Shocking Surprises Yet Ahead for the U.S. Housing Market…

In December 2008, I wrote about shocking surprises that were still in store for the US housing market. Back then, hundreds of thousands of home owners’ adjustable rate mortgages (ARMs) were about to come due for a radical upward adjustment. Some forecasters predicted we would begin to see an acceleration of the mortgage crisis in April of 2009, lasting through January of 2010.

Well, as predicted the housing market continued its downward slide, but now, half-way into 2010, there are still no signs of a recovery.

In fact, according to a report by Richard Suttmeier, homes across the US may lose half their value before it’s all over. He cites high unemployment, struggling community banks, and short sales as three of the main causes driving the plummeting housing market.

If you need the equivalent message on finances that I provide on health, I would strongly recommend reviewing Mike Shedlock’s Global Economic Trend Analysis blog. He only writes a few posts a day but they are solid and he will give you an excellent perspective.

It is important to have current good insights on what is happening in this crazy economy of ours and how to interpret it. Two other blogs that I rely on for information on the economy are:

• Patrick.Net
• King World News

In the article above, Mike Shedlock points out some of the most flawed forecasts and "inane thoughts” of so-called financial experts who claim that now’s the best time to buy, and that we may very soon end up with a housing shortage!

In response, Shedlock writes:

"There is absolutely no reason to rush to buy homes now and the idea that a housing shortage is coming soon, or now is the best time ever to buy a home, are both absurd.”

Take the Time to Clean Up Your Financial House

Judging by the evidence presented by Shedlock in the article above, I’d have to agree with his analysis that we’re not even close to being out of the woods yet.

If there’s a silver lining to any of this, it might be that over the past couple of years, many people have started re-evaluating their finances, and their relationship to money.

Values are slowly changing.

If you, like so many others, are still deep in debt, I recommend reviewing ZenHabits’ 12-step guide for getting out of debt.

I have also created a list of sites that offer free online tools and services that help consumers save money and manage it wisely. Go to 9 Sites That Help With Everyday Budgeting.

Focus on Your Health, and Stay Positive

I believe it’s important to understand one particular concept, especially in times like these: You attract more of that which you feed with powerful emotions.

This concept, popularized by the wildly popular book The Secret, is why the emotion of fear can be so detrimental.

So please remember this: staying positive and focusing on that which is good and right and just, can help you tremendously; emotionally, mentally and physically, because your emotions can have a very direct impact on your health.

Gratitude is a powerful tool that can help you stay positive. Consciously expressing gratitude for what you DO have is one of the best antidotes for feelings of lack.

Any exercise that serves to decrease fear, increase peace and calm, and benefit you in many ways, physical as well as mental. I have written many articles about the interconnectedness of mind and body. Stressing over your financial situation is a perfect example of when you must take care of your mind, in order to take care of your body.

In addition, one of the major solutions to the hardships in the US is to return back to our roots as a country.

This includes supporting the small "mom and pop” shops that get their goods from local suppliers, buying your food from small local farms, and valuing quality USA-made goods and foods over those that came cheaply from overseas.

As explained in the documentary "Meltup,” if just 20 percent of Americans begin to act in this way, it will propel a shift in the standards of the United States, a shift that may very well save us economically.