While the Palm Beach real estate market has been troubled the past two years, sometimes it takes an election for public officials to do anything about it. Last month the U.S. economy saw several actions to boost economic stability and scathe off a trend of recession. The most popular plan was the Emergency Economic Stabilization Act that put together an impressive $700 billion dollars to "bailout" troubled banks. The plan was received with little confidence from consumers as stock plummeted to all time lows. However, recent meetings with the heads of state from Europe and Asia have begun to turn things around.
European economists believe the trend of economic downturn can be reversed by energizing the stagnant credit industry. The Europeans have criticized the U.S. for allowing Lehman Brothers to go bankrupt and for bailing out "toxic" lending companies. The European plan--which has been met with great confidence from America and Asia--set off rapid growth in stock markets across the world.
The real estate industry must focus on getting interest rates on mortgage lower so consumer confidence will be restore sales in Palm Beach condos and Palm Beach homes. Seventy percent of U.S. spending is used by the individual to buy food, gas and other material goods. Our society has become reliant on credit purchasing and when it is stagnant our economy will only continue to go down. So the plan to restore the credit industry seems like the right solution.
But the plans set forth by the Emergency Economic Stabilization Act and recent European advice isn't the only forces in play to assist the real estate market. Hope for Homeowners, a FHA program, launched its campaign to assist distressed homeowners last month and has begun resolving mortgage issues around the country. According to their website the Bush administration has equipped them with $300 billion dollars to provide "mortgage assistance for homeowners at risk of foreclosure".
