[ close ]


Bg1

Spread this message with Digg, Del.icio.us, Reddit, or Stumbleupon, and subscribe to the RSS Feed to track articles

Sovereign Wealth Funds To Buy-Up $29 Billion In Foreclosed Homes

Published 08/14/08 Jeff Bennett - Print Article
E-mail - editor@economyincisis.org

The great American sell-off continues. For sale this time: foreclosed homes throughout the United States with depreciating values. These pieces of real estate are tempting foreign big-money sovereign wealth funds to purchase them at an incredible value. Nothing can be truly considered sacred or American when everything is now for sale at discount prices.

According to a report from the New York Post, an undisclosed sovereign wealth fund has allocated $29 billion to begin purchasing foreclosed homes along the West Coast. American home values and the dollar are both plummeting in value, attracting foreign oil money to invest in the nation’s houses. Abu Dhabi, known for its recent purchases of the Chrysler and GM Buildings, is preparing to announce next month what failing American real estate it will soon invest in.

America is defenseless against foreign takeovers of realty and big business as long as it remains addicted to oil. The nations that are buying up America with zeal are rich with American dollars from the purchase of oil. Petro-dollars have allowed Abu Dhabi to amass $875 billion in sovereign wealth fund assets, while Norway has $391 billion, Singapore $303 billion and Kuwait with $264. The U.S. remains subservient to each of these nation’s oil, and their wealth funds are growing large enough to dismantle America bit-by-bit.

Perhaps the dollars recent success of reaching 7-month highs can be attributed to the massive influx of foreign capital; America’s abysmal lack of manufacturing is not contributing to the greenback’s gains. The nation’s industries and real estate are selling at the fastest rate ever witnessed, $121 billion in assets sold so far this year. The exuberant amount of foreign money entering the states is artificially inflating the dollar, providing the nation with some short-lived relief by driving down oil prices and other commodities. But this is only a false illusion that will not last.

If this practice continues, nothing will remain American. No industries to manufacture and sell goods and no national real estate. The influx of foreign capital will be spent and America will have no assets left to sell and nothing to produce to dig itself out of the insurmountable debt it is accruing. There will be no prosperous future for the upcoming generations if America continues to sell every vital industry and remain dependent on foreign banks to purchase debt and artificially inflate the dollar.


Source New York Post:

Foreign money, which up to now has focused its attention on investing in iconic commercial real estate - like Barneys New York and the Chrysler Building - is now moving to scoop up tens of thousands of discounted foreclosed homes across the country.

…

A sovereign fund would have two distinct advantages over other investors - the depressed value of the US dollar makes the homes a bargain, and sovereign funds have deeper pockets.

The sovereign fund of Abu Dhabi, for example, has a reported $875 billion in assets, while Norway has $391 billion, Singapore has $303 billion and Kuwait has $264 billion in their sovereign funds, which are funded by proceeds from oil sales.

Click Here For Solutions To America's Economic Problems

Front Page Photo by 207 - Flickr © Some rights reserved

Click here to contact your Representative in Congress.

Unless the above article is already copyrighted, this article is licensed under a Creative Commons Attribution-No Derivative Works 3.0 United States License, EIC grants permission to use this article in whole or in part provided attribution is given, preferably in the form of a link back to EconomyInCrisis.org.

MORE OF TODAY'S NEWS | Comment on this Article | Read Comments


Spread this message with Digg, Del.icio.us, Reddit, or Stumbleupon, and subscribe to the RSS Feed to track articles

Register for newsletter

Bg2

Please Donate to EconomyinCrisis.org today



Please do your part, send a donation of $5, $10, $15 or any amount by PayPal or major credit card.

Bg2

Download our Podcast from iTunes

Itunes

Bg2



Bg2

Follow us on Twitter

Twitter


Download our Podcast from iTunes

Itunes

Bg2

Additional Recommended Articles from the Archives


Bg2

Follow us on Twitter

Twitter

Bg2

Donate Today


Bg2

Comment on this article

Subject

Comment



Bg2

Article Comments From Readers

guest says " Be happy!" on 08/14/08
I guess this huge looming purchase by the forighn investors will pick up the realestate market. Realestate always comes back up, although it never has like this before!

guest says "common sense" on 08/13/08
Makes perfect sense, they will spend there dollars before the dollars become worthless, this is something that america wont recover from, it was planned that way, get ready to be enslaved to pay of these huge debt. Debtors prison is coming back with a vengeance

guest says "Sovereign Wealth Funds To Buy-Up $29 Billion In Foreclosed Homes" on 08/13/08
It's the great depression all over again; we are selling out America, the $9+ trillion debt riddled giant will eventually fall to corruption and greed, it's running on empty. For those bottom feeders looking to be rich from Foreign Countries from America's despair, they would be better off to invest in their own people in their own Country..

guest says "Sovereign Wealth Funds To Buy-Up $29 Billion In Foreclosed Homes" on 08/13/08
Now you why know why oil prices are sky high it has nothing to do with demand or supply

guest says "Singapore Has No Oil" on 08/13/08
"Petro-dollars have allowed Abu Dhabi to amass $875 billion in sovereign wealth fund assets, while Norway has $391 billion, Singapore $303 billion and Kuwait with $264. The U.S. remains subservient to each of these nation’s oil..."

FYI, Singapore has no oil. Lot's and lot's of refining capacity, and plenty of capital, but no oil.