Foreclosures on the rise, recent studies show

Discussion in 'Wall St. News' started by S2007S, Apr 18, 2007.

  1. What's the real link between homebuilders and foreclosures? There is no direct link, just an indirect one.

    Demand for newly built homes started falling off 2 years ago, and has been falling. All of the current doom & gloom has been priced in. Like I said, it's OLD NEWS, not breaking news. That's why there is not a correlated reaction.

    The institutions who move these stocks are looking 2-3 years down the line.

    You housing bears act like that eventually there will be ZERO demand for any new homes. That just is not the case. Even at worst conditions, those abandoned foreclosed homes end up being torn down and built new from the ground up. Housing codes change, construction methodologies do also. New developments get started all the time.

    The rah rah homebuilder days may be over but the whole industry is not going Chapter 11. That's what the charts tell you.
     
    #11     Apr 19, 2007