Tuesday, April 21, 2009

Is the Recession Over Already?

Highland Quadrangle at Vanderbilt University, ...Image via Wikipedia

Image via Wikipedia
Though it took the Federal government a long time to determine that we were in a recession, it seems that they may have already decided that we've reached the end of it according to an article published on REALTOR.org
Fed Officials: The Worst is Over

The worst of the economic crisis is over,according to U.S. officials speaking at a financial conference Friday at Vanderbilt University.

Frank Nothaft, the chief economist for Freddie Mac, said housing sales have just about hit bottom and a third of home sales are now foreclosed properties.

Dennis Lockhart, president of the Federal Reserve Bank of Atlanta, warned that the declining commercial real estate market still poses a risk to the economy.

It would seem however, that though the housing market may recover , the lack of liquidity may still pose a problem for home buyers.

"It is worth emphasizing (that) actions that lead investors to shun taking risk, especially in this
environment, are ultimately detrimental to the ability of households and businesses to secure credit at reasonable borrowing rates," Dudley said.

So that still leaves the average buyer with the need to act, the desire to act, and benefits that accrue to the action.. if they can get a loan to buy the house.

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