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Amy Whilldin

I appreciate your post and observations, Dave, but believe they're a bit out of context in this case. You're comparing a recent jump in housing starts to the lack of AD&C credit and coupling that with the housing bust (illustrated in your first photograph), and that's not apples-to-apples kind of stuff.

It is widely held that there will be no sustained economic growth without a healthy housing market. The Federal homebuyer incentives were a good step in stimulating an otherwise stagnant market - and that's largely what's behind the Case-Shiller Index report.

The bust at the onset of this Great Recession and the resulting AD&C credit crisis are completely different balls of wax from the April home sales & starts, just as much as they are different from each other.

Your photograph illustrates the recession's impact on the homebuilding industry perfectly - the bottom fell out almost overnight. People lost their jobs, banks were failing and huge companies were getting bailed-out by the Federal Government. This tremendous sense of fear and uncertainty stopped the economy in its tracks. Projects that were already underway (like this one, I would imagine) stopped almost as abruptly. And why would you (or anyone with good business sense) proceed when potential buyers were hunkering down to ride out the storm rather than entering the marketplace? But I digress...

The AD&C crisis is a current and persistent problem. Viable projects cannot secure adequate funding because lending has been frozen. This icing has had an unnecessarily pervasive and chilling effect on otherwise beneficial projects - beneficial in terms of job creation, demonstrated need, plus short- and long-term economic stimulus. Acquisition, development and construction financing must be made available in order for the building industry to get the locomotive known as our economy moving once again.

So please, do continue to keep your eye and your interest on the comotose housing market, because until it begins to recover, the US economy will continue to languish and suffer with far-reaching impact. Meanwhile, please understand that correcting the AD&C crisis is one of the critical components of this recovery process.

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