No Money to Build "The New American Home"

Today's Wall Street Journal has an amusing story that exemplifies the state of the Nation's housing market. Every year at its convention, the National Association of Home Builders features "The New American Home," a high-end model home that showcases the latest innovations in building technology. According a recent appraisal, this year's New American Home will be worth $3.5 million when it's finished. The developer has already spent $800,000 of its own money on construction, and needs another $1.7 million to complete the project. Unfortunately, it hasn't been able to get a loan. At least six banks have declined to fund the project. I'm sure that the New American Home is intended to be inspiring, but at this point it's in danger of becoming a high-profile embarrassment.