Happy 4th of July picnic discussion time

Just want to remind all of you on this Independence Day weekend as you go to picnics and talk to your neighbors and friends do not forget to bring up the fact that the worst of the housing market is yet to come.

Many of you folks on the sidelines 2 years ago were mocked, made fun of, looked at in disbelief that you could not afford to buy a house that met your expectations.

What a difference 2 years makes. Today those of us with cash saved up, no credit card or HELOC's bills up to our ears can be the seen as the smart ones, while the folks who you privately wondered how in the hell can they afford this place avoid the subject completly. Why? Because well they CANNOT afford the place.

I wanted to share some stats with you about Baltimore County today. Take a look at this story about the addition of government staff to help with the forecloures going on. The irony of all this is next year is going to be an interesting one for local governments. I predict layoffs as the transfer tax boom of the past couple years drops off the radar.


Baltimore County Q1 Foreclosure Events = 938

Baltimore County had 930 foreclosure events in the first quarter of 2008, a
9.5 percent dip from the end of 2007 when there were 1,028. But those numbers
are in contrast to a year ago, when first-quarter foreclosure events totaled
236.

Wait a minute.....I thought this only happened in the city?

“I’m receiving a lot of calls from people who never thought they would be
faced with foreclosure,” Foreman said.

Ok...well it only happens in the poor and predominently lower class African-American neighborhoods.

First-quarter foreclosures events were highest in Dundalk with 95. But
Randallstown and Owings Mills were second and fourth at 85 and 71. Reisterstown
tallied 31 in the first quarter. Together, the three northwest corridor
communities accounted for 20 percent of county foreclosures.

Reisterstown? I thought that was the land of millionares, that's where all the Raven's players live!

Harvey agrees. “We have heard from everyone. From very modest income homeowners
to folks with the $600,000 house in the valley. It also impacts your ability to
rent because of [bad] credit ratings.”

Yeah this is true but you cannot squeeze blood from a turnup. I mean how else are you going to pay off credit cards from Nordstrom and your lease on your Lexus?

Homeowners also need to take control and look at cutting spending,
officials say. “What are we willing to do to help ourselves? The programs will
help if we work together,” she said. “Buying a house is so important – the
biggest purchase you’ll make in your whole life – you need to educate yourself
before you buy a home.”

Have a good holiday folks and be safe the County and State Police are out in
force, need the revenues!