| Have you ever heard the saying; out like a lamb, | | | | changes in lending standards which will cause short |
| in like a lion? The Springfield Illinois housing market, | | | | term pain by decreasing the number of qualified |
| one of the most affordable and stable in the | | | | buyers, however will lead to long term stability. |
| nation, reported to be the best in the Midwest in | | | | Housing markets suffer from buyers that are |
| 2007, is rebounding following a dismal first quarter. | | | | losing disposable income to record high fuel prices, |
| However there is trouble on the horizon, and not | | | | which in turn are driving up the price of food. The |
| just for the Springfield housing market, all housing | | | | average family won't be shopping for a new |
| markets. | | | | home with their incomes under attack by these |
| Following lamb like activity with home sales down | | | | price increases. Add in loss of more revenue |
| 29% in March, and down 19.4% for the first | | | | through tax increases, loss of jobs if markets for |
| quarter, April is coming on like a lion. The first | | | | our goods are cut off, and the housing slump of |
| three business weeks have posted the first back | | | | today will seem like a walk in the park. |
| to back weeks of over one hundred home listings | | | | It also was reported this week that Americans |
| being reported sold pending by The Capital Area | | | | have borrowed 1.2 trillion dollars against their |
| Association of Realtors MLS. | | | | home equity. Should the Democrats win the |
| This historically resilient housing market which has | | | | presidency and harm the economy with their |
| bucked national trends, just may be on the road | | | | proposed economic actions, millions of home |
| to recovery. However there are threats to the | | | | owners will see the value of their homes fall well |
| economy that may derail this market and others. | | | | below the amount borrowed. |
| Government actions. | | | | This too will negatively impact the housing market. |
| A meeting of top executives representing the top | | | | Millions of families won't be able to sell because |
| 20% financial institutions, are reported by the AP | | | | they will owe too much. No taking job transfers, |
| to declare the most immediate threat to the | | | | or a move up or down. They'll be stuck. Unless |
| economy is the credit crisis and the weak housing | | | | they walk away, when they no longer desire to |
| market. Fair enough. The executives then | | | | pay for something that's not worth it anymore, |
| declared the next biggest threats to the | | | | as we witnessed thousands doing in 2007. |
| economy are the possibility of tax increases, and | | | | In spite of the calamitous tax and trade policies |
| legislation that would interfere with free trade. | | | | being proposed, the greatest threat is barely |
| Both Democrat presidential candidates have said | | | | being mentioned; inflation. The American people |
| they would allow the Bush tax cuts to expire | | | | are only fooling themselves if they don't believe |
| which would raise taxes on all Americans by 1.2 | | | | the energy crisis isn't fueling inflation. It's apparent |
| trillion dollars. Included in the Bush tax cuts was | | | | every time you shop at the grocery store. |
| the capital gains tax reduction to 15%. This tax | | | | The Federal Reserve is playing a game of chicken |
| cut is credited for the boom in commercial real | | | | with inflation by keeping interest rates low, hoping |
| estate development, and business investment. | | | | to stimulate the economy. This can not, and will |
| The raising of the capital gains tax would deal a | | | | not last. |
| devastating blow to the economy. | | | | The nail in the housing market coffin will be higher |
| Both candidates pandering to the left wing base | | | | interest rates following the attack upon American |
| of the party to secure nomination are proposing 1 | | | | families disposable income by gas/energy/food |
| trillion dollars in new spending for expanded | | | | prices, tax increases, and job loss due to |
| government programs such as universal health | | | | governmental interference in free trade. |
| care, college for all, and other entitlement | | | | The solutions are available to avoid this |
| programs. Both say they will tax the rich to pay | | | | catastrophe. Don't elect anyone against free |
| for the programs. Pure socialism through wealth | | | | trade, or who says they will raise taxes. Get |
| redistribution, and punishment for hard work and | | | | serious about the energy crisis. Start by opening |
| success. | | | | government land (and sea) for drilling oil, relax |
| Both candidates now argue over who can renege | | | | regulations on refinery construction, nuclear power |
| on free trade agreements faster than they can | | | | plant construction, and eliminate ethanol subsidies |
| retreat from Iraq. The truth is exports accounted | | | | along with farm subsidies. |
| for 40% of all economic activity in 2007. These | | | | We have created a food crisis at home and |
| top executives fear trade restrictions will destroy | | | | abroad due to foolish governmental actions, we |
| the markets for U.S. goods which will cause | | | | must undo those with responsible governmental |
| massive unemployment and industry failures. | | | | actions. |
| The danger to all housing markets is weak | | | | The nation is at a crossroads with the upcoming |
| demand, causing fewer sales, lower prices, and | | | | election. The economy, your job, your standard |
| more foreclosures due to both the loss of jobs, | | | | of living, your liberty, your way of life will be |
| and reduction of income through higher taxation. | | | | determined by the outcome. Choose wisely. |
| Housing markets are already suffering from | | | | |