The best word to describe the housing market over the past 12 months is dismal. A couple recent glimmers of hope in 2009 have many hoping for a turnaround by early 2010. However, there are some saying that such a turnaround isn’t possible without the participation of the immigrant population. We just can’t count on people who own more than one home anymore.
With all hope, the tax credits and builder incentives being laid out domestically will begin to show their value more consistently soon. But the government has also been urged by some to take a look at immigration policies.
SUSPS
In a recent Wall Street Journal article by Richard LeFrak and Gary Shilling, the authors conclude, “Granting permanent resident status to foreigners who buy houses in this country will curtail a primary driver of the deepening recession and financial crises - excess house inventories and the resulting collapse of prices. Since the people who will buy these houses will tend to have money, education, skills and entrepreneurial talents, they will be substantial assets to America in both the short and long runs.”
The authors also hypothesized, “The mere announcement of this program might well stop the ongoing collapse in house prices, especially in cities such as Las Vegas, Miami, Phoenix and San Francisco, where prices are down 40% - but where many foreigners like to live.”
Minorities, now roughly one-third of the U.S. population, are expected to become the majority in 2042, with the nation projected to be 54 percent minority in 2050. By 2023, minorities will comprise more than half of all children. The Hispanic population alone is projected to nearly triple, from 46.7 million to 132.8 million during the 2008-2050 period.*
So what does this mean now? Are we going to open more doors or will the housing market rebound on its own? After all, this isn’t new information.
*U.S. Census Bureau
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