Descriptive Statistics Paper

The housing crisis of 2008 can trace its origins back to the stock market trends of the mid- to late 90 's. During a period of extended growth in the stock market, increased individual wealth among investors led to generalized increases in spending, including in the housing market. With more disposable income in the pockets of consumers, the demand for housing increased in the late 90 's. Due to the fact that homes are large projects and their construction takes a large amount of time, the supply of homes in the market is inelastic on the short term. Because of the fixed supply of homes, as per the law of supply, which

In conclusion, homeownership in the United States have decline over the past years even being the lowest it has ever been, but has had an improving and strong market beginning in 2012 after a 27% decline from the 2006 peak, and the increasing homeownership rate is a worthwhile policy to allow the United State economy to

As the foreclosure crisis in the United States continues to spiral, increasing attention is being given to novel and creative solutions for reducing the risk of mortgage default. The Obama administration has proposed several government-backed programs to help homeowners stay in their homes, and private lenders have tried various approaches to stabilize the economic situation. To date, none of the enacted efforts has substantially improved the crisis, and as such the number of homeowners filing for bankruptcy and entering foreclosure continues to mount.

Since the inflation of the United States dollar continues to rise every year, housing prices in relation to the peak of the market in 2006 are at a standstill, or even are decreasing in many cities. The housing market has fully recovered from the devastation of 2006. Currently, homes in San Francisco are worth, on average, almost 15% more than in 2008. Unfortunately, due to inflation the majority of the value in the housing market has decreased since the mortgage fallout, by 19.4% (“American House Prices”). The housing market peaked just before the collapse of 2006, mainly because banks became greedy and did not check the majority of their clients credit scores. As the time passed, banks soon realized that their plans were not unfolding as planned. The Washington Post estimated that at the time of the fallout 1 in 5 mortgage holders had below average credit. In many banks, whole empires were controlled by “subprime mortgages”. This meant homebuyers who had poor credit scores dictated the

With the beginning of the collapse of the housing boom in 2006, Florida slipped into approximately six years of nearly flat or negative growth within its economy. The dramatic decrease in condo prices anticipated the overall housing boom by a year and a half to two years. This makes sense because housing is a necessity, but luxury items such as condos are the first to go in economic crisis. The job and consumption growth slowed down as consumers saw rising debt payments on the record debt build up in the previous years. As a result, the debt squeeze left less money available for key household expenditures and housing in general and pushed many families over the edge with rising loan defaults and foreclosures.

To understand the causes of the housing prices peaking, it is necessary to understand the events beginning in 2001. Alan Greenspan, Federal Reserve

In the history of our countries development we’re shown that the greatest successors in the money making big businesses had come from the industrialization era. The only way to secure the top, we have come to see by history, is in your ability to push and press. Several years ago, the real estate and mortgage meltdown had a crushing impact on the United States economy that also negatively affected countless families nationwide. Today, the situation has significantly improved, with ‘boomerang buyers recovering and getting back into the market. Looking back, what lessons did we learn from the collapse, what is/are the silver lining(s) and how are real estate buyers today benefiting from those past mistakes? What’s another plan, if it’s not inevitable, that secures the national economy with homes? Social Darwinism is the answer.

Throughout the 90 's and the turn of the century, the housing market has stood as an economic pillar, supporting growth and prosperity and assisting generations in upward momentum from the lower to middle class. This is why the 2008 housing market crash had such a debilitating effect on the economy. The crash left millions facing foreclosure and millions more underwater. The burst of the housing bubble even effected international markets, causing havoc in other countries. These misguided policies were the main source of the financial turbulence that flattened the U.S. economy.

Starting back in 1997 when the residential prices began to appreciate into 2003, the rising home prices can be examined through economic fundamentals. These fundamentals explain the price of buying a home in relation to rentals and interest rates – meaning that the housing market was not overvalued. Post 2003-2004, the

In the beginning days of the 21st century, the United States experience an increase in the price of real estate. The causes of the housing bubble were many and, even after it collapse in 2007, the causes for it creation are still under scrutiny. As parties are still blaming each other, the losing party in this crisis is the general public as they have been made responsible for it aftermath through the collectivization of the financial cost. Inquiries into the causes of the housing bubble and its eventual collapse has brought to light an ever increasing number of players responsible for its creation, some going back t the 1970s.

In 1999 the market was relatively stable and there were equal amounts of buying and selling of property. However, the market began to improve and the housing market was going up in value. People began listing their homes in the new market in order to make the most profit. The market was in a steady increase from 1999 to 2006. Although, in 2006 the market reached its peak and began to crash. The rapid fall is shown between the time frame of 2006- 2008 and culminates in 2009 when the market crashed. The prices of homes drastically decreased so people no longer wanted to sell but because of bad loans people defaulted on their mortgages and had no choice but facing foreclosure. No one wanted to sell their homes since homes were overpriced and no one wanted to buy because of the problems with the

Due to the recession that our economy has recently experienced, American consumers are currently undertaking serious financial problems. Such difficulties are obvious in real estate, with homeowners having to deal with a major foreclosure crisis. According to studies by the Mortgage Bankers Association, one out of every 200 homes will eventually be foreclosed, and 250,000 families enter into foreclosure every three months. Although the worst times are still in our future, with help from the United States government, we as citizens will eventually overcome the horrendous situation of America’s current real estate market.

The overhang of foreclosed homes for sale is pummeling home prices and laying waste to entire neighborhoods. In the process, consumer spending has suffered mightily and deepened the recession as Americans have seen the value of their most important assets, their homes, are

The US National Housing market, specifically the One Member Housing Market has seen a steep decline since the latter half of the last decade. The NHS data for the last 35 years (1975-2010) has been shows in the figure below. From the data, three specific trend profiles of the NHS can be witnessed; the period from 1975 to 1991, where the NHS showed a stable trend, the period from 1991 to 2005 where the NHS showed a steady acceleration and the period from 2005 onward showing a steep decline in the NHS numbers.

The current real estate crisis that America finds itself in is one of the greatest challenges America has ever faced. America’s troubles are further compounded by increasing unemployment of American citizens and environmental problems like global warming. Solving any one of these problems would be a Herculean task, yet they must each be addressed in order to protect American families from disaster. However, it is possible to find a solution to the problems of the real estate crisis that can also be used to improve the problems of the unemployment and environmental destruction. The first part of the solution involves the United States government purchasing the homes that have been foreclosed and using them to offer temporary housing to