US government is still fiddling with the rules regarding mortgage repayment. Join discussion...

WESTERN Sydney became the nation's breeding ground for low-doc and predatory lenders during the peak of the property boom and residents are now paying the price, with the highest rates of mortgage arrears and repossessions in the country, according to the Reserve Bank. Join discussion...

Take a read at this paragraph (this should be a warning for Australia): "These figures come as the Labor Department said on Friday that the unemployment rate reached a five-year high of 6.1 per cent in August. As the US economy falters and home prices keep falling, concern is building about a second wave of mortgage defaults in 2010. "The problem that policymakers and Wall Street once assured us was `contained' to subprime mortgages has proven to be anything but," Mike Larson, a real estate analyst with Weiss Research, said." Join discussion...

Property buyers sat on the sidelines last month, as they waited to see if the central bank would cut interest rates, a survey shows. Join discussion...

THE first interest rate cut in nearly seven years will not be enough to lure buyers back to the lacklustre housing market this spring. Join discussion...

This is a story of a British family caught out in the cross-fire of a property bust. Australians should read this and take heed too. Note that the British also had 15 years of uninterrupted economic growth. Join discussion...

In the US, mortgage debt are non-recourse. That is lender, can only have access to the house only when the borrower default. In Australia, lender can access all the other assets of the borrowers. This is often used as an excuse to believe that Australia's housing debt is more 'secure' for lenders. But as this article says, "On the issue of non-recourse versus recourse debt, I’m not sure that will make much difference when the manure hits the fan. For most people the house is their only major asset; if a family lose their main source of income and can’t afford the mortgage repayments, they will walk away and tell the bank it can have the car as well." Join discussion...

This is quoted in the article, ""The problems of suburban infrastructure deficits, especially in public transport, reflect the consistent failure of state governments to expand infrastructure to keep pace with the rate and scale of land development," the paper says. "These problems have been exacerbated by the planning of suburban areas around automobile travel."" It is an indictment on the State Government and we believe is a contributor to the housing 'shortage.' Elsewhere, it said that the full impact of higher oil prices will only be felt in the latter part of the decade. Join discussion...

See, the government is continuing to do something to keep the credit tap growing. Join discussion...

As this article said, "The US Congress has passed a bill which permits the use of taxpayer funds to buy capital in the distressed "government-sponsored" mortgage lenders Fannie Mae and Freddie Mac if necessary to prevent their demise." Take a read at "Recipe for hyperinflation" at http://cij.inspiriting.com/?p=337 Join discussion...