CHESSNOID

I live in California which has been one of the hardest hit states when it comes to the housing bust.  Everything is a bit more amplified as far as the recession goes.  Maybe it isn’t as bad in other states. I just don’t know.  California is an expensive state to live in and now that prices are coming down, it would actually be a good time to buy soon.  The only challenge is getting a loan.

I do have 20%  to put down on  a property.  My credit is still perfect, even though my American Express cards have hurt my score dramatically when they reduced my credit limits. My income is not steady anymore since I started working for myself 2 years ago.  That is what will make it impossible for me to get a loan .  So many lenders have made so many bad loans that foreclosures will continue to spike up.  I know California passed some type of state law this year that makes it longer for lenders to go through the foreclosure process, so NODs and NOTSs appear like they are going down. Technically, they are temporarily down because they added an extra step but not for the reasons we would want.

We would like those numbers to go down because the housing market is picking up. In this case, it is an artificial reason based on paperwork that makes the process longer.  This delay will probably make it worse. Anytime the government steps in to monkey around with the economy, the results are usually disastrous.  Look at the national economy and you will how obvious the 3 stooges Bush, Bernanke, and Paulson have mucked it up.  They think they are doing the right thing, but they have been wrong time and time again.  It isn’t even funny because the American people suffer for their ignorance.

Needless to say, all those people saying it is at the bottom are wrong.  The 3 stooges said it a year ago, top economists and analysts say it every quarter, and the NAR say it every month.  Truth be told, the prices won’t stabilize until the incomes can support the loans.  The bottom of the housing market is slipping further into the future.  It definitely won’t be this year, and it probably won’t even be next year.  We will be lucky if we hit the bottom in 2010.  The FRAUD Bailout plans that the House and Senate (including Senators Obama, Biden, and McCain) passed do nothing to fix the economy. As a matter of fact, spending tax payer money to socialize our banks and bail out Wall Street is the worst thing you can do.