This article is about the sudden drop in the housing market in February after it had appeared to be recovering. Part of the reason for this is that the federal aid is beginning to slow down and will soon be gone. The Federal Reserve has been implementing a program to keep mortgage rates down, but that is supposed to end very soon. On a more positive note, Bank of America is the first lender to announce a plan to help some of their borrowers avoid forclosure.
One of the major concerns here is what this downturn will do to the construction business. If they cannot get new home contracts, then they will have to cut jobs, which will increase unemployment even more. It is very interesting how many different industries the housing market affects. Hopefully there will be better news in the future.
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