“I Can Own Cheaper Than I Can Rent”

One of the commonly stated reasons for buying a home now, as opposed to renting, is that “I can own (a home) cheaper than I can rent.” This is no doubt the case in many areas of the country, especially those that have experienced large declines in residential real estate prices. Is this condition, where … Read more“I Can Own Cheaper Than I Can Rent”

Redefaults

This was an interesting editorial in The Wall Street Journal a few days ago concerning the “redefault” rate: http://online.wsj.com/article/SB124338503008056785.html These statistics are problematical, especially if one believes the economy will stagnate or worsen from this juncture. It also raises the question as to the effectiveness of intervention measures on default rates and housing prices.  Many of the current … Read moreRedefaults