone. Nobody wants to work with them, they are not trusted. All credibility is gone. It is so bad that Obama is starting up an old war with Iraq because they cannot get help with any other.
Why are they fighting Iraq? Iraq has the nerve to throw out the corporate pirates who are stealing their oil. There was a time the US would have been helpful in such criminal behavior, but now, the US is run by criminals.
We are finished as an economic power, political and social. We have nothing left.