It seems to me that the big hoopla created by those we pay big bucks to run our country is a joke. We need to get the price of real estate going back up, not holding steady, or continuing to drop. 4.5% mortgage rates are nice, but are not the fix.
Mortgage lenders are scared to death to lend, even to A credit borrowers, so that a nice low rate does not matter. Coupled with this is the fear among consumers that are not sure if buying a house is going to be worth it in 5- 10 years. In other words, will the home go up in value or just flat-line for eternity.
Short sales abound out in the real estate world, as do potential short sale buyers, but the same banks who 3 years ago could approve masses of buyers at light speed, now just can't seem to keep up with the line for short sales. We all know that one of the conditions that needs to be met before home prices elevate, is the sell off of all of the short sales out there. The banks need to quit dragging their feet.
More govt regulation that will only scare the crap out of lenders is not the answer. Instead, our so called leaders should let the free market take over and run. Capitalism works. Lets give it a chance