This Is Where We Are -- And Headed

Since many of you are too eager to jump on the inevitable bottom in Hoboken RE prices, here's some context to temper your impatience...

Three more years anyone?

Stronger Banks = Weaker Consumers

Strengthening the financial system was believed to be a necessity - but for who?

The latest FICO data show that about a QUARTER of all American consumers are now removed from any possible eligibility to buy a home. The pundits who keep preaching that household formation is creating a backlog of homebuyers better check their facts.

Of course, Uncle Sam could start giving away homes instead of tax incentives!

The accompanying chart shows that a quarter of consumers — 43.4 million — now have a credit score below 600, marking them as poor risks for lenders. They can't get credit cards, auto loans or home mortgages under the lending rules banks use.

As consumers relied on debt to fuel their spending in recent years, their inability to access credit is one reason for the slowing economic recovery.