Real Estate “Boom & Bust” Cycles

[From the commentary section of SBPDL the following offers a valid and practical explanation of  U.S. real estate “boom and bust” cycles.]

G. Harmon

Not to go full conspiracy theorist but it dawned on me the other day that there must simply be a tacit agreement in place within each sector of the real estate game.

As in any other business — stagnation in sales disrupts cash flow — and for that reason, stability is in nobody’s self-interest. The entire process is designed for constant new developments being built.

Look at the industries/sectors of the economy who require economic activity in real estate to remain viable: banks that need a constant influx of new loan applicants, sellers of materials who need to supply construction projects, construction firms that need projects to meet their own payroll, developers need to always be designing and developing new areas, architects and engineers need work and demand for their services, real estate sales persons need tons of properties always going up for sale, and followed by sub-contractors and handy men, etc….
Nobody prospers if every homeowner and business owner remains solidly in place in their fully paid-off homes and commercial buildings.

So what do they do? In the old days — the population growth of White people in a 90% White nation — was steady enough that there was always enough work and development occurring on its own with no need to artificially intervene. People were excited to build equity into their own home, as it was their largest investment.

Today, the solution is to move the Negroes around the board, thus create the desire of Whites to evacuate, abandon the equity and build anew somewhere else.  (Block-busting)

When a new outer-ring suburb development is going up, eventually a new bus line will be be approved for the inner-ring suburb, and those areas where there are older homes once fully occupied by White families with decent neighborhood schools. Now the elderly people are passing away and leaving those homes to their children who anxiously want to sell which creates a climate where housing prices will diminish into rental ranges, and section 8 Blacks will be moved in. The local school boards will then reconfigure the lines to include black areas to maximize the infrastructure, since the older White schools are not at full capacity. This action also hastens the “white-flight” pressures.

Right on cue, a new neighborhood just a little further out has just been built for the Whites seeking refuge from their once livable neighborhoods. I have personally watched this “circle of life” regarding neighborhoods play out several times, in several neighborhoods, in several cities, and the lifespan is generally 25 years with a very noticeablebeginning, middle, and end.

Part 1: The Birth
This is the municipal approval of the real estate development. It will be somewhere with wide lane roads that are under-utilized, generally a state highway. The intersections are built for far more traffic than currently exists, and are pretty much the outskirts of town where things transition from the city and suburbs to farmland and sparse development. Not quite luxury, but attractively-priced new homes just out of the affordable range of non-college grads, will be offered for sale. A commercial anchor will be placed at an intersection, usually a nice grocery store, sometimes a massive complex with box stores like Bed, Bath, Beyond, etc… and several large chain restaurants like Applebee’s and Olive Garden.

Part 2: The Birth

For about 6 years this part of town will be booming. Parking lots will be full, there will be an air of excitement. The schools will be high performance. The homes will be nice. It will look momentarily like Americana. Hearkening images of White teens parked at drive-ins, White kids playing in safely on their neighborhood streets, people taking care of their lawns and waving to each other, etc…

Simultaneously, however, older shopping centers will begin to hemorrhage their customer base, as people would now rather shop in the “better part of town.” One by one, those other stores will close down, furthering the downward price-pressure on surrounding homes, and now making the new area of town seem more alluring as the old neighborhood is seen as run-down. It is a pretty nice run!

The Middle
About this time the newness has worn off shopping centers and new homes, so the full transition of capital has been complete, thus the established heart of commerce for the city. This maturity happens around year 8 to 10. A bus line from the inner-city will be built under the reasoning that “the employees” of restaurants need access to their workplace. Inner-city Blacks begin arriving in increasing numbers. A three to four year period of an uneasy wobbling transition takes place at this point, as more Whites cease shopping as more and more Blacks begin to displace them.

{A Shopping Mall fight in 86% White Springfield, Missouri 4% Black


Around year 10, police calls have become more frequent if not routine, and finally a shooting in the parking lot, or a “wilding” by bored “teens.”

This is the last step to push the commercial real estate over the edge. The grocery store that was the anchor, removes its organic foods section, since it no longer sells. The restaurants are mostly empty. One by one, the big-box stores begin to retreat. This section of town begins to feel the pressures of downwards spiraling, and that is also reflected in the immediate area’s house prices.

(Click centre arrow to begin video.)

By year 15, many commercial stores will have been vacant for years, and many surrounding residential homes are up for sale. Apartments are renting at bottom-barrel pricing and most working-capital is in full retreat while section 8 (WELFARE) has moved in. The school board has redistricted the local school to include other Black parts of town, or has closed the local (formerly White) school and re-drawn the lines so that those in this neighborhood will have a new school in a traditionally black area, where they can now comprise under 10% of the student body.

And “coincidentally”, there happens to be a new real estate development in the better part of town, on a different highway with all bright new shiny stores, homes, and a brand new school! And right on time for those who have serviced the majority of their old loan, and who can now apply for a new loan to finance their welcomed move!

The End
Now majority Black after year 15, everything sinks very rapidly over the next decade. Twenty-five years after a shopping mall’s initial inception … there’s no general maintenance, the concrete lots are empty, cracked and unlighted at night. Every window is broken, massive bolts and chains on every door, or barbed wire prevents entry to the lot entirely. The giant, old decaying shopping center is either converted to a call center, an online college, or is converted to warehouses surrounded by barbed wire, simply razed and left vacant. Occasionally, this will become an area where Mexicans rebuild their own shopping centers … but usually they fail too.

Those once nice old homes have also had no maintenance, with many collapsed or in complete disrepair from its section 8 tenants. Others could be flophouses or drug dealer shacks with black children roaming unsupervised in diapers at all hours. The apartment complexes are also torn up and shoddy, full of blacks who don’t pay rent on time. Shots ring out, etc…. we all have seen this before.

The local school is a joke, and the circle of life is complete. Luckily, the replacement place (on the other side of town that YT fled to when this death spiral began) is also now probably in around year 10 of its life, so it is quite ripe and beckoning for this cycle to begin again.

In the meantime, every sector of real estate has experienced activity, demand, and sales. They’ve all gotten rich by simply moving Negroes around the chess board, and charging the fleeing Whites who scatter away from them (White flight).

It’s in everyone’s interest to do it this way — except of course — the White working-class family who must bear the brunt of this vicious cycle every few years.  Source   [Some minor grammatical corrections made by ELN Editor]

Oops … yet another American shopping mall slated for diminished returns on investment. Just a day after Christmas “The Mall St. Matthews, Ky.” erupts into chaos after 1000 to 2000 rampaging “teens” create mayhem in this 88% White town.

Complying with mainstream media’s (msm) “standard reporting procedures“, the race of the “teens” is usually not revealed in newspapers, HOWEVER, the TV screen does offer a hint of the racial characteristics of said miscreants.

Updated to April, 2016:

DETROIT‘s beautiful old homes left to low-IQ Blacks after a million White Americans abandoned this once properous city.

Baltimore County, State of Maryland (USA) is now in trouble.

Also read:

Black Population Welfare-Bomb

Group Differences Are Real

Slanted// MSM News Coverage



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