Foreclosures foreshadow disaster

foreign investors that bet big money on the US housing bubble have seen their money evaporate with a devalued dollar. Many of their star properties sit empty and have fallen into foreclosure.

The foreclosure rate in Nevada has gone up 77% since last year. This state leads the nation in the highest percentage of delinquent home loans. Florida used to be a hot real estate market. It Now has the highest number of foreclosures. And once booming Collier County recorded a drop of 38% in real estate prices this year.

I predict that the market will implode as more and more vacant houses sit on the banks books causing the banks to fail. This failure of banks looms large as a harbinger of the next depression.