From Dr. Housing Bubble:
...40,000 Inmates or 40,000 New Potential Home Buyers?...He goes on to explain:
...If this is the start of the recovery it sure seems funny. A federal judicial panel has given California 45 days to clean up its inmate overcrowding problem. Of course, this might take two years to implement if things go through but apparently this is how the recovery will look like in the state....
...The state has two years to do this but given potential litigation, who knows if this will happen. Yet the fact of the matter is cuts are being made and these are the implications: California budget situation. Let us assume these inmates are released in the next year. What work will they find? Ironically, this would only add to the high 11.6% unemployment rate that the state currently faces. Aspiring positive realtors will probably tell us that we will have 40,000 more potential homebuyers. Maybe if we still had the subprime infrastructure in place they would qualify for $500,000 for a Real Home of Genius of their choice....MORE