thehousingbubble@gmail.com
Blog

Buyers Want To Pay Less And Expect More From A House Than They Would Have A Year Earlier

A report from the Star Advertiser in Hawaii. “High interest rates continue to subdue Oahu’s housing market where prices pushed down this year could remain flat in 2024, according to a University of Hawaii analysis. The Honolulu Board of Realtors reported that the median sale price for single-family homes declined 10 % to $999,995 in April from $1,105, 000 in the same month a year ago while the condominium median sale price slipped 2% to $500,000 from $510,000 in the same period. The trade association also said in its report that the number of sales in April sank 43 % to 208 for single-family homes from 365 a year earlier, and dropped 38 % for condos to 420 from 672 in the same period. ‘We continue to see the market settle following the spike in interest rates and rising inflation,’ said Fran Villarmia-Kahawai, president of the Honolulu Board of Realtors.”

The Dallas Morning News. “Dallas-Fort Worth home prices and sales held up better than in other Texas metro areas in the first three months of 2023. In the first quarter, 72,480 homes were sold throughout the state, a 17% decrease from the same quarter of 2022, according to a new report from Texas Realtors. Available home inventory in D-FW more than doubled year over year to 16,467 properties. D-FW home price growth has fallen to the lowest point in more than a decade, according to a separate report from the S&P CoreLogic Case-Shiller Index. Other markets, especially in Western states, have seen year-over-year price declines. San Francisco and Seattle prices have fallen by double digits. Five Texas metros saw year-over-year home-price declines, according to Texas Realtors. The biggest drop was in Texarkana (17.2%), followed by Austin (11.2%), Midland (1.4%), Lubbock (0.8%) and Houston (0.5%).”

The St George News. “When it comes to real estate, buying and selling in Southern Utah looks a lot different now than it did a year, or even six months, ago. The pandemic-fueled frenzy is over, and the market is gradually stabilizing. In late 2022, listing prices in Southern Utah were in the midst of a downward slide. Properties were selling for 8% to 12% less than during the peak of the pandemic, but those numbers have also stabilized in recent weeks. In terms of both available homes and pricing, broker Tammy Houchen said the market is starting to look more like 2019. ‘We’re getting there. We’re headed in the right direction,’ Houchen said.”

The Motley Fool. “In March, 15% of homes for sale had a price drop. Here are the 10 cities with the biggest share of home price drops this year:North Port, Florida. Tampa, Florida. Cape Coral, Florida. Indianapolis, Indiana. San Antonio, Texas. Denver, Colorado. Phoenix, Arizona. Salt Lake City, Utah. Boise, Idaho. Austin, Texas. The Cape Coral housing market is somewhat competitive, but not competitive enough to lift month-to-month home prices. Redfin trends indicate that single-family home prices remain stable. Home prices here peaked at about $450,000, dipped in April 2022, and have hovered at around $400,000 since — good news for prospective buyers.”

From CNN. “‘Generally speaking, home prices are lower in expensive markets and higher in affordable markets, implying greater mortgage rate sensitivity for high-priced homes,’ said Lawrence Yun, NAR’s chief economist. Cities in the West, like San Francisco and San Jose in California; and Reno, Nevada, saw home prices drop by at least 10% from a year ago.”

The Real Deal on New York. “A 95-unit building at 234 East 46th Street traded for $69 million in 2014 and was valued at $125 million two years later. Now it’s been sold again — for a mere $13 million. The Turtle Bay property’s rise and fall reflects that of the startup that once owned it. Crowdfund investor Prodigy, which had a majority stake in the 20-story property, lost it through foreclosure after plans to redevelop it into a long-stay hotel with Korman Communities under its AKA brand never came to fruition and a $81 million refinance loan matured. The sale of the building, to an anonymous limited liability company, is among the final chapters for Prodigy. Its founder, the late Rodrigo Niño, pioneered crowdfunding in the U.S. after regulatory changes in 2013, raising some $690 million from individual investors for real estate properties in New York and Chicago.”

From CalMatters. “When state and federal regulators spotted problems at Silicon Valley Bank, they didn’t do enough to make sure the bank acted quickly to fix them. That’s one of the key takeaways from a report published Tuesday by the California state department that shared responsibility for overseeing the bank, which failed in March. ‘The Federal Reserve played the lead role (in overseeing Silicon Valley Bank) and, as we knew, did a negligent job of addressing problems in SVB that it identified,’ wrote Ross Levine, a banking and finance professor at UC Berkeley’s Haas School of Business, in an email to CalMatters. There were lots of federal and state regulators focused on Silicon Valley Bank, ‘and yet they collectively did not understand the magnitude of the interest rate risk even though it was obvious. Each person seemed to do their job within the context of their little inspection box. Yet, collectively, they missed the big, obvious problem staring them all in the face.'”

The Toronto Star in Canada. “Mortgage delinquencies could rise by more than a third over current levels during the coming year, as pandemic-related support measures are largely over and living costs continue to soar, a recent RBC report warns. The bank forecasts the household debt-to-service ratio could rise more than a percentage point over the next year, to a historical high of 15.5 per cent by the fourth quarter of 2024. And, consumer insolvencies could increase by nearly 30 per cent over the next three years, returning to pre-pandemic levels and likely remaining on an upward trajectory.”

“And there has been a noticeable increase of forced sales in the private lending space, but not with major banks where prospective home buyers are put through a stress test. ‘So far, everything has held together pretty well,’ said Philip Cross, a senior fellow at the Macdonald-Laurier Institute and former chief economic analyst at Statistics Canada. ‘But there is a lot of stress on households, and we’ve seen more stress on the banking system recently. At some point something has to give. We can’t continue on this trajectory forever.'”

Property 24 in South Africa. “While the most active price bands in Pretoria East are between R3 million and R5 million, buyers in higher price ranges are less sensitive to interest rates and are still willing to pay higher prices, whereas the East Rand has experienced an increase in sellers due to financial strain from higher interest rates. Neville Brits, Broker/Owner of RE/MAX Dazzle, explains that their markets have noticed the same shift. ‘Our markets rely heavily on bond finance and therefore any adjustment in interest rate will slow down the sales rate. At present, almost 90% of our clients require some sort of finance and the more expensive money is to lend, the slower the sales rate will be. It also has increased the amount of sellers coming into the market because they cannot afford their bonds as a result of the higher rate. Many clients in our market have 85% to 95% loan-to-value so they feel the pinch much quicker than people who have more equity in their home loan or much lower loans,’ says Brits.”

“Brits explains that this means that buyers are spoilt for choice with so many homes on the market at the moment. ‘This essentially means that they want to pay less and expect more from a house than they would have a year earlier.'”

From News.com.au. “A builder that specialises in educational facility upgrades and associated works has become the latest casualty in Australia’s construction industry crisis. Proclaimed ‘industry-leading’ Melbourne construction company Interface Constructions Victoria Pty Ltd has entered external administration after a string of credit inquiries last month. Since entering external administration, a number of Google reviews have emerged online from disgruntled contractors who allege they haven’t been paid by the company for their work.”

“‘[They] haven’t paid a contract painter for a job completed in February. Non-responsive to any communication. Notice of demand sent with no reply. A disgrace to the industry,’ one comment read. A second added: ‘Haven’t paid their subcontractor builders from the school project in Morwell, will be listed with CreditorWatch shortly affecting there credit rating. Pay your bloody contractors.'”

Stuff New Zealand. “A South Auckland developer is warning others to check their contracts carefully after he was charged $627,699 in fees for a loan he didn’t borrow. Mega Capital director Ajaypal Singh said he was ‘under pressure,’ paying $10,000 a day in late fees when he went searching for a non-bank, ‘second-tier’ lender. Singh comes from a hospitality background, running a chain of restaurants and two hotels, but he and his business partner decided to invest in property after attending a seminar.”

“Singh has vowed to ‘fight to the last breath’ to raise awareness about the contracts which he views as ‘predatory.’ He is also considering going to the Court of Appeal. However, he said the experience had made him ‘lose confidence’ in property speculation. He’s put the land on the market along with a resource consent for over a hundred properties. ‘If another lender pulls out, we’ll just go bankrupt, so I’ve decided it’s time to get out.'”

Related Posts

Payback Is A B*tch

A report from the Georgia Straight in Canada. "The Real Estate Board of Greater Vancouver…

This Post Has 67 Comments

  1. ‘this means that buyers are spoilt for choice with so many homes on the market at the moment. ‘This essentially means that they want to pay less and expect more from a house than they would have a year earlier’

    That’s the spirit buyers, keep up the good work!

  2. ‘The Cape Coral housing market is somewhat competitive, but not competitive enough to lift month-to-month home prices. Redfin trends indicate that single-family home prices remain stable. Home prices here peaked at about $450,000, dipped in April 2022, and have hovered at around $400,000 since’

    That’s a lot of pesos for this little sh$thole.

    How did you lose yer shack mate?

    Prices remained stable.

    1. 1 – 400/450 = -11.1% .

      After a few more rounds of price stability, affordability may return.

  3. ‘The biggest drop was in Texarkana (17.2%)’

    I don’t know it for a fact, but I’d bet 5 pesos ‘prices soared’ there during CCP virus.

  5. A reader sent these in:

    In the US, 45% of millennials now have more credit card debt than savings. 44% of US adults who are aged 43 to 58 have more credit card debt than savings. Overall, a record 36% of US adults now have more credit card debt than savings. These numbers are up massively this year.

    https://twitter.com/KobeissiLetter/status/1655598518935928837

    When was the last time the two largest stocks in the S&P represented 1/7th of the total index?

    https://twitter.com/INArteCarloDoss/status/1656033142778609665

    Stan Druckenmiller: “When I look at the market at 20X earnings. When I look at margins as high as they are. When I looked at the fiscal challenges…it’s hard for me to envision stocks being higher in 10 years”

    https://twitter.com/TheTranscript_/status/1656013409261953034

    25% of all US office space is obsolete. That’s 1.4 billion square feet that may have to be torn down

    https://twitter.com/zerohedge/status/1655997367043096591

    Interesting we’re seeing CRE problems everywhere.
    CapRate / Hurdle Rate mismatch.

    https://twitter.com/Mike_Taylor1972/status/1655768099369504768

    Recession? What Recession? 🚨 Everything is fine in the UK🔥🔥🔥

    https://twitter.com/WallStreetSilv/status/1656008575687303176

    The most concerning thing I found in an overall mild report was the overall exposure of small banks to the most vulnerable segment of CRE – office and downtown retail. It appears notably higher than the big banks and regional banks.

    https://twitter.com/FedGuy12/status/1655997181491281928

    People became so used to Zero Interest Rate Policy (ZIRP) that they stopped questioning it. This is the exact reason why $10 trillion+ in US bank deposits are being paid 0.01% interest. However, as the Fed raises rates, attention has been shifting. This is why a record $1 trillion has been withdrawn from banks over the last year. People are talking about CDs and Money Markets for the first time in decades. The era of zero-rates is over and banks need to adjust accordingly. Every day counts.

    https://twitter.com/KobeissiLetter/status/1655951833788215297

    What happens if (when…) student loans go back into repayment? New insight: student loan holders celebrated forbearance by loading up on debt. Working paper on studying consumption post student loan moratorium announcement in 2020.

    https://twitter.com/NeelyTamminga/status/1656042986281549840

    Borrowers whose student loan debt was suspended, used the increased debt capacity to borrow more. Beautiful. Avocado on whole grain credit… toast

    https://twitter.com/profplum99/status/1656066340418113536

    One can almost applaud #SCOTUS for NOT handing down ruling in a timely manner. The appearance of being political, by resuming payments earlier than August 30 by ruling before July 1 (repayments begin w/i 60 days of #SCOTUS ruling OR August 30), will be diminished by #SCOTUS delay

    https://twitter.com/DiMartinoBooth/status/1656109966405652480

    1. “a record 36% of US adults now have more credit card debt than savings”

      I’m hiking in the National Forest on a Wednesday, because I have no debt.

      Meanwhile, back in Denver, now that the cash out refi money spigot has been shut off, all those alleged homeowners are drowing in debt up to their eyeballs. They can’t afford to take a day off in the middle of the week, they regret anchoring themselves to a massive albatross mortgage, and they probably have problems in their marriage from arguing about money.

      The “winnahs” I’m told, LOLZ.

    2. Look at the graph at the link. In addition to the 25%, the mid 60% will also have challenges. Holy [deity], the pension funds and insurance companies that invested in CRE are in a lot of trouble.

      Just as financial advisors are starting to suggest annuities for folks that will live into their late 80’s and 90’s.

      25% of all US office space is obsolete. That’s 1.4 billion square feet that may have to be torn down

      https://twitter.com/zerohedge/status/1655997367043096591

      1. annuities for folks that will live into their late 80’s and 90’s

        Everyone, even the landwhales, assumes they will live into their 80’s and 90’s, even as US life expectancy is decreasing.

        Many will be disappointed.

        1. US life expectancy is decreasing

          The irony of “life expectancy” is that the older you get, the longer you’re expected to live.

          1. The irony of “life expectancy” is that the older you get, the longer you’re expected to live.
            That’s the way it works–you don’t understand how life expectancy is calculated. Look it up, it’s not too hard but very boring to explain to most folks.

          2. you don’t understand how life expectancy is calculated

            It’s likely that I do, and that my life expectancy is higher than it used to be. Ironically.

        2. People are actually living longer….the drug over doses and suicide are at all time highs, especially with the under 50 croud which throws the numbers off.

          1. It’s likely that I do, and that my life expectancy is higher than it used to be. Ironically.

            Life Expectancy is a number or measure that doesn’t apply to anyone in the real world. It is not a statistic. The Life Expectancy number is the theoretical number of years a baby born today is “expected” to live given the CURRENT age-specific death rates of the population. So in reality, the Life Expectancy number doesn’t even represent the number of “expected years” a baby born today will live since the age-specific death rates of any population changes over time.

            Life Expectancy is a measure used for public health purposes. It is not meant to be a measure of longevity for individuals of any given population.

            Life Expectancy absolutely means nothing when applied to any member of a population, such as we find here on this forum. If you want to get an idea about your personal “Life Expectancy”, it can be found in actuary tables which calculated the “expected” number of years a person has left given a specific age. For example, you could find the “expected” number of years a 45 year old white male has who lives in the U.S. by going to the vital statistics data and doing the math.

            The reason why the number of years left seems to increase as one ages is due to the fact that the very fact that a person is alive at any particular age means they have outlived those who have died before reaching that particular age. So the life expectancy of an Asian female at birth is say (for example) 84 years. But the “expected” number of years for an Asian female who is 84 today is maybe 92 years (these are just made up numbers for this example).

            This happens because the Asian female who is 84 today has already beat all of the things that kill Asian females under the age of 84. Females can die as infants, die in car accidents, die of cancer, die of heart disease, etc. etc. The 84 year old today is by definition a long lived person.

            So if you’ve made it to your present age, congratulations! You’ve outlived all of the XX year old people who died before reaching your age.

          2. I know you’re a smart guy zzy, but you couldn’t help yourself could you? I simply like to point out things that make me laugh.

            I’ve had a “life budget” for more than a decade now, approaching retirement and now with it long in the rear view year. I balance spending my savings based on “life expectancy” each year and what do you know, after every year it stretches out! Hell, if I were to give up some of my costly bad habits, it would stretch out even more and cost me a bundle!

    3. 44% of US adults who are aged 43 to 58 have more credit card debt than savings

      And this is only credit card debt. That is an ugly stat.

      1. Add a $70000 car loan, and insurance, which is going up because of rampant theft, and you’re talking real money.

        1. There are a couple vehicles in my parking garage that cost $70-100K new. No idea what (if any) net worth the drivers (drivers, not owners, because I don’t know) of these vehicles have.

          If this was Aurora, which it is most certainly not, I would assume a negative net worth.

    4. “What happens if (when…) student loans go back into repayment?”

      The Democrats might make paused student loans a permanent feature of their administrations.

      1. Student loans will never come back. Isn’t that obvious now? It’s racist and stuff to pay your bills, and the benefactors, that is higher education, make way too much moolah off it.

  8. A NBC news anchor laments that nobody will be able to” police Tucker” if he moves his platform to Twitter.
    Is that what we have, a policed news media.Who are the Police?

    1. See also: the Twitter Files, released over the past several months, and covering the events of the last three years.

      This has all been discussed at length on this blog.

  9. Are you looking forward to seeing highly leveraged real retate speculators wiped out by the collapse of the second housing bubble peak, so homes can return to their traditional prices of around 2.6 times incomes?

    You can take heart in Stein’s Law:

    “If something cannot go on forever, it will stop.”

    1. [Illustration of three houses with red arrows pointing upwards]

      America’s housing crunch
      How finding a home in America became so absurdly expensive
      Higher home prices mean that in most of the country, the area’s median household income is not enough to stretch to buying a typical home. Composite: Getty Images

      With US housing costs skyrocketing due to increased demand and limited stock, the dream of home ownership or an affordable rental is becoming unreachable for many
      by Alvin Chang
      America’s housing crunch is supported by
      theguardian.org
      About this content
      Wed 10 May 2023 06.00 EDT
      Last modified on Wed 10 May 2023 09.14 EDT

      In 2021, real estate agents started noticing something strange happening in the US housing market.

      In a single week, veteran realtor Sasha Davis wrote 50 offers for clients hoping to buy a home in Florida.

      “Typing that much was a lot,” she said. “My hand was struggling. It was tough to even grip after that.”

      But of the 50, just five were accepted, a miserable rate.

      Davis said listings that would normally get five offers were getting 50 or even 100. Several of her clients came in with full cash offers higher than the list price, but still lost out on the home. She recalled one listing where a buyer offered $100,000 over the list price to win the bidding.

      This was a national trend. The typical US home value at the beginning of 2020 was about $230,000, according to Zillow data. Today, it has skyrocketed to more than $330,000.

      But it wasn’t just home prices. Rising housing costs have been devastating for many renters.

      A record number of people are are now “cost-burdened” by rent prices, meaning the cost of housing sucks up more than 30% of their income.

      All told, as of 2022, median home prices and rents in America hit all-time highs. This is great for those who already own, as their property values continue to soar. But for many Americans, little is left over for the rising cost of everything else, like food and healthcare – let alone to save for a house. Ultimately, the dream of home ownership or an affordable rental is becoming unreachable for more and more Americans.

      To understand what’s going on, we have to understand how we got here.

      There is no universal rule on what you can afford based on your income, since it’s dependent on location and your financing. But historically, the average home cost about 2.6 times the median income – a ratio real estate agents often cite as a threshold for affordability. So if your annual household income is $100,000, then this simple formula says you can afford a $260,000 home.
      …
      https://www.theguardian.com/us-news/2023/may/10/us-housing-market-prices-increasing

      1. It’s an article with cool graphics, but it pushes the “shortage” narrative and is about a year out of date with respect to falling US home prices.

        It reads as if it was paid for by real estate investing firms with devalued inventory they have to dump, like Redfin.

        1. “America’s housing crunch is supported by
          theguardian.org”

          There it is, in writing!

      2. “ There is no universal rule on what you can afford based on your income, since it’s dependent on location and your financing.”

        – 25-30% DTI
        – 20% down
        – price not more than about 3x income.

        – None of these apply anymore, thanks to: a) REIC, b) Gov’t., c) massive appraisal fraud, d) gullible and complicit consumers.

        – Economy depends on ever increasing debt. Taking on more debt is encouraged. High debt levels necessitate low rates. Debt ceiling debate is Kabuki theatre; they’re going to raise it. This is of course unsustainable. It all blows up. Three asset bubbles in two decades. Am I wrong?

        1. None of these apply anymore

          Not in fantasy land, but reality has a habit of making an appearance from time to time.

    2. “If something cannot go on forever, it will stop.”

      But it can go on an entire adult lifetime for some. We have had 20+ years of ludicrous Federal Reserve monetary policy, and they’re not done. Their powers are only expanding.

      1. “The hollowing out of the downtowns in the United States and elsewhere in the world is going to be quite significant and quite unpleasant,” Berkshire Vice Chairman Charlie Munger told Berkshire shareholders. “I think the country will get through it alright, but as they say, it will often involve a different set of owners.”

        Ouch!

  10. CNBC Diana Olik headline: “Mortgage demand surged after Fed signaled potential pause in rate hikes”.

    Pump/Pump/Pump

    Facts in the article:
    – The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($726,200 or less) decreased last week to 6.48% from 6.50%

    – Applications for a mortgage to purchase home increased 5% for the week, but were 32% lower than the same week one year ago.

    – As a result, applications to refinance a home loan jumped 10% last week, compared with the previous week, seasonally adjusted. Refinance demand, however, was still 44% lower year over year.

    1. clickbait for REIC… seasonal week to week doesn’t matter. The YOY number is what matters

    1. The type of home they would want to buy would cost them about $1,100 a month more than they currently pay, Mr. Naatz said. “I don’t feel comfortable paying what I still think is an inflated price for a home, and on top of it paying twice the interest rate,” he said.

      Man-up Isaac, you’re in love and a provider. BTW, Emily should have the decency to slim-up a bit for her husband who is likely paying for everything with a toddler at home.

      “Among people planning to sell their homes and buy new ones in the next 12 months, about 56% plan to wait for rates to decline, according to a Realtor.com survey conducted in February.

      Take your boots off, and put your feet up…it might be long wait.

      1. plan to wait for rates to decline

        Realtors tell them it is the correct strategy, and a sure thing.

  12. New homeowner moves in, finds snakes hidden in walls

    By Bob D’Angelo, Cox
    May 07, 2023

    CENTENNIAL, Colo. — A Colorado woman who moved into a new home last month found some unwelcome guests — snakes slithering behind the walls of the four-bedroom, two-bathroom home.

    Amber Hill, 42, of Centennial, said that buying her first home as a single mother of two was “amazing,” KDVR-TV reported.

    That changed while she was moving items into the home.

    “I was trying to unpack, and my dog crouched down and he started walking over here really slow,” Hall told KMGH-TV, pointing to a door along the back wall of her garage that leads to the yard. “I came over to see what he was looking at, thinking it was like a spider or something, and there were two little holes right here and I saw snakes slither up the wall. So, I panicked.”

    https://www.wsoctv.com/news/trending/new-homeowner-moves-finds-snakes-hidden-walls/DQMAGGRXC5CX7LGWGJIINKXYNU/

    1. Perhaps the first mistake was in dealing with a Realtor snake?

      BTW, that cute little Garter Snake in the headline picture isn’t at all what they found in the garage.

    1. Here in the Knoxville TN area it is starting to feel like San Diego with all of the foreign language being spoken everywhere. It has been steadily increasing since the Biden coup but recently has been really ramping up. We went to a number of places yesterday where it felt like 50% foreign. I don’t think most people realize what is coming. Protip: this is highly inflationary. After the current bust plays out we will see a bubble that dwarfs the previous ones.

      1. but there’s a big storm blowing in

        Sounds like it’s time to charter some buses.

      2. Protip: this is highly inflationary.

        It’s also going to send crime into the stratosphere

  14. Deep State Caught Secretly Meeting at Spy Museum to Steal 2024 Election – Exclusive Interview

    Find out what the social engineers were up to at this election summit

    Wednesday, May 10, 2023

    A group of some of the nation’s most notorious election fraud deniers and election officials, including anti-Trump Secretaries of State, secretly gathered at CEIR’s Soros-tied and Zuckerberg-funded Election Summit in Washington DC on May 8 and May 9 called, “Summit on American Democracy.”

    https://www.newswars.com/deep-state-caught-secretly-meeting-at-spy-museum-to-steal-2024-election-exclusive-interview/

  15. When these two are done with this CNN interview they should run back and put their Open House sign up because they are a couple of…

    Mariana
    @lonestarherd

    You don’t say.
    E. Jean Carroll said she “just completely forgot he was there” commenting on why she didn’t disclose in her deposition that a Democrat billionaire funded part of her case against President Trump…

    https://twitter.com/lonestarherd/status/1656317155909021697?s=20

    1. Economy
      Published May 10, 2023 1:59pm EDT
      April inflation breakdown: Where are prices rising the fastest?
      Inflation remains high in April as cost of gas, rent, used cars jumps
      By Megan Henney FOXBusiness

      Inflation remained uncomfortably high in April as the price of gasoline and rent spiked, continuing to squeeze Americans’ pocketbooks.

      The Labor Department said Wednesday that the consumer price index, a broad measure of the price for everyday goods including gasoline, groceries and rents, rose 0.4% in April from the previous month, much faster than the 0.1% increase recorded in March. Prices climbed 4.9% on an annual basis, slightly below the 5% increase forecast by Refinitiv economists.

      Although inflation has cooled from a peak of 9.1%, it remains about more than double the pre-pandemic average and well above the Fed’s 2% target rate.

      Other parts of the report also pointed to a slow retreat for inflation, a worrisome sign for the Federal Reserve. Core prices, which exclude the more volatile measurements of food and energy, climbed 0.4%, or 5.5% annually. That is a slight drop from the 5.6% increase in March, but it marked the fifth straight month that core prices climbed 0.4% or more.
      …
      https://www.foxbusiness.com/economy/april-inflation-breakdown-where-are-prices-rising-fastest

  17. Laura Loomer

    1 day ago

    Maricopa County Election Supervisor CONFRONTED At Zuckerberg Funded Meeting

    A group of some of the nation’s most notorious election fraud deniers and election officials, including anti-Trump Secretaries of State, secretly gathered at CEIR’s Soros-Tied and Zuckerberg Funded Election Summit in Washington DC on May 8-May 9 called “Summit on American Democracy”. (https://www.summit.electioninnovation.org/) Watch this video to see summit speaker and attendee Bill Gates, the Maricopa County Supervisor, who claims he’s a Republican, get Confronted by Laura Loomer as he’s walking into the closed door conference regarding the 2024 Presidential election.

    https://rumble.com/v2mqsb4-maricopa-county-election-supervisor-confronted-at-zuckerberg-funded-meeting.html

  18. ‘There were lots of federal and state regulators focused on Silicon Valley Bank, ‘and yet they collectively did not understand the magnitude of the interest rate risk even though it was obvious. Each person seemed to do their job within the context of their little inspection box. Yet, collectively, they missed the big, obvious problem staring them all in the face’

    via GIPHY

  19. Write-up on Brookfield is instructive. I am wondering what will happen with Brookstone and the other big CRE companies – that is when i think sentiment starts really going down for the investors.


    Brookfield Asset Management Ltd.’s real estate assets dropped about 5% in the first quarter as the value of some properties fell.

    Fee-bearing capital in real estate funds dipped to $98 billion in the quarter, the Canadian asset manager said Wednesday, down from $103 billion at year-end. The decline included a downward adjustment of $1.8 billion for “market valuation,” according to a company presentation.

    “Unfortunately, the negative sentiment is dragging down the real estate sector more broadly,” the firm’s president, Connor Teskey, told investors during an earnings call Wednesday. “We think that’s completely unfair.”

    The Brookfield group is one of the world’s largest owners of prime office properties, with a portfolio that includes New York’s Manhattan West and London’s Canary Wharf. Office landlords in major cities around the world are being squeezed by a combination of higher borrowing costs and lower occupancy, as many companies continue to allow employees to work from home at least part of the time.

    Brookfield Asset’s parent company has defaulted on mortgages covering more than a dozen office buildings, mostly in Los Angeles and around Washington.

    The property market is “bifurcated” as high-quality assets perform well and lower-quality assets struggle, Teskey said on the call.

    The group’s major real estate holdings are no longer publicly traded since it took Brookfield Property Partners private in 2021. For Brookfield Asset, fee-bearing capital from what’s now called Brookfield Property Group fell to $19 billion in the first quarter from $21 billion in the first quarter of 2021.

    2. “Brookfield Asset Management Ltd.’s real estate assets dropped about 5% in the first quarter as the value of some properties fell.”

      I wonder what that percentage loss looks like if leverage is considered…i.e. the money borrowed to finance real estate asset purchases. Perhaps a lot more than 5%?

  20. Investor Arrested at Berkshire Hathaway Meeting After Criticizing Warren Buffett, Bill Gates’ Ties to Jeffrey Epstein

    by Adan Salazar
    May 10th 2023, 2:24 pm

    Flaherty was halfway done with his speech condemning Buffett when he mentioned fellow philanthropist Bill Gates’ close association with Epstein, at which point the audience gasped and Buffett motioned for him to be removed.

    https://www.infowars.com/posts/investor-arrested-at-berkshire-hathaway-meeting-after-criticizing-warren-buffett-bill-gates-ties-to-jeffrey-epstein/

  21. The koolaid is still pretty strong!

    Clear Choice Automotive, LLC – OR 97267

    Used 2018 Toyota Tundra Limited – $37,995
    Only 186,282 miles
    *easy financing available

Comments are closed.