A report from Realtor.com. "In sharp contrast with H1N1, COVID-19 comes at a time of contraction, after years of frantic expansion, with an economy on a slowing trajectory. Job creation, GDP, and consumer confidence are all decelerating but still at historically strong levels. The coronavirus also hits a housing market operating at post-peak after record level home sales and prices, but now struggling to rebuild supply amidst years of insatiable demand."

"Through the lens of the last outbreak, the prevailing coronavirus has the potential to accelerate economic corrections and, with some lag, contribute to sharper but temporary drags on housing activity. However, if the virus threat remains relatively contained and within the boundaries of a short-lived pandemic, housing activity is likely to follow its current decelerating yet controlled trajectory."

From NBC News. "The coronavirus is threatening the global economy and financial markets. But so is another, less obvious peril — the mountain of risky debt issued by companies and bought by investors during the recent economic expansion. Paying back this debt is going to be tough for businesses that have issued it if their earnings fall because of the coronavirus. Delinquencies, defaults and investment losses are likely, analysts say, possibly subjecting the economy to what economists call a negative feedback loop."

"We’ve seen this movie before. In 2008, trillions of dollars in mortgage debt amassed during a huge run-up in residential real estate had to be unwound, contributing to a worldwide recession that was deep and destructive. 'Not only has there been a surge in corporate debt, but the quality of the debt is the weakest it’s ever been,' said David Rosenberg, chief economist at Rosenberg Research, an investment consulting firm. 'The last cycle was about the household sector and commercial banks. This is about the business sector and the holders of the spurious debt are mutual funds, insurance companies and hedge funds.'"

"Because businesses have been humming and stock prices rising, debt has not been much of a concern, said Vicki Bryan, founder of Bond Angle, a high-yield bond research firm. 'Debt has been completely ignored — it’s like the addictive drug that everybody thinks is okay, until it’s not,' Bryan told NBC News. Coming into focus now, she added, is the problem of what the companies that issued loads of debt did with the proceeds. Rather than using it to invest in their operations or bolster their financial positions, many chose to buy back their shares or pay dividends to investors."

"'It’s weakened the system,' Bryan said. 'It shrinks the margin these companies have for when things go wrong.'"

The Wall Street Journal. "Hotel owners with heavy debt loads are grappling with the prospect the industry could fall into a tailspin from the spread of the coronavirus, leading to a potential uptick in defaults. The U.S. hotel industry overall had about $300 billion of mortgage debt as of the third quarter of last year, up 7.8% from one year earlier and 14.2% from two years earlier, according to data firm Trepp LLC. New York, Los Angeles, Las Vegas and other cities that count on foreign visitors could be especially vulnerable, analysts say."

"In New York City, where a supply glut has pressured room rates and weighed on hotel revenue, at least 21 mortgages backed by hotels were on a watch list for potential default as of February, according to Trepp LLC. Some bank executives say they are now charging higher rates and imposing tougher conditions on borrowers, while others have stopped lending to hotel owners in certain markets."

"Even before the spread of the virus, the hotel-debt market was showing some strain. At the end of the third quarter of last year, 1.33% of the hotel loans made by banks were delinquent, more than any other property type, according to Trepp. Banks and credit-rating firms have started to stress-test individual hotels and hotel portfolios to see how they would withstand declines in revenue. KBRA Kroll Bond Rating Agency found that the Four Seasons Resort Hualalai in Hawaii might not generate enough income to pay its debt service if it were hit with just a 15% decline in cash flow."

"Some hotels that continue to pay their debt could face problems if their mortgages come due during the crisis. At that point, if the property’s value has fallen below the amount of debt, owners will either have to put in more cash or face the risk of default. An estimated $50 billion worth of U.S. hotel mortgage debt comes due every year, according to Jade Rahmani, an analyst with Keefe, Bruyette & Woods. If debt comes due during a tumultuous period for the market, he said, 'that owner will not be able to get a refinance or if they were planning to sell the property before maturity, they may not be able to sell the property.'"

"Some investors are already contending with defaulted loans on major properties. Mortgage REIT Colony Credit Real Estate Inc. has been trying to sell the defaulted loan on the 1,331-room Row Hotel near Times Square. The loan had a principal balance of $260.2 million in 2018 but could now sell for as little as $50 million, according to people familiar with the matter."

The Houston Chronicle in Texas. "Stocks plunged around the world Monday in a wave of panic selling that sent markets to their worst day in at least a decade and intensified fears of a global recession. Houston is getting battered on all sides. The region, because of its strong ties to international commerce, is more exposed to global market turbulence and oil prices than other areas of the country. Combined with a sustained drop in oil prices, the wide-ranging economic impacts of COVID-19, the disease caused by the new coronavirus, could very likely wipe out job gains in Houston this year, economists said, and in a worst-case scenario, could push the local economy into a recession."

"For local exploration and production companies, the oil price collapse couldn’t come at a worse time. Many companies were already struggling with prices between $50 to $60; the oil and gas industry cut nearly 10,000 jobs in Texas last year. 'Those firms have been holding on by their fingernails,' said Patrick Jankowski, an economist at the Greater Houston Partnership. 'They just lost their grip.'"

The Chicago Tribune in Illinois. "A five-bedroom, 6,200-square-foot Colonial-style mansion in River Forest once owned by legendary Chicago Outfit figure Anthony Accardo sold Friday for $1.13 million — exactly half what the sellers originally sought for the mansion when they first listed it in 2017. As Elite Street first reported in August 2017, the sellers first listed it in May 2017 for $2.25 million and then cut their asking price to $2.15 million, and then to just under $2.1 million, before taking it off the market. They relisted it in 2018 for just under $1.9 million before undertaking close to two years of price cuts. Their final price reduction was to just under $1.2 million in October."

"'The price reflects what’s happening overall with huge houses everywhere,' listing agent Stephen Scheuring of Compass told Elite Street. Scheuring also said the mansion’s pool and coach house were sticking points for some buyers. 'Pools are hard to sell, and it also had a coach house, which is more space to take care of,' he said. 'Pools and coach houses aren’t always selling points.'"