Mortgage insurer United Guaranty is laying off 160 employees
mostly from its Greensboro headquarters
United Guaranty…had employed about 500 people locally
United Guaranty has been hobbled by the nationwide housing crisis
It insures mortgage lenders against default by homeowners
and those defaults have skyrocketed in the past two years
Triad Business Journal, June 23, 2009
Were many investors artificially motivated
with easily borrowed low cost money
to purchase property advertised as perpetually rising
by the real estate and the media industries after 9/11?
As financial and real estate markets deflated
did relatively high cost durable goods purchases diminish
causing production to fall and unemployment to rise
creating more homeowners in financial distress
more wide spread debt defaults, tightening lending terms
and further housing and financial sector distress?
Sales of existing single-family homes in Greensboro
fell about 29 percent in May
…there were 426 existing homes sold in May
compared to 602 sold in May 2008
…a 3 percent fall from April
when there were 439 home sales
…total dollar volume for all sales
was down 33 percent, to $71.6 million
compared to May 2008, when it was $106.7 million
April’s total dollar volume was $65.5 million
Greensboro’s home sales fall 29 percent
Triad Business Journal, June 23, 2009
160 employees x $50,000 per year = $8,000,000
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