The end of the American Dream? Fall in housing market is worst since Great Depression

Like Satan, the U.S. is slowly withering away. They are over drawn in credibility, and short sighted in how their troops will achieve their objectives, and bankrupt in their nonexistent treasury that runs on false reports of value and fools gold, because the USA has very little in their possession. So, they are bankrupt in not only their defunct treasury holdings, but also morale values. A coupling effect that spells total self destruction. Satan will be forced to abandon his defunct USA for the European Union. But he resists, and that is why Mother will bring another pawn against the USA to completely break this camel’s back. The USA will have no choice but to join the EU and give up its sovereignty. That will cause internal strife in this country as the people turn on their betrayers. This sea of people (world wide) will be in turmoil until the end culminates with the impending Wrath of our Warrior Father, Yahweh.

Exodus 15:3 The LORD is a warrior; Yahweh is His name.

The American dream of home ownership has felt its biggest decade-by-decade drop since the Great Depression, according to new 2010 census figures released Thursday.

The analysis by the Census Bureau found the home ownership rate fell to 65.1 percent last year.

While that level remains the second highest decennial rate, analysts say the U.S. may never return to its mid-decade housing boom peak in which nearly 70 percent of occupied households were owned by their residents.

The reason: a longer-term economic reality of tighter credit, prolonged job losses and reduced government involvement.

Unemployed young adults are least likely to own, delaying first-time home purchases to live with Mom and Dad. Middle-aged adults 35-64, mostly home owners who were hit with mortgage foreclosures or bankruptcy after the housing bust in 2006, are at their lowest levels of ownership in decades.

Measured by race, the home ownership gap between whites and blacks is now at its widest since 1960, wiping out more than 40 years of gains.

‘The changes now taking place are mind-boggling: the housing market has completely crashed and attitudes toward housing are shifting from owning to renting,’ said Patrick Newport, economist with IHS Global Insight. “While 10 years ago owning a home was the American Dream, I’m not sure a lot of people still think that way.’

He noted the now-diminished roles of mortgage buyers Fannie Mae and Freddie Mac, which for decades at the urging of government helped enable loans to borrowers with poor credit, many of them minorities. In a shift, the Obama administration earlier this year said it would move from a long-time government focus on promoting home-ownership for all and instead steer people with low incomes toward renting where appropriate.

Congress has been considering whether to eliminate the federal tax deduction for home-mortgage interest, a popular incentive to home-buying that’s been in place since the early 20th century.

Given depressed housing values that could continue for at least another four to five years, it now makes more sense in most cases to rent than own, Newport said.

Nationwide, the home-ownership rate fell to 65.1 percent — or 76 million occupied housing units that were owned by their residents — from 66.2 percent in 2000. That drop-off of 1.1 percentage points is the largest since 1940, when home-ownership plummeted 4.2 percentage points during the Great Depression to a low of 43.6 percent.

Since 1940, the number of Americans owning homes had steadily increased in each decennial census due to a mostly booming economy, favourable tax laws and easier financing. The one exception had been 1980-1990, when ownership remained unchanged at 64.2 percent.

Broken down by state, 41 states saw declines in home ownership since 2000, many of them in the South and West where foreclosures were more common. They were led by South Carolina, Alabama, Florida, Mississippi and North Carolina. On the other end of the scale, states with higher shares of vacation homes owned by affluent baby boomers saw small increases in ownership, including New Hampshire, Hawaii, Alaska and Vermont.

The U.S. housing crisis is far worse than the experience in most Western industrialised nations, which, unlike the U.S., did not foster markets of sub-prime lending to promote home-ownership. The U.S. continues to maintain a relatively high rate of home-ownership, surpassed only by countries such as Spain, Ireland, Australia and England. – Mail Online

Advertisements