http://www.breakingbubble.com/
The name says it all but the web site tell how they made the bubbleIt seems there are alot of homes for sale in san antonio. Why?Are alot of people just moving away for jobs?
these are a result of people who normally would not be qualified for a home loan that got one under an exotic interest only where the payments are low, and now the 5 year mark has settle and the loan adjusted, so now the payments are higher and they cannot truly afford the house. the house was a bought at artificially high price due to cheap credit and lax lending rules, so then anyone could qualify for a house
so they must sell or lose it in foreclosure
it's also late speculators ( ';flippers'; ) who are in the same predicament and are trying to get out while they can
but with so many homes on the market the price goes down and there comes a point where they either settle for less profit ( if at all ) or are actually owe more no the mortage than the property is currently worth and are upside down.
check the are afor the foreclosure rate to confirm what i have said and you see default will be about 5 years from the date of the last sale on the properties, you also find out there is a high rate of interest only home bought in the area which translates ( for those who didn't or couldn't refi into a locked rate ) which will translate into a high foreclosure rate ( look at Detroit's mess which is further compunded by large auto layoffs, 1 in 8 houses over there is in foreclosure )
market is slow,
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