House Flipping Makes a Comeback

House Flipping Makes a Comeback
December 9, 2009, Wall Street Journal

Four years after the collapse of the U.S. housing bubble, flipping homes is back in fashion.
Jon Mirmelli, a Phoenix real-estate investor, learned late in the morning of Sept. 28 that a never-occupied custom house on the northern fringes of this Phoenix suburb was going up for auction around noon the same day. The six-bedroom home, built on a three-acre desert plot, has a kitchen with two dishwashers, four ovens, "antibacterial" copper sinks, and a master "spa" bathroom with space for a flat-screen TV visible from the tub.

Housing Outlook for 2010
December 9, 2009, Fortune

In a dour year for the economy, the housing market has offered some glimmers of hope. Home sales have improved, recently hitting their highest level in more than two years. There's been talk of bidding wars resuming in places like Silicon Valley and New York City. And cocktail party chatter everywhere has started to turn to talk of a bottom. So at least where housing's concerned, things are looking not so bad — right? If that's what you think, you may not want to invite Mark Zandi to your next cocktail party. The chief economist of Moody's Economy.com, Zandi has some sobering predictions: Home prices are going to fall 5% to 10% more -- and over 30% in places like Miami -- between now and this time next year. Then they might start turning around. (Emphasis on "might.")

Treasury to Extend TARP to October
December 9, 2009, Wall Street Journal

Treasury Secretary Timothy Geithner, in letters to lawmakers on an exit strategy for government bailout funds, said the administration will extend the life of the $700 billion financial-industry rescue package and shift priorities for expenditures.
Mr. Geithner said the Troubled Asset Relief Program will be extended through Oct. 3, 2010. "While we are extending the $700 billion program, we do not expect to deploy more than $550 billion," he said in letters to House Speaker Nancy Pelosi (D., Calif.), Senate Majority Leader Harry Reid (D., Nev.) and four other lawmakers.