Home Building hits a 4-year high

**Hocus Pocus** · 10-19-12, 03:38 PM

Originally Posted by -Lazarus-

So, are you saying that inflation will not be a factor in this economy? We are very, very lucky that the rest of the world's currencies are performing so poorly. Are you saying that the current increases in prices for things like food or other staple goods has gone up solely because of the increase in the price of gasoline? Or was inflation at play? Example: a gallon of milk is something like 150% more expensive today than it was in 2008.

What about the increases in the stock market that seem out of whack compared to earnings and other indicators? Not inflation?

I say there is a price to pay for injecting 6 trillion dollars into the U.S. economy in a period of 4 years, and for continuing that trajectory, especially when a good portion of that money printed from thin air is used to cover private debt. Are you saying there isn't? Really?

What lol inflation is controlled.

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**deathgodusmc** · 10-19-12, 03:41 PM

Originally Posted by Hocus Pocus

What lol inflation is controlled.

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It really isnt that controlled.

**Hocus Pocus** · 10-19-12, 04:02 PM

Originally Posted by deathgodusmc

It really isnt that controlled.

K

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**-Lazarus-** · 10-19-12, 05:07 PM

Originally Posted by Hocus Pocus

What lol inflation is controlled.

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So you think all the stimulus money that went to the banks and other financial companies that were too big to fail has been paid back? Who needs their tin-foil hat again?

The only thing controlling the stimulus money and keeping it from hitting the economy in the balls is the banks that held onto it. It was only a matter of time before they tried to leverage it and let it out into the economy.

Clearly you don't think I know what I'm talking about. So I'll just let the price goods and the stock market speak for me. Just google it and then think about it.

**Hocus Pocus** · 10-19-12, 07:43 PM

Originally Posted by -Lazarus-

So you think all the stimulus money that went to the banks and other financial companies that were too big to fail has been paid back? Who needs their tin-foil hat again?

The only thing controlling the stimulus money and keeping it from hitting the economy in the balls is the banks that held onto it. It was only a matter of time before they tried to leverage it and let it out into the economy.

Clearly you don't think I know what I'm talking about. So I'll just let the price goods and the stock market speak for me. Just google it and then think about it.

Clearly I know you don't know what you're talking about. I don't need Google, I understand banking clearly.

**HeavyG** · 10-20-12, 05:14 PM

I lost my job back in January 2008, pretty much due to the crashing out the housing market. Home prices were still high at this point in time, but they were continuing to fall. I quickly found another job, actually NOT being unemployed for a single day, and my quest to find a home continued...

In August/September, home prices started to plummet, most of the new neighborhoods in my part of town (north of Tampa) were facing builders backing out and abandoning new home construction projects because there were NO buyers.

In fact, there were buyers. The intelligent people that didn't try to get a home they could not afford (myself) had a buyers market in front of them mainly due to all of the short sale properties available. People were desperately looking to get out from under their homes.

Once the short sale market started to shrink, new home construction started to increase again, which is likely what we have been seeing over the past 4 years. Builders will actually see profit in their homes again. When I was looking at new construction, the builder wanted $240k for a home I was looking at. There are homes in that same development that are now listing for $130k. Go figure that those builders backed out of that developlent (Standard Pacific, M/I, and Mobley Homes), leaving lots for sale, some already-built homes for sale, ready to move in, but they couldn't get any sort of profitable offer with all of the short sales popping up.

I have 3 friends that all went with new construction back in 2010 because the prices were about the same as getting a pre-owned home. At the time when I was looking, it just wasn't even close.