What We're Hearing

Okay readers, it looks like the recession is over but that hasn't stopped the Obama White House from finally backing an extension of the first time home buyer tax credit. After dodging the issue for weeks by saying nothing specific, the administration Thursday morning finally gave its thumbs up. The president apparently favors a "limited extension" of the FTHB. See the National Mortgage News website later today for a full update. Meanwhile, the GDP number came in at 3.5% (better than expected) but don't pop the champagne quite yet. Feeding that number (rest assured) is the FTHB and the auto "Cash for Clunkers" program. The real key to growth in 4Q 2009 and 1Q 2010 will be the employment situation. The new employment numbers will be released next Friday. And then there's concerns about what will happen when the federal stimulus money runs out. Stay tuned...