rodsailor

Homebuyer Tax Credit: Not a Done Deal

We are entering another government financed housing bubble as a result of the tax credits and the new emphasis on FHA loans at little or no downpayment. By making money available for only the purchase of homes, the government is creating a separate currency that is only valid for this use. Increasing the money supply increases price until the shoe drops once again. The bursting of this secondary bubble, on top of all the debt the government is adding, will drive the economy to its knees. Enjoy!