News: Real Estate, Risk, Economics. Oct. 26, 2016

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Table of Contents
(Click to sections below.)

1) Blight-Fighting Tactic Found to Double Nearby Real Estate Values — Next City

2) Families getting rehoused in wake of West Seattle fire – seattlepi com

3) Death of the internet: GIF at 11 | ZDNet

4) Is Real Estate Finally Rolling Over?

5) Safety Violations Found in More Than Half of 240 New York Apartments Inspected

6) Maine Prosecutor Says Bedrooms in Burning Home Were 'Death Traps'

7) Hurricane Matthew – Wikipedia, the free encyclopedia

8) China's top central banker cautions against hot property prices | Reuters

9) Shanghai Adopts Measures to Curb Rocketing Property Prices – Bloomberg

10) Real estate investors on US coasts target cheap, out-of-state markets | Reuters

11) Beijing, Shanghai, Shenzhen: the cities where house prices rose by 30 to 40 per cent

12) China's Ponzi Real Estate Market

13) Ordinance targets specific problem properties in Springfield – News – The State Journal-Register – Springfield, IL

14) NASA Satellite Captures 3-D View of Hurricane Matthew – YouTube

15) Court: Consumer bureau's structure is unconstitutional | TheHill

16) Investment Income: The Best Markets For Real Estate Investment In The Heartland

17) Florissant approves controversial ordinance targeting landlords, rental properties | FOX2now com

18) Romeoville Natural Gas Explosion Happened To Same Homes 17 Years Ago – CBS Chicago

19) Report advises Rockford how to clean up blighted, abandoned properties – News – Rockford Register Star – Rockford, IL

20) Brooklyn building where baby fell to death has 50 open violations – NY Daily News

21) New Foldable Camera Drone Requires No FAA Approval, Can 'Add Spice' to Your Pics – NBC News

22) The Latest: 22 homes destroyed in Nevada wildfire – Salon com

23) Fixing Blighted Properties Creates Positive Social Change, Study Finds – CBS Philly

24) 'Real Estate Investors Should Be Treated Like Any Other Businessmen' | FAIR

25) The risks in Australia's housing market shouldn't be downplayed

26) AM Best: Damage From Hurricane Matthew Won't Affect Most Insurer Ratings

27) The Latest: National Guard helps fight Colorado wildfire – Porterville Recorder: National News

28) AARP: For many Social Security is nowhere near enough

29) A look at the most dangerous Chinese real-estate bubble | The Seattle Times

30) Look Who's Driving the US Housing Market – Bloomberg

31) Schenectady County to auction foreclosed properties – dailygazette com

32) Firs Mobile Home Park will be closed and redeveloped : SeaTac Blog | Local News, Events, Arts & More for SeaTac, WA

33) Report calls Seattle the 'crane capital of America' as ongoing tech boom transforms cityscape – GeekWire

34) China's Antigraft Enforcers Take On a New Role: Policing Loyalty – The New York Times

35) Officials increase death toll of Duluth house fire to 5 | 11alive com

36) It's Official: Injection of Fracking Wastewater Caused Kansas' Biggest Earthquake

  1.    Blight-Fighting Tactic Found to Double Nearby Real Estate Values — Next City

    It's also less expensive to get involved.

    Add your comment. Including the article/link number will help.


  2.    Families getting rehoused in wake of West Seattle fire – seattlepi.com

    SHA said that all the families would have offers or would already have moved into new housing by the end of this week, a response that was far beyond typical for the organization, said Kerry Coughlin, director of communications for the agency.

    "It's unprecedented for us, it really is," Coughlin said. "Our teams have pulled out all the stops. We're not generally set up to do this kind of rapid rehousing response."

    Add your comment. Including the article/link number will help.


  3.    Death of the internet: GIF at 11 | ZDNet

    Check into whether your IoT devices are secure against being taken over to be used in cyber attacks. Itt they aren't secure, take them off line if possible.

    Add your comment. Including the article/link number will help.


  4.    Is Real Estate Finally Rolling Over?

    This isn't 2007 and these real estate markets aren't collapsing. But the switch from strong growth to modest contraction is a big deal in the context of an economy where manufacturing remains weak, trade growth is slowing dramatically and corporate profits continue to fall. Combine a mild real estate recession with the bursting of the auto loan bubble and it's not clear where the expected 3% growth as far as the eye can see will come from.

    Actually, that's not true. It's been clear for some time that the next growth engine will be old reliable deficit spending. Whoever is in charge a year from now will almost certainly be ramping up a major tax cut/infrastructure spending/debt relief program, paid for with either borrowed funds or newly-created dollars. Helicopter money, in other words. And no way will this be combined with higher interest rates (since the two effects would cancel each other out), so the talk of Fed tightening will die a quiet death very shortly.

    He doesn't know what "helicopter money" is. Helicopter money doesn't increase the deficit. That's why the Fed and others try to avoid the subject.

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  5.    Safety Violations Found in More Than Half of 240 New York Apartments Inspected

    … investigators say public housing maintenance workers ignored safety checks and covered it up.

    Add your comment. Including the article/link number will help.


  6.    Maine Prosecutor Says Bedrooms in Burning Home Were 'Death Traps'

    I've been covering this since it happened.

    If he's convicted, Nisbet would be the first Maine landlord to be successfully prosecuted for manslaughter because of poor conditions of a building. Many landlords in the state are watching the trial to see the extent to which a landlord can be held accountable for tenants' actions.

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  7.    Hurricane Matthew – Wikipedia, the free encyclopedia

    Hurricane Matthew is currently a strong tropical cyclone which impacted Haiti, Jamaica, Cuba, Dominican Republic, and The Bahamas, and is moving along the east coast of the southeastern United States, especially Florida, as well as Georgia, South Carolina, and North Carolina.[1]. It was the first Category 5 Atlantic hurricane since Hurricane Felix in 2007. The fourteenth tropical cyclone, thirteenth storm, fifth hurricane and second major hurricane of the annual hurricane season, Matthew formed from a vigorous tropical wave that moved off the African coast on September 22, progressing on a westward track until it developed into a tropical storm while it was situated just to the east of the Leeward Islands on September 28. A day later, it became a hurricane while west of the Leeward Islands, and rapidly strengthened into a Category 5 hurricane.

    At least 852 deaths have been attributed to the storm, including 842 in Haiti, making it the deadliest Atlantic hurricane since Stan in 2005, which killed more than 1,600 in Central America and Mexico.

    On October 6, U.S. President Barack Obama declared a federal state of emergency for Florida.[2] The federal disaster declaration was later extended to include Georgia and South Carolina.[3]

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  8.    China's top central banker cautions against hot property prices | Reuters

    Sure, sure, I'll believe it when I see it. I hope they can pull it off, but I sure won't be holding my breath.

    Add your comment. Including the article/link number will help.


  9.    Shanghai Adopts Measures to Curb Rocketing Property Prices – Bloomberg

    The new steps announced by the city's housing commission include increasing land supply and forbidding price increases in new home pre-sales without approval.

    "…without approval…." So much for price discovery, not that it was working in China anyway. This is what you call a mess with Chinese characteristics.

    Add your comment. Including the article/link number will help.


  10.    Real estate investors on U.S. coasts target cheap, out-of-state markets | Reuters

    There are signs, too, that the rental industry is cooling off. After the housing crash, hedge funds raced into beaten down markets including Las Vegas and Los Angeles, buying up large blocs of single family homes to rent out. But some institutional investors are now eyeing an exit strategy. Blackstone Group LP's Invitation Homes announced in July that it expects to sell about 5 percent of its about 50,000 homes to current renters.

    In addition, while U.S. rents have risen by an average of 4.1 percent since 2010, average rents in New York, San Francisco and San Jose fell in the third quarter for the first time during that period. The decrease in expensive markets could presage broader weakness rent prices nationally.

    With a tighter market, competition for the remaining margin is stiff. If you don't sell, which you may not be able to, the way to increase profits or to increase stability is by economizing wisely. Don't overextend even if a bubble seems a long way off.

    Add your comment. Including the article/link number will help.


  11.    Beijing, Shanghai, Shenzhen: the cities where house prices rose by 30 to 40 per cent

    … the vast majority of domestic buyers appear undeterred; if anything, the price gains have become something of a self-fulfilling prophecy. Like the frenzied stockmarket buying last year which ultimately ended in tears, fear of missing out has provided strong motivation for cashed-up property speculators, as well as genuine investors and owner-occupiers worried they will soon be priced out altogether if they don't act fast. Constant speculation that provincial governments are on the cusp of introducing new purchasing restrictions to prevent the market from overheating has only exacerbated the buying craze.

    A mess!

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  12.    China's Ponzi Real Estate Market

    In the United States, the Ponzi scheme went bankrupt because players, banks, and the government (the referee) are all parties with different interests. In China the government is the referee, the central bank the dealer, and local governments the players.

    The article goes on to suggest that the Chinese government won't fall if the economy collapses; however, we've never seen quite this Chinese situation before. The Communist Party is very afraid of revolution if the economy collapses.

    Add your comment. Including the article/link number will help.


  13.    Ordinance targets specific problem properties in Springfield – News – The State Journal-Register – Springfield, IL

    "The original ordinance was about the practice of being a bad landlord. This is property-specific, about problem properties," Proctor said. He worked with landlords and Realtors to address their concerns.

    Add your comment. Including the article/link number will help.


  14.    NASA Satellite Captures 3-D View of Hurricane Matthew – YouTube

    NASA's Precipitation Measurement Missions' GPM core satellite captured Hurricane Matthew in 3-D as it made landfall on Haiti and as it traveled up to the Florida coast.

    The Global Precipitation Measurement Mission or GPM flew directly over the storm several times between October 2 – October 6, 2016. The view on October 6 reveals massive amounts of rainfall being produced by the storm as it approaches Florida.

    The GPM core satellite carries two instruments that show the location and intensity of rain and snow, which defines a crucial part of the storm structure — and how it will behave. The GPM Microwave Imager sees through the tops of clouds to observe how much and where precipitation occurs, and the Dual-frequency Precipitation Radar observes precise details of precipitation in 3-dimensions.

    The music belies the horror in Haiti and elsewhere that the storm produced.

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  15.    Court: Consumer bureau's structure is unconstitutional | TheHill

    I was in favor of its creation but didn't like it that it was placed under the Federal Reserve.

    Add your comment. Including the article/link number will help.


  16.    Investment Income: The Best Markets For Real Estate Investment In The Heartland

    If the profits are there, the big players will move in.

    Add your comment. Including the article/link number will help.


  17.    Florissant approves controversial ordinance targeting landlords, rental properties | FOX2now.com

    The ordinance would suspend or strip landlords of their licenses if they fail to uphold certain provisions.

    For example, a landlord`s license would be suspended or revoked if within a 12 month period the landlord has been notified of three or more acts of unreasonable conduct by the tenants or other persons at a property.

    In my view, landlords don't always have the ability to control what happens at a property to this extent.

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  18.    Romeoville Natural Gas Explosion Happened To Same Homes 17 Years Ago – CBS Chicago

    Thankfully, no one was inside the homes at the time, but officials say the cause was a natural gas explosion.

    Add your comment. Including the article/link number will help.


  19.    Report advises Rockford how to clean up blighted, abandoned properties – News – Rockford Register Star – Rockford, IL

    … the worst of Rockford's 70,000 parcels: homes that have no occupant, according to the U.S. Postal Service; structures where city water service has been shut off for six months or more; properties with delinquent 2015 property taxes; and parcels with one or more open code violations.

    The study found that 201 properties in Rockford met all of the criteria, and they're concentrated in the city's southwest, southeast and northwest quadrants.

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  20.    Brooklyn building where baby fell to death has 50 open violations – NY Daily News

    And the high-rise currently sports 50 open building code violations, including four elevator violations.

    Add your comment. Including the article/link number will help.


  21.    New Foldable Camera Drone Requires No FAA Approval, Can 'Add Spice' to Your Pics – NBC News

    This will certainly end up being used by the real estate industry.

    Add your comment. Including the article/link number will help.


  22.    The Latest: 22 homes destroyed in Nevada wildfire – Salon.com

    Add your comment. Including the article/link number will help.


  23.    Fixing Blighted Properties Creates Positive Social Change, Study Finds – CBS Philly

    New research shows fixing up blighted properties and vacant lots reduces gun violence and the cost associated with it.

    Add your comment. Including the article/link number will help.


  24.    'Real Estate Investors Should Be Treated Like Any Other Businessmen' | FAIR

    Want to know what the mixed-economy left is thinking about real-estate-investment taxes?

    I think one of our hardest tasks in explaining the tax code, and also one of the reasons why the tax code has become so rigged, is because it's become this place for different accountants or tax lawyers to argue. And at that point, it's hard for the American people to kind of engage and figure out, well, what is the loophole and what is the legitimate deduction?

    Add your comment. Including the article/link number will help.


  25.    The risks in Australia's housing market shouldn't be downplayed

    The RBA's review shows that Australian banks have tightened their lending standards and have room for further tightening, but currently we do not see larger impacts on delinquencies. Current rates of people not being able to make their mortgage payments are low but may quickly change in an economic downturn. It's also difficult to forecast whether this will change judging by medium- to long-term trends.

    What's underpinning the economy? How stable is that?

    Add your comment. Including the article/link number will help.


  26.    A.M. Best: Damage From Hurricane Matthew Won't Affect Most Insurer Ratings

    Add your comment. Including the article/link number will help.


  27.    The Latest: National Guard helps fight Colorado wildfire – Porterville Recorder: National News

    Authorities say a wildfire in southern Colorado has destroyed five homes and hundreds of people remain under evacuation orders.

    Add your comment. Including the article/link number will help.


  28.    AARP: For many Social Security is nowhere near enough

    Do you have retired tenants? Do you go to bat for them with the federal government?

    The U.S. Bureau of Labor Statistics has constructed another index that more accurately reflects the consumption of people 62 and older, known as the Experimental Price Index for the Elderly (CPI-E). This index shows that the rate of inflation for those 62 and older has been higher than the rate measured by either the CPI-W or other indexes in most years.

    Add your comment. Including the article/link number will help.


  29.    A look at the most dangerous Chinese real-estate bubble | The Seattle Times

    Beijing watched the American bubble pop in 2007-2008. But the stakes are considerably higher for the Communist Party bigs, who essentially promise citizens prosperity if they go along with a one-party authoritarian state.

    Add your comment. Including the article/link number will help.


  30.    Look Who's Driving the U.S. Housing Market – Bloomberg

    Their biggest roadblock to homeownership may not be personal preference or personal finance. According to a recent analysis by Fannie Mae economists, a bigger obstacle is single-family landlords, who have snapped up a massive slug of starter homes in recent years, turning millennial homebuyers' likely targets into rental properties.

    That may explain another finding from the Zillow survey: As a group, millennials have skipped past traditional starter homes, buying first homes that are about as large and as expensive as the homes purchased by members of older generations.

    I think this is a bit rah-rah, but I remain open to it. It sure sounds like it's the better-off who are buying. It remains to be seen what the real middle class will do over the longer haul.

    I don't think any serious person thought no millennials would buy.

    Add your comment. Including the article/link number will help.


  31.    Schenectady County to auction foreclosed properties – dailygazette.com

    Schenectady County will be auctioning off 59 properties this weekend in an effort to beef up the tax rolls.

    Add your comment. Including the article/link number will help.


  32.    Firs Mobile Home Park will be closed and redeveloped : SeaTac Blog | Local News, Events, Arts & More for SeaTac, WA

    Although the State of Washington's Office of Mobile Home Relocation Assistance has primary authority for overseeing park closures like this, the City also requires an owner to submit a relocation plan for review and approval.

    Add your comment. Including the article/link number will help.


  33.    Report calls Seattle the 'crane capital of America' as ongoing tech boom transforms cityscape – GeekWire

    The Seattle Times said in a story Friday that Seattle is the "crane capital of America" right now, and that during this past summer the ubiquitous yellow cranes numbered 58. That's 18 more than the next closest city, Los Angeles, and way more than other big cities such as New York (28), Chicago (26) and San Francisco (24).

    Add your comment. Including the article/link number will help.


  34.    China's Antigraft Enforcers Take On a New Role: Policing Loyalty – The New York Times

    As the discipline commission has taken a role in enforcing economic policies, censuring state-controlled companies and banks, foreign investors have become worried about the effects on their Chinese business partners and clients.

    So much for "opening" China to democratize it.

    Add your comment. Including the article/link number will help.


  35.    Officials increase death toll of Duluth house fire to 5 | 11alive.com

    Add your comment. Including the article/link number will help.


  36.    It's Official: Injection of Fracking Wastewater Caused Kansas' Biggest Earthquake

    The largest earthquake ever recorded in Kansas—a 4.9 magnitude temblor that struck northeast of Milan on Nov. 12, 2014—has been officially linked to wastewater injection into deep underground wells, according to new research from the U.S. Geological Survey (USGS).

    Add your comment. Including the article/link number will help.


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