Menzie Chinn over at Econbrowser is feeling distressed today. He came across the below graph in the IMF's Global Financial Stability Report that shows the dollar amount of mortgage resets coming due in the future, as well as those in 2007. Take a look at the resets coming due in 2008--they are mostly subprime mortgages. Menzie looks at this sobering graph and concludes the "subprime resets in 2008 should put to rest the notion that the housing market's troubles are soon to be put behind."
Mish on housing:ReplyDelete
The worst (by a long shot) is yet to come. Remind me to start looking for a true bottom in 2011-2112. Perhaps we get a bounce somewhere along the way.