DelMarVa's Premier Source for News, Opinion, Analysis, and Human Interest Contact Publisher Joe Albero at alberobutzo@wmconnect.com or 410-430-5349
Popular Posts
▼
Sunday, August 30, 2009
As Internet Turns 40, Barriers Threaten Growth
Security issues, authoritarian regimes may stand in way of development
NEW YORK - Goofy videos weren't on the minds of Len Kleinrock and his team at UCLA when they began tests 40 years ago on what would become the Internet. Neither was social networking, for that matter, nor were most of the other easy-to-use applications that have drawn more than a billion people online.
Instead the researchers sought to create an open network for freely exchanging information, an openness that ultimately spurred the innovation that would later spawn the likes of YouTube, Facebook and the World Wide Web.
There's still plenty of room for innovation today, yet the openness fostering it may be eroding. While the Internet is more widely available and faster than ever, artificial barriers threaten to constrict its growth.
GO HERE to read more.
Man Arrested For Stealing Pick-up Truck
Location: 5900 block of Limestone Road, Hockessin, New Castle County, DE
Date of Occurrence: Friday, August 28, 2009 11 p.m. to Saturday, August 29, 2009 10 a.m.
Suspect(s): Paul Byerly, 46, New Castle, DE
State troopers arrested a New Castle man after he stolen a pickup truck from a Hockessin home.
On Saturday morning, August 29th troopers responded to the 5900 block of Limestone Road for the report of a stolen Ford F250 pickup truck. The trooper later found the pickup on Michelle Lane in the development of Creekside. The trooper interviewed several people in the neighborhood and learned that a Volvo station wagon was seen in the area of the stolen pickup truck. The information obtained from the neighbors indicated that the Volvo was occupied by three males.
A vehicle fitting the description of the Volvo was scene on Ruthar Drive, Newark. A witness was able to obtain a tag from the Volvo which led the trooper to 2203 Capitol Trail, Newark. When the trooper arrived he found three males that fit the description of individuals that were on Michelle Lane. The trooper located evidence at the Capitol Trail location that implicated Byerly in the theft of the vehicle.
State police believe that Byerly was involved in a crash on Friday evening and found the pickup truck with the keys in it.
Byerly was charged with 1 count of receiving stolen property. He was arraigned and committed to the Department of Correction in default of $1500.00 cash bail.
Ex-NBA 1st-Round Pick James Now Serving In Iraq
MIAMI (AP) - Tim James apologized for being late. A rough day at work, said the Miami Heat's 1999 first-round draft pick. Vehicles broke down, problems flared up, and he simply fell behind.
"It happens," James said. "Even here."
A first-round pick in 1999, Tim James, right, played for three NBA teams during his 43-game career. (Noren Trotman / Getty Images)
Even here - on the front line of the Iraq war.
A former NBA player who often wondered about his true calling, Tim James is now a U.S. Army soldier, a transformation that even many of the people closest to him never saw coming.
"I got my degree, lived the life I was able, have my freedom and became a professional athlete," James said last week from Iraq. "I'm the example of the American dream."
James is at Camp Speicher, the massive base near Tikrit, 85 miles north of Baghdad, not far from Saddam Hussein's hometown and where insurgents still are a perpetual threat. For Miami Northwestern High, the Miami Hurricanes, three NBA teams and some foreign clubs, he was forward Tim James. For the Army, he's Spc. Tim James of Task Force ODIN - short for Observe, Detect, Identify, Neutralize.
In layman's terms, he's part of the unit tasked with watching and catching the bad guys before they plant bombs.
So long, charter jets, enormous paychecks and Ritz-Carlton hotel stays.
Hello, 130-degree afternoons, 12-hour work days, $2,600 a month and 50-caliber machine guns.
GO HERE to read more.
A Letter To The Editor By Bob Caldwell
Please allow me to "stir the pot" a bit (as if it weren't being amply stirred already).
It has become increasingly obvious over the past several years that the only way Salisbury is going to progress in an orderly, directed way is to change our form of government.
We have reached a size, accompanied by a complexity of issues, that requires leadership provided by a person formally educated in municipal management, possessing sufficient experience to guide Salisbury in a professional, effective manner.
The time has come to initiate a city manager/council government.
I believe this is the only way Salisbury will see the end of contentious council meetings and unnecessary tension between the legislative and executive branches of our city government.
Common sense must lead one to realize it is better to select the leader of a $50 million enterprise (and growing) by interviewing and hiring a trained individual who is educated in the business of municipal management. Plain and simple -- it is time for Salisbury to move on and move forward.
I would be interested in knowing what residents of Salisbury think. I urge them to contact the media -- print, electronic and local blogs -- to express their opinion. Let's have a calm, intelligent discussion about the issue.
Bob Caldwell
Salisbury
Millsboro Man Wanted For Attempted Murder
Subject Wanted for Attempted Murder
Location: 32000 block of Falcon Alley, Laurel, Sussex County, DE
Date of Occurrence: Saturday, August 29, 2009 at approximately 9:20 p.m.
Suspect(s): Alonzo Payne, 26, Millsboro
Resume:
State troopers are looking for a Millsboro man who is wanted for shooting a Laurel man.
This incident occurred last evening when a 42 year-old man was involved in an argument with two subjects in front of his home on Falcon Alley at approximately 8:05 p.m. The two subjects left and returned with several other subjects who were riding in a minivan after 9 p.m. The two men confronted the victim again and during the argument Payne allegedly approached the victim and shot him several times with a handgun before fleeing the scene along with the other men.
The victim was taken to Nanticoke Hospital in Seaford where he was treated for a gunshot wound to the left hip and right foot. The victim’s injuries are non-life threatening.
Warrants are on file for Payne for attempted murder, reckless endangering, possession of a firearm during the commission of a felony and possession of a firearm by a person prohibited. Payne is considered extremely dangerous and anyone knowing his whereabouts should contact Troop 5 immediately by dialing 302-337-1090. Callers may remain anonymous. Tips may also be forwarded to law enforcement through tip lines maintained by Delaware Crime Stoppers at 1-800-TIP-3333 or on line at http://www.tipsubmit.com/.
Location: 32000 block of Falcon Alley, Laurel, Sussex County, DE
Date of Occurrence: Saturday, August 29, 2009 at approximately 9:20 p.m.
Suspect(s): Alonzo Payne, 26, Millsboro
Resume:
State troopers are looking for a Millsboro man who is wanted for shooting a Laurel man.
This incident occurred last evening when a 42 year-old man was involved in an argument with two subjects in front of his home on Falcon Alley at approximately 8:05 p.m. The two subjects left and returned with several other subjects who were riding in a minivan after 9 p.m. The two men confronted the victim again and during the argument Payne allegedly approached the victim and shot him several times with a handgun before fleeing the scene along with the other men.
The victim was taken to Nanticoke Hospital in Seaford where he was treated for a gunshot wound to the left hip and right foot. The victim’s injuries are non-life threatening.
Warrants are on file for Payne for attempted murder, reckless endangering, possession of a firearm during the commission of a felony and possession of a firearm by a person prohibited. Payne is considered extremely dangerous and anyone knowing his whereabouts should contact Troop 5 immediately by dialing 302-337-1090. Callers may remain anonymous. Tips may also be forwarded to law enforcement through tip lines maintained by Delaware Crime Stoppers at 1-800-TIP-3333 or on line at http://www.tipsubmit.com/.
OK Standard Poodle Lovers, Meet "Holly"
Holly was delivered to the Wicomico Humane Society on Saturday and is just precious. She's great with bigger dogs and even cats. She has been spayed and she's 6 years old.
If you're looking for a well tempered pure bread animal/Poodle, Holly is your match. Give them a call at 410-749-7603.
The Albero Family went up there on Saturday and adopted a beautiful kitten. They have so many cats and kittens right now, you'd be amazed. They too need good homes so if you've ever considered one, the selection is just unbelievable.
Remember Folks, the Humane Society is closed Sunday and Monday but they're open the rest of the week.
Words Of Wisdom
It is important for men to remember that, as women grow older, it becomes harder for them to maintain the same quality of housekeeping as when they were younger... When you notice this, try not to yell at them. Some are oversensitive, and there's nothing worse than an oversensitive woman.
My name is Ron.. Let me relate how I handled the situation with my wife, Susie. When I retired a few years ago, it became necessary for Susie to get a full-time job along with her part-time job, both for extra income and for the health benefits that we needed. Shortly after she started working, I noticed she was beginning to show her age. I usually get home from the golf club about the same time she gets home from work.
Although she knows how hungry I am, she almost always says she has to rest for half an hour or so before she starts dinner. I don't yell at her. Instead, I tell her to take her time and just wake me when she gets dinner on the table. I generally have lunch in the Men's Grill at the club so eating out is not reasonable. I'm ready for some home-cooked grub when I hit that door. She used to do the dishes as soon as we finished eating But now it's not unusual for them to sit on the table for several hours after dinner.
I do what I can by diplomatically reminding her several times each evening that they won't clean themselves. I know she really appreciates this, as it does seem to motivate her to get them done before she goes to bed.
Another symptom of aging is complaining, I think. For example she will say that it is difficult for her to find time to pay the monthly bills during her lunch hour. But, boys, we take 'em for better or worse, so I just smile and offer encouragement. I tell her to stretch it out over two or even three days. That way she won't have to rush so much. I also remind her that missing lunch completely now and then wouldn't hurt her any (if you know what I mean). I like to think tact is one of my strong points.
When doing simple jobs, she seems to think she needs more rest periods. She had to take a break when she was only half-finished mowing the yard. I try not to make a scene. I'm a fair man. I tell her to fix herself a nice, big, cold glass of freshly squeezed lemonade and just sit for a while. And, as long as she is making one for herself, she may as well make one for me too.
I know that I probably look like a saint in the way I support Susie. I'm not saying that showing this much consideration is easy. Many men will find it difficult. Some will find it impossible! Nobody knows better than I do how frustrating women get as they get older. However, guys, even if you just use a little more tact and less criticism of your aging wife because of this article, I will consider that writing it was well worthwhile After all, we are put on this earth to help each other..
Signed,
RON
EDITOR'S NOTE:
Ron died suddenly on April 7 of a perforated rectum. The police report says he was found with a Calloway extra-long 50-inch Big Bertha Driver II golf club jammed up his rear end, with barely 5 inches of grip showing, and a sledge hammer laying nearby. His wife Susie was arrested and charged with murder. The all-woman jury took only 10 minutes to find her Not Guilty, accepting her defense that Ron, somehow without looking, accidentally sat down on his golf club.
My name is Ron.. Let me relate how I handled the situation with my wife, Susie. When I retired a few years ago, it became necessary for Susie to get a full-time job along with her part-time job, both for extra income and for the health benefits that we needed. Shortly after she started working, I noticed she was beginning to show her age. I usually get home from the golf club about the same time she gets home from work.
Although she knows how hungry I am, she almost always says she has to rest for half an hour or so before she starts dinner. I don't yell at her. Instead, I tell her to take her time and just wake me when she gets dinner on the table. I generally have lunch in the Men's Grill at the club so eating out is not reasonable. I'm ready for some home-cooked grub when I hit that door. She used to do the dishes as soon as we finished eating But now it's not unusual for them to sit on the table for several hours after dinner.
I do what I can by diplomatically reminding her several times each evening that they won't clean themselves. I know she really appreciates this, as it does seem to motivate her to get them done before she goes to bed.
Another symptom of aging is complaining, I think. For example she will say that it is difficult for her to find time to pay the monthly bills during her lunch hour. But, boys, we take 'em for better or worse, so I just smile and offer encouragement. I tell her to stretch it out over two or even three days. That way she won't have to rush so much. I also remind her that missing lunch completely now and then wouldn't hurt her any (if you know what I mean). I like to think tact is one of my strong points.
When doing simple jobs, she seems to think she needs more rest periods. She had to take a break when she was only half-finished mowing the yard. I try not to make a scene. I'm a fair man. I tell her to fix herself a nice, big, cold glass of freshly squeezed lemonade and just sit for a while. And, as long as she is making one for herself, she may as well make one for me too.
I know that I probably look like a saint in the way I support Susie. I'm not saying that showing this much consideration is easy. Many men will find it difficult. Some will find it impossible! Nobody knows better than I do how frustrating women get as they get older. However, guys, even if you just use a little more tact and less criticism of your aging wife because of this article, I will consider that writing it was well worthwhile After all, we are put on this earth to help each other..
Signed,
RON
EDITOR'S NOTE:
Ron died suddenly on April 7 of a perforated rectum. The police report says he was found with a Calloway extra-long 50-inch Big Bertha Driver II golf club jammed up his rear end, with barely 5 inches of grip showing, and a sledge hammer laying nearby. His wife Susie was arrested and charged with murder. The all-woman jury took only 10 minutes to find her Not Guilty, accepting her defense that Ron, somehow without looking, accidentally sat down on his golf club.
The Last Of The Kennedy Dynasty
As soon as his cancer was detected, I noticed the immediate attempt at the
"canonization" of old Teddy Kennedy by the mainstream media. They are
saying what a "great American" he is. I say, let's get a couple things
clear & not twist the facts to change the real history.
1. He was caught cheating at Harvard when he attended it. He was expelled
twice, once for cheating on a test, and once for paying a classmate to cheat
for him.
2. While expelled, Kennedy enlisted in the Army, but mistakenly signed up
for four years instead of two. Oops! The man can't count to four! His
father, Joseph P. Kennedy, former U.S. Ambassador to England (a step up from
bootlegging liquor into the US from Canada during prohibition), pulled the
necessary strings to have his enlistment shortened to two years, and to
ensure that he served in Europe, not Korea , where a war was raging No
preferential treatment for him! (like he charged that President Bush
received).
3. Kennedy was assigned to Paris, never advanced beyond the rank of
Private, and returned to Harvard upon being discharged. Imagine a person of
his "education" NEVER advancing past the rank of Private!
4. While attending law school at the University of Virginia, he was cited
for reckless driving four times, including once when he was clocked driving
90 miles per hour in a residential neighborhood with his headlights off
after dark... Yet his Virginia driver's license was never revoked.
Coincidentally, he passed the bar exam in 1959. Amazing!
5. In 1964, he was seriously injured in a plane crash and hospitalized for
several months. Test results done by the hospital at the time he was admitted had shown he was legally intoxicated. The results of those tests remained a "state secret" until in the 1980's when the report was unsealed.
Didn't hear about that from the unbiased media, did we?
6. On July 19, 1969, Kennedy attended a party on Chappaquiddick Island in
Massachusetts . At about 11:00 PM, he borrowed his chauffeur's keys to his
Oldsmobile limousine and offered to give a ride home to Mary Jo Kopechne, a
campaign worker. Leaving the island via an unlit bridge with no guard rail,
Kennedy steered the car off the bridge, flipped, and into Poucha Pond.
7. He swam to shore and walked back to the party passing several houses and
a fire station. Two friends then returned with him to the scene of the accident. According to their later testimony, they told him what he already knew - that he was required by law to immediately report the accident to the authorities. Instead Kennedy made his way to his hotel, called his lawyer, and went to sleep. Kennedy called the police the next morning and by then the wreck had already been discovered. Before dying Kopechne had scratched at the upholstered floor above her head in the upside-down car.
The Kennedy family began "calling in favors", ensuring that any inquiry
would be contained. Her corpse was whisked out-of-state to her family
before an autopsy could be conducted.
Further details are uncertain, but after the accident Kennedy says he
repeatedly dove under the water trying to rescue Kopechne and he didn't call
police because he was in a state of shock. It is widely assumed Kennedy was drunk, and he held off calling police in hopes that his family could fix the
problem overnight. Since the accident Kennedy's "political enemies" have
referred to him as the distinguished Senator from Chappaquiddick. He
pleaded guilty to leaving the scene of an accident, and was given a
SUSPENDED SENTENCE OF TWO MONTHS.
Kopechne's family received a small payout from the Kennedy's insurance
policy and never sued. There was later an effort to have her body exhumed
and autopsied, but her family successfully fought against this in court, and Kennedy's family paid their attorney's bills.... a "token of friendship"?
8. Kennedy has held his Senate seat for more than forty years, but considering his longevity, his accomplishments seem scant. He authored or argued for legislation that ensured a variety of civil rights, increased the minimum wage in 1981, made access to health care easier for the indigent, funded Meals on Wheels for fixed-income seniors, and is widely held as the "standard-bearer for liberalism". In his very first Senate roll he was the floor manager for the bill that turned U.S. immigration policy upside down and opened the floodgate for immigrants from third world countries..
9. Since that time, he has been the prime instigator and author of every
expansion of an increase in immigration up to and including the latest attempt to grant amnesty to illegal aliens. Not to mention the pious grilling he gave the last two Supreme Court nominees, as if he was the standard bearer for the nation in matters of "what is right" What a pompous ass!
10. He is known around Washington as a public drunk, loud, boisterous, and
very disrespectful to ladies. JERK is a better description than "great
American". "A blonde in every pond" is his motto.
Let's not allow the spin doctors to make this jerk a hero -- how quickly the
American public forgets what his real legacy is.
"canonization" of old Teddy Kennedy by the mainstream media. They are
saying what a "great American" he is. I say, let's get a couple things
clear & not twist the facts to change the real history.
1. He was caught cheating at Harvard when he attended it. He was expelled
twice, once for cheating on a test, and once for paying a classmate to cheat
for him.
2. While expelled, Kennedy enlisted in the Army, but mistakenly signed up
for four years instead of two. Oops! The man can't count to four! His
father, Joseph P. Kennedy, former U.S. Ambassador to England (a step up from
bootlegging liquor into the US from Canada during prohibition), pulled the
necessary strings to have his enlistment shortened to two years, and to
ensure that he served in Europe, not Korea , where a war was raging No
preferential treatment for him! (like he charged that President Bush
received).
3. Kennedy was assigned to Paris, never advanced beyond the rank of
Private, and returned to Harvard upon being discharged. Imagine a person of
his "education" NEVER advancing past the rank of Private!
4. While attending law school at the University of Virginia, he was cited
for reckless driving four times, including once when he was clocked driving
90 miles per hour in a residential neighborhood with his headlights off
after dark... Yet his Virginia driver's license was never revoked.
Coincidentally, he passed the bar exam in 1959. Amazing!
5. In 1964, he was seriously injured in a plane crash and hospitalized for
several months. Test results done by the hospital at the time he was admitted had shown he was legally intoxicated. The results of those tests remained a "state secret" until in the 1980's when the report was unsealed.
Didn't hear about that from the unbiased media, did we?
6. On July 19, 1969, Kennedy attended a party on Chappaquiddick Island in
Massachusetts . At about 11:00 PM, he borrowed his chauffeur's keys to his
Oldsmobile limousine and offered to give a ride home to Mary Jo Kopechne, a
campaign worker. Leaving the island via an unlit bridge with no guard rail,
Kennedy steered the car off the bridge, flipped, and into Poucha Pond.
7. He swam to shore and walked back to the party passing several houses and
a fire station. Two friends then returned with him to the scene of the accident. According to their later testimony, they told him what he already knew - that he was required by law to immediately report the accident to the authorities. Instead Kennedy made his way to his hotel, called his lawyer, and went to sleep. Kennedy called the police the next morning and by then the wreck had already been discovered. Before dying Kopechne had scratched at the upholstered floor above her head in the upside-down car.
The Kennedy family began "calling in favors", ensuring that any inquiry
would be contained. Her corpse was whisked out-of-state to her family
before an autopsy could be conducted.
Further details are uncertain, but after the accident Kennedy says he
repeatedly dove under the water trying to rescue Kopechne and he didn't call
police because he was in a state of shock. It is widely assumed Kennedy was drunk, and he held off calling police in hopes that his family could fix the
problem overnight. Since the accident Kennedy's "political enemies" have
referred to him as the distinguished Senator from Chappaquiddick. He
pleaded guilty to leaving the scene of an accident, and was given a
SUSPENDED SENTENCE OF TWO MONTHS.
Kopechne's family received a small payout from the Kennedy's insurance
policy and never sued. There was later an effort to have her body exhumed
and autopsied, but her family successfully fought against this in court, and Kennedy's family paid their attorney's bills.... a "token of friendship"?
8. Kennedy has held his Senate seat for more than forty years, but considering his longevity, his accomplishments seem scant. He authored or argued for legislation that ensured a variety of civil rights, increased the minimum wage in 1981, made access to health care easier for the indigent, funded Meals on Wheels for fixed-income seniors, and is widely held as the "standard-bearer for liberalism". In his very first Senate roll he was the floor manager for the bill that turned U.S. immigration policy upside down and opened the floodgate for immigrants from third world countries..
9. Since that time, he has been the prime instigator and author of every
expansion of an increase in immigration up to and including the latest attempt to grant amnesty to illegal aliens. Not to mention the pious grilling he gave the last two Supreme Court nominees, as if he was the standard bearer for the nation in matters of "what is right" What a pompous ass!
10. He is known around Washington as a public drunk, loud, boisterous, and
very disrespectful to ladies. JERK is a better description than "great
American". "A blonde in every pond" is his motto.
Let's not allow the spin doctors to make this jerk a hero -- how quickly the
American public forgets what his real legacy is.
The Lawyer And The Senior
A lawyer and a senior citizen are seated next to each other on a long flight. The lawyer is thinking that seniors are so dumb that he could get one over on him...so the lawyer asks if the senior would like to play a fun game.
The senior is tired and just wants to take a nap, so he politely declines and tries to catch a few winks.
The lawyer persists, and says that the game is a lot of fun. "I ask you a question, and if you don't know the answer, you pay me only $5; you ask me one, and if I
don't know the answer, I will pay you $500."
This catches the senior's attention and to keep the lawyer quiet, he agrees to play the game.
The lawyer asks the first question. "What's the distance from the Earth to the Moon?"
The senior doesn't say a word, reaches in his pocket pulls out a five-dollar bill, and hands it to the lawyer.
Now, it's the senior's turn. He asks the lawyer, "What goes up a hill with three legs and comes down with four?"
The lawyer uses his laptop and searches all references he could find on the Net.. He sends e-mails to all the smart friends he knows, all to no avail.. After one hour of searching he finally gives up. He wakes up the senior and hands him $500. The senior pockets the $500 and goes right back to sleep. The lawyer is going nuts not knowing the answer. He wakes the senior up and asks, "Well, so what goes up a hill with three legs and comes down with four?"
The senior reaches in his pocket, hands the lawyer a $5 bill and goes back to sleep.
The senior is tired and just wants to take a nap, so he politely declines and tries to catch a few winks.
The lawyer persists, and says that the game is a lot of fun. "I ask you a question, and if you don't know the answer, you pay me only $5; you ask me one, and if I
don't know the answer, I will pay you $500."
This catches the senior's attention and to keep the lawyer quiet, he agrees to play the game.
The lawyer asks the first question. "What's the distance from the Earth to the Moon?"
The senior doesn't say a word, reaches in his pocket pulls out a five-dollar bill, and hands it to the lawyer.
Now, it's the senior's turn. He asks the lawyer, "What goes up a hill with three legs and comes down with four?"
The lawyer uses his laptop and searches all references he could find on the Net.. He sends e-mails to all the smart friends he knows, all to no avail.. After one hour of searching he finally gives up. He wakes up the senior and hands him $500. The senior pockets the $500 and goes right back to sleep. The lawyer is going nuts not knowing the answer. He wakes the senior up and asks, "Well, so what goes up a hill with three legs and comes down with four?"
The senior reaches in his pocket, hands the lawyer a $5 bill and goes back to sleep.
Salisbury Firefighters Answer The Call For Jerry's Kids
Firefighters from the Salisbury Fire Department, Career and Volunteer, are heading to the city’s streets, Sept. 3rd & 4th, as they team up with the Muscular Dystrophy Association to Fill the Boot. These “Boot Drives” offer the community a chance to donate money that will be used in the battle against neuromuscular diseases and ultimately be given back to the community.
The Salisbury Career Fire Fighters Assoc. Local 4246 has brought this worth while cause back to Salisbury after many years through the International Assoc. of Fire Fighters, who have raised over $350 Million for “Jerry’s Kids”.
There will be a Kick Off meet and greet on Sunday Sept. 30th, 4pm at the City Park Bandstand area.
The proceeds collected from the boot drive will stay local and be used to aid local children and adults with neuromuscular diseases by providing wheelchairs, leg braces, clinic visits, support groups, and a week long summer camp for local children ages 6-17 to attend. For more than 55 years firefighters and MDA have partnered to fight neuromuscular diseases.
MDA is a volunteer health agency working to defeat more than 40 forms of muscular dystrophy and related diseases through programs of worldwide research, comprehensive services and far-reaching professional and public health education. MDA’s programs are funded almost entirely by individual private contributors.
The kickoff to this event will be at the Salisbury Park Bandstand area on Sunday 8/30 @ 4:00 PM.
Why Your Home Will Keep Dropping In Value
by Alexander Green, Advisory Panelist
Highlights in this issue:
Why you shouldn't bet on house prices heading higher.
The sobering reality behind the headline home sales numbers.
The factors that could hit the higher-end real estate market hard.
Take It From Me, You Can Do This...
Wall Street ruined my family's finances when I was a kid. Our broker single handedly destroyed our wealth one foolish trade at a time. We lost everything. That's when I swore that I'd spend my whole life getting my family's financial security back. I tried everything...
Get-rich-quick programs... Stock-picking books, tapes, seminars... Newsletter subscriptions, Barron's, The Wall Street Journal... None of it worked. But then I made one shockingly simple discovery, and everything changed...
Dear Investment U Reader,
Good news has been swirling around the housing market lately.
The Commerce Department reported on Wednesday that sales of new U.S. homes surged 9.6% in July.
A week before, the National Association of Realtors reported that previously-owned home sales in July jumped at the fastest rate in 10 years.
Realtors are now reminding us that sales have risen for four consecutive months. Thanks to low interest rates and government incentives, they tell us, prices will soon be heading back up.
Don't bet on it.
I was in real estate for years. Asking my colleagues whether prices were likely to head higher was like asking the Army Corp of Engineers whether a river needed a bridge.
The answer was a foregone conclusion.
In many ways, this is understandable. Real estate agents need transactions. Those transactions are less likely to happen if potential buyers think prices will fall. So there is a strong tendency to put a positive spin on things.
At the risk of being the skunk at the garden party, however, there are many reasons to believe that home prices will keep coming down in most markets, especially if you're shopping the high end.
Here's why...
A new survey by the trade publication Inside Mortgage Finance found that only 36% of all real estate sales in recent months involved "nondistressed" properties.
Of these nondistressed properties, only 31% were "unforced or optional." In other words, nearly seven out of 10 of even these sellers were in the midst of some financial or personal crisis.
To put this in perspective, two-thirds of home sales are either foreclosures or short sales (i.e. banks taking a loss on the mortgage). And only a third of the remaining - roughly 10% of overall sales - comes from something we could call a normal selling process.
That's hardly encouraging.
Meanwhile, the Mortgage Bankers Association said last week that the number of homeowners behind on their mortgage payments hit a new high in the second quarter, with more than one in eight homeowners delinquent or in the foreclosure process.
These pending sales will put more pressure on sales prices. And, thanks in part to the refinancing boom, it's estimated that approximately one quarter of all homeowners owe more on their homes than they are currently worth.
So why are the headlines filled with glad tidings about the home market stabilizing?
Because in some areas, especially in the low end of hard hit areas like Las Vegas, Phoenix and Orlando (where prices have fallen more than 50%), prices do appear to be making a bottom.
But understand that the median sales price of the more than 400,000 homes that sold in July was $210,100. I'll bet most people reading this live in a house worth more than that.
And those higher-end homes are precisely the ones that are likely to keep falling in value. Why?
For starters, government-sponsored incentives don't benefit the top part of the market. For example, the $8,000 tax credit for first-time homeowners - which ends in November - phases out for single buyers whose income exceeds $75,000 or couples making more than $150,000.
And low interest-rate mortgages backed by the FHA, Fannie and Freddie are only available on loans below limits set by Congress. That limit is $417,000, excluding certain high-end markets in California, New York and Hawaii.
Mortgages for amounts that exceed this limit - jumbo mortgages - face interest rates more than a full point higher. Plus, lenders - newly sober - are now requiring down payments of 20% to 30% or more on jumbo mortgages.
Tougher credit standards, higher interest rates and big down payments are set to torpedo the high end of the market. And at the worst possible time...
According to First American Corelogic, jumbo mortgages are the fastest-rising category of defaults of all types of mortgages.
Add in the death of home-flipping and the idea that the smartest thing a buyer can do is buy all the house he can afford and the planets are in alignment for lower - not higher - home prices.
I'm not gloating about this, incidentally. I own two homes myself. But if you're in the market to buy a new home, caveat emptor.
Home prices in most markets - especially the higher end - are almost certain to head lower.
Good investing,
Alex
P.S. If you're looking for a few ways to hedge against the declining value in your real-estate holdings, take a look at our asset allocation strategy. You can find out more here.
Highlights in this issue:
Why you shouldn't bet on house prices heading higher.
The sobering reality behind the headline home sales numbers.
The factors that could hit the higher-end real estate market hard.
Take It From Me, You Can Do This...
Wall Street ruined my family's finances when I was a kid. Our broker single handedly destroyed our wealth one foolish trade at a time. We lost everything. That's when I swore that I'd spend my whole life getting my family's financial security back. I tried everything...
Get-rich-quick programs... Stock-picking books, tapes, seminars... Newsletter subscriptions, Barron's, The Wall Street Journal... None of it worked. But then I made one shockingly simple discovery, and everything changed...
Dear Investment U Reader,
Good news has been swirling around the housing market lately.
The Commerce Department reported on Wednesday that sales of new U.S. homes surged 9.6% in July.
A week before, the National Association of Realtors reported that previously-owned home sales in July jumped at the fastest rate in 10 years.
Realtors are now reminding us that sales have risen for four consecutive months. Thanks to low interest rates and government incentives, they tell us, prices will soon be heading back up.
Don't bet on it.
I was in real estate for years. Asking my colleagues whether prices were likely to head higher was like asking the Army Corp of Engineers whether a river needed a bridge.
The answer was a foregone conclusion.
In many ways, this is understandable. Real estate agents need transactions. Those transactions are less likely to happen if potential buyers think prices will fall. So there is a strong tendency to put a positive spin on things.
At the risk of being the skunk at the garden party, however, there are many reasons to believe that home prices will keep coming down in most markets, especially if you're shopping the high end.
Here's why...
A new survey by the trade publication Inside Mortgage Finance found that only 36% of all real estate sales in recent months involved "nondistressed" properties.
Of these nondistressed properties, only 31% were "unforced or optional." In other words, nearly seven out of 10 of even these sellers were in the midst of some financial or personal crisis.
To put this in perspective, two-thirds of home sales are either foreclosures or short sales (i.e. banks taking a loss on the mortgage). And only a third of the remaining - roughly 10% of overall sales - comes from something we could call a normal selling process.
That's hardly encouraging.
Meanwhile, the Mortgage Bankers Association said last week that the number of homeowners behind on their mortgage payments hit a new high in the second quarter, with more than one in eight homeowners delinquent or in the foreclosure process.
These pending sales will put more pressure on sales prices. And, thanks in part to the refinancing boom, it's estimated that approximately one quarter of all homeowners owe more on their homes than they are currently worth.
So why are the headlines filled with glad tidings about the home market stabilizing?
Because in some areas, especially in the low end of hard hit areas like Las Vegas, Phoenix and Orlando (where prices have fallen more than 50%), prices do appear to be making a bottom.
But understand that the median sales price of the more than 400,000 homes that sold in July was $210,100. I'll bet most people reading this live in a house worth more than that.
And those higher-end homes are precisely the ones that are likely to keep falling in value. Why?
For starters, government-sponsored incentives don't benefit the top part of the market. For example, the $8,000 tax credit for first-time homeowners - which ends in November - phases out for single buyers whose income exceeds $75,000 or couples making more than $150,000.
And low interest-rate mortgages backed by the FHA, Fannie and Freddie are only available on loans below limits set by Congress. That limit is $417,000, excluding certain high-end markets in California, New York and Hawaii.
Mortgages for amounts that exceed this limit - jumbo mortgages - face interest rates more than a full point higher. Plus, lenders - newly sober - are now requiring down payments of 20% to 30% or more on jumbo mortgages.
Tougher credit standards, higher interest rates and big down payments are set to torpedo the high end of the market. And at the worst possible time...
According to First American Corelogic, jumbo mortgages are the fastest-rising category of defaults of all types of mortgages.
Add in the death of home-flipping and the idea that the smartest thing a buyer can do is buy all the house he can afford and the planets are in alignment for lower - not higher - home prices.
I'm not gloating about this, incidentally. I own two homes myself. But if you're in the market to buy a new home, caveat emptor.
Home prices in most markets - especially the higher end - are almost certain to head lower.
Good investing,
Alex
P.S. If you're looking for a few ways to hedge against the declining value in your real-estate holdings, take a look at our asset allocation strategy. You can find out more here.
Brooke Mulford Update
Day +6 from 2nd Stem Cell Transplant
Wed 8/26 (Day +5): Brooke was put on a PCA (continuous morphine) but not sure how much this is helping. She pretty much slept the entire day. Not much else to report for this day.
Thurs 8/27 (Day +6): Brooke woke up with the inside of her mouth bleeding and then was vomiting blood (both due to the Mucositis & her low platelet count (8,000). She got a platelet transfusion and immediately following a blood transfusion (7.9). Her ANC (Absolute Neutrophil Count) is back down to 0 (was 0.1 on 8/24 & 8/26).
Rob came up in the morning for a meeting we had with Dr. Grupp at 11:30. I asked my brother, John, to come as well & Grammy to watch Brooke while we were in the meeting. Dr. Grupp is the Director of Stem Cell Biology & the Translational Research Program at CHOP. He is also the national Chair for Stem Cell Transplant. Dr. Grupp is world renown for his work with stem cell transplants and Neuroblastoma & we were so happy to be able to have a meeting with him. This, from what we’ve been told, is his first week back to work as he has been battling the beast himself having been diagnosed with Lymphoma. Here is this great clinician and researcher in the fight against pediatric cancers and now he is fighting for his life as well against the same disease he has dedicated his life to helping save others…please pray for him too. The meeting was to discuss her upcoming treatments/therapies (radiation, antibodies, accutane, etc…). We still have such a long way to go but with NB having such a high chance of relapse it is so important that we do everything we can now.
Just prior to our meeting we had a wonderful surprise visit from Rev. Patterson! What a wonderful blessing he has been to our entire family and always seems to show up right when we need him! Thank you so much Rev. Patterson for once again making the trip up here to pray with us.
The rest of the day was a pretty quiet one with Brooke once again sleeping quite a bit. She did have a short OT session with Ryan but wasn’t feeling up to doing much and Miss Sarah (child life) spent some time with Brooke updating her Beads of Courage (she is up to 10 ½ feet of beads!) That is A LOT of courage!!!
God Bless,
Amy
5 Myths About Health Care Around The World
By T.R. Reid
As Americans search for the cure to what ails our health-care system, we've overlooked an invaluable source of ideas and solutions: the rest of the world. All the other industrialized democracies have faced problems like ours, yet they've found ways to cover everybody -- and still spend far less than we do.
I've traveled the world from Oslo to Osaka to see how other developed democracies provide health care. Instead of dismissing these models as "socialist," we could adapt their solutions to fix our problems. To do that, we first have to dispel a few myths about health care abroad:
1. It's all socialized medicine out there.
Not so. Some countries, such as Britain, New Zealand and Cuba, do provide health care in government hospitals, with the government paying the bills. Others -- for instance, Canada and Taiwan -- rely on private-sector providers, paid for by government-run insurance. But many wealthy countries -- including Germany, the Netherlands, Japan and Switzerland -- provide universal coverage using private doctors, private hospitals and private insurance plans.
In some ways, health care is less "socialized" overseas than in the United States. Almost all Americans sign up for government insurance (Medicare) at age 65. In Germany, Switzerland and the Netherlands, seniors stick with private insurance plans for life. Meanwhile, the U.S. Department of Veterans Affairs is one of the planet's purest examples of government-run health care.
GO HERE to read the other 4. I personally found this article to be one of the most interesting and informative so far. It's well worth your time.