It's spring and real estate activity is picking up. From all the action one would think a lot more was going on, but the daily news reflects a different reality.

On Thursday May 28th the Des Moines Register reported in the article "Loan Troubles Smack Iowa Banks" that one third of Iowa's banks reported nonperforming loans exceeded 2 percent or more of their loan portfolios, a level not reached in more than 15 years. Apparently though we are faring better than the national average of 3.72% non performing loans. However, in the same article, Tom Gronstal Iowa's banking superintendent warned "I would expect to see further deterioration of loan performance," citing rising commercial loan defaults as the reason.

The same day NAR stats showed that Midwest home sales fell 10% in April 2009 as compared to the year before, as did median values. In comparison the local Des Moines Area Association of Realtors data showed Des Moines fared worse than the Midwest as a whole when it reported April stats that showed Des Moines unit sales fell 25% year on year and that the median home price slid 13% to $150,630.

A follow on story in Friday's Des Moines Register "Foreclosure rate in Iowa Rises as lost Jobs Take Toll" declared that the foreclosure rate has reached a one year high at 2.34 of all loans, as reported by the Mortgage Bankers Association. The article went on to report that although Iowa's foreclosure rate puts it in 30th place nationally, foreclosures having been rising since 2006 and that what started as a sub-prime loan problem has now blossomed into a crisis that is affecting prime borrowers who have faced job losses. The article gave a statistic claiming that 5% of all prime loans in the state were delinquent, though still trailing national prime defaults of 8.02%

On Friday I overheard two veteran, 20+ year, agents talking outside my office, the conversation went like this, "How's it goin?" "Busy" "yeah me too" "Closin anything?" "Not really, you?" "Yeah me neither, $%#&@* banks" "yeah" "It's like a I get to do all the work but I just don't get the paycheck" (laughter) "yeah exactly"

The past month has also brought a huge wave of personal bankruptcies and some high profile contractors, agents and home builders going under. This is anecdotal on my part but it seems that the bankruptcies have been getting larger and affecting traditionally wealthier homes in areas with higher median home values.

I feel very fortunate for the closings and I have coming, for having been able to work with some pre-approved buyers and for having a diverse bunch of well priced listings to offer. It's tough to read the bad news about so many people having a tough time of it. It affects us all through lost tax revenues, business closings, urban blight and general social malaise.

It makes me appreciate everything I've been blessed all that much more. A weekend trip just taken to Hannibal, MO with my wife and three children was long overdue. All this stuff my brokers, veteran agents and CRS instructors and others in the know have been saying for years about making sure I take enough time for myself and give enough time to my loved ones seems more and more sagacious with each passing day, and with each days newspaper on my doorstep.