Posted on 10/20/2009 12:55:17 PM PDT by Steelfish
Home Construction Bad On Paper And In Reality
Applications fall, building slows as D.C. discusses extending buyer tax credit
WASHINGTON - Applications for home building permits, a key gauge of future construction, fell in September by the largest amount in five months — a discouraging sign for the housing industry. A rebound in housing is needed to support a broader economic recovery.
Representatives for the industry told a congressional panel Tuesday that the $8,000 tax credit for first-time buyers needs to be extended and expanded to ensure the housing sector will emerge from the recession.
But the Obama administration, facing soaring budget deficits, has not decided whether to support any extension. And some private economists played down the impact of such a move, arguing that most interested buyers already had taken advantage of the tax break.
(Excerpt) Read more at msnbc.msn.com ...
How do you spell relief? W E L F A R E!
Thank you, Uncle Obambi.
This will end when The USA is bankrupt...any day now.
We are at 17% unemployment, we are already in depression. These numbers are going to go higher and Obama will not do the right thing to turn it around because their goal is the collapse of our country.
Not likely to rebound when new houses are being bulldozed in California because there's nobody to buy them.
There is an article in today’s Miami Herald that paints a bleak picture of housing. This is why I am OUT of the stock market until at least November. I think we have not yet seen the worse.
No. The proximate cause of the economic crash was overbuilding of houses because of low interest rates and sloppy evaluation of borrowers.
We need to catch up on the houses we have before we start building more. Otherwise we will be in an FDR style "dig holes and fill them back in" project.
Representatives for the industry told a congressional panel Tuesday that the $8,000 tax credit for first-time buyers needs to be extended and expanded to ensure the housing sector will emerge from the recession.
That's just temporarily pushes up the current price of houses as bidders have $8k extra in their pockets. Sellers end up with more money, buyers have a house that is ready to drop by $8,000 once the subsidy disappears, and the banks can claim that every house in the neighborhood is worth $8,000 more than the real value to pretend they are still solvent.
We should not be building more housing until people can afford to buy houses (without subsidies). Duh?
Wait, I thought the rec ession was OVER??????
Just anecdotally?
Last year, Lowe’s made a big deal of advertising “extended hours”— open at 6 even on holidays... went there Sunday— back to opening at 8.
And boy, were the personnel solicitous when I bought a toilet tank- you’d have thought I’d purchased one of their $3,000 stoves.
Please elaborate or provide a link to more information.
Housing is amazing. If you think about the multiplier it has through the economy. It includes nearly all skilled and unskilled crafts, a wide variety of commodities, and finished products from roofing, to timber, to textiles, to furniture, to appliances, to chemicals... you can go on and on.
What a phony baloney economy.
All part of the Cloward-Piven Strategy
Victorville, CA. I don’t see a date, but I remember it being earlier this year.
But the Nobama Stimulas Projects are building wheelchair ramps on every sidewalk in every town. Must be a wheelchair boom coming, next thing will be 50 handicap parking spots out to the road in every parking lot.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.