Not Just My Opinion October 22, 2007Posted by robzel in Business, financial companies, New York Times.
Tags: auction, lending. subprime, Mortgage, mortgage crisis, New York Times, Paul Krugman
Paul Krugman’s editorial in today’s NY Times echos what I wrote about the economy last week (http://www.nytimes.com/2007/10/22/opinion/22krugman.html?_r=1&ref=opinion&oref=slogin). I do admit, I like his explanation better, but he has been writing a lot longer than I have.
On the front page of the Times is a related story about how the lending crisis has created an aggressive real estate auction market. As the article points out, “It’s a symptom of the foreclosure crisis…and it’s cause for concern that …areas that are already hit by investors who are buying up properties to rent them out, which makes neighborhoods less stable than owner-occupied housing”. (http://www.nytimes.com/2007/10/22/us/22auction.html?ref=us)
It seems this mortgage crisis may have some legs. Of course the contrarian in me has to point out that some buying opportunities may present themselves once the dust settles.