Housing bubble

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Warning signs of the housing bubble crash (part two) Mike Adams, the Health Ranger See article keywords and concepts

When the monthly fee you charge to rent your house drops below the monthly mortgage payment on that house, that's the sign of a housing bubble. That's the sign of a supply-side glut of housing, and that's what's happening today. In other words, you can go out and buy a home and you can rent it out, but you can't get enough from the rent to cover the mortgage payment. It's because there's a housing bubble. Low-interest, easy-qualification home loans So far, that's two signs. The first sign, remember, was what I call "the word on the street.

REPPED: This is Mike Adams talking about the looming housing bubble burst in the U.S. real estate market. It's coming. As I said before, I predicted the dot-com bust, but I was three years early. It's impossible to predict the exact timing on these things, but when the signs are there, you know it's coming. Eventually, it will go so far and people will get sane, and then things will start to unwind. It will accelerate towards a price collapse because there is a cascading effect. Once the housing prices collapse in one region, it can spread to another region.

So, what's the third sign that there's a housing bubble in this country? It's found on the lending side. You see, lenders are getting very creative. They only make money when they lend more money to more people, right? When you're a lender and you've got to close some deals, how do you do that? You make it easier and easier for people to get home loans. This is especially important as house prices continue to increase. Fewer and fewer working people can actually afford home loans under the old, tighter rules of home loan qualification.

What they didn't figure was that the housing bubble would crash. So, what they end up doing is selling their primary residence and moving into the condo or secondary residence. Property price crashes cascade quickly This is exactly what happened in Texas in the 1980s: A big real estate crash. This is what happens in every real estate crash, and the thing about real estate today is that it's all more interconnected. The internet is teeming with real estate. Everyone can check everybody else's prices instantly.

They can more easily move from city to city, and do you know what that means for the housing bubble? It means that every action is systemic. It means that once this bubble bursts in one city, it may more easily spread. It's going to be ugly because we may be left with what happened in the Bay area and Silicon Valley after the dot-com boom: Million-dollar condos were abandoned. Million-dollar homes were abandoned.

Don't get caught in the housing bubble crash (part one) Mike Adams, the Health Ranger See article keywords and concepts

This is being written in December 2005, and I'm seeing some major warning signs out there about the housing bubble. I'd like to share these with you and give you a brief history of my financial predictions. In 1998, I began loudly warning people about the approaching dot-com bust. I had analyzed the situation and knew the bubble was going to burst. There was no doubt in my mind, because I looked at the fundamentals of these internet companies' finances... the internet startups that had stock prices in the billions of dollars but had sold no products, had no revenues and had no customers.

NewsTarget Citizen Journalism project a big success; new writers welcomed to join Mike Adams, the Health Ranger See article keywords and concepts

Freedom news: Free speech, health freedom Yoga, pilates, Tai Chi or other gentle exercise systems Nutrition and phytonutrients Raw foods and superfoods Renewable energy, hybrid vehicles The housing bubble, the U.S. dollar, national debt and personal finance New energy technologies (cold fusion, ocean water, etc.) Vibrational medicine, homeopathy, energy healing Natural modalities: acupuncture, chiropractic, massage therapy, etc. Nutritional supplements, ingredients and product reviews Foods, food ingredients, food marketing, food safety, etc.

Absurd vaccine marketing calls for cervical cancer vaccinations for young boys! Mike Adams, the Health Ranger See article keywords and concepts

The current news about the housing bubble, for example, is all designed to delay the coming collapse of both the global real estate market and the U.S. stock market (not to mention the U.S. dollar). By shaping public perception and telling people it's only a temporary downturn in the market, they can convince enough people that we should all keep on paying sky-high prices for houses and thereby delay the inevitable real estate market collapse for a little longer.

Financial Armageddon: Protecting Your Future from Four Impending Catastrophes Michael J. Panzner See book keywords and concepts

That will be especially true in neighborhoods already considered to be in bad shape as well as in the new ghettos that will likely spring up around tracts of homes and condos abandoned in the wake of the burst housing bubble. Another obstacle to maintaining order will be the criminal justice system: underfunded, understaffed, and overwhelmed with countless proceedings and trials. No doubt, at least some cases will arise from frauds and other crimes hidden from view during earlier boom times.

Empower yourself in 3 minutes a day: An introduction to indy media, NewsTarget.com and the online information revolution Mike Adams, the Health Ranger See article keywords and concepts

Shaped news serves commercial interests at your expense It's why people believe they need new cars, homes and accessories they can't even afford, or why they fall for every financial scam that comes along, from the dot-com boom (and bust) to the current housing bubble that will inevitably burst and wipe out billions of dollars in real estate equity that people are banking on to support their spendy lifestyles.

The coming financial collapse of the U.S. government: Fed papers reveal what's in store for Americans Mike Adams, the Health Ranger See article keywords and concepts

Even as the housing bubble is now beginning to burst in the nation's most overpriced real estate markets, most people don't have a clue what "hard times" really means. To today's debt-ridden yuppie spenders, "hard times" means shuffling six different credit card accounts to cover the payments on an overpriced house, two new SUVs in the driveway and a vacation to Paris, none of which the yuppie couple can afford. The idea of ever having to pay back their debt and live within their means is as foreign to most Americans as it is their own government.

CounterThink Roundup: Fictional economic gains, canned hunting, and the Cheney blame game (satire) Mike Adams, the Health Ranger See article keywords and concepts

So with each passing year, as the housing bubble gets larger, consumers are extracting the virtual gains from their homes and using that money to buy stuff they don't need and can't really afford. When the housing market corrects, and prices return to rational levels (which is inevitable, by the way), all this consumer spending of fictional home equity is going to look pretty darned ignorant in retrospect. And whoever happens to be the President at that time is going to get the blame. That's why all Presidents try to keep the money easy and the lending cheap.

The Long Emergency: Surviving the End of Oil, Climate Change, and Other Converging Catastrophes of the Twenty-First Century James Howard Kunstler See book keywords and concepts

By the time you read this, it is very likely that the housing bubble will have begun to come to grief. With interest rates at rock bottom into the first half of 2004, practically everyone who could have refinanced has now done so. There cannot be another round of re-fi unless interest rates go to zero, which is unlikely to happen and, of course, re-fi doesn't make much sense when interest rates rise, which is what they did in the second half of 2004. In fact, re-fi lending tapered off smartly by late 2004.

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ABOUT THE CREATOR OF NATURALPEDIA: Mike Adams, the creator of this NaturalNews Naturalpedia, is the editor of NaturalNews.com, the internet's top natural health news site, creator of the Honest Food Guide (www.HonestFoodGuide.org), a free downloadable consumer food guide based on natural health principles, author of Grocery Warning, The 7 Laws of Nutrition, Natural Health Solutions, and many other books available at www.TruthPublishing.com, creator of the earth-friendly EcoLEDs company (www.EcoLEDs.com) that manufactures energy-efficient LED lighting products, founder of Arial Software (www.ArialSoftware.com), a permission e-mail technology company, creator of the CounterThink Cartoon series (www.NaturalNews.com/index-cartoons.html) and author of over 1,500 articles, interviews, special reports and reference guides available at www.NaturalNews.com. Adams' personal philosophy and health statistics are available at www.HealthRanger.org.