Banks in collaboration with the MSM are still manipulating the housing market searching for a recovery. From floating ideas like changing the status of the resident from home owner to renter (See Here) to gross misrepresentation of market data to manipulate public perception of the market (See Here). What is particularly scary is the fact that the FED is encouraging banks to convert foreclosed homes into rental properties (See Here). Can you imagine how distorted the rental market would be if banks became a new competitor in the rental market? It would be as criminal at the manipulation actively going on in the silver market as the private investor cannot compete with the banking institution that have unlimited access to free currency.
The truth is that the housing market is a dam riddled with cracks and they are all starting to leak at the same time. To make things worst is the solution being used comprises of chewing gum, masking tape, paper clips, and a bottle opener. What this continued manipulation does is buy time for the banks at the cost of prolonging the and exacerbating the purge required to revitalize the housing market. After all that has been done to drive an increase in demand we are still reminded that what we are seeing is just an illusion as once again the market is setup to work against you (See Here).
To get a grasp on what is needed for a real housing recovery we must view the delinquency report issued by the New York FED.
The rate needs to drop 879 basis points to sustain a full recovery and if there is no job recovery there will be no housing recovery. If you take a look at the commercial side and farmland they are headed in the right direction.
Does this mean that a job recovery is in progress because business owners are showing signs that they can pay their more mortgages? No, it just means there may be another false bottom installed by banks to guard them against realizing loses for non performing loans. While there may be signs of a recovery in some areas it’s not enough to turn the market around and so the manipulation continues.