Watching the RE market crumble is like watching grass grow but less exciting. lol. The payoff though when the worm finally turns is marvelous, so it's worth keeping track of what is going on. This is the first article I've seen which gives insight into the depth of the problem in the banking and insurance industries. This won't stay confined to regional banks holding thee mortgages, insurers, reinsurers and TBTF banks underwriting CMBS securities are going to get hit as well. 2026 looks like the worst, except the probability of recession could accelerate the decline and force liquidation of properties before they need to refi.
Anyhow, unlike 2008 where the banking crisis arrived during a period of economic growth, this one is going to arrive when the economy is already shrinking. Bailouts are going to be uch harder to manage with currencies that are already questionably backed with irredeemable dent. Firinig up the Helicopter and loading the Bazooka with Funny Money will not be so EZ.
https://investorplace.com/2024/07/the-commercial-real-estate-meltdown-is-spreading/
RE
The Commercial Real Estate Meltdown is Spreading
Started by RE Jul 20, 2024, 10:54 AM
Message path : / Society / The American economy / Real Estate REgurgitations #31
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