Read the Beforeitsnews.com story here. Advertise at Before It's News here.
Profile image
By The News Doctors
Contributor profile | More stories
Story Views
Now:
Last hour:
Last 24 hours:
Total:

Jim Quinn/Burning Platform: “Something Smells Fishy In The Housing Market”

% of readers think this story is Fact. Add your two cents.


TND Guest Contributor:  Dave Kranzler |

There has been no improvement in underlying consumer liquidity conditions. Correspondingly, with no fundamental growth in liquidity to fuel increasing consumer activity, there has not been a basis here for a recovery in the housing market, past or present, and there is no basis for expecting a recovery in the housing market or general economy in the near future.

Without real growth in household income and without the ability or willingness to take on meaningful new debt, the consumer simply has not had the wherewithal to fuel sustainable economic growth. Impaired consumer liquidity and its direct restraints on consumption have dominated the housing-market collapse and ongoing stagnation in consumer-related real estate sales and construction activity.  – John Williams, Shadowstats.com

I have been writing about the absolute dismal condition of the current post-bubble housing market since last 2012.  Once again I have been early at calling the demise of the homebuilder stocks.  Just like my original call in early 2004, I underestimated the ability of the Fed and the Government to artificially pump up home values.  Of course, it’s extremely difficult to get timing right in the stock.  But the homebuilder stocks typically plunge in waterfall fashion, which means you need to be positioned short ahead of time or you will miss the best gains that will be made. We saw how quickly they drop with Beazer and KB Home in late 2014.

Of course, history tells us that market interventions ALWAYS fail. The more energy and force thrown into the intervention, the worse the failure. The housing market will experience an epic collapse.  CORRECTION:  the housing market is in the middle of an epic collapse that started in 2005. After this dead-cat bounce fueled by Fed money printing – $2 trillion of which went directly into the mortgage market – the next leg down with be brutal.

Jim Quinn of The Burning Platform has written a must-read commentary on the insanity of the current housing market activity:

There is nothing free market about the 37% increase in home prices. It has absolutely nothing to do with supply and demand. It has nothing to do with normal families looking for a home. It has everything to do with the Federal Reserve’s 0% interest rates, the $3.5 trillion of QE injected into the economic gambling system, Wall Street banks withholding foreclosures from the market, hedge funds buying up tens of thousands of foreclosed homes and renting them out to the former middle class, Fannie and Freddie guaranteeing 70% of all sales, the government encouraging 3.5% subprime loans again, Chinese and Russian billionaires parking their ill gotten wealth in US real estate, and flippers reappearing in the same old places (Las Vegas, Phoenix, Florida, California)…If you’ve bought in the last two years you will be underwater sleeping with the fishes like Luca Brasi in the not too distant future.

You can read the rest of this piece here:   Home Prices Up 37% Since The Housing Crash–Something Smells Fishy 
# # # #

About Dave Kranzler:

 I spent many years working in various analytic jobs and trading on Wall Street. For nine of those years, I traded junk bonds for Bankers Trust. I have an MBA from the University of Chicago, with a concentration in accounting and finance. My goal is to help people understand and analyze what is really going on in our financial system and economy. You can follow my work and contact me via my website Investment Research Dynamics.  Occasionally, I publish on Seeking Alpha too. As a co-founder and principal of Golden Returns Capital, LLC Mr. Kranzler co-manages the Precious Metals Opportunity Fund, a metals and mining stock investment fund.

Follow All Of TheNewsDoctors.com’s Exclusive Articles:

http://thenewsdoctors.com/category/thenewsdoctors-exclusive/

OR

Subscribe To Receive All TND’s Exclusive Articles In Your RSS Feed:

http://thenewsdoctors.com/category/thenewsdoctors-exclusive/feed/


Source: http://thenewsdoctors.com/jim-quinnburning-platform-something-smells-fishy-in-the-housing-market/


Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world.

Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.

"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.

Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world. Anyone can join. Anyone can contribute. Anyone can become informed about their world. "United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.


LION'S MANE PRODUCT


Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules


Mushrooms are having a moment. One fabulous fungus in particular, lion’s mane, may help improve memory, depression and anxiety symptoms. They are also an excellent source of nutrients that show promise as a therapy for dementia, and other neurodegenerative diseases. If you’re living with anxiety or depression, you may be curious about all the therapy options out there — including the natural ones.Our Lion’s Mane WHOLE MIND Nootropic Blend has been formulated to utilize the potency of Lion’s mane but also include the benefits of four other Highly Beneficial Mushrooms. Synergistically, they work together to Build your health through improving cognitive function and immunity regardless of your age. Our Nootropic not only improves your Cognitive Function and Activates your Immune System, but it benefits growth of Essential Gut Flora, further enhancing your Vitality.



Our Formula includes: Lion’s Mane Mushrooms which Increase Brain Power through nerve growth, lessen anxiety, reduce depression, and improve concentration. Its an excellent adaptogen, promotes sleep and improves immunity. Shiitake Mushrooms which Fight cancer cells and infectious disease, boost the immune system, promotes brain function, and serves as a source of B vitamins. Maitake Mushrooms which regulate blood sugar levels of diabetics, reduce hypertension and boosts the immune system. Reishi Mushrooms which Fight inflammation, liver disease, fatigue, tumor growth and cancer. They Improve skin disorders and soothes digestive problems, stomach ulcers and leaky gut syndrome. Chaga Mushrooms which have anti-aging effects, boost immune function, improve stamina and athletic performance, even act as a natural aphrodisiac, fighting diabetes and improving liver function. Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules Today. Be 100% Satisfied or Receive a Full Money Back Guarantee. Order Yours Today by Following This Link.


Report abuse

    Comments

    Your Comments
    Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

    MOST RECENT
    Load more ...

    SignUp

    Login

    Newsletter

    Email this story
    Email this story

    If you really want to ban this commenter, please write down the reason:

    If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.