[Tien]

From talking with American investors for the past year (I am from Canada) they repeatedly have told me how rediculously easy it was to finance people during 2003-2006.

They would simply advertise the "0 down, No banks needed" hoopala and cash out with those B and C credit buyers out of their house flips.

During 2007, months and months before the subprime fiasco you see on wall street last few weeks, the investors during the conference calls were telling me how much more difficult it was becoming to finance these people and how property values were dropping long before the wall street fiasco.


There are still a TON more of ARMs out there that are going to be re-adjusting next year, and with interest rates rising as well as the increasing amount of ARMs that are going to be adjusting, the real estate market is gonna be taking a hit from 2 sides.


That is just my speculation. I predicted myself 5-6 months ago from talking with real estate investors that the general market is going to slump down even more, I didn't predict it to be such a disaster with banks and hedge funds going bankrupt left and right and going as far as the central banks pumping money to keep the boat from sinking.

Housing will continue to take a hit I predict, but it won't be as hard as a hit that wall street will take.

More disaster to come, it's not over yet.