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Housing Bubble, Interest Rates, Timber Costs; What Has Changed?

What has really changed in the housing national product has 5% written over the
market with regards to timber dumping new housing market. This is significant
from Canada, lumber costs since the and in 2000, 34% of all the lumber for
Professional Building Magazine issue in the new housing starts came from Canada,
Sept. 2001. How is this affecting the in 2001 37% and it is expected to be 30%
housing market or the predicted housing even in 2002 with the newest tariff in
bubble burst which was suppose to cripple place for anti-dumping duty of nearly
the economy. We have seen the Federal 40%.These tariffs are too high and are
Reserve raise rates, lumber prices go up, anti-competitive. Canada should have
still America was buying up new homes and policed them selves a little better and
joining the ownership society faster than not taken such advantage of the
at any other time in the history of our situation, but today we are all to blame.
nation.Unfortunately the ease to buy a What I think is the funniest thing as I
house was truly too easy judging by the read the old articles in the building
current foreclosure rates and one might industry is that Enron was selling lumber
wish to ask why should young couples with futures during this time and they would
only two to five percent down be buying a have been the ones who took the bath as
home anyway? That is not fiscally companies like US Homes, Pulte Homes and
responsible. These buyers will be upside other major players had their prices
down in these homes in some markets locked in earlier. You want to hear
almost as before the ink is dry. In something else? The Canadians now wish
other markets they will be growing equity to retaliate with less cooperation of the
extremely fast as long as their local pipeline for natural gas from Alaska,
market holds out, but when things change; after all they sell us natural gas and
there will be more over all foreclosures. oil (1 billion barrels) and any pipeline
And they cannot realize their equity easement situation cuts into their
because they will not be able to sell perceived right to further offset our
their homes. If they use the equity to already 85 Billion Dollar per period
pay off credit cards by re-financing trade deficit. In British Columbia there
before the prices stabilize they will are many towns out of work where the
alleviate high interest rates but have mills are located. Oh really and what do
also committed themselves to more over you think happened to our towns in WA,
all debt?With increased costs of interest OR, ID and other places. If the free
rates, building materials; if the houses market system could be evenly placed with
cost an estimated $1000-2000 more, and I proper cooperation then we would not have
am talking about you basic starter home had to take the hit in our towns and now
of modest size 1400-2000 square feet; they had to take the hit in their towns.
then fewer will qualify to buy a home and With the big builders locked in and the
chances are those who have not yet bought US Lumber and Truss companies forced to
a home may not be able to secure honor these contracts by companies like
financing anyway; if they do, they pose a Enron (ha ha), Pulte, etc. it will be the
higher risk of loan fall out rates being little lumber companies and builders who
thrust upon the mortgage arena. Our get hurt the most. So who wins? No one,
Commerce Department Imposed a 19.3% see the problem? I do.Will builders try
countervailing duty on timber from to shave prices by not pressure washing
Canada. It should have been 10-14% max finished homes, yes the smaller ones
and only for 9 months, so US companies will. Will they withhold payments to sub
could get back on their feet without contractors too? Yes, will they cut
pissing off the envi-moron-mental-lists corners to further cut their losses due
(someday I will explain exactly how we to increased prices, yes. So what
came up with that term). Our gross happened?




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