“It is quite possible that, by the time Obama leaves office, no other country on Earth will have gained quite so much as Iran,” writes David Rothkopf in Foreign Policy magazine. Rothkopf is CEO and Editor of the FP Group, which publishes Foreign Policy. Rothkopf notes that virtually everything America has done in the Middle East in Obama’s tenure has been to Iran’s benefit. The most obvious example is Obama’s ongoing effort to negotiate a diplomatic deal regarding Iran’s nuclear program. By helping Iran, Rothkopf says, Obama won’t just be helping a long-time enemy, but also potentially undermining every other alliance the U.S. has in the Middle East. [NORM ‘n’ AL emphasis]
If Obama’s been helping Americans to improve their lives, why is US home ownership declining so rapidly?
Did you know that the rate of home ownership in the United States has fallen to a 20 year low? Did you know that it has been falling consistently for an entire decade? For the past couple of years, the economic optimists have been telling us that the economy has been getting better. Well, if the economy really has been getting better, why does the home ownership rate keep going down? Yes, the ultra-wealthy have received a temporary financial windfall thanks to the reckless money printing the Federal Reserve has been doing, but for most Americans economic conditions have not been improving. This is clearly demonstrated by the housing chart below. If the economy really was healthy, more people would be getting good jobs and thus would be able to buy homes. But instead, the home ownership rate has continued to plummet throughout the entire “Obama recovery”.
Of course this home ownership collapse began well before Barack Obama entered the White House. Our economic problems are the result of decades of incredibly bad decisions. But anyone who believes that things have “turned around” for the middle class under Barack Obama is just being delusional.
If the U.S. economy truly was in “good shape”, the percentage of Americans that own homes would not be at a 20 year low…
The U.S. home ownership rate fell to the lowest in more than two decades in the fourth quarter as many would-be buyers stayed on the sidelines, giving the rental market a boost.
The share of Americans who own their homes was 64 percent in the fourth quarter, down from 64.4 percent in the previous three months, the Census Bureau said in a report. The rate was at the lowest since the second quarter of 1994, data compiled by Bloomberg show.
Rising prices and a tight supply of lower-end listings have put homes out of reach for some entry-level buyers, who also face strict mortgage standards. The share of U.S. home buyers making their first purchase dropped in 2014 to the lowest level in almost three decades, the National Association of Realtors reported last week.
And it appears that this trend is actually accelerating. During 2014, the rate of home ownership plummeted by a total of 1.2 percentage points for the year. That was the largest one year decline that has ever been measured.
So why is this happening?
Well, in order to buy a home you have to have a good job, and good jobs are in very short supply these days.
Over the past decade, the quality of the jobs in our economy has steadily declined as good jobs have been replaced by low paying jobs. In addition, government policies are absolutely murdering small business. At this point, small business ownership in the U.S. is hovering near record lows.
This has resulted in millions of people falling out of the middle class, and it has contributed to the growing divide between the wealthy and the rest of the country.
If our economy was working the way it should, the middle class would be thriving.
But instead, it is being systematically destroyed. If you doubt this, I have some statistics that I would like to share with you. The following facts come from my previous article entitled “The Death Of The American Dream In 22 Numbers“…
#1 The Obama administration tells us that 8.69 million Americans are “officially unemployed” and that 92.90 million Americans are considered to be “not in the labor force”. That means that more than 101 million U.S. adults do not have a job right now.
#2 One recent survey discovered that 55 percent of Americans believe that the American Dream either never existed or that it no longer exists.
#4 After adjusting for inflation, median household income has fallen by nearly $5,000 since 2007.
#5 After adjusting for inflation, “the median wealth figure for middle-income families” fell from $78,000 in 1983 to $63,800 in 2013.
#6 At this point, 59 percent of Americans believe that “the American dream has become impossible for most people to achieve”.
You can read the rest of that article right here.
The group that has been hit the hardest by all of this has been young adults.
Back in 2005, the home ownership rate for households headed up by someone under the age of 35 was approximately 43 percent.
Today, it has declined to about 35 percent.
From a very early age, we push our young people to go to college, and today more of them are getting secondary education than ever before.
But when they leave school, the “good jobs” that we promised them are often not there, and most of them end up entering the “real world” already loaded down with massive amounts of debt.
According to the Pew Research Center, close to four out of every ten households led by someone under the age of 40 are currently paying off student loan debt.
It is hard to believe, but total student loan debt in this country is now actually higher than total credit card debt. At this point, student loan debt has reached a grand total of 1.2 trillion dollars, and that number has grown by an astounding 84 percent just since 2008.
If you are already burdened with tens of thousands (or in some cases hundreds of thousands) of dollars of debt when you get out of school and you can’t find a decent job, there is no way that you are going to be able to afford to buy a house.
So we have millions upon millions of young people that should be buying homes and starting families that are living with their parents instead.
Back in 1968, well over 50 percent of all Americans in the 18 to 31-year-old age bracket were already married and living on their own. But today, that number is actually below 25 percent. Instead, approximately 31 percent of all U.S. adults in the 18 to 34-year-old age bracket are currently living with their parents.
Our economy is broken, and our country is on the wrong path. Our future is looking more and more foreboding, not more promising. Why? One reason is that we have a president who was completely unprepared for the job he wanted and got elected to do. (He got elected because he lied repeatedly to the voters in order to get elected. Obama is now appeasing terrorists and releasing them from prison, where we see them re-entering the terrorist ranks on the battlefield. Does that sound like a well-thought-out foreign policy?) Another reason is that he really does not care about Americans. He cares about himself — in fact, he still thinks he’s doing a spectacular job. He probably cares about his own family. But he has proven beyond any doubt that he does not care about you and your family. How many times did he tell that infamous lie, “If you like your doctor/your health plan/your current health insurance, you can keep it,” knowing every time he said it that he was lying through his teeth? How many lavish vacations has he taken at taxpayer expense, all while doing his best to double US debt in his eight years in office? [NORM ‘n’ AL Note]
As always, posted for your edification and enlightenment by
NORM ‘n’ AL, Minneapolis