Throughout the day. Meals of food will be back next week for the address to the nation coverage starts at 8 00 p. M. Have a great weekend. Stay warm. Thank you for your time. Aaaaaaa. Im going to dry to drive hem. David, be safe. Me liz is is next. Melissa heres what money tonight. Its the real estate story, america. Housing coming barks, but is it . What are the biggest mistakes that people are making in the market . Four industry heavy weights to weigh in. Plus, caught red handed. A legal iranian weapons seized in yemen revealing arms sales that could destabilize the region. Is the u. S. Doing enough to stop iran . Chrissy governor christie approves legislation in new jersey. Will it give the economic boost lawmakers claim . Even when they say its not, its always about money. Melissa start by taking the pulse of the Real Estate Market on money, and fox business reported on it all day long, and the good news, Mortgage Applications rose by 1. 8 in januarfrom december. That is the highest level in 18 months. How solid is the real estate recovery . With me isour allstar power pam. Look at this. Madison is the coldwl banker from the hit show, Million Dollar lsting l. A. , bruce ike maren, chairman of the continuing company, and dot tie, and jeff is chairman of douglas and development. Welcome to all of you. Bruce, starting with you. Is real estate really back because we have been burned, baby. It is back in a very big weigh. The condo market in the major environments is on fire. Melissa really . Dottie, do you agree with that . Yeah, real estate is back, buy, buy, buy. I heard that before. Tell me in a convincing way. No, its back. In fact, new york a year and a half ago, but back across the country, and theres also a shortage of inventory you have to buy it and buy it quick. Melissa thats a good sales pitch. Madison, in l. A. , things flying off the lot there, i was going to say shelf, but theres not the shelf. Flying off the cove, yes. They are flying, and the market has taken off exciting, this year, so far, we had a big sale of 75 milion in malibu with a foreign buyer. Its taking off to a good start. Melissa ridiculous. Jeff, let me ask you, when i look at the lot of the markets that are on fire right now, it really concerns me because it looks like all the same problems that we saw last time around, for example, one of the markets you think is going to do the best is phoenix. I know zillow projectses prices in phoenix could be up 8. 5 next year. That makes me nervous. The reality is that the phoenix market was in the midst of a boom when the recession arrivedded. As a result of that, it suffered most greatly. All the people involved in the industry of creating real estate, selling real estate, financing real estate lost jobs and growth stopped. Now that the market corrected to the levels that existed prior to the boom going back to 2,000, you can buy homes in the greater phoenix area and represent. Area. Melissa whats changed . The prices bottomed. If you are buying at low prices, if you anticipate what the low mortgage rates, eventually, theres Interest Rates move up with the creation of the money the way its going on. You will see appreciation in the form of interest driven inflation. I think contrary to what other people have been saying, buying housing now makes great sense. Melissa makes sense. Bruce, one of the markets you pick as one of the best buys right now is San Fransisco. Thats another market that zillow says goes up 7. 3 in 2013. I mean, that price appreciation in one year, i i mean, it sounds danger. Why is it not dangerous . Its not a question of it being dangerous or in the being dangerous. The ct of the matter is San Fransisco and new york are the two cities in the United States of america that have the greatest barrier to entry. The demand for housing far exceeds the ability of the marketplace to produce that housing. The appreciation is really based upon the inbalance between supply and demand. Melissa uhhuh. New york as well, by zillow thinks its up half a percent in new york, one of the worst places to buy. You cant believe zillow. You really have to [laughter] i mean, if you if you look at what people said about housing, they said that nobody would buy houses anymore, and it was over. Melissa do you think prices in new york are going up half a percent . Prices in new york city, and when they take new york, new york state is in effect. New york city, we are back to the prices that we were at the boom. Were at 98 of the value of the homes before the boom. Melissa anything changed . Financing, much harolder. Melissa you have to have more money . Yes, and very, very good credit. Melissa what changed . L. A. Is an area, i have friends hurt out there, bought their home, collapsed, underwater. Its hd to believe zillow says l. A. Is going up 7. 3 in the next yearment i dont know. I mean, across the board or just really high end places, you know, the valley is in the dull drums. Well, you know, i think the biggest change seen out here in los angeles locally speaking and speaks for the country as well that the attitude, more than anything, has really shifted. People think that buying real estate is now is a good investment. Its tangible. You can rent it out if youre in a pinch. Prices declined it a point where people are in the ability to afford and purchase and get the loanare doing that, and investors entered the market again. They are driving the market and people are fighting for that little inventory that we have. Melissa what the biggest mistake and misconception someone has done, made, or say in the past little bit . Jeff, go ahead. As a developer, pick the spots intelligently. For instance, the recovery seen in new york, after we went down 20 in the ecession, 11and12, retraced that, and exceeding that now. Theres areas where the demographics of young people, whether its in the chelsey area or williamsburgbrooklyn area, where People Choose to live because the price point is more affordable, and all the sudden, the areas are booming. Know the demographics, know who is buying in what areas. For instance, if you go to the suburbs in new york city or phoenix, the middle range homes have not recovered as have the commodity homes nor the luxuy homes. You have to know your spots. Bruce, whats the biggest mistake made in the past year . I think the biggest mistake people made is they followed the news, and the news led, and the news lags reality. Melissa the media . Its not the media, but the fact of the matter is that three things are true. One, theres not much inventory. Two, prices for rentals are at record highs, an, three, Interest Rates are at lows that they have never been before so the fact of the matter is if you qualify for credit, and, i mean, instead of being afraid of what zillow says or the schiller case says, be intelligent and thoughtful about it. This is probably as good an opportunity to buy because the markets have corrected themselves. Melissa yeah. If youre going to rent, you are going to pay a premium, and whenever when the news turns around and starts writing articles about melissa its too late at that point. Whats the biggest mistake seen in the past little bit here . Well, thats exactly it. They read the stuff. Do your own home work, okay . Look at your individual market. Those who write reports, write reports, okay . As i said, people that should have bought, didnt, and look at the interestrates, they are 3. 5 . A year or two years from now, okay, they are going to be a lot higher. You know, youre going to have inflation, and so thats melissa madison, whats the biggest mistake out there recently . 2011, that was the mistake if you didnt buy. Melissa i like that. Before we go, i also read if you list on friday versus sunday, it means that you could end up selling the house for 5,000 more than average of 1 . Were talking about 5,000 on a half Million Dollar home. Bruce, is that true . I have no idea. Melissa want that one . Just sounds good. Melissa well throw that autothe window. No, ill tell you i list the homes on friday because you actually have an 18 chance of somewhere, i read, i think the National Association of realtors, they sell faster. People are home for the weekend, and they are searching, and they see the new envine story, inventory, they come and search the house and buy faster and you sell it for more because theres no price adjustment. Melissa thank you. Appreciate it. Thanks. Thank you. Melissa a money update on the squatter two took over a home in florida. The florida sate attorney determined a trespassing charge could apply, and police say andre barbosa, the 23yearold who lived there since december could face criminal charges. Bank of america that opens the house is seeking 15,000 in damages. Fox news is following the story, steve, give us the latest here. Water front mansion, worth 2. 5 million where a brazil nan national squatted with seven other people for the past two months. Now, 1 p. M. Yesterday, police swarmed the scene here, looking for him, who calls himself loki boy onocial media. Didnt find him, but they found trash, which they pulled out. They have since changed the locks. The neighbors here extremely concerned bout having a squatter in their tony naind. Some hired their own private security. One woman offered to buy the house away from bank of america, the owner, just to get rid of the squatter. They say now that the situation appears to have been resolved. They are experiences some real relief. I think well sleep better. I feel like the neighborhood will be quieter, eventually, maybe not today, but maybe tomorrow. Were finally relieved were going to go back to normal. As far as the squatter, himself, loki boy, its not clear where he is. Police are not looking for him, and, currently, theres no warrant out for his arrest. Melissa you talked to local officials because theres copy cat cases; right . Thats right. This is really an obscure law called adverse possession, and it was written in the 1800s in florida used for farmland initially to try to make sure the fields dont go fallow while they are not worked, but, instead, squatters try to use the old obscure law to justify getting into foreclosed houses and take possession of them if they hang on for seven years and pay the taxes. Right now, because of it, officials are trying to get that law off the books. We dont need people who move in houses, who are con people. Its just a cop game. No one need this in their neighborhood. We dont need it in the state of florida. So while loki boy is gone, hes left a string of copycats in the wake, and 11 in the past two weeks have filed these adverse possession rules to try to get in on some major properties. One of the houses bigger than the one behind me, a 4 million ocean front mansion now occupied by squatters who say they have a legal right to be there. Melissa . Melissa steve, wow, quite a story m thanks so much. Now turning to todays market moment. The blizzard slamming the northeast led to aquiet day on the wall street. Dow briefly crossed the 14,000 mark, all three majors posted modest gains. The dow, however, snapped a fiveweek winning streak. Meanwhile, nasdaq and s p 500 had sixth straight weekly gains. Next on money, the roof is blown off in a legal arms smuggling operation by iran, but it reveals a bigger plot o shake up the middle east. We have alarming details coming up. Plus, blizzards are annoying, but this time it is personal. Why this massive storm is making one very sad 5yearold boy in florida. More money straight ahead. More money straight ahead. This is 100,000. More money straight ahead. We asked total strangers to watch it for us. Thank you so much. I appreciate it. Ill be right back. They didnt take a dime. How much in fees does your bank take to watch your money . If your bank takes more money than a stranger, you need an ally. Ally bank. Your money needs an ally. Melissa turning now to really alarming news about a shipment of illegal arms from the iranian government to insur gents in yemen. Sources tell fox news that the weapons were an attempt by the owing Iranian Regime to destabilize the middle east further, but at what cost . Is the u. S. Doing enough to stop them . Judy miller, senior fellow at the Manhattan Institute and fox news contributor. Welcome back to the how. I mean, this is a really alarming story; right . Just part of the a pan tern by the iranians to destalize all of the government that have already been destabilized by the arab spring. Now, in yemen, you have 25 million people, the poorest country in the middle east thats had a terrible time trying to get its act together, and along come the iranians with a shipment of very powerful, if old weapons, that are cheap on the black market, but 100,000 doll missile shot from the shoulder, and it can actually take out a helicopter so youre a 10 million piece of equipment. Melissa in fact, the list here, antiaircraft missiles, explosives, silenced automatic weapons, iranian made night vision goggles. I know right. Melissa yemens president dended iran stop sending the weapons, and the iranians said it was not us. Exactly, not us, of course not. It just happened to be a ship that was loaded off the iranian shore. Now, the crew was yemen, but everything else, the make of the equipment, the ammo, and we know the weapons were apparently destined to rebels, fellow shiites, a different kind, but that, the government is sunni, so theres a sunnishia conflict, a civil war, a terrible time with that, theres separationists in the south, and the tribal shiites in the south, it could go shout quickly. Thats what they are trying to do. Melissa is that what its about . Supporting people who have the same philosophical, religious beliefs, but its not about that. Its about distracting and make the region unstable . Exactly. Its about power. The iranians want to be the dominant Regional Power in the middle east. They think theyve always been it historically. They want to see a shia correction throughout the middle east. Yemen is a perfect target, and thats why its very interesting that these arms were intercepted with the help of the u. S. Navy. Melissa its upsets because it seems like unfortunately it would be low on the list of priorities. Theres a lot of fires burning in this region right now. We have a lot of problems with iran. This wouldnt be near the top of the list, but its something, i dont know, can we do anything about it . Its hard, for example, theres 200 islands that are part of yemen. Think of all the possibilities for landing stuff. This is the one shipment we caught. How many others have there be that we have not caught . Melissa right. Theres probably nothing that we can do . Its very hard. We can help the yemen navy be proactive. I mean, its a country that is very poor and cant ford the sophisticated tracking equipment that we can. This is the technoogical assistance we can provide. Melissa same thing, though, where we try to enter, you know, a conflict, theres a conflict going on with yemen, and iran chose a side. As we try to choose a side, you never know who you are dealing with, though. Right. We know the government says they want to do the right thing by all of its people. Its trying to be more democratic and less corrupt, more effective, and i think the United States is backing it, and its very hard bet because yemen is a very unstable country. Melissa at the same time, i read reports in the New York Times for example saying things in iran are not as tough as we think it is, that sanctions are not having a huge impact, and the people are not as poor as it seems. Do you believe the reports . I think the sanctions are cutting the iranians, the big question for me that i really doubt, i do not think that the sanctions, however, severe, are going to lead the iranian leadership to change their mind about developing Nuclear Weapons p. I dont think they are going to change iranian mind about reestablishing themselves and their country and their brand of islam as the dominant brand of the middle east. Melissa what can we do about them obtaining Nuclear Weapons. Seems like nothing except force. I think that, well, you know, those who said, lets talk, must be concerned about the fact that the supreme leader, himself, has now shot down oneonone talks with the iranians. We are back to sixparty talks that went nowhere for ten years. I think that at some point if we dont act, the israelis may feel theyave to, but, again, thats a very difficult proposition for the United States because that could drag us into conflict too. I ont see any signs that president obama is consiring military action at this time. Melissa judy, thanks so much for coming up. It is a toughish issue to untangle. The Keystone Pipeline in a news conference, and kerry says the state department may have an announcement on the project soon. Approval pending or four and a half years. Chinas january crude oil imports soared 7. 4 from a year ago. It hit its third highest daily rate on record indicating a strong pickup for chinas economy. That sent crude futures in london soaring near 1. 5 to settle at a nine month high. All right, up next, it is the worst blizzard in decades, and it is swallowing the northeast whole. Also, its leaving one 5yearold in florida bummed out that a certain news anchor is up in arms as well. The story coming up. Online gambling coming up, aces in new jersey as governor christie ready to approve legislation, but will it juice the states economy like supporters claim . One of the lawmakers behind it will join us. Can you have too much money or snow apparently. Right here in new york. Snow is falling. My flight to tampa tomorrow morning to get my whole family and nef fees 5th Birthday Party to my nephews fifth Birthday Party is officially canceled. Look at that. A birthday boy jack could not be reached for an official statement, but a spokesperson did release this picture of him charlie after hearing the news that were not coming down for his birthday. Look at that. Hes crying. Poor thing. Clearly he is not despondent. Suspending service between amtrak and boston. Bracing for what could be an historic blizzard. For the latest on this list send to fox news meteorologist. This is your fault. I have to say, i told you so yesterday. I know you did. Its your fault. You made this happen. Missed two days of work. That would have been great. You would have saved that the boy is sad face. So many people happy birthday, by the way. Melissa is the birthday. Anyway. Were we hyping this . Is it a big deal . It is. We have not had a