Obama, the Crumbling Economy and Real Estate Market

Published by julia | Filed under Miscellaneous, Real Estate, Shout Outs, Uncategorized

America has handed the faltering economy of the country to Barack Obama. This includes the real estate market, which is also on a downfall. At the recent elections, Americans shouted in unison as they voted, making loud and clear that they want Obama for president because they want change.

Well, change will come and will likely come in more ways that we asked for it. This change will however cause a bit of a turmoil, which is going to affect our business for a while. In this current state, it is to be expected that businesses will lose, less taxes will be collected, resources will be diminished and these resources will not be expected to help in building up the economy.

People that do not have jobs cannot buy homes unless they got cash. Furthermore, those that already have homes but have lost their jobs will struggle to meet their mortgage deadlines. If they fail to make mortgage payments, they are at a risk of being foreclosed on. Banks will repossess the homes increasing their growing stock of reclaimed homes. Banks avoid owning homes since this is not their line of business. If they own too many homes, they will likely run out of business. Accumulating of property at the expense of liquid cash is like a cancer, it will eventually bring about a collapse of our economy, and this will happen quickly.

The inventory is very high according to real estate professionals. The properties already on sale will take years to resell if the process is undertaken correctly. In fact it has to be done correctly. Offering people homes that unaffordable to them is what has caused this problem. The unsound lending practices used is only a temporary fix and the problem will likely get bigger in the near future.

Elect president Obama got the high seat because many people hope that he will resolve their problems. By most accounts, he is an amiable and an intelligent man. As a communicator, he is undeniably at the top. His ability to communicate, better than all his others, will be a stabilizing factor as America travels through this rocky road.

Financial problems are hard. Going through these problems without a word from our leaders is even worse. We need someone – one that will tell us that everything will be all right at the end of this one tunnel – Hopefully, this someone will be none other than President Obama.

May God guide, bless and protect president Obama, his family and our nation.