Today’s rescue by the federal reserve of the mortgage bond market was a positive sign, that the federal reserve (the FED), has finally recognized the risks inherent in the housing and mortgage market.  Good for them.

Of course the downsize is that the market could not rescue itself, and thus required he biggest FED bailout since 9/11.

The risk this causes is that rates cold be driven higher as the dollar may be devaluated, is usually happens in such a cycle of activity.  A lower dollar means, it will cost more to buy good, especially foreign good and services.  That is something America depends on too much these days.  My advice, start buying American, and lets strengthen the fundamentals of our own economy and I believe everything can stabilize soon.

What does this mean to the consumer in the housing market?  Expect a slow recovery in prices and interest rates.  Fortunately it can also mean a better supply of funds to make he mortgage investors comfortable enough to start investing in mortgage backed securities, and thus provide new money into the system, for we consumers to borrow to buy property again.

T.J. Marrs
http://tjmarrs.com
http://livingfreeandclear.com

http://creclub.com

Of course the downsize is that the market could not rescue itself, and thus required he biggest FED bailout since 9/11.

The risk this causes is that rates cold be driven higher as the dollar may be devaluated, s usually happens in such a cycle of activity. A lower dollar means, it will cost more to buy good, especially foreign good and services. That is something America depends on too much these days. My advice, start buying American, and lets strengthen the fundamentals of our own economy and I believe everything can stabilize soon.

What does this mean to the consumer in the housing market? Expect a slow recovery in prices and interest rates. Fortunately it can also mean a better supply of funds to make he mortgage investors comfortable enough to start investing in mortgage backed securities, and thus provide new money into the system, for we consumers to borrow to buy property again.

Be sure to get to our upcoming live event. Get details at http://tjmarrs.com

T.J. Marrs
http://tjmarrs.com
http://livingfreeandclear.com
http://creclub.com

Did you know the average American’s financial position is getting worse? Here are some facts from the following article.

• * 46.2% of all families now carry a credit card balance. up from 44.4% in 2001
• * $2200 in credit card debt on average
• * 13% average interest rate
• * $55 dollars per month Minimum payment
• * 14 years to pay it off
• * $1500 additional interest

Article

Source                                                                                          Date
Dobbs: Are you a casualty of the class war? CNN.com 10-4-2006
Foreclosures spiked in August CNNMoney.com 9-15-2006
Nightmare Mortgages

Business Week 9-11-2006
Reasons to Worry NY Times Magazine 6-11-2006
The American Way: Debt NY Times Magazine 6-11-2006
Have an extra half million to spare? USA Today 5-24-2006
Millions Are Facing Squeeze On Monthly House Payments realestatejournal.com 3-15-2006
Consumer debt loads at record USA Today 4-23-2006
Federal Reserve Releases New Statistics About Credit Cards Send2press Newswire 3-2-2006
Home loan delinquency rate shows increase USA Today 3-17-2006
Americans Have Negative Savings Rate CBS News 2-7-2006
U.S. savings rate hits lowest level since 1933 MSNBC 1-30-2006
Debt: How do you stack up? CNNMoney.com 10-7-2003