Friday, December 21, 2012

Housing continues its upward trajectory!

Housing continues its upward trajectory!


It is 5:30AM and I am completing my newsletter as early as possible as I have not heard the exact time the world is going to end today.  It may be a day long process so I just wanted to get a head start in case the world demise starts early this morning.  (In the event that the world does end today, my newsletter next week may be delayed)

Despite the impending doom that is expected today by some, the rest of us are going about our business all week as if nothing is going to change.  Speaking of nothing changing, our “do nothing government officials” continue their inability to come to an agreement on a new budget, which means that the likely hood of the country going over the fiscal cliff is very high.

Just when you thought the political posturing was going to stop because the election is over, our elected officials are at it once again.  The Republicans are sending a budget for vote to the Republican controlled House of Representatives which is 100% guaranteed never to make it into law.  The House will likely pass the bill, but the Democrat controlled Senate is almost a shoe-in to reject it.  Even if by some miracle it does pass the Senate as well, President Obama has guaranteed to Veto it.

I mentioned the word “posturing” in the previous paragraph.  This move to send the bill for a vote by the Republicans is designed to do one thing and one thing only….get the Democrats to reject the budget proposal so the Republicans can lay blame on the Democrats for the country going over the fiscal cliff.  (The next presidential election is not for 4 years yet the political nonsense is already starting? – Actually it never ended, it is just a continuation of the garbage that went on before the election)

Please understand I am not making a political statement for either party, I am just discussing what is happening and that even if the world does not end today, we can be rest assured that our elected idiots will make sure that financially we are going to feel an enormous amount of pain.

The housing market continues to buck the trend of almost every other area of the economy.  While most economic indicators and reports are showing the country heading in the wrong direction, housingcontinues its upward trajectory.

Home builders are reporting the best conditions in more than five years, based on the housing market index which keeps on improving.  This index is up now for eight months in a row.

An easing in the number of distressed properties on the market is also providing the housing market a boost with the latest existing home sales report showing a jump of 5.9 percent in November.  In addition, the number of distressed sales is down to 22 percent for the month which is 2 percentage points lower than in October.
 
JJ Mack
916-517-1800

No comments:

Post a Comment