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We’re Helping Sellers Come To Terms That They Have Lost Out

A report from ABC 10 in California. “‘Even worse than 2007,’ said Ryan Lundquist, a Sacramento-based appraiser and housing analyst. ‘And that sounds so dramatic, but it’s true, because what we’re seeing is some buyers have disappeared from the market.’ Meanwhile, pandemic price gains are slipping. Median home prices surged $185,000 from March 2020 to May 2022. From May to November of this year, that has slipped by $75,000.”

The Orange County Register in California. “Homebuying’s slump in Riverside and San Bernardino counties pushed sales down 40% in October as house payments jumped more than 60%. In Riverside County, the $545,000 median was down 3% in a month and 4% higher in a year. It’s also 9% off the $598,500 record high. San Bernardino County had a $490,000 median —  down 1% in a month and 9% higher in a year. It’s also 6% off the $523,000 peak. Across the six-county region, 14,529 residences sold —  down 14% in a month and 39% lower in a year. Southern California’s $705,500 median was down 1% in a month and 4% higher in a year. It’s also 7% off the $760,000 peak.”

From Bloomberg. “The decade-long housing boom in the US is over, and the market has gone eerily quiet. Buyers are clearing out, but so are sellers. And the real estate agents who served them during the pandemic housing frenzy now are left scrambling for listings, or exiting into fallback careers as deals plunge. ‘This is Han Solo in carbonite: This is a market that could stay frozen for quite some time,’ said Benjamin Keys, a real estate professor at the University of Pennsylvania’s Wharton School, referring to a character in the Star Wars franchise. ‘There really aren’t any forces to unthaw it in a rapid way.'”

“With listings lingering in suburban Bergen County, New Jersey — a hotbed of deals earlier in the pandemic — real estate agents Yvette Miranda-Lee and Lamont Byrd are trying new strategies to unlock sales. ‘We’re helping sellers come to terms that they have lost out,’ Miranda-Lee said. ‘They came to the party a little bit late.’ Six months ago, the agents were flooded with business. Now they’re on a door-knocking campaign, searching for the most motivated of sellers: those on the cusp of losing their properties to foreclosure.”

“It was the dinner hour in Teaneck, a middle-class commuter town close to Manhattan — a good time to catch people at home, Miranda-Lee said as she sat in the passenger seat of a white Kia SUV. She and Byrd were driving around, working down a list of eight homes earmarked for foreclosure sale. They approached one with a light on the front porch. A middle-aged woman opened the door just a crack. ‘We found someone who bought my home,’ the woman told them. ‘The auction thing isn’t happening because otherwise, I’d be sitting on a bunch of boxes.'”

“In Las Vegas, the market has softened so much that Trish Williams, a Realtor with Keller Williams, has had to turn down some sellers who weren’t realistic about the price they could get. ‘The last couple of price cuts haven’t moved the bar at all,’ Williams said. ‘We had an open house where one person showed up — just a nosy neighbor looking around.'”

“Dustin Holindrake, a Realtor with My Home Group, said half the agents renting space in his building in Chandler, Arizona, have left because they can no longer afford it. Holindrake, who hasn’t sold a house in a few months, has started selling solar installations and plans to get his insurance license. ‘I had a big fat savings account at the beginning of year but now I’m getting to the point of getting nervous,’ he said. ‘The income has stopped coming in.'”

From Newsweek. “‘The biggest price declines were in San Francisco, Seattle, and San Diego,’ Craig J. Lazzara, managing director at S&P Dow Jones Indices, told Newsweek. ‘Do you see one thing that all those cities have in common? They’re all on the coast.’ It’s also not a coincidence that home prices are dropping the fastest in the most unsustainable markets in the country. San Francisco, for example, remains among the most expensive home market in the U.S. (second only to San Jose, California), even as prices have been dropping for five consecutive months as of October.”

“In October, the average sale price of a home in the city was $1.42 million, down 6.7 percent year-on-year. In San Diego, the median home price has been decreasing for the fifth consecutive month in October, after reaching an all-time high of $850,000 in May.”

KXAN in Texas. “The latest data from Redfin showed Austin’s median price per square foot went up 1.3% year-over-year in October. Despite that slight increase, it’s still 23 percentage points lower than what Redfin reported in February earlier this year. That difference makes it the biggest drop in home-price growth over other American cities like Phoenix, Arizona; San Jose, California; Las Vegas, Nevada, and Boise, Idaho. Lisa Muñoz, a realtor with The Muñoz Group at Realty Austin, said the findings from this report reflect what she’s seeing such as ‘for sale’ signs staying up longer now across the city. ‘We had exuberant price appreciation for the past couple of years. It wasn’t sustainable,’ Muñoz said.”

“‘Inventory was about 1,500 [homes] at the beginning of the year,’ Muñoz said. ‘We have almost 10,000 houses on the market right now, so more inventory means a big softening in prices. It’s rare to see a multiple offer situation right now. In fact, buyers are able to negotiate sometimes on the front end. Sellers are paying some closing costs. They’re buying interest rates down.'”

Bisnow Washington DC. “D.C.’s most prominent office owners say the city isn’t properly accounting for plummeting property values in the office market and could face major budget issues if it doesn’t take action. ‘They need to wake the hell up and do things differently, because the way they’re doing things now, it could lead to economic disaster, frankly,’ said Paul Dougherty, principal of developer PRP and one of the signatories of the letter. It falls short of criticizing District officials, but it does highlight the property owners’ desire for D.C. leaders to ‘fully comprehend’ how distressed the office market is. ‘This is the PG, G version of this letter,’ Dougherty said.”

“‘Those of us who are active in the market think that the majority of buildings in the market are underwater,’ Dougherty said. ‘There’s a 25% vacancy rate just in Class-B in downtown. That number is only going in one direction. It’s going up.’ In addition to the rising vacancy, the rapid pace of interest rate hikes this year is bringing down the values of office buildings, Carr Properties CEO Oliver Carr said. ‘That has a pretty big negative impact on values,’ Carr said. ‘I think on the whole, market values are probably going to reset down 20%-plus just based on the increase in interest rates.'”

“Doug Firstenberg, principal of Stonebridge, said he expects a ‘tsunami’ of negative factors, including rising interest rates and a shrinking pool of capital willing to invest in older D.C. offices, will wipe away much of the remaining value in Class-B and Class-C properties. ‘If you look out two, three, four years … if a building isn’t competitive and can’t get leased, its value is going to go down by half or two-thirds,’ Firstenberg said. ‘There’s a real math problem for a lot of the older buildings.'”

The Globe and Mail. “Starlight Investments, one of Canada’s largest owners of apartment buildings and multifamily properties, is halting monthly payouts on two of its funds, another sign that higher interest rates are causing trouble across the real estate sector – even for the most sophisticated managers and investors. Starlight, which owns $25-billion worth of properties and real estate securities in Canada and the United States, paused distributions on two funds that specialize in U.S. properties: the U.S. Residential Fund and the U.S. Multi-Family (No. 2) Core Plus Fund. Combined, the two funds have $840-million in assets under management, and both are publicly traded in Toronto following initial public offerings in 2021.”

“Rising interest rates are now biting because both funds rely on short-term, variable-rate mortgages to finance their purchases. ‘The size and pace of interest rate increases has been unprecedented and has resulted in interest rates that are significantly higher than projected at the time the fund financed its properties,’ Starlight wrote to investors Friday. In response, the company is halting distributions that paid a 4-per-cent annual yield.”

“Rent growth and property values are starting to cool in many U.S. cities, and Starlight isn’t the only Canadian real estate company hit by changing dynamics in U.S. real estate. Dream Residential REIT, which also invests in multifamily properties across the U.S., went public in May, right as interest rates were starting to rise. The units have been hammered on the Toronto Stock Exchange, dropping 42 per cent. Toronto-based Tricon Residential Inc., which also owns U.S. properties, has watched its own shares drop 38 per cent since the start of the year.”

The Evening Standard in the UK. “One in four London homes for sale has fallen in price over the past three months, research has revealed. Some asking prices have dropped by more than 10 per cent in the last three months, Zoopla found, while more than one in 10 homes for sale in the capital has come down in cost by more than five per cent. Dominic Agace, chief executive of estate agents Winkworth said the numbers ‘reflect a market change.’ ‘When growth stops, asking prices come down, although that doesn’t mean the final selling prices are down,’ he said. ‘It also reflects a new realism, moving away from recent times when records were being set on a monthly basis to a market where prices today are the same as last month. Therefore, asking prices are being adjusted.'”

“Asking price reductions are greatest in southern England, where sales volumes have fallen the most, with almost one in three homes in the South East and east of England reducing asking prices to attract more demand, the report said. Its latest housing market report said: ‘History shows that when discounts reach five to six per cent this points to flat to falling prices. It’s important sellers who want to achieve a sale are realistic on selling prices and speak to agents for the right advice for their home.'”

From Reuters. “Hong Kong private home prices fell 2.4% in October, the biggest drop since November 2018, official data showed. The drop in home prices last month in one of the world’s most unaffordable housing markets followed a revised 2.1% fall in September. Home prices in the financial hub have fallen 10.5% in the first ten months of this year.”

The Daily Mail. “Chinese buyers are being forced to offload apartments in Australia because of economic turmoil back home. The real estate crash and other economic turmoil in China has led to a stampede in selling off apartments mainly located in Sydney and Melbourne, according to leading economic commentator Robert Gottliebsen. Already an estimated 20 per cent of apartments owned by Chinese living in the mainland have been sold, Gottliebsen claimed in The Australian.”

“‘A large number of the Chinese who bought apartments in Australia wanted assets outside of China, just in case the communist Chinese government made life intolerable,’ Gottliebsen writes. ‘Chinese families who are selling Australian apartments do not want to sell, but they have no choice.’ Gottliebsen said the main thing driving sales has been the real estate slump in China, with many Australian apartment owners being squeezed by having to pay off unbuilt investment properties in China that are collapsing in value.”

“China has seen properties fall in value by three quarters in major cities after a real estate boom fuelled by buyers borrowing heavily to purchase apartments ‘off-the-plan’ was brought to a shuddering halt by the government fearing a ‘bubble’. ‘Many never anticipated completing the (Chinese apartment) purchases and planned to sell quickly and make a trading profit,’ Gottliebsen writes.”

“Gottliebsen said the main thing driving sales has been the real estate slump in China, with many Australian apartment owners being squeezed by having to pay off unbuilt investment properties in China that are collapsing in value. China has seen properties fall in value by three quarters in major cities after a real estate boom fuelled by buyers borrowing heavily to purchase apartments ‘off-the-plan’ was brought to a shuddering halt by the government fearing a ‘bubble’. ‘Many never anticipated completing the (Chinese apartment) purchases and planned to sell quickly and make a trading profit,’ Gottliebsen writes. ‘But the slump in apartment values makes trading close to impossible, so other family assets, like Australian apartments, must be sold.'”

Stuff New Zealand. “The country’s biggest bank expects house prices to fall by 32%, when adjusted for wages, from their peak at the end of last year. ANZ has updated its house price forecast after last week’s Reserve Bank monetary policy statement, which indicated the central bank expected to have to hit the economy harder to control inflation. That would take prices 10% below pre-pandemic levels in real terms. ‘The fact that prices are down around 12% already puts us just over half-way through our forecast. We see the level of house prices finding a floor in the third quarter of 2023.'”

“A shock to households such as higher unemployment was the biggest risk to the ‘steadiness’ of the house price falls. ‘Devoting an increasing share of your (growing) income to debt servicing is one thing; facing an increasing servicing burden when your income contracts sharply is a completely different kettle of fish. Insofar as the most pessimistic house price scenario goes, this is it. Essentially, if enough people have to accept whatever price is going on the day, we might actually find out what the market-clearing house price is. We’re not seeing it now: the housing market is not clearing, as seen by low house sales and low auction clearance rates. It’s not great fun to find out what that number is in a hurry; the current stand-off between buyers and sellers and the steady hissing as the air comes out of the market in an orderly fashion is the best adjustment path we can hope to tread on our way back to sanity. While renting millennials might say they want house prices to fall 50% tomorrow, fact is, they would likely struggle to find a job if they did.'”

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This Post Has 152 Comments

  1. ‘Six months ago, the agents were flooded with business. Now they’re on a door-knocking campaign, searching for the most motivated of sellers: those on the cusp of losing their properties to foreclosure’

    See, there is a useful life after selling used shacks!

    ‘She and Byrd were driving around, working down a list of eight homes earmarked for foreclosure sale. They approached one with a light on the front porch. A middle-aged woman opened the door just a crack. ‘We found someone who bought my home,’ the woman told them. ‘The auction thing isn’t happening because otherwise, I’d be sitting on a bunch of boxes’

    Hey, middle aged woman: there was an auction, you just weren’t there.

  2. ‘Holindrake, who hasn’t sold a house in a few months, has started selling solar installations and plans to get his insurance license. ‘I had a big fat savings account at the beginning of year but now I’m getting to the point of getting nervous,’ he said. ‘The income has stopped coming in’

    Well, selling solar installations and insurance may be a crowded field Dustin, but it beats panhandling. I guess that answers the question of ‘did they save money during the boom times. They did, but it ain’t enough. Don’t panic!

  3. ‘Inventory was about 1,500 [homes] at the beginning of the year,’ Muñoz said. ‘We have almost 10,000 houses on the market right now, so more inventory means a big softening in prices’

    Austin UHS have been playing games with stats all year. Months ago they had 17,000 shacks for sale. What they’ll do is go from talking about ‘central Austin’ in one sentence and ‘greater Austin’ in the next.

    ‘It’s rare to see a multiple offer situation right now. In fact, buyers are able to negotiate sometimes on the front end. Sellers are paying some closing costs. They’re buying interest rates down’

    That’s the spirit sellers! Now how about some flowers?

  5. “real estate agents Yvette Miranda-Lee and Lamont Byrd are trying new strategies to unlock sales. ‘We’re helping sellers come to terms that they have lost out,’ Miranda-Lee said. ‘They came to the party a little bit late.’”

    Rarely but sometimes realtors do present some value.

    To the millions of degenerate gamblers, debt donkeys, broke-assed house renters and other fan club members….. it’s in your best interest to reach out to these realtors and others like them…. and do it now.

  8. De-legitimize them.

    Erode their credibility.

    Expose them for what they really are.

    The Southern Poverty Law Center and the Anti Defamation League are Marxist organizations. They are communists. They are anti-white, anti-Christian, and anti-America.

    1. And I was listening to a censored Baby Doctor last night who said the birth rate is down around 25% in US. He was talking about all the stillbirths, miscarriages, and babies having heart attacks in the womb that he is seeing.
      The fact that they endorsed giving the fake vaccine to women is murder of that baby that need to be added to the count of genocide deaths.
      Data doesn’t matter to these criminals that won’t take this vaccine, or the boosters off the market..
      So, how can you say that this isn’t intentional harm?
      They actually think that they can cover up this insane amount of death and injury, and continue to get jab after jab into the public, and they will mandate it if they can pull that off….
      All you can say is the Health Agencies were infiltrated, bribed and compromised to unleash this vaccine assault on defrauded people , who didn’t get informed consent.
      These Entities that are trying to take over the Globe for their pre planned One World Order /Great Reset, have exposed their end game sinister plan.
      The good thing is that their fraudulent
      narratives are breaking down, and even the China people are getting sick of being
      treated like caged animals.
      My theory is that the CCP and the WEF work in collusion in holding China as the Model for the next round of Panademic rounds they plan to inflict on the Globe by the corrupt UN agency called the WHO.

      First China had a low Covid death rate, so the China lockdowns were not necessary or a goal of zero cases is absurd.
      Second, for China to lock down at the end of a Panademic, while they were open as can be in the first two years of Covid , except for ground zero , is odd.
      Third point is China gave their people the old tech vaccines for Covid 19, that China produced themselves. It had a 51% effective rate and had short protection period. China did not give the Western fake vaccine to their people. You don’t hear anything about the sudden death problem in China.
      So, we have International Mega Corporations, under the WEF, colluding with the CCP and the UN to bring on this enslavement, and genocide of humanity.
      When I see Guys like Bill Gates contributing millions to the WHO, and Klaus Schwab shaking the hand of the Head of the WHO, and the Head of China , its so corrupt.
      And than when you realize that Fauci funded China lab to make a bio weapon, when it was illegal to do it in the US, and that became ground zero for Covid release, probably on purpose, its evil.
      Than when you hear evidence that the Head of HHS declared a Covid Panademic, before the evidence that a panademic existed, than the whole Covid might of been just one big fake job, starting with China people falling in the street.
      These people are so evil that they could of released toxins or poisons in key locations to fake a virus when it was really toxins or poisons released to mimic a respiratory virus.Remember when Bill Gates warned that terrorists could release bio weapons in airports. How about all that cloud seeding taking place. Remember that the PCR test is a fake test that was used to up the count with false positives.
      Again they are starting the old ” get tested” routine that they did in Covid round one.
      Ok, so sorry for the rant, but these people are becoming so ridiculous . Get the ropes.

      1. They actually think that they can cover up this insane amount of death and injury, and continue to get jab after jab into the public, and they will mandate it if they can pull that off….

        That’s exactly what they think, which is why everytime a new variant appears they hype it as super deadly, so get your booster before it’s too late!

        And I’m sure we haven’t seen the last of the mandates for these still “experimental vaccines”.

        They don’t want to protect you from the virus. They want to injure you and make you ill, bonus points if you die of suddenly.

  10. Biden’s Gender-Fluid Nuclear Official Charged With Felony Theft After Lying To Cops

    TUESDAY, NOV 29, 2022 – 06:44 AM

    A senior Department of Energy official was charged with felony theft after stealing a piece of luggage from the Minneapolis airport in September – shortly before taking a leave of absence.

    Sam Brinton, a gender-fluid nuclear expert who in 2015 defended underage gay prostitution website “Rentboy.com,” allegedly took a Vera Bradley suitcase worth $2,325 from the luggage carousel at the Minneapolis St. Paul Airport (MSP) on September 16, Fox News reports, citing a criminal complaint filed Oct. 16 in Minnesota state court.

    https://www.zerohedge.com/political/bidens-gender-fluid-nuclear-official-charged-felony-theft-after-lying-cops

    Sam Brinton
    @sbrinton

    It’s official. As of June 19th, I now serve my nation as the Deputy Assistant Secretary for Spent Fuel and Waste Disposition in the Office of Nuclear Energy in the Department of Energy.

    7:26 PM · Jun 29, 2022

    https://twitter.com/sbrinton/status/1542288527920185344?s=20&t=-rV5hA_IPxDM8xqzr_WUAg

        1. All of the services have disgraced themselves ever since the Clinton Administration, in diversity & “inclusivity” replaced merit & competence as criteria for officer selection and career advancement. The craven military brass were and are enthusiastic backers and enforcers of these policies, even though they know how they have destroyed readiness, combat capability, and morale.

  11. Twitter to Stop Enforcing Its Regime-Endorsed “COVID-19 Misleading Information Policy” that Was Based on Bag of Fauci Lies (11/29/2022):

    “It’s clear from their report that Twitter used the policy to crack down on any accounts (including Gateway Pundit) that posed a threat to Democrats and the Fauci cabal prior to the 2020 election.

    Twitter used the policy to crack down on conservatives and anyone who doubted the ever-changing COVID “science.”

    This was a dark time in US history.

    https://www.thegatewaypundit.com/2022/11/huge-twitter-stop-enforcing-bogus-regime-endorsed-covid-19-misleading-information-policy-based-bag-fauci-lies/

    Dark time that’s an understatement.

    The CCP Flu scamdemic was the darkest time of my adult lifetime possibly my whole life.

    Worse than 9/11, the phony Iraq war, or the 2008 collapse.

    The lies, the censorship and the lies of winter 2020 to the present. The unscientific medical tyranny, the Summer Of Love 100 nights of violent riots, and of course the stolen election.

    Followed in 2021 by the “vaccines” that in fact are not vaccines. More censorship and lies. The coersion, the threats, for which a publication like The Atlantic thinks there should be some kind of amnesty.

    No amnesty, only ropes ☠️

  12. The Joe Biden economy.

    “Higher prices at the grocery store have left many families with little choice but to turn to food banks for help.

    “Many families are coming to Food Bank of the Rockies for the first time in their lives, people who have never needed help with food assistance,” said Erin Pulling, CEO of Food Bank of the Rockies.

    Pulling says inflation is not only taking a toll on families but on the food bank itself.

    “The Food Bank of the Rockies is actually getting hit doubly hard by inflation, both with increased need and also because the cost of food that we are purchasing has gone up dramatically,” said Pulling. “Our costs have more than tripled what we were spending a few years ago.”

    Pulling says the food bank gets 75% of its food through donations or the USDA.

    https://www.denver7.com/news/local-news/inflation-puts-strain-on-food-bank-of-the-rockies-as-demand-grows

    More than tripled is that a lot?

    “This sucker could go down” — George W. Bush

    1. Men>“Many families are coming to Food Bank of the Rockies for the first time in their lives, people who have never needed help with food assistance,” said Erin Pulling, CEO of Food Bank of the Rockies.

      Every time I drive by the local food bank, I can’t help but notice all the late model cars, pickups, and SUVs, including luxury imports. I’m guessing a large percentage of the “needy” are financially irresponsible debt donkeys whose unsustainable levels of household debt are being compounded by the squeeze of inflation in #BidensAmerica. The urge to freeload rather than get their financial house in order and live within their means usually betrays party affiliation.

      1. whose unsustainable levels of household debt are being compounded by the squeeze of inflation in #BidensAmerica

        Plus they likely have experienced a severe income drop. Cutting back on coffees and eating out won’t cut it for them. The luxury cars are leased and they are likely underwater should they try to unload them. They could sell the bikes, boats, jet-skis and other toys; but they won’t. They’d rather eat peanut butter and stale bread from the food banks.

        1. They never believe it’s happening to them and they always wait until it’s much much too late and they lose everything instead of just dumping some things at “fire sale” prices.

          1. Sometimes belt tightening can lead to a divorce, so that’s another incentive to extend and pretend.

      2. Every time I drive by the local food bank, I can’t help but notice all the late model cars, pickups, and SUVs, including luxury imports.

        I don’t drive by any food banks to notice, but ever news story I’ve seen of long lines at the foodbank with pictures shows extremely expensive vehicles. I don’t understand how these people qualify. If you have a car worth more than $5,000, you should be disqualified automatically. Seriously, you can “afford” a $750 per month car payment but want help from my taxes to buy your food? F**k you!

        1. I don’t understand how these people qualify.

          I think most food banks, which rely heavily on donations, are on the honor system.

          1. expensive vehicles

            People with big debt payments might actually have less money for food than the other clients.

            I sucks to live on the edge in debt and then have a loss of income. I’m just guessing here.

  13. ‘There really aren’t any forces to unthaw it in a rapid way.’.

    Not so.

    If prices really showed dramatic downward movement, that could motivate investors who are only in it for financial gain to dump falling knife inventory. That could thaw the market like a Greenland ice field in springtime.

  14. ‘The biggest price declines were in San Francisco, Seattle, and San Diego,’ Craig J. Lazzara, managing director at S&P Dow Jones Indices, told Newsweek.”

    Say it ain’t so! They told me that California real estate always goes up.

    ‘Do you see one thing that all those cities have in common?’

    Most are San cities in California; Seattle is the lone exception. Without bothering to check, I’m guessing Santa Rosa, San Rafael, Santa Clara, San Jose, San Luis Obispo, San Simeon, Santa Barbara and Santa Cruz fit the pattern. Most of these are places where carpetbagger investors piled in to outbid the locals, and are now trying to get out before losing a bundle of money.

    1. TheHill.com
      Finance
      Home prices cooling fastest in pandemic boomtowns
      by Adam Barnes – 11/29/22 6:00 AM ET

      Growth in home prices is slowing fastest in cities to which remote workers fled for lower costs of living during the coronavirus pandemic.

      The influx of workers from coastal communities intensified competition and drove up costs by more than 30 percent in some of these towns. But lately high mortgage rates and economic uncertainty are keeping buyers out of these once-hot markets and starting to bring prices there back down to earth.

      Prices have slowed nationwide as mortgage rates have risen in response to the Federal Reserve’s aggressive effort to curb inflation by raising interest rates.

      A string of jumbo interest rate hikes has pushed mortgage rates from 4.16 percent to nearly 7 percent since the Fed first raised rates in March.

      Yet these high mortgage rates are hitting some markets harder than others.

      A new report from the real estate company Redfin shows that boomtowns like Austin, Texas; Boise, Idaho; and Phoenix are among the major U.S. metros where home prices are decelerating the fastest.

      “The forces slowing the housing market, such as high mortgage rates, are having an outsized impact on places like Austin and Boise that saw home prices skyrocket over the last few years,” Redfin senior economist Sheharyar Bokhari said in a statement.

      “Home prices can only rise by double digits for so long before the growth becomes unsustainable. High rates and stumbling tech stocks are making it unsustainable quite quickly, especially in destinations popular with tech workers,” Bokhari added.

      The price per square foot in Phoenix and Austin slowed by 23 percent since February, when home buyer demand peaked, while the price per square foot decelerated by 22 percent in San Jose, Calif.

      Prices decelerated in Las Vegas by 21 percent over the same period and by 20 percent in Boise, the report shows.

      However, home prices in Phoenix, Austin and Boise also rose the most in the past two years, with the typical home now selling for around $500,000 in each of those cities.

      The price slowdown has also reached America’s major tech hubs. The popular Silicon Valley city San Jose, where prices fell by 1.6 percent from last year, is joined among the top 10 by Seattle, where prices slowed by 19 percent from February.

      And both Seattle and San Jose could be further impacted by a series of layoffs at major technology companies.

      Layoffs in these cities could cause forced sales, damage buyer confidence and lead to smaller down payments — even from buyers who kept their jobs.
      …
      https://thehill.com/policy/finance/3753339-home-prices-cooling-fastest-in-pandemic-boomtowns/

      1. “…while the price per square foot decelerated by 22 percent in San Jose, Calif.”

        What does that mean in plain English?

  15. A reader sent these in:

    Call from client today thinking of selling:
    Seller: “Thinking of selling but will probably wait till March when the RE market turns around. Whatcha think?”
    Me: …
    Me: …
    Me: …
    Me: “So, how’s the family doing?”

    https://twitter.com/PasqualeSasso/status/1596588496466345984

    US holiday real retail sales are poised to fall, worst since 2008
    this is for US retailers.. meanwhile online sales were stronger

    https://twitter.com/AlessioUrban/status/1597255637175791617

    distract you with “culture” issues so they can steal you money to make you angrier so you focus more on cultural issues so they can steal more money.

    https://twitter.com/GRomePow/status/1597300551729184771

    Yahoo is reporting that institutional SFR owners are shedding assets. Who’s shocked that the 1:1 ratio (major repair to one tenant) doesn’t work?

    https://twitter.com/ShlomoChopp/status/1597222446758645760

    Apparently the best way to get rich in crypto is to be a bankruptcy attorney.

    https://twitter.com/levie/status/1597264311369445378

    The housing market needs a strong economy AND one of three things to get back on track:
    40% higher incomes
    3% interest rates
    30% lower prices
    Which do you think is most likely?

    https://twitter.com/GRomePow/status/1597289411284455424

    “The market is just slow right now. Let’s just hold off and list in Spring when the market is hot again.” -millions of people, spoken softly in unison.

    https://twitter.com/TheIronEThat1/status/1597265768470962177

    John Wake

    “Pantheon estimates that existing home prices will keep falling, ultimately dropping by about 20% from their June peak of around $414,000.” 20% of $414,000 is $82,800 so Pantheon is forecasting the median U.S. house to fall $82,800 in value.

    https://twitter.com/JohnWake/status/1597247355828711424

    John Wake

    P.S. The median single-family house price in metro Phoenix is already down $45,000 and might fall as much as $20,000 more in November, according to one estimate.

    https://twitter.com/JohnWake/status/1597259981094785027

    How broken is 🇨🇦’s housing due to monetary incompetence? Most homeowners in cities like Toronto (most of Ontario tbh) couldn’t afford to buy their home today. Many make so little they couldn’t buy a starter home. They know this, which is why they vote for a credit ponzi.

    https://twitter.com/StephenPunwasi/status/1597266654873780224

    Harvard JCHS

    The income required to afford a home in, for example, the middle-third of the New York City area market in September 2019 was about $117,450. That jumped more than 59% to almost $187,000 in September 2022.

    https://twitter.com/Harvard_JCHS/status/1597249573097177089

    Still can’t believe Fed was buying Treasuries and MBS when mortgage rates were sub 3% and home prices were going up 20%+ y/y. Can’t make this stuff up.

    https://twitter.com/FedGuy12/status/1597270991431835648

    Ryan Lundquist

    This month is poised to be the lowest month of sales for November in Sacramento County over the past two decades. Volume is down 46% compared to the pre-pandemic average (and about 50% last year). In other words, half the market is missing, and half the market is happening.

    https://twitter.com/SacAppraiser/status/1597270723235483648

    Is this what “stable prices” look like to you? @federalreserve
    @MaryDalyEcon
    @RaphaelBostic
    @neelkashkari
    @SenateBanking
    @SenSherrodBrown
    Just looks like you stole HOMES from young families in order to line the pockets of old people and speculators.

    https://twitter.com/GRomePow/status/1597270498219433984

    Inflation check in. 🤓🏡🏚️ 1992: US$1.5 million could by the Bel Air mansion from Fresh Prince (left). 2022: Inflation puts that amount at US$2.8 million, enough to buy this Vancouver home (right).

    https://twitter.com/StephenPunwasi/status/1597236372342874112

    We’ll see a surge in rental housing supply in 2023 via build-to-rent single-family communities, multifamily apartments plus some would-be sellers putting houses up for rent while waiting out the market. The additional supply should create a favorable environment for renters…

    https://twitter.com/jayparsons/status/1597238517549400064

    John Wake
    @JohnWake
    “That’s how they get in trouble. They start drinking their own kool-aid.”
    Ivy Zelman on developers (from last Dec). “… a public management team said that we have a massive deficit of shelter and therefore we have infinite pricing power”

    https://twitter.com/JohnWake/status/1597223192036134912

    2s 10s looks a tad worrisome 😳👇

    https://twitter.com/WinfieldSmart/status/1597203634252832768

    @DiMartinoBooth
    Consumers spent $9.1b this year, up 2.3% from last year.
    Sounds great until you realize inflation is near 8%, meaning a 5.7% DECLINE over last year.

    https://twitter.com/tikigod18/status/1597248169343012864

    For sale listings weren’t selling, now lease listings aren’t leasing.

    https://twitter.com/nasmadotali/status/1597295517029265408

    The housing market: [H/t @jonathanmiller]

    https://twitter.com/TheTranscript_/status/1597207679860183041

    Fun fact: the CMHC makes housing less affordable by supporting risk no lender would take on, inflating housing costs. It provides a small dividend for taxpayers at the expense of intensifying the housing crisis, & bankers tricked you into thinking it’s a social service.

    https://twitter.com/StephenPunwasi/status/1597379313833480192

    Kira Mason
    @kmasonrealtor
    When we talk about an affordability crisis, this is what we mean:

    https://twitter.com/kmasonrealtor/status/1597292832506925056

    1. “Apparently the best way to get rich in crypto is to be a bankruptcy attorney.”

      I bet those guys doing the FTX post-mortem audit are making bank.

      1. The Financial Times
        Cryptocurrencies
        Nervous auditors re-examine crypto clients after FTX collapse
        Collapse of Sam Bankman-Fried’s company highlights risks in industry where accounting rules are only half-formed
        The insolvency expert now running FTX cited a ‘complete failure of corporate controls’ at Sam Bankman-Fried’s crypto empire
        Stephen Foley in New York
        November 27 2022

        Cryptocurrency businesses that need their financial statements audited are probably going to have to pay more for it, and they have Sam Bankman-Fried to thank.

        The collapse of Bankman-Fried’s crypto empire, and the spotlight it put on the auditors that signed off on his books, have prompted small audit firms to re-examine their work for businesses in the nascent industry.

        Several US firms told the Financial Times that they had elevated some or all of their crypto-related clients to the status of “high risk”, triggering a more thorough audit that will take longer and lead to higher bills. Some clients could ultimately be dropped altogether.
        …

        1. FTX founder manipulated ESG to earn ‘virtue signaling glow’: Palantir co-founder
          Sam Bankman-Fried is right — ESG is completely perverted, Palantir co-founder Joe Lonsdale says
          By Jon Michael Raasch FOXBusiness
          The founder of the crypto exchange FTX manipulated ESG to convince investors that everything was above board before filing for bankruptcy, investor says.

          The founder of the crypto exchange FTX manipulated ESG to convince investors that everything was above board before filing for bankruptcy, investor says.

          FTX Founder Sam Bankman-Fried manipulated ESG and woke culture to help his now-bankrupt crypto firm avoid scrutiny from regulators and gain credibility with investors, a venture capitalist told Fox News. 

          ESG — environmental, social and governance — is a framework that investors use to score businesses on factors like the diversity of employees, how much pollution the firm creates or how many members sit on the board. Sam Bankman-Fried claimed that FTX would be carbon neutral by the end of the year and said the firm would help build solar projects for communities in the Amazon, all before his company filed for bankruptcy earlier this month.

          “So in this case, SBF, who was running FTX, he knew that if he virtue-signaled, if he gave lots of money to causes Democrats cared about, if he became the big donor on the left, became the darling of the media companies to which you donated, he would kind of get this warm virtue-signaling glow,” Joe Lonsdale, a venture capitalist and Palantir co-founder, told Fox News.
          …
          https://www.foxbusiness.com/markets/ftx-founder-manipulated-esg-earn-virtue-signaling-glow-palantir-co-founder

      2. Disgraced FTX founder Sam Bankman-Fried ghosted his legal team over bankruptcy: report
        By Thomas Barrabi
        November 29, 2022 2:23pm Updated

        Disgraced FTX founder Sam Bankman-Fried ignored pleas from company attorneys and advisers urging him to file for bankruptcy “for days” before the cryptocurrency platform imploded, according to a report Tuesday.

        FTX general counsel Ryne Miller was one of several people who begged Bankman-Fried and other executives to relinquish their control of the company, the New York Times reported, citing internal emails and text messages.
        …
        https://nypost.com/2022/11/29/ftx-founder-sam-bankman-fried-ghosted-legal-team-over-bankruptcy-report/

        1. The crypto winter claims Bitfront exchange as its latest casualty
          By Diksha Madhok, CNN Business
          Published 5:40 AM EST, Tue November 29, 2022
          NYT reporter shocked by FTX founder’s tone in interview
          03:53 – Source: CNN
          New Delhi CNN Business — 

          Bitfront, a crypto exchange backed by Japanese social media app Line, is shutting down after failing to overcome turmoil in the industry.

          The announcement by the US-based exchange comes at a time when the market for digital assets is grappling with financial contagion unleashed by the spectacular collapse of another crypto exchange, FTX.

          Trading on Bitfront will be suspended by the end of the year and withdrawals on March 31, 2023, it said in a statement on its website Monday.

          The company said it had been unable “to overcome the challenges in this rapidly-evolving industry,” while distancing its decision from the implosion of FTX.

          “Please note that this decision… is unrelated to recent issues related to certain exchanges that have been accused of misconduct,” it added.
          …
          https://www.cnn.com/2022/11/29/business/bitfront-line-crypto-exchange-hnk-intl/index.html

        2. Tech / Policy
          Hong Kong cryptocurrency exchange AAX has been hit by losses at 10kM trading unit, ex-employee says
          – AAX’s problems have been linked to failed FTX, where the company held some of its money
          – AAX has effectively shut down after it deleted its social media accounts and froze withdrawals this month, with the team now incommunicado
          Xinmei Shen
          Published: 9:00am, 30 Nov, 2022
          Updated: 10:15am, 30 Nov, 2022

          Hong Kong cryptocurrency exchange Atom Asset Exchange (AAX), which ceased withdrawals this month and closed its social media accounts, has been hit by losses from affiliated trading unit 10kM Trading, according to a former employee familiar with the matter, at a time when markets are reeling over FTX’s global collapse due to losses at Alameda Research.

          This employee, who left the company recently and who declined to be named because he is not authorised to speak with the media, said the exchange’s troubles had been partly caused by trading strategies and risk management practices at AAX’s market maker 10kM Trading, which AAX set up in 2019.

          AAX’s problems have been linked to FTX, where the company held some of its money, but troubles at the Hong Kong-based firm began even before FTX’s US bankruptcy filing on November 11, according to the former employee.

          His claims could not be independently verified, as 10KM Trading did not immediately respond to a request to comment sent through its website on Tuesday. AAX was not reachable. The company’s main office in AIA Tower in North Point was closed during a visit on Tuesday afternoon.
          …
          https://www.scmp.com/tech/policy/article/3201447/hong-kong-cryptocurrency-exchange-aax-has-been-hit-losses-10km-trading-unit-ex-employee-says

        3. Yahoo
          Bloomberg
          Bitcoin Offshoot Becomes the Latest Victim of FTX’s Contagion
          Muyao Shen and Vildana Hajric
          Tue, November 29, 2022 at 12:36 PM·3 min read

          (Bloomberg) — The fallout from the collapse of Sam Bankman-Fried’s FTX crypto empire has spread to a new corner of the digital-asset market.

          Traders’ focus has turned to the price disparity between Bitcoin and a derivative of the largest cryptocurrency called wrapped Bitcoin, which can be used on the rival Ethereum blockchain. Wrapped Bitcoin is backed 1-to-1 by the token, which is held in custody by the digital-trust firm BitGo. While it normally trades on par with Bitcoin, a “persistent” discount emerged in mid-November, according to blockchain-data firm Kaiko.

          Wrapped Bitcoin, which is ranked as the No. 23 cryptocurrency by total market value, gained popularity during the peak of the decentralized finance boom. The version provides Bitcoin holders an easy way to trade, buy and sell these tokens in DeFi. The Bloomberg Galaxy Crypto Index has tumbled more than 25% since Binance chief Changpeng “CZ” Zhao raised concern about FTX three weeks ago.

          The discount has been sparked by concern that the wrapped Bitcoin is not fully backed, given that Alameda Research — the trading desk co-founded by FTX’s Bankman-Fried — was once the biggest merchant to issue the offshoot. Executives at BitGo dismissed the speculation, saying via Twitter that all of the derivative is backed 1-to-1 by Bitcoin held in custody by the firm.

          “Everyone is afraid of everything these days,” said Evgeny Gaevoy, founder and chief executive of crypto fund Wintermute.
          …
          https://finance.yahoo.com/news/bitcoin-offshoot-becomes-latest-victim-152040933.html

        4. The San Francisco Standard
          Business
          FTX Contagion: BlockFi Bankruptcy Wipes Out Billions for 400,000 Everyday Americans and Investors Like Peter Thiel
          Written by Anna TongPublished Nov. 29, 2022 • 6:48pm
          Photo illustration of a phone and computer looking on BlockFi, cryptocurrency website. | Camille Cohen/The Standard

          BlockFi, a company that offered too-good-to-be-true interest rates on cryptocurrency holdings, is the latest victim of the FTX fallout. And while BlockFi’s bankruptcy is less dramatic than the FTX implosion, the consumer impact in the U.S. may be farther reaching.

          “While FTX gets the headlines, Celsius and BlockFi are the Lehman and Bear Stearns of crypto,” said Asheesh Birla, a cryptocurrency executive and investor who sits on the board of San Francisco blockchain company Ripple.

          BlockFi’s most popular product was the BlockFi Interest Account which seemed like an interest account at a bank—but under the hood was far riskier. The company targeted everyday consumers, sponsoring flashy billboards across the U.S., such as this one in the Bay Area, and luring them with interest rates of up to 7.5% for certain cryptocurrencies.

          By late last year, 391,105 customers in the U.S. held $10.4 billion in its interest-bearing accounts, according to the SEC.

          In comparison, FTX had about a million customers worldwide, and it’s likely most were outside the U.S. since the exchange was started in Hong Kong. And while FTX made a play for average consumers, its trading platform catered more to cryptocurrency traders and institutions because of its sophisticated financial products like derivatives trading. 

          FTX filed for bankruptcy earlier this month amid allegations of fraud and gross mismanagement.

          Publicly-traded cryptocurrency exchange Coinbase, which at one point topped the charts as the most Apple mobile app, counts 8.5 million active users worldwide each month.

          FTX raised nearly $2 billion from top-tier investors, including Softbank and NFL star Tom Brady. Similarly, BlockFi hauled in nearly $1 billion from a slew of star investors, including Peter Thiel’s Valar Ventures, Coinbase founder Fred Ehrsam’s fund and Tiger Global. Those investments will likely now be worthless.
          …
          https://sfstandard.com/business/ftx-contagion-blockfi-bankruptcy-wipes-out-billions-for-400000-everyday-americans-and-investors-like-peter-thiel-2/

    2. “Still can’t believe Fed was buying Treasuries and MBS when mortgage rates were sub 3% and home prices were going up 20%+ y/y. Can’t make this stuff up.”

      Seems like the Fed’s MBS purchases were worked as intended.

    3. millions of people, spoken softly in unison

      Even with my very narrow search criteria, I’ve seen two houses taken off the market without any price adjustments and a third house after a measly -6% adjustment.

    5. Who’s shocked that the 1:1 ratio (major repair to one tenant) doesn’t work?

      Every honest person I know who has ever been in the SFR business has said it’s horrific, and got out of it. The only times people made money are in the past 20 years via massive price appreciation care of the FED. Otherwise, in a normal market when you factor in maintenance, repair and vacancy, it’s dead money.

      2. A coworker’s cousin in Sacramento who grew up with five siblings, and he was the only one who didn’t go to college and become a professional, but he was good with his hands and frugal with money. He bought an REO that was pretty rough, but he installed new windows, flooring, insulation, etc., while living in it.

        Then he bought another, moved into it and found a tenant for his fixer. Wash, rinse, repeat about a dozen or more times before selling out at the top in 2005, and retiring. On the ledger, he out performed all of his siblings.

        1. He’s a statistical outlier. Most of these people don’t do their own work and save on labor like he did. They’re busy working a 9-5.

          1. I know several people who did similar, and worked an unrelated 9-5 over the years. Not bubble heads, just craftsmen with time and energy.

  16. “China has seen properties fall in value by three quarters in major cities after a real estate boom fuelled by buyers borrowing heavily to purchase apartments ‘off-the-plan’ was brought to a shuddering halt by the government fearing a ‘bubble’.”

    Does that mean sales prices are down by 75%!? Small wonder Chinese people have taken it to the streets.

    1. The Financial Times
      Opinion Outlook
      Restless Beijingers rise up against Covid controls
      Residents of the city’s tower blocks are banding together to oppose quarantine curbs
      Demonstrators hold candles and blank signs at a protest in Beijing over the weekend
      Ryan McMorrow 13 minutes ago

      At the bottom of a central Beijing tower block, two dozen of my neighbours stood behind a quarantine line, facing off with the low-level officials and police tasked with enforcing China’s “zero-Covid” policy.

      The confrontation was one of many that played out across big Chinese cities at the weekend, as frustration at nearly three years of tough controls erupted into spontaneous resistance.

      Everyone in my block had been quarantined inside their flats for nearly a week after one neighbour tested positive for Covid-19. We were on the cusp of being set free when we were told a second case in the building would extend our lockdown for another six days.

      “Our goal is conquering the pandemic,” shouted an official, who identified himself as deputy director Zhang from the Liulitun subdistrict office, from one side of the quarantine line on Saturday. “Controlling the pandemic is not something the government can do alone. Government, society, individuals, businesses — we all have responsibilities,” he said.

      “We want to be freed!” a neighbour shouted back. “We need to go out to work and make money — you make money while quarantining us,” yelled another.
      …

  20. “Goverment” can’t backstop sh*t. Once again, taxpayers are being put on the hook to shield banksters from paying the price for their recklessness and greed.

    U.S. government to backstop mortgages above $1 million for the first time

    https://www.marketwatch.com/story/u-s-government-to-backstop-mortgages-above-1-million-for-the-first-time-11669743569?mod=mw_latestnews

    Scheduled increase in loan limits reflects rise in home prices and stokes debate over Washington’s role in home lending

    1. https://www.zerohedge.com/personal-finance/lawyer-private-equity-billionaire-dies-self-inflicted-gunshot-eve-tax-fraud-trial

      Billionaire hides 100 million in taxes from irs, uses stolen money to buy houses in colorado. Gets caught, turns on his attorney and the billionaire goes free while the attorney gets suicided.

      So a few posts up it says you can get rich being a bankruptcy attorney, but attorneys may not live long in this crony capitalism.

      How many oligarchs are cheating the irs and using stolen money this way to inflate housing prices? The system is so broken, I only want to see it burn to ash.

    1. “I was stunned and didn’t know how to answer her at first. It is disgusting that this is taught in Year 4.”

      I would trust that we have enough common sense on this side of the Atlantic to know that this is too soon.

  27. https://m.youtube.com/watch?v=mD2dB9Iar3A

    Kerr Realty. Over 30% of Jacksonville homes are owned by institutional investors that rent them out. Over 50% of new purchases are by investors, lots of data in this video.

    Kerr says that families needing homes are being priced out, they will forever be renters, capitalism failed families while enriching oligarchs. He concludes that there is so much equity in these investor homes from the bubble and low rates, that even a 2008 like crash will not be enough to force the investors to sell. That its game over for new families.

    My question to hbb, why do we have a capitalist system designed in such a way to punish the poor or new families while enriching rich real estate hedge funds? Capitalism has failed.

    4. Capitalism hasn’t failed, the government/central bank has failed. If Jacksonville had true capitalism then people could build whatever they want whenever they want and prices would plummet. This would then anger the masses who would call for government regulation and central bank support. This country doesn’t have many true capitalist cities. The closest one we have is Houston and Houston is less than ideal. Ultimately you have to choose your location carefully; it might be time to leave Jacksonville. This country has many many great locations that are full of opportunities. Most of them don’t get much attention though, you have to find them. In the unfolding crash there will be life changing deals available in lots of great places that most people have never heard of. Start saving up!

        1. I feel that way as well. I am not rich on paper, but we’re financially stable in an unstable economy. And I don’t have any unsatisfied material wants. Plus I enjoy my family and friends, and like my work and hobbies. I feel truly blessed in life.

      2. I usually don’t bother with posts like this, but I was thinking. Do you like a brick shanty? Who made the brick. Who poured the concrete. Who cut down the tree, finished the boards and who drove the rail cars and trucks that got it to yer shanty. Capitalist. So whatever system you have in Florida did what it did, but you got a whole bunch of capitalists just earning a pay check so far. But let’s toss this baby out with the dishwater and look no further than – Cuba! Now that’s some perfection in shantys right there.

        2. But let’s toss this baby out with the dishwater

          I found it like blaming a patient for a deadly infection.

  30. ‘I had a big fat savings account at the beginning of year but now I’m getting to the point of getting nervous,’ he said. ‘The income has stopped coming in.’”

    Starving realtors refusing to waste their time with greedhead sellers is a healthy step toward sanity returning to the market.

  31. ‘They need to wake the hell up and do things differently, because the way they’re doing things now, it could lead to economic disaster, frankly,’ said Paul Dougherty, principal of developer PRP and one of the signatories of the letter.

    Paul, are you somehow unaware that the “leadership” of Le Cesspool Grande are all corrupt, incompetent, radical-left Democrats?

  32. I was shocked to find out how much of a monopoly the WEF is ,and how many supply lines they control.
    Its pretty clear that the lockdowns destroyed small business in the US and other Countries. ..
    The Cares Act transferred billions to the big Monopolies, ,increased their market share, all on taxpayers dime, while smaller business ate it. . .
    The medical system and the Hospitals , and of course Big Pharmacy were the greatest recipients of those looted tax dollars , thanks to corrupt Washington DC politicians.
    You didn’t get the fake vaccine shots for free, and they have been pre-bought
    by Biden , used or not.
    And , they had the nerve to raise the price of the fake vaccines.

    It must be nice to have immunity on damage caused by your clot shots and get
    paid , if used or not. .No wonder these bastards never want the Panademic to end.Big Pharmacy is controlling the news by being the biggest advertiser.

    And, Big Pharmacy is a member of the WEF, under Klaus Schwab, who would like the world to be run by Corporations .
    We only have a pawn government now, rigged elections, and some kind of take over by these entities that have infiltrated Governments and their agencies.
    Its all so surreal that this war has been launched on humanity and the Governments are colluding with it.

  33. ‘It also reflects a new realism, moving away from recent times when records were being set on a monthly basis’

    Sound lending!

    1. They had a young American Airline Pilot suffer a fatal heart attack upon take off from Chicago. The co pilot was a skilled trainer and took control took and turned plane around and landed it back at airport.

      A Pilot from the aviation industry has disclosed they are having a lot of
      incidents on planes they aren’t talking about..300% increase in disability
      claims in that industry.
      About 80 % of industry employees forced
      mandated into the jab. .
      Look at the sudden death of that bus driver and the increase in bizarre car accidents…
      Look, I have mentioned before how crazy people have been driving..Kinda dazed acting ,, going to slow, or going to fast ..

      Do you realize how reckless this is to keep pumping a vaccine that they know causes sudden heart attack or stroke. Outrageous!
      These people are beyond evil.

      1. They had a young American Airline Pilot suffer a fatal heart attack upon take off from Chicago. The co pilot was a skilled trainer and took control took and turned plane around and landed it back at airport.

        And my understanding is that it was the captain who was at the controls during takeoff. It’s a miracle they didn’t crash and the first officer truly saved the day.

      2. Do you realize how reckless this is to keep pumping a vaccine

        Reckless? I think all is going according to their plan. Just think, had that plane crashed, he would have taken everyone with him. A few hundred fewer “useless eaters”.

        I travelled last summer and I have to admit that the thought of the pilot keeling over at a really bad time crossed my mind,

        1. I travelled last summer and I have to admit that the thought of the pilot keeling over at a really bad time crossed my mind

          Likewise for my father traveling to and from Africa.

  35. It is probably worse in Seattle. Once Amazon truly decides to give up some Vulcan leases …. there will be nobody wanting Class A office space. F5 and Russell Investments (next largest to Amazon) are now subleasing, , Google and FB are investing more on the East side … and BioTech is really being cautious (especially around Lake Union).

    Besides which office whitecollars want to walk amongst the homeless and feces to their fancy office digs – when they can work in downtown Bellevue (or remotely)

    D.C.’s most prominent office owners say the city isn’t properly accounting for plummeting property values in the office market and could face major budget issues if it doesn’t take action. ‘They need to wake the hell up and do things differently, because the way they’re doing things now, it could lead to economic disaster, frankly,’

    1. I have a friend whose husband is a construction manager (is that the right title) for a company that builds warehouses. They are house poor because they spent $445k on a house last year. They knew it was stupid, but they did it anyway because “our income will keep going up, so hopefully we’ll be less house poor.”
      I told my friend that Amazon is doing lay offs. If companies like this don’t have as much business they don’t have as much product to store which means they don’t need more warehouses. I asked her what she’s going to do if hubby gets laid off. She just looked at me.

      1. I asked her what she’s going to do if hubby gets laid off.

        For far too many this is simply inconceivable. Until the boss stops by their office, looking grim faced, and says “I have some bad news”

    1. The Totalitarians of Yahoo – haters of free speech – are busy deleting all comments about the jab. I received an email this morning that mine, too, was “rejected.” And I never even mentioned the jab. One could just as easily have inferred I was suggesting Fentanyl.

      Your comment on Oklahoma, Red Dirt singer-songwriter Jake Flint, 37, dies just hours after his wedding violates the community guidelines and has been rejected

      This was my comment:

      This is getting ridiculous. This is genocide at this point. We all know what’s going on. The man was only 37.

      Under “community guidelines,” there is nothing that my comment violated. The people who work for Yahoo as censors and delete posts randomly should be curb-stomped to death. They are anti-American filth.

    2. It’s happening on a daily basis now. And just think, for every celeb who dies of suddenly, how many little people are dying? How many people survive, but now have to deal with a permanent, debilitating injury, which will probably shave years if not decades off their lifespan?

  38. ‘Many never anticipated completing the (Chinese apartment) purchases and planned to sell quickly and make a trading profit,’ Gottliebsen writes.”

    Die, speculator scum.

  40. How Big Tech layoffs could impact some of the priciest housing markets
    by Adam Barnes – 11/27/22 7:30 AM ET
    AP Photo/Nam Y. Huh)
    For sale by owner sign is displayed outside home in Northbrook, Ill., Wednesday, Sept. 21, 2022. Average long-term U.S. mortgage rates rose this week for the sixth straight week, marking new highs not seen in 15 years, before a crash in the housing market triggered the Great Recession, mortgage buyer Freddie Mac reported Thursday, Sept. 29, 2022.
    (AP Photo/Nam Y. Huh)

    A series of layoffs at America’s major technology companies could put pressure on local housing markets amid a broader nationwide cooling. 

    These layoffs, brought on in part by a series of interest rate hikes from the Federal Reserve and a decline in revenues, could cause forced sales, damage buyer confidence and lead to smaller down payments — even from buyers who remain employed. 

    “The housing market is fueled by confidence, affordability, and most importantly, jobs. Housing demand in tech-heavy metros is expected to be lower in the near-term,” Ali Wolf, chief economist at Zonda, told to The Hill. 

    “In some cases, prospective homebuyers will lack both the financial ability to purchase a home and the consumer confidence needed to go through with the purchase,” she said in an email to The Hill.
    …
    https://thehill.com/policy/3748280-how-big-tech-layoffs-could-impact-some-of-the-priciest-housing-markets/

    1. The entire 12:28 should be viewed but if you just want a quick sick feeling in your stomach 8:37 – 10:55 should do it.

      FJB and all the people who conspired to put him in office and cover up what it took to do it.

    1. Stop using credit and debit cards. Insist upon paying cash for everything in day to day life. Only use cards unless you absolutely have to. Don’t patronize businesses who no longer accept cash. Ask for cash discounts. Spread the word that cash is making a comeback. Fight them.

  43. I changed the names of 4 wifi hotspots on my site yesterday morning to Realtors Are Liars. Comments galore from all the trades. They love it.

    3. Markets
      Published November 29, 2022 4:26pm EST
      Stock market could plunge another 24% next year, Bank of America warns
      S&P 500 could tumble to 3,000 at end of 2023 amid market volatility
      By Megan Henney FOXBusiness

      The stock market is not out of the woods yet and could face further volatility next year as a result of the Federal Reserve’s quantitative tightening, according to Bank of America strategists. 

      In an analyst note this week, the analysts led by Savita Subramanian warned the Fed’s shrinking of its balance sheet could fuel liquidity risks in different areas of the market. 

      Bank of America projected a base-case scenario of flat returns in 2023, with the S&P 500 finishing the year at 4,000 – up just 0.9% from Monday’s close. 

      But it warned of major volatility in the market throughout the year and said that in a so-called bear-case scenario, the S&P benchmark index could tumble another 24% from current levels to 3,000.
      …
      https://www.foxbusiness.com/markets/stock-market-plunge-next-year-bank-of-america-warns

    4. Markets
      CNBC TV
      Watchlist
      Updated Tue, Nov 29 2022 5:12 PM EST
      S&P 500 and Nasdaq close lower for third day as investors look to Fed Chair Powell’s speech
      Alex Harring
      Sarah Min

      The S&P 500 and Nasdaq Composite closed lower for a third straight session Tuesday as traders struggled to recover from sharp losses suffered in the previous session and looked ahead to more economic tea leaves coming later in the week.

      The Nasdaq Composite shed 0.59% to close at 10,983.78. The S&P 500 lost 0.16%, ending the day at 3,957.63. The Dow Jones Industrial Average notched a marginal gain, closing 3.07 points, or 0.01%, higher at 33,852.53.

      Investors are watching for data coming later this week, including JOLTS job openings on Wednesday and November payrolls Friday, for insight into how the economy is performing. They are also waiting for Federal Reserve Chair Jerome Powell’s scheduled speech at the Hutchins Center on Fiscal and Monetary Policy at Brookings on Wednesday for clues into whether the central bank will slow or stop interest rate hikes.

      “The market has shifted focus from the conclusion of the third quarter earnings reporting season to now additional factors that are likely to influence the Federal Reserve in their December deliberations,” said Bill Northey, senior investment director at U.S. Bank. “Investors are clearly focused on the path ahead rather than looking in the rear-view mirror.”

      The markets largely failed to reverse course from the steep and broad losses Monday after protests in mainland China against the country’s zero-Covid policy started over the weekend. The protests elevated concerns over the potential for Chinese Covid protocols that could once again hamper global supply chains.
      …
      https://www.cnbc.com/2022/11/28/stock-market-futures-open-to-close-news.html

    5. Did you leverage up to increase your risk asset HODLings, only to find yourself staring down the gun barrel of margin calls?

      1. The Financial Times
        Opinion FT Wealth
        Why ‘buy, borrow, die’ tax strategy could become ‘buy, borrow, pray’
        Peloton’s share slump, making things ugly for founder John Foley’s personal finances, is a cautionary tale for the ultra-rich
        Stephen Foley
        Pedalling on: John Foley remains bullish about Peloton, despite its troubles
        Stephen Foley 54 minutes ago

        Nominated twice in the Quotes of 2022 Awards, for Understatement of the Year and Stock Market Quote of the Year, here is how Peloton founder John Foley described the collapse of his fortune and the scramble to deal with loans he took out against his stake in the fitness group: “This was not a fun personal balance sheet reset.”

        As Peloton’s share price has slumped, Foley’s ugly personal finances have become a preoccupation of the media here in the US. In March, the New York Post noted he had put his $55mn Hamptons home up for sale at a loss, weeks after buying it. Later that month, Business Insider reported he was in talks with Goldman Sachs to restructure his loans, after Peloton stock had lost three-quarters of its value. It has lost another three-quarters since then and Forbes magazine, which counts up rich people, has booted Foley off its billionaires list.

        And it was in October, just after Foley quit the board of Peloton, that The Wall Street Journal elicited the “balance sheet reset” remark, for a report that Foley had faced repeated margin calls from Goldman. His resignation means he is free to pledge more shares as collateral, or to sell them. He didn’t respond to a request for comment for this article.

        For the wealthy living off loans against their stock instead of selling it for income, these are frightening times

        My interest in his story stems not from our sharing a last name (he is no relation) but from it being a timely cautionary tale. Global stock markets lost about a quarter of their value in the first three quarters of 2022. But once-hot pandemic-era stocks, like Peloton, as well as recently floated tech shares and fads such as Spacs (special purpose acquisition companies), have suffered much larger declines.

        For the wealthy living off loans against their stock instead of selling it for income — something that appears to have been a popular capital gains tax avoidance strategy — these are frightening times.

        A huge leak of tax filings in the US last year, obtained by the non-profit media outlet ProPublica, threw a spotlight on many different strategies used by billionaires to avoid paying taxes, but none caught the imagination so much as “buy, borrow, die”. It sparked new calls for a wealth tax to complement taxes on income that the wealthy turn out to be adept at avoiding.

        Under the “buy, borrow, die” strategy, a government may never get to tax the capital gains on an asset. Wealthy individuals, during their lifetimes, borrow against their stock holdings instead of selling them, and then bequeath them to children, for whom the capital gains basis is revised up to market value at the point of inheritance.

        Of course, that only works if you can meet margin calls — the demand for extra collateral that comes when the stock price goes down. If you have to sell the stock, you can quickly enter a downward spiral, especially if you have such a significant stake that your selling puts further price pressure on the stock.
        …

      2. Mortgages
        If the value of your home is depreciating, you could have an upside down mortgage — here’s what you should know
        Home values tend to appreciate but certain market conditions can cause a home’s value to decrease.
        Published Sat, Nov 12 2022
        Jasmin Suknanan

        Buying a home often seems like a promising strategy to build wealth since your monthly mortgage payments can help you build equity, and home values typically appreciate over time. However, sometimes due to housing market conditions, your home’s value might actually depreciate — and the value of the home can fall below the amount of money you borrowed to pay for it.

        This phenomenon is actually known as an “underwater mortgage,” which can also be called an upside down mortgage.

        “An upside down mortgage is when the principal exceeds the value; in other words, you owe more than the home is actually worth,” says Christopher Rotio, the Executive Vice President of Town Title Agency.

        How do you end up with an upside down mortgage?

        An upside down mortgage is typically the result of short-term fluctuations in the housing market. So in a market where home values are on the higher end due, for instance, a homebuyer is likely to need a larger loan to cover the cost of the house.

        But if the home’s value crashes for whatever reason, the loan amount you borrowed doesn’t crash with it; you’ll still owe what you borrowed even though the home is worth less.

        “As the economy changes, you find yourself in a situation where home values normalize and come back down to earth,” Rotio explains. “So it’s not worth the same as it was when it was purchased.”

        Is an upside down mortgage a bad thing?

        Market volatility can always feel uncomfortable and many individuals tend to feel inclined to take action during this time. But much like dealing with volatility in the stock market, the best way to deal with volatility in the housing market is to do nothing since the tides will turn again and the value of your home will likely be recovered over time.

        However, you can run into real trouble if you have an upside down mortgage and are trying to sell your home. According to Rotio, if someone in this situation sells their home for an offer that’s still less than what they owe on their mortgage, the home seller will need to pay the difference to their lender out of pocket. Depending on the situation, this could wind up costing the home seller tens of thousands — or sometimes even hundreds of thousands — of dollars.

        “I don’t recommend selling if you have an upside down mortgage, but due to extenuating circumstances, some people have to sell anyway,” Rotio says. “They’d have to be prepared to pay the difference in this situation.”

        What should you do if you have an upside down mortgage?

        “Sometimes, the best action is inaction,” Rotio says. That sentiment certainly applies here.

        Simply avoiding a drastic action like selling your home when the value has tanked will allow your home’s value to rebound over time until you no longer have an upside down mortgage. Rotio also recommends being strategic during this time and making additional mortgage payments so you can pay down the principal faster.

        “The point in doing this is so once the market levels off and values go back up, you will have built up much more equity in your home,” he says. Making additional payments even while you have an upside down mortgage can also ensure you pay less out of pocket to your lender if you needed to sell the home before values have had the chance to rebound completely.
        Is there any way to avoid an upside down mortgage in the first place?
        …
        https://www.cnbc.com/select/what-is-an-upside-down-mortgage/

        1. “Is there any way to avoid an upside down mortgage in the first place?”

          1. Don’t buy a home at all time record high prices.

          2. Don’t buy a home when buyers are waving inspections and every home on the market attracts multiple offers.

          3. Don’t buy a home when inventory is rising and prices are falling.

          4. Don’t buy a home when all signs suggest that the economy is heading into a recession.

          5. Don’t buy a home right after interest rates doubled over the span of a few months

          6. Try not to catch yourself a falling knife.

          7. Try not to get stucco.

        2. “But if the home’s value crashes for whatever reason, the loan amount you borrowed doesn’t crash with it; you’ll still owe what you borrowed even though the home is worth less.”

          I hate it when that happens.

        3. However, sometimes due to housing market conditions, your home’s value might actually depreciate — and the value of the home can fall below the amount of money you borrowed to pay for it.

          Inaccurate terms. No wonder everything’s so f’d up.

    6. The Financial Times
      The Big Read Capital markets
      A year of pain: investors struggle in a new era of higher rates
      Twelve months after Jay Powell called an end to super-cheap money, fund managers are still adjusting to a very different environment
      Jay Powell at the Nov 2021
      Katie Martin and Harriet Agnew in London 2 hours ago

      One year ago, Jay Powell threw out the rulebook global investors had used for over a decade. 

      Long dormant inflation had been picking up as pandemic lockdowns eased, but for months central bankers such as Federal Reserve chair Powell had urged households, businesses and investors not to panic. The rapid burst of price increases, they insisted, would prove transitory.

      But on November 30 2021, Powell publicly accepted that assessment might have been wrong. Speaking at a congressional hearing, he said inflationary pressures were “high”. The annual rate was running at 6.8 per cent at that point, far above the Fed’s 2 per cent target. Ending the Fed’s stimulative bond purchases might need to accelerate, he said. “It is appropriate in my view to consider wrapping up the taper of our asset purchases . . . perhaps a few months sooner.”

      To the untrained eye, this might seem like a routine observation. But looking back, it rang the bell at the top of the market, which had rocketed since central banks stopped them from bleeding out when Covid-19 struck. Powell was effectively calling time on an entire era of super-cheap money that began after the 2008 financial crisis.

      Bonds and stocks quickly started falling because for the first time since the crisis, Powell had embedded the notion that interest rates would need to climb, forcefully, and that central banks would remove the bond-buying safety net that many fund managers took for granted. One year on, investors are still learning to live with the reality of higher interest rates and low returns for the long haul.

      Some investors have a bleak outlook for the coming years. “We’re now going through a period which is payback time,” says Nick Moakes, chief investment officer at the £38.2bn Wellcome Trust, one of the UK’s largest endowment funds. “We’ve borrowed future returns, we’re going to pay them back now.

      “The key thing is to make sure we’re in a position in our portfolio to cope with an extended period of sub-par returns because we’ve had this extraordinary period since 2009,” he says. “Whereas in the last decade we delivered real returns of 11 to 12 per cent a year after inflation, delivering 1 per cent real returns a year after inflation over the next decade would not be an implausible outcome.”

      Powell could not have known that Russia’s invasion of Ukraine three months after his remarks would supercharge inflation through commodities prices and make his task, and his stance, much tougher in 2022. But the paradigm shift he signalled one year ago has formed a key factor in a massive reset in markets.

      “This has been a year to be in the bunker,” says John Bilton, head of global multi-asset strategy at JPMorgan Asset Management.
      …

      1. “One year on, investors are still learning to live with the reality of higher interest rates and low returns for the long haul.”

        Seems like a sucky time to HODL risk assets.

        1. Nobody reading this has lived through a comparably wretched period for financial investing as the present. It’s a brave new world, devoid of plunge protection insurance or central bank rate cuts.

          “John O’Toole, global head of multi-asset investment solutions at Amundi, Europe’s largest asset manager, also says the past year has comprehensively shaken up how he looks at bonds. “Look at just how much of a freak show we have been living through. Rates have been at zero for seven years. We had rates at emergency levels for years and years,” he says.

          At the peak in 2020, interest rates were so low and bond prices were so high that some $18tn in government bonds around the world came with yields below zero per cent, giving new buyers a guaranteed loss if they held to maturity.

          “Fixed income was an uninvestable asset class — think how extraordinary that was when we had negative yields. All bets were off. Now bonds are investable again,” says O’Toole.

          One big difference for investors now is that the safety net from central banks — their ability to roll out rate cuts and bond purchases that prop up markets whenever trouble hits — is simply not possible in this new era of inflation.’

      1. ‘Warning: This transcript contains swearing.’

        and the overthrow of a duly elected government.

        1. It is revealing is how power-brokering happens behind the scenes confirming the tension between the USA and Russia.

    1. Yahoo
      CoinDesk
      Sam Bankman-Fried Called to FTX Hearing by Texas Securities Regulator
      Jesse Hamilton, Cheyenne Ligon
      Tue, November 29, 2022 at 1:52 PM·2 min read

      Ex-FTX CEO Sam Bankman-Fried has been called to a Feb. 2 hearing to answer to claims from a Texas regulator that FTX US offered unregistered securities products through its yield-bearing service.

      The Texas State Securities Board (TSSB) scheduled the administrative hearing, accusing Bankman-Fried’s company of securities violations in Texas, although the disgraced CEO is no longer running the company he founded, which is now mired in bankruptcy proceedings. The board, which sent a registered letter to Bankman-Fried’s address in the Bahamas informing him of the hearing, suggested the proceedings could be conducted over Zoom.

      FTX Capital Markets LLC is registered as a dealer with the board, and “Texans were able to buy and sell publicly traded stock through the firm,” according to the hearing notice that was dated Nov. 22. The state regulator is seeking a cease-and-desist order for FTX to halt securities fraud in the state, to return money to affected investors and to target Bankman-Fried with fines.
      …
      https://sports.yahoo.com/sam-bankman-fried-called-ftx-215235440.html

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