Recent data from Q3 2022 stated that overall US Foreclosure Activity is on an upward trend. In fact, Foreclosure Starts have increased 167 % Year Over Year when compared to 2021. This increase should come as no surprise as the US Housing Market is working its way back to normalcy. Some will say that the volume is down compared to previous years, which is true, however those that are focusing on the recent volume are not factoring in the future waves that are on the way. The Foreclosure statistic arena is not easy to figure out, with many published stats no more than estimates and extrapolations. Suffice to say that the current Housing Market is going through a "Corrections" and the future waves for Foreclosures will push it to a "Crash".

The original version of this "chart" came out in 2013. It was produced by John Burns Consulting. This consulting firm specializes in Real Estate and they consult for Home Builders, Lenders, Hedge Funds and other very large Investors. They re-released the chart with some updates to reflect where the Housing Market is at now, in September 2022. They believe that we are now experiencing 16 out of the 20 Qualitative and Quantitative items on their chart, or in other terms 80%. This is yet another finding, or perspective from a reputable source that validates where the Housing Market is at right now, and where it is headed in the near future.

Time flies when you're having fun. Seems like yesterday the Housing Market narrative was focused on the Double Digit Home Price Appreciation that was going to occur over the course of 2022. Sell your home and cash out, or ReFinance and pull big money out of all that "tappable equity". Fast forward to today and we have seen a complete reversal in the prediction and opinions of some of the big Wall Street players. Instead of appreciation, they are now discussing, and revising the amount of loss the Housing Market is going to experience over the course of Housing Correction and Crash. I still can't believe that Moody's, once again, revised their outlook on the Housing Market and it is even worse than before.

David Burt, was a consultant at Cornwall Capital, a firm that famously shorted the subprime mortgage market in a feat chronicled in Michael Lewis' book, "The Big Short." In recent years, he's been sounding the alarm on the widespread threat that flooding poses to the US housing market. Now Hurricane Ian, which ripped through Florida this week, killing at least 21 people and leaving tens of billions of dollars of estimated damages in its wake, could mark a turning point for both insurers and homeowners. It is predicted that FL home values could fall up to 50% due to many issues surrounding the pending rise in Flood Insurance costs for areas that have been hardest hit by the Hurricane.

We are at the point now when everything related to Housing is moving at a faster pace. Mortgage Rates increased from 6% to over 7% in less than one month. The Case-Shiller Home Price Index for July 2022 gave us the first deceleration. Expectations that this will increase as the index typically lags 2 months behind. There are a number of factors that are contributing to a Housing Market Correction and/or Housing Crash. There really is no denying this now.

Moody's recently revised their outlook on the Housing Market. They have been fairly vocal about the Housing Market correcting as well as providing their predictions on just how much (as a percentage) loss we should expect to see. They revision was based on 2nd Quarter sales and value results and now we are looking at an even greater percentage of loss, especially in significantly over valued Housing Markets.

Recently released statistics from the National Association of Realtors (NAR) indicated that pretty much every aspect of the retail Housing Market did slow down for the Month of August 2022. Sales Volume and Median Sales Price both experienced significant drops. Mortgage Rates topped over 6% for the past week (6.29 % 30 Yr. FRM) and the FED recently raised interest rates 75 bps as a continuation in the efforts to curb inflation. This will not be the last time they raise rates and the Housing Market will further slowdown as the end of the year approaches.

As we watch the US Housing Market correct and crash in real time, it is still interesting to note that Mainstream media refuses to acknowledge and ignores the potential massive volume of Foreclosures that are on the way. Why are they ignoring the Foreclosures ? It is anyone's guess, however, based on timing one could assume that even more negative news for the Housing Market will not help them with their narrative and agenda.

Everyday we are noticing more articles and reports from reputed Economists or their Organizations that are openly discussing the Housing Crash, as well as estimating the amount or percentage of price/Home Value declines. All this is happening just ahead of another significant in interest rates and without any mention of any sort of issue with regards to Distressed Properties (Delinquencies, Forbearance, Foreclosures, etc.). Add those on to the slowdown and correction and the Housing Market should move full on into a Crash.

We often forget that there still appears to be many issues going on with the Rental Community. It was surprising to hear that about 8.5 Million people are behind on their monthly rent payments and that almost 4 Million believe they are at high risk to be evicted. Maybe it is not that surprising at all when you factor in months of inflation, increased job loss, etc. etc. The US Economy is taking a beating at the moment and it will have a trickle down effect to everyone, including Renters.