ARTIFICIAL RENTAL MARKET REFLECTS THE NEW ECONOMY FOR EVERGREEN REAL ESTATE

ARTIFICIAL RENTAL MARKET REFLECTS THE NEW ECONOMY FOR EVERGREEN REAL ESTATE 

The persistent recession that is gripping the U.S. Economy is foreclosing the luxury of homeownership on many American families. The effective jobless rate is a stubborn 19% when we factor in those who have cycled out of unemployment benefits, accepted a position for far less than they were earning, took part time jobs to hold their family together, or are in one of the vulnerable demographics like young blacks or single mothers.

Additionally, mortgage credit is difficult to obtain because of the stricter underwriting requirements imposed as a result of the mortgage default swaps that Wall Street and the Too Big to Fail banks perpetrated on the American people. So homeownership is down by 5%, meaning that 35% of the population are now renters. As the demand rises occupancy rates rise and so do the rents. Because of the severe debt crisis and the merging of investment banks with traditional banks, the credit needed to build new rental units is also difficult to obtain. Banks are devouring the cash printed by the Federal Reserve at near zero interest rates to the Big Banks, and manipulating the Stock Market with billions in cheap cash and earning windfall profits rather than investing in the private economy.

So the Federal Reserve has created a near perfect storm for the renting public. The result is an artificial market; first a real estate bubble that crashed, and now an artificial rental market caused by a lack of credit. They have crashed the real estate market, forced families to rent, twisted and contorted the credit markets, crippled private job creation, and allowed banks to invest their capital-and the discounted cash borrowed from the Fed-in stocks instead of funding the U.S. economy. The rental supply is stagnated and so we have too many would be renters chasing too few rental units: the result higher rents.

Landlords are raising rents to compensate for the decade before the economic melt down when mortgage money flowed free and people were buying homes rather than renting. Again a balloon was created in housing by the Federal Reserve, the balloon burst, and now they are creating an artificial demand in the rental market.

The only solution is to dismantle the huge government bureaucracy and its Federal Reserve and allow the markets to balance the true supply and demand in a natural and free real estate market. This is called capitalism; and it is what made America great.

It’s time to return to good old fashioned American ingenuity and thriftiness, and use what resources you have left to protect yourself and your financial future from the government. A home is a hard asset and is historically the best investment in difficult times. Not only will you make money but You can live in your investment, while you will enjoy special income tax treatment. We are MARK ENGLISH REAL ESTATE and are Your one stop shop for all Your EVERGREEN REAL ESTATE and CONIFER REAL ESTATE. We are also an EVERGREEN COLORADO CUSTOM HOME BUILDER and are looking forward to serving You with all Your Real Estate needs. Please, give us a call at 303-674-0148, Email us at markenglishrealestate@msn.com or visit us on the web at www.evergreencoloradoliving.com . Don’t forget to register for Your FREE BUYER INCENTIVES.

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