October 15, 2009 Posted by James Randolph on October 15, 2009
October 15, 2009 – Some US economists fear that our housing sector could go belly up if it must endure any more quarters as poor as the third quarter of 2009. "They were the worst three months of all time," said Rick Sharga, RealtyTrac spokesman. The online marketer of foreclosed homes reported today that one out of every 136 US properties is in foreclosure, which is 23% worse than the same quarter of last year, and 5% worse than the second quarter of 2009. Certified gold coins could possibly be aided by this unfortunate circumstance, because a large number of property owners are supplementing their real estate holdings by diversifying into gold and silver. Investors have a historic tendency to utilize these precious metals for a back-up plan in case the value of their properties decreases. As demand for homes wanes due to rising unemployment rates and lower household income, home prices could decline significantly, as they have in the last three years. The corresponding effect on certified gold and silver coins could be dramatic.
Some states have been harder hit than others, but the entire nation bears the weighty, cumbersome yoke of this recession. Nevada is host to a foreclosure rate of almost 5%, which means that 1 out of every 23 households could be facing eviction. Even the states that have fared better are suffering, like Vermont. The Green Mountain State’s foreclosure levels jumped 170% from last year’s same-time readings, which is a shiny black eye to the shameless campaign that we are a recovering nation. Almost 1 million home"owners" received foreclosure notices during the last three months, and 237,052 properties were repossessed within that same time frame. This is a record number of repossessions for any three month period, but real estate analysts fear that this record was most likely meant to be broken.
Investors who would like to protect themselves and their portfolios from these dire financial circumstances within our nation are encouraged to test a position with certified gold and silver coins. These coins have a numismatic value that tends to grow with time, but even if these coins lose their worth as rare collectibles, the inherent precious metal content and non-confiscatablility of these coins would be protected. Investment-grade coins like the $20 Lady Liberty and the $2.5 Indian Head secure investors’ portfolio by providing a liquid asset than can be stored privately by the investor, which is why so many investors have decided to diversify into this rapidly growing market.
Senior Staff Writer – Certified Gold Exchange