By opting for a credit freeze, consumers can put a block on their credit file, in order to prevent identity theft. This is done if some of your vital information has leaked and you feel threatened. A credit freeze will prevent criminals and fraudsters from opening new lines of credit.

What will be the impact of a credit freeze?

Any new creditors, employers, and landlords will not have access to your credit report, if you put a credit freeze in place. They will simply receive a message or a code that indicates that the account has been frozen, when they try to access your file. This will stop most creditors to extend any new credit, as they won’t have access to your credit report, thereby protecting you from further identity theft.

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Although the housing market has started to show signs of recovery, the future of commercial real estate is looking increasingly grim. And this could be a sign of trouble for the fragile U.S. banking sector.

The economic recession and the rising unemployment rate has forced businesses to cut back on rental space, which has resulted in decline in revenue for many landlords. Moreover, it has become increasingly harder to refinance due to tighter underwriting standards and falling real estate values.

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Identity fraud is a serious crime with some severe counter effects. It might take the victims months or even years to repair, besides the hundreds to thousands of dollars spent.

What might happen if identity theft happens?

If someone succeeds in stealing your credit card, or gets hold of enough information about you to start applying for new loans and credit cards, you might face the following difficulties:

• Your credit score is going to be adversely effected.
• You can face difficulty obtaining a job
• You’ll be denied credit for things you apply for.
• It will be hard for you to obtain college loans, vehicle financing, credit cards, and mortgages.
• Identity fraud victims may even be arrested for crimes they haven’t committed, because someone else is living under their name as well.

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As we all can see that US housing crash still continues it is still not a good time to buy. Those who are thinking to buy a home are making a wrong decision they should wait till the prices falls more. I must tell you that falling house prices are the solution to your problems and not the problem itself.

House Prices are Still High

The prices are still dangerously high as compared to the incomes and rents due to this reason house prices will keep falling in most places. It is suggested by banks  that a safe mortgage is a maximum of 3 times the buyer’s yearly income. Whereas the landlords suggest that a safe price is a maximum of 15 times the tenant’s yearly rent.

However both those safety rules are still being violated in coastal areas. Although recently the price has been decreased but buyers are still borrowing 6 times their income and sellers are still asking for 30 times annual rent.

Renting is a cash business that shows those rates what people can really pay, and it does not reflects how much they can borrow. It has been proved by the salaries and rents that the prices will keep falling for a long time. Anyone who bought a “bargain” this time last year is already been suffering from a great loss.

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