I have not commented on Case-Shiller for a while. Here is a batch of new charts.
Change Since January 2020
- Case-Shiller National: +52.3%
- Case-Shiller 10-City: +52.0%
- CPI: +22.0%
- Owners’ Equivalent Rent: +26.0%
- Rent +26.4%
Case Shiller 10-City Index
Three cities in the 10-city index are below levels hit in 2020.
Denver is down 3.4 percent, Las Vegas is down 1.1 percent, and San Francisco is down 8.3 percent. All other cities are at or near peak prices.
Rent, OER, Case-Shiller Percent Change From Year Ago
Except for a small window of time year-over-year Case-Shiller measures have outpaced the CPI, often dramatically.
Case-Shiller Home Price vs Hourly Earnings, the CPI, and Rent
Percentage Change Since January 2020
- CPI: 22.8 Percent
- Average Hourly Earnings: 28.2 Percent
- Rent: 26.2 Percent
- Case-Shiller National Home Price: 52.3 Percent
Those numbers do not reflect property taxes that vary by state nor mortgage rates.
Mess Entirely of Fed’s Making
This is a mess entirely of the Fed’s making. And it’s what happens when the Fed, and economists in general do not count home prices as inflation.
Home prices are not directly in the CPI or PCE. The latter is the Fed’s preferred measure of inflation.
Economists consider home prices a capital expense not a consumer expense. The problem is simple: Inflation is not just a consumer price concern!
The Fed ignored obvious inflation in the Great Recession and did so again in the Covid recession.
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February 21, 2025: Existing-Home Sales Drop 4.9 Percent in January, More Than Expected
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Fedthink! The Fed Is Incompetent by Design and Can’t Be Fixed
On February 3, I commented Fedthink! The Fed Is Incompetent by Design and Can’t Be Fixed
Regarding Fedthink
Reader: Sometimes I wonder if people like Mish really think that the Fed plays it straight in times like this, versus telling us what is ostensibly the straight dope while they are actually playing some complex metagame.
Mish: I have commented on this before. The Fed believes the nonsense they preach on 2% inflation, inflation expectations, the Phillips curve and other economic nonsense that amusingly even the Fed’s own studies prove wrong.
There is no diversity in thought at the Fed. You get in the position of Fed Governor or President by thinking the same way as the rest of the members.
People confuse diversity with race and sex. True diversity is in thought. But there is no diversity of thought at the Fed. They have all been trained to be ignorant. And you do not get into the group unless you believe the same things.
This we call Fedthink.
The Fed destroyed liquidity in the housing market with massive QE that allowed existing owners to refinance at cheap rates fueling inflation via permanent lower mortgage rate (extra money in pockets), while screwing all potential new buyers with runaway prices and higher mortgage rates.
It’s also the fault of Congress, both the Republicans and Democrats, Trump, Biden, back to Obama at least:
https://fred.stlouisfed.org/series/WSHOMCB
Congress and the presidents appointed and confirmed the fed governors who have done all this socialist interest rate suppression by debasing the US dollar. Our citizens need to be better informed and educated about whats going on. The people could change this by not electing politicians who support policy thats done so much senseless damage to our country.
On an episode of “Gilligan’s Island”, Mr Howell tried to piece together the wrong section of a broken ancient stone map. He exclaimed: “A Howell is never wrong, cut off a piece and make it fit”. The Fed followed the same egotistic method, to wedge a decade of ZIRP, into an archaic 1938 theory of secular stagnation. The Fed could only achieve this by finagling the BLS to ‘cut off’ the rise in home prices from the measure of inflation. Otherwise their scheme would quickly end. A strategy the Fed took from the mortgage crisis. When brokers bribed the major credit rating agencies to give AAA ratings to their worthless CMOs. The Fed still holds $4T from the liquidity disaster on their balance sheets. The Fed’s repurchase of these 10-year Treasuries maintains long-rates a few basis points above the low levels of the Greenspan years, that sparked the mortgage fiasco. These low rates will continue to inflate home prices.
The TV episode ended with a pieced together stone map that gave directions ‘to’ the island. A parallel to the decade of Fed trillions in ZIRP, that only led back to a wealth gap, only wider this time. And a greater number of lower economic class, working just to pay inflated rent, with no hope of achieving the American dream of ownership.
Next week, Gilligan and Mr Howell discover a gold mine, and flood the island economy with liquidity, inflating the cost of goods and services.
It is amazing how much better the online appraisal tools are getting at Zillow and Redfin. For most single family homes, they are so much better than they were just a few years ago. You can use their metro data to watch house price inflation in near realtime.
I don’t think the main problem for housing prices and affordability is the Fed. It’s the structure of our mortgage market, which is exceptional (in the bad sense) as anybody who has looked at mortgage markets across countries would readily admit. The mortgage-backing institutions were the cause of the 30-years fixed interest mortgage lock-in effect, which in turn has driven up house prices, depressed building new housing, and frozen new buyers out of the market. Obviously, this was all unintended by the designers of Fannie and Freddie. But government interventions in markets more often than not have serious unintended effects, in this case pretty bad ones.
Fannie’s and Freddie’s dominance was predicted in May 1980. So was the GFC, as a result of the reduction in legal reserves.
But the U.S. Golden Age in Capitalism was driven by the thrifts.
Trump’s version of a soft landing is winning, Fed is useless at best 😃
Mish, your closing comment nails it,👍
In west coast and northeast cities, the housing market is shockingly strong. Most likely, people are being forced to return to the office.
In contrast, home prices are sinking in cities that are favorites for remote workers.
Even in most of Florida where inventory is up huge, prices have for the most part stayed incredibly resilient. That said, inventory does continue to build at a rapid clip.
“The Fed ignored obvious inflation in the Great Recession and did so again in the Covid recession.”
The FED ignores that a 2% target inflation rate is not stable prices. If one looks at the value of the dollar since 1913, it has always gone down over time, the inverse of the mantra that the stock market always goes up over time (pay no attention to that 76% drop in the Nasdaq).
Modern Monetary Theory is Gaslighting. The laws of math never change. Thus Volker “rediscovered” the business cycle, which was there all along.
Noteworthy
Pg. 224 “Keeping At It”
“Now, in recognition of the need for discipline, a remarkable consensus has developed among modern central bankers, including in the Federal Reserve, that there’s a new “red line” for policy: a 2 percent rate of increase in some carefully designed consumer price index is acceptable, even desirable, and at the same time provides a limit.
I puzzle about the rationale. A 2 percent target, or limit, was not in my textbooks years ago. I know of no theoretical justification It’s difficult to be both a target and a limit at the same time. And a 2 percent inflation rate, successfully maintained, would mean the price level doubles in little more than a generation.
I do know some practical facts. No price index can capture, down to a tenth or a quarter of a percent, the real change in consumer prices. The variety of goods and services, the shifts in demand, the subtle changes in pricing and quality are too complex to calculate precisely from month to month or year to year. Move over, as an economy grows or slows, there is a tendency for prices to change, a little more up in periods of economic expansion, maybe a little down as the economy slows or recedes, but not sideways year after year.
Yet, as I write, with economic growth rising and the unemployment rate near historic lows, concerns are being voiced that consumer prices are growing too slowly—just because they’re a quarter percent or so below the 2 percent target! Could that be a signal to “ease” monetary policy, or at least to delay restraint, even with the economy at full employment?
Certainly, that would be nonsense. How did central bankers fall into the trap of assigning such weight to tiny changes in a single statistic, with all of its inherent weakness?
Three underground crematoriums in an extermination camp were discovered near Guadalajara Mexico. Body parts, bone and shoes were found. The Mexican Nazi are our biggest enemies They are within.
“Today is a great day to buy a home!” – NAR, every day since I’ve been alive.
Marketing one’s own self interest.
And, that advice turned out to be true.
that depends on a host of variables, such as price, ability to repay, location, etc.
Putin’s hokey stick stretched all the way to Kherson on the Dnipro river. A trade can happen: Russian troops retreat east, away from the Dnipro, Ukraine move west away from Donetsk, no French or British troops in the middle. If signed money will pour in.
There are 6 seasonal, endogenous, economic inflection points each year.
(they may vary a little from year to year):
Pivot ↓ #1 3rd week in Jan.
Pivot ↑ #2 mid Mar.
Pivot ↓ #3 May 5,
Pivot ↑ #4 mid Jun.
Pivot ↓ #5 July 21,
Pivot ↑ #6 2-3 week in Oct.
These seasonal factors are pre-determined by the FRB-NY’s “trading desk” operations, executing the FOMC’s monetary policy directives: in the present case just reserve “smoothing” and “draining” operations, the oscillating inflows and outflows, the making and or receiving of correspondent and other interbank payments by and large using their “net free” (as opposed to “net borrowed”) excess reserve balances).
Each, and every year, the seasonal factor’s map (economic time series’ cyclical trend), or scientific proof, is demonstrated by the product of money flows, our means-of-payment money times its transaction’s velocity of circulation (the scientific method).
–Michel de Nostradame
As I said in response to where stocks are headed in 2025: “I don’t do levels, only directions. I think most stocks are headed down.”
December 27, 2024 at 7:57 AM
As Dr. Philip George says: “The velocity of money is a function of interest rates” Dr. Philip George wrote: “The Riddle of Money Finally Solved”.
As Dr. Philip George puts it: “Changes in velocity have nothing to do with the speed at which money moves from hand to hand but are entirely the result of movements between demand deposits and other kinds of deposits.”
But MMMFs have grown by 19% y-o-y. All the motives which induce the holding of a larger volume of money will tend to increase the demand for money – and reduce its velocity.
Bernanke censored the FED’s technical staff back in 2008. Otherwise, you’d see some dissention amongst the Ph.Ds. in economics.
The real culprit behind our mess is the Keynesian macro-economic persuasion that maintains a commercial bank is a conduit between savers and borrowers. Not so. All monetary savings originate within the payment’s system period. The bankers pay for, compete for, the deposits that they already own. How perverse as this impounds savings and reduces R-gDp.
The payment of interest on interbank demand deposits is responsible for the artificial suppression of long-term interest rates. This led to the diversion of savings from the bond market to housing and stocks. It was a deliberate policy blunder.
Bernanke, pg. 287 in his book “The Courage to Act”, “Lower long-term rates also tend to raise asset prices, including house and stock prices, which, by making people feel wealthier, tends to stimulate consumer spending” (aka the “wealth effect”). “Housing is considered unaffordable if it costs more than 30% of an individual’s income”.
Some esteemed people are actual idiots. Paul Volcker was dumb as a rock. Paul Volcker was quoted in the WSJ in 1983 that the Fed: “as a matter of principle favors payment of interest on all reserve balances” … “on rounds of equity”. [sic]
Contrary to Friedman, reserves were never a tax. They were “Manna from Heaven”, showered on the bankers and costless to the banks. The money multiplier in 2008 was 206:1. Charles Hughes Smith put it @ 219:1
Link: “Bank Reserves And Loans: The Fed Is Pushing On A String” by Charles Hugh Smith
Bank Reserves and Loans: The Fed is Pushing On a String – InvestingChannel
You get higher real rates of interest for saver-holders by driving the banks out of the savings business, which doesn’t reduce the size of the payment’s system. In the circular flow of income, unless savings are expeditiously activated, then a dampening economic impact is generated. It was called secular stagnation.
Who would have imagined that people pooping on the sidewalks of San Francisco may have lowered real estate values …
With big creativity and freedom, presumably, comes volatility of outcomes. There are domains of creative freedom there, despite the stereotype, or it would not have remade the world. You can smooth outcomes in that domain, is that what you are advocating? And the real estate values are quite high. The rush outward from the pandemic seems to have settled down some. Networking still matters. Proximity to Stanford matters.
So, are you saying that sidewalk poooping is just a small price to pay for creativity and freedom?
san fran is KNOWN for its artistic shit…
Says a lot that people will pay much more to live in a place with poop on the sidewalk than they would to live wherever you are.
that says a lot about the people that choose to live with public shitting. One of the 1st prerequisites to modern society is hygiene, physical,social, and infrastructure.
California in general went mad in the 20th century, there is some doubt if sanity will ever return in our lifetimes.
Yeah, the doc that headed the free health clinic in Haight-Ashbury said heroin is so good, don’t even try it once.
CSPAN: every day boomers are retiring/dying. Biden built a bridge to the world to replace them. RRP money poured into 3/6 month bills, CDs and MMF which supported $8T of new gov debt within 4 years to ensure the final 100Y uniparty victory. If JP will cut rates the “Rent” money will pour into the economy, reduce mortgage rates and ease gov debt payments
The “Rent” money is 1/3 of US GDP.
… and nudge inflation to other products and services. Meanwhile, what will stop the surge into asset bubbles?
The “Rent” money financed gov spending. When gov spending rises productivity fall. Higher gov debt payments finance by higher debt, higher payments, higher interest rates and higher budget deficit. The private sector cannot raise debt forever like the gov. It’s not fair: private companies will go bk
High inflation deflate assets value and RE. Rent is higher than wages.
“Built a bridge to the Third World to replace them”.
There. Fixed it for ya.
‘The Fed’ has profited in the 100’s of billions since its inception.
the classic insider project. The Fed, enriching its members daily since inception after a secret meeting on Jekyl Island, Georgia.
Peanuts for the gov.
Biden did nothing,his wife and handlers used the demented dementia patient for their own desires.
Biden was simultaneously an all powerful king and an impotent old man?
Do you clowns even listen to yourselves?
Biden was never a King, at least not since Obama was in office and Biden was the King of Crime.
a large scale grift, like a corporation, takes on a life of its own, that can continue long after a founding partner ceases to be cognitively aware.
Its interesting to note Danielle DeMartino Booth who Mish follows, keeps stating were are deflating based on the govt inflation data. She worked for the Fed and has called out their hypocrisy so I don’t understand her conclusions. Housing inflation is eroding our standard of living as well as all the other rising expenses conveniently excluded in the CPI/PPI. We are being conned by our dear leaders. The underpinnings of civil unrest are being stirred by our incompetent and corrupt government. Part of the fourth turning.
DDB is certainly a well learned economist, but like Mish a year ago, she said the US had entered a recession in Oct 2023. A year ago, she was saying that unemployment was going to spike. So, she’s far from infallible.
The real problem with DDB, me or anyone else making predictions the amount of money we’ve pumped into the system over the last 5 years and continue to do so via $2T annual deficits.
Therefore, we can all throw out just about any past comparisons. In addition, we’ve got a president who’s turning almost everything on its head in an attempt to make long-term structural changes to how America runs government, trade, immigration, etc.
In Iran inflation is high. Assets and income deflate. Income deflate faster than rent. They use mazut to heat Tehran. Daily stoppages. Workers do nothing all day. The Baluchi terrorize both Iran and Afghanistan. Centrifugal forces threaten to rip them apart. The Baluchi state spread between Karachi and the straights of Hormuz. Ruling Iran with an iron fist might not work. Trump dbl down on the Iranian inflation.
Yes but what about Iranian Bitcoin mining in the digital mountains of the Quantum range. CIA spies posing as hikers in the Quantum range have photographs indicating a near infinite supply of ones and zeros.
You can do a thought experiment. Incorporate Case-Shiller housing prices into a new version of the CPI. Then try to stabilize the new version of the CPI around some inflation target rate, using whatever monetary policy instruments you want. Given that housing prices are an asset price that can easily move by 10-20 percentage points up or down, I predict that you are to end up destabilizing the old version of the CPI. For example, if housing prices have a share of 1/3 (replacing housing cost), and housing prices go up by 20 percent, we need deflation of 10 percent in all other CPI items. This may well be the reason why it seems no central bank in this world has tried targeting inflation measures that include housing prices.
Instead of thanking the Fed for saving them during covid people complain about the high inflation, high rent and RE prices.
The FED didn’t save anybody during Covid.
That’s your opinion.
Mine too, M.E. The Fed is there to source (sauce?) the $ the gov., in its infinite wisdom, threw at you.
boy or boy your conclusions are amazing
My memory has been having lapses since my last 7 boosters, but I seem to remember the FED giving out certificates to anyone who got the initial MRNA vaccine series, it said on the back if you survived 10 years, you could cash it in for $1.25 or a Big Mac, which ever value was less.
Wondering, whom did The Fed save?
‘The Fed’ is privately owned.
The name is just a way of conferring validity.
gradually then suddenly… gated communities surrounded by slums, the United States of Brazil.
“Gated communities” is the keystone of understanding Trump’s psyche. It is the centerpiece of every last thing he does. Extracting natural resources and turning them into gleaming very exclusive walled sanctuaries for the rich (no matter the provenance of their wealth) is his ethos. For the enthusiastic, I would intone, ask not for whom the velvet rope bars access, it bars it for thee (in all probability). The masses are to be waiters or soldiers or such, dutiful and smiling brightly and lacking inner life, or to be thrust outside the barriers, into the despoiled former open spaces.
Trump didn’t invented Gated Communities. they’ve existed since the barbarians were borrowing books from the library of Alexandria and not returning them or tearing out the pages and coloring in them.
The FED is working perfectly for its shareholders.
They don’t include housing on purpose. Their use of hedonic models to make price increases negligible have increased their ability to serve their shareholders even better.
As is most the government the FED is not really working for us!
Between Mar 2020 and Mar 2022 the Federal Fund Rate was zero. When the eon was comatose and everything was closed the Fed transferred money to the poor and the middle class to keep them alive. They did it several times. They created a money tsunami and tsunami of gov debt. When the econ was opened RRP sucked liquidity first, before raising rates from zero in Mar 2022 to 5.33% in Aug 2023. During the pandemic people escaped high rise buildings and major cities to work from home. Lower mortgage rates enabled them to buy existing housed and condos in the suburbs and the flyover areas. Demand was high. The RE market was saved, The econ was saved. CRE and the bond market were massacred. In 2022 when the stock market collapsed the Fed poured in RRP money into the economy. Now the Fed is handling the aftershocks of covid, the flow of twenty millions new immigrants and the sudden flip from tranquility volatility.
I disagree that the fed’s money printing helped the poor and middle class. I think it did the opposite. Their rate repression pushed house prices out of reach for those people and caused inflation and worse debt that common people usually bear the brunt of.
Correct
It is ludicrous to claim money printing helps the poor.
Printing benefits those with first access to money.
1. the wealthy
2. the asset holders
3. politicians
A true diversity in Mish,
Over a 5 year period, it seems illogical that the price of a home should go up by 52%, while rents only go up by half that, including the figment of Ivory tower imagination, OER. Half!!! (and am I right that the avg. wage has gone up less than rents?)
The government’s use of CPI as defining inflation seems more fraudulent than incompetent.
the whole point of mass media is to create a fictional reality, statistics are a means of adding a concreteness to that which is ephemeral.
They make the illusions appear to have foundations in reality. The numbers are buried in a morass of fictional constructs, that bury those on a quest for knowledge like a sea of quick sand.
Well said, Gwako. Statistics are like a bikini. What they reveal is interesting; what they conceal is critical.
Its actually very COMPLEX. We actually sold a home and a Chinese market bought it, the highest bid. Read the American Realtors, the Chinese are one of the biggest buyers?? YIKES So, the migrants, California GREED, foreign markets are causing the housing prices to go up. Its complex, everyone is messing up our markets, and yes GREED. Your Curves don’t account for ANY of these complex issues. Now in my neighborhood we have multiple homes empty, yes Empty, and sold for a MILLION. So go figure, what is happening? EMPTY!! No one moved IN.
“Homes” are repositories for money. The owner can borrow against that, and use the cash. Often this is a component of laundering. No small surprise that the Trump Treasury just suspended the rule requiring disclosure of beneficial ownership of shell companies. This is the pipeline through which endless streams of money flow to his folks. No surprise that the most expensive art piece traded in history (a similar asset) went in and out of the hands of a guy who also traded RE with Trump in Florida, a quick flip with plenty of profit for Trump. It doesn’t matter and is a distraction (right?) that the guy is Russian.
So Trump will “liberate” OUR forests (his words) for development.
I was in an open house today in Minneapolis that had close to 200 attendees. There was no room to move around. Buyers are rabid. Supply is constrained by people unwilling to leave their 2.75% rate. Covid not only didn’t warrant the paranoid lockdown, it also discombobulated the economy for years. F’ng Faucci and his gain of function Wuhan lab. He should be executed. Compassionately, of course.
I’m down with that, as long as “Compassionately” includes hanging by rope.
Velvet rope, maybe.
infinity shots of vaccine?
sand flies, after being restrained in a comfortable chair, we are after all not barbarians.
As if we’re gonna have enough trouble finding anyone to work in government with tens of thousands getting cut loose, and now people like you wanting to kill everyone who doesnt agree with Trump’s lying mental illness. We’ll end up with bible thumpers tell us to pray more. Thanks.
God forbid we won’t have enough government workers. We shouldn’t execute everyone, silly. Just Tony Fauci. If you know anyone else who went around the ban on gain of function research by opening a lab in China, well, they could probably just be maimed.
Scott comes from the school of thought that the free market is the jungle full of wild animals, germs, and dangerous plants and fungi; he cleans his house 7 times a day – a lucky number for OCD sufferers.
In Scott’s world, the government is like pure white cube of justice, logic, and reason, a fortress of soap that cleanses the world of all danger, and decorates it with soft furnishings – but this is mainly for the pigs of this version of Animal Farm, and the serfs outside toil for the glory of the perpetual revolution, safe from the terrors outside in the jungle.
“everyone” …when only one person was mentioned… exaggeration is part of your psychosis.
Bat parmigiana for dinner …
at my house we just call it, “The Wet Market Special”…
If what you state are facts (I have No Doubt), then how are these numbers any good at all? If the numbers do not “reflect property taxes” that vary by state nor “mortgage rates” then they are incomplete pictures of actual occurrences, are they not?
As an example, my Town just had a new assessment and our Taxes increased by 50% in some cases for people (mine 40%). This is an occurrence by all towns and cities etc. every so often (States vary) by their laws. It must be included, as it’s absolute to change, and nearly “Always Higher” Same with “Mortgage Rates”, but even more unknown as to how often, as there are no rules to the “Economy” in that regard.
Key Issue: I agree that “QE that allowed existing owners to refinance at cheap rates” and the results of that were very damaging. Now many of those people spent the savings, and have less money coming in now, due to inflation, and savings have been depleted. They can’t and may never be able to refinance or sell and buy again imo. This scenario also can lead to less spending as well, for obvious reasons. It’s as if the “Cure” was actually the “Disease” for the Economy.
I dare say it was a reflection of “Covid Reactions” as well which was just as devastating to the Economy. The Fed lost their way in so many ways, and over such a short period of time. It’s almost impossible that it could have happened without guidance, assistance, and massive agreement by ALL!
What Town are you in where your taxes increase 50% in a year? Here in WA our property is assessed at the County level and when the assessed values go up, the tax rate goes down. Any tax increase is also constitutionally limited to 1%. Last year my assessed value went up but my taxes went down.
Mine in Chicago are set to increase 26% in August (in one year) …. my building’s value kept getting increased after many years of valuing it relatively cheaply. It can happen.
Especially in socialist sancturies.
Except CA has the same kind of limits on tax hikes. So that will be interesting, when the bill here for migrants’ medical comes in. The CA legislature is mouth-foaming insane. I am sure none of them have ever run a business. Fortunately the RE taxes are above them constitutionally, or they would’ve turned this place into Venezuela.
Well, someone has to pay for all those gov. workers and their gold plated pensions. Only people like you, idiots and ignorant, non-gov workers/pensioners stay to transfer their money to those rich people. Mish spoke with his wallet.
And all the overpay just flows into housing bubbles. I know a retired CA teacher traipsing around Europe with the wife, retired cop lolling in a Caribbean sipping cocktails while listening to stupid music. Both with generous houses in SoCal and plenty of disposable income. Meanwhile, streets full of potholes, and the younger generation they purported to help and support is working 2 jobs to pay rent on a bedroom in somebody’s house.
You can check out anytime you like, but you can never leave…
Midnight and I are fighting about this and so far he is winning (10 year yield still stuck at 4.3% — not that I mind since my retirement pays based on the 10-year yield), but Im still of the mind Trump and his rich private equity friends still want free money (0% rates) to continue to buy up America as they did 2006-2022. And Im still betting those interest rates are going to zero by any means necessary.
That crowd has access to capital, and collateral, and leverage, so can cash in on such things. It is a flywheel that so far seems never to stop.
Three of the top 25 hottest real estate markets have been in Waterbury, Bridgeport, and Hartford Connecticut. These are cesspools of crime and violence. That shows how irrational buyers are behaving. The housing market is about to burst.
The reason for the huge price increases in the northeast US is immigrants. I saw a news story about Waterbury in particular being a magnet for migrants. Upstate NY is seeing crazy price increases (+20% over the last year) for the same reasons.
Connecticut saw a housing ‘crash’ back in 2022 that lasted about a month. The price increases since 2022 have actually been higher than during the pandemic.
My prediction is house prices nationally are not going to fall because of recession. Lower mortgage rates and pent up demand will offset the effect of job losses.
Real-estate values are still relatively tied to location. That being said, I don’t know if a real-estate crash is coming, but here in FL the tied appears to have turned into a buyer’s market. The days that homes are on the market has increased and there are subsequent price drops to the original listing price when the house sits too long without any offers.
Its actually “tide”, but tied is a nice pun and maybe more appropriate for those economic serfs now bound to the financial insanity of the modern world.
Maybe they ship the inhabitants over to wherever they are shipping the Palestinians.
No doubt, the fed and government will make whatever “adjustments” are necessary to support their desired income on “inflation.”
more F the veterans
Arlington Cemetery website drops links for Black, Hispanic, and women veteranshttps://taskandpurpose.com/news/arlington-cemetery-scrubs-website-dei/
Hyperinflation is the only way to pay off the national debt and default on transfer payments. The US Treasury is manipulating the value of the dollar to gain a trade advantage. War is hell.
Nope, for other nations throughout History, yes, but the “evil genius” Eurodollar system and Petrodollar systems combined are so powerful that nothing is going to replace it for decades still. There is simply no heir apparent to the US on the planet for quite a while.
a couple large x1000 solar flares, arriving nearly concurrently will wipe out the electrical grid, and barter will become the means of exchange. happens every 6,000 years or so.
The precision of so called “egyptian” vases, indicates they were made with computer controlled tooling and design. We haven’t found a 6,000 year old computer and none are likely to have survived. But we have the evidence of their use.
History is cyclical, and the sun determines those cycles.
Higher inflation will demand higher bond yields even if the Fed monetizes it. The deficit will go parabolic (already happening).
Surely as the central banks increase the issuance of treasuries, and the price for treasures flatlines with excess supply, driving yields up mathematically? Though, yes, the market leads the process of rate rises, central banks follow not lead.
It’s either a fast default (crash of the financial system) or a slow default (debasement of the financial system)… or expansion into space, where the potential for continual growth is galactic. [you can’t have inflation without credit expansion, price rises are not inflation].
The logic of a tumor: permanent growth.
that requires the death of the host.
Homes in the World’s Largest 3D-Printed Neighborhood Take One Week to Print. This Is What They Look Like https://www.xatakaon.com/robotics-and-ai/homes-in-the-worlds-largest-3d-printed-neighborhood-take-one-week-to-print-this-is-what-they-look-like
Nice. Housing needs creative disruption
.
Housing just needs the government to get out of the way and allow the free market to work. Biden shoveled billions of taxpayer dollars to the banks so that they’d “prevent foreclosures” aka preemptive backdoor bailouts. The democrats also had four long years to attack the most obvious issue…institutional/corporate investors in residential real estate, and they did nothing.
Sometimes it is not the government but NIMBY lawyers who don’t want apartment projects anywhere near them.
Sort of seems like they meant to do so. Regardless, I agree it’s a mess, and “Free Markets” must be allowed to come back.
How about when you want to remodel them? How does that pan out?
https://www.ecohome.net/guides/3846/3d-printed-homes-is-this-the-future-of-residential-construction/
AI Bob Villa comes by and breaks out a wall or two, films a show, comes back in a couple a years with a new truck, and tidys up and shoots a commercial, by the time the grandchildren are graduating college, its all done …