This Is The Trend That Could Asphyxiate The Housing Recovery

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		Tech Entertainment Wall Street Markets Strategy Sports Lifestyle Politics Europe Video Latest Friday, March 2, 2012 This Is The Trend That Could Asphyxiate The Housing Recovery There have been hints and starts of a housing recovery, but each time it looks like things are getting cranking again, it seems the football gets removed. This week, Goldman Sachs pushed back its estimate of when housing would hit its bottom to 2013. One problem? It's still really hard to get a mortgage. This chart from Nomura shows the percentage of real estate pros who are experiencing sales cancellations. As 2011 went on, the number of people having an issue with cancellations due to mortgage obtainment started rising! From Nomura: In his testimony before Congress this week, Fed Chairman Ben Bernanke continued to show his concern that clogged housing finance remains a sizable drag on the economy. Indeed, despite lower mortgage rates, the share of real estate practitioners who experienced cancellation due to inability to obtain mortgage loans in January rose to 8.0% from the recent low of 1.0%. In Figure 1, the category “cancellation due to other problems” comprises many issues, probably also including cancellation because of mortgage problems. Many potential home buyers can’t take advantage of favorable borrowing conditions due to difficulty in getting mortgage loans.  Read » Also On Money Game Today: EU Leaders Need To Deal With Portugal Now...Or Else Barclays Debunks The Greatest 'Urban Legend' Of The Labor Market UPDATE: WYNN MISTAKENLY CLAIMS APPROVAL IN COTAI Blogger Invents Beautiful New Genre Of Stock Market Analysis Advertisement CHART OF THE DAY: 'Total Collapse' In Greece CHART OF THE DAY: PRESENTING: The Ron Paul Gasoline Index CHART OF THE DAY: The Housing Triple Dip Share this: Facebook Twitter Digg Reddit StumbleUpon LinkedIn The email address for your subscription is: ipat39@gmail.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the Money Game RSS Feed Business Insider. 257 Park Avenue South, New York, NY 10010 Terms of Service | Privacy Policy

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