Credit Crunch » Real Estate http://www.credit-crunch.org Mon, 12 May 2008 01:37:55 +0000 http://wordpress.org/?v=2.9.2 en hourly 1 Housing Market in Worst Slump in Decades http://www.credit-crunch.org/housing-market-in-worst-slump-in-decades/ http://www.credit-crunch.org/housing-market-in-worst-slump-in-decades/#comments Tue, 01 Apr 2008 12:54:51 +0000 scott http://credit-crunch.org/housing-market-in-worst-slump-in-decades/ The U.S. housing market is in the worst slump in decades; bring fears of a recession to the front of the public’s mind. With so many houses going into foreclosure, this is setting a record for foreclosed houses. A nefarious record to be sure, but it is there all the same.The economic news seems to be getting worse. Construction on new houses fell by a good bit and this prompted cries of a recession. So many jobs have either moved out of the U.S. or closed for good, it is causing a downward spiral for homes and home buyers. The recent bailout of Bear Stearns further fueled worries of an economic recession. With the current level of default home loans in its system, Bear Stearns did not have enough to cover all the debt and as a result, nearly collapsed.

This is all a domino effect. Housing slumps of this magnitude do cause banks to go out of business. The effect is far reaching. It affects all we do. The housing market is looking very grim as more and more people are unable to make payments as a result of losing a job. This is the grim reality here in the U.S. With so many persons out of work and more losing jobs daily, it seems like a headlong rush into disaster. Can we pull ourselves out of this economic mess? We are not the only ones affected by this financial disaster.

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