cobblestone

More Grim Economic News

You touch on my point by stating "At least the builders aren’t adding to supply." I say, "Finally"! Builders took too long, from June 2005 to now, to slow down new construction. And in my opinion, they should have stopped building and adding to supply 3 years ago, with the exception of local markets that might not be over-supplied. Yes, this would have hurt in the short-run, but MAY have resulted in a faster correction. I have been watching a few markets where there is NO supply of new homes (any standing inventory was auctioned off two years ago) and people still desire to live there. In this case, there are not as many foreclosures, the homes that do go into foreclosure are flying off the shelves and would be disappearing faster if people could sell their existing homes in markets that are over-supplied. Builders need to learn to play well together in the sandbox.