Economists over at the St. Louis Federal Reserve put out a report this past Tuesday making a case for the health of the housing sector. Obviously, our success as a hard money lender, and yours as an investor, is dependent on this sort of data. According to the Fed, while the amount of debt being taken on by Americans continues to grow, default rates on debt continue to decline. At a macro level, this is important to 4MC and our borrowers because it supports the assertion that our housing market is healthy. Typically a growing rate of defaults is a precursor for a cyclical downturn in the market. On a micro level we see this as a good sign that conventional financing will continue to be made available for buyers of our completed projects. Knowing that prospective buyers will have access to bank financing should make all of us sleep better at night.