Rosen is chair of the Fisher Center for Real Estate and Urban Economics at the University of California, Berkeley’s Haas School of Business. The FCIC is a bi-partisan, 10-member panel established by Congress to examine the causes of the financial crisis. Rosen presented the commission with several policy and reform proposals to combat the crisis.
“The embryonic recovery in housing has been highly dependent on massive federal government intervention rather than an organic increase in buyer demand,” said Rosen. However, he notes the termination of several federal programs will stunt the market’s recovery. His recommendations included:
• A loan modification plan to address “underwater” mortgages when a home’s value is well below the mortgage balance
• A shared appreciation second mortgage that allocates part of the future appreciation of the home to the government and to the private lender to encourage loan modification
• A government-sponsored “unemployment bridge loan” to address unemployed households who do not qualify for a loan modification
On the commercial real estate front, Rosen said vacancy rates and falling rents continue to dominate the market. He proposed:
• Maximum loan to values set “counter-cyclically” to minimize the number of borrowers becoming overextended at the market’s peak.
• Construction and development loans restricted to 50% of costs to ensure developers have a greater financial stake in their projects
• The amendment or repeal of the Foreign Investment in Real Property Tax Act (FIRPTA) in order to attract much needed capital to the domestic real estate market
Read Kenneth Rosen’s entire assessment and proposal of the 2010 real estate market: http://www.haas.berkeley.edu/news/20100113_rosenfcic.html
Pamela Tom | Newswise Science News
Europe's microtechnology industry is attuned to growth
10.03.2017 | IVAM Fachverband für Mikrotechnik
Preferential trade agreements enhance global trade at the expense of its resilience
17.02.2017 | International Institute for Applied Systems Analysis (IIASA)
Astronomers from Bonn and Tautenburg in Thuringia (Germany) used the 100-m radio telescope at Effelsberg to observe several galaxy clusters. At the edges of these large accumulations of dark matter, stellar systems (galaxies), hot gas, and charged particles, they found magnetic fields that are exceptionally ordered over distances of many million light years. This makes them the most extended magnetic fields in the universe known so far.
The results will be published on March 22 in the journal „Astronomy & Astrophysics“.
Galaxy clusters are the largest gravitationally bound structures in the universe. With a typical extent of about 10 million light years, i.e. 100 times the...
Researchers at the Goethe University Frankfurt, together with partners from the University of Tübingen in Germany and Queen Mary University as well as Francis Crick Institute from London (UK) have developed a novel technology to decipher the secret ubiquitin code.
Ubiquitin is a small protein that can be linked to other cellular proteins, thereby controlling and modulating their functions. The attachment occurs in many...
In the eternal search for next generation high-efficiency solar cells and LEDs, scientists at Los Alamos National Laboratory and their partners are creating...
Silicon nanosheets are thin, two-dimensional layers with exceptional optoelectronic properties very similar to those of graphene. Albeit, the nanosheets are less stable. Now researchers at the Technical University of Munich (TUM) have, for the first time ever, produced a composite material combining silicon nanosheets and a polymer that is both UV-resistant and easy to process. This brings the scientists a significant step closer to industrial applications like flexible displays and photosensors.
Silicon nanosheets are thin, two-dimensional layers with exceptional optoelectronic properties very similar to those of graphene. Albeit, the nanosheets are...
Enzymes behave differently in a test tube compared with the molecular scrum of a living cell. Chemists from the University of Basel have now been able to simulate these confined natural conditions in artificial vesicles for the first time. As reported in the academic journal Small, the results are offering better insight into the development of nanoreactors and artificial organelles.
Enzymes behave differently in a test tube compared with the molecular scrum of a living cell. Chemists from the University of Basel have now been able to...
20.03.2017 | Event News
14.03.2017 | Event News
07.03.2017 | Event News
24.03.2017 | Materials Sciences
24.03.2017 | Physics and Astronomy
24.03.2017 | Physics and Astronomy