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It Was Our Dream Home – But That Dream Has Been Taken Away From Us

A report from New Jersey.com. “Low inventory and the highest interest rates in two decades caused home sales to decline 22% in New Jersey in 2023, according to data from New Jersey Realtors. That follows a 20% decline in home sales in 2022, according to data from the Otteau Group. ‘There are a lot of agents making decisions about whether to keep their license active or go into a referral service,’ said Beth Kimmick of ERA Central Realty in Cream Ridge. ‘It’s expensive to have a license and if you’re not doing business, it can be the world’s most expensive hobby.'”

The Daily Mail. “Former art magazine publisher and collector Louise Blouin will still be millions in debt after her Hamptons compound was auctioned off for $89 million. Blouin, 65, and her second husband acquired the sprawling estate on Gin Lane known as ‘La Dune’ for $13.5 million in 1998, establishing her reputation as a player in New York society. Last week, she appeared as her own attorney in federal bankruptcy court in Central Islip to oppose the $89 million sales price reached at a January auction, including $10 million in fees, as too low. The sales price falls short of what she owes creditors by $7 million to $15 million, John Isbell, attorney for creditor Bay Point Advisors, told the Wall Street Journal. Isbell said in court that Bay Point would consider suing Blouin as it seeks ways to recoup the unpaid balance of the debt on the properties.”

“One of the houses on the property was bundled in foreclosure proceedings due to an unpaid $26 million mortgage that has swelled to $40 million over the last few years. The other home was placed in bankruptcy protection in 2022 to avoid a foreclosure auction stemming from an unpaid $15million mortgage. The former publisher, reportedly in tears after the hours-long auction on Wednesday evening, expressed her hope that the judge would reject the sale so she could refinance or sell the property privately. Judge Alan S. Trust was unimpressed when Blouin waved documents that had not been entered into evidence, and urged her to wait until closing arguments as she asked to ‘say a few things’ in the midst of the hearing. Trust ultimately determined that the sale of La Dune had been fair and approved the deal, saying: ‘The marketplace has spoken.'”

WFTV in Florida. “New listings of homes for sale in metro Orlando rose 46% between December and January, with the influx to the marketplace contributing to the region seeing its strongest supply of homes for sale in years. An Orlando Regional Realtor Association report for January shows 3,524 homes were listed for sale, up from 2,409 in December. That number helped swell the total inventory of homes for sale in Orange, Seminole, Osceola and Lake counties to 8,217 — the highest inventory for the region since January 2019. What’s more, metro Orlando’s home supply metric — which describes how long it would take for the current number of homes on the market to sell, based on the current sales pace — increased to 4.78 months in January, its highest mark since January 2016.”

The Real Deal on Arizona. “A developer consortium will soon replace a former indoor mall in Phoenix with an $850 million retail village and 2,600 homes. Concord, TLG, CDS — all based in Florida — and Houston-based Hines had expected to break ground a year ago, with a scheduled completion in seven to eight years. The vertical buildings are expected to take two years each. But the bulldozers were left parked because of high interest rates and an oversupply of apartments, according to Steve Betts, a consultant for the project with Tucson-based Holualoa Companies. Last year, Phoenix was the top market for apartment construction, with developers completing more than 20,000 units across Greater Phoenix, compared to an average 8,000 units a year, according to the Business Journal.”

The Los Angeles Times in California. “For years the growth of warehousing in the Inland Empire was relentless. Box-like fulfillment centers popped up in business parks by the millions of square feet. They were an economic engine, a bringer of jobs, a shortener of commutes, and a workhorse during the pandemic. But now that’s come to a halt — bringing uncertainty for thousands of workers and an industry that has been an economic bellwether for the region. ‘Everything is different,’ said Victor Ramirez, a Pomona resident who’s worked in warehousing for about 20 years. Speaking in Spanish, he remembered when times were better — much better. The 59-year-old recalled not only getting full 40-hour workweeks in the past but bonuses during the pandemic. These days, things have slowed so much at his current place of employment, a warehouse that builds pallets, that he has taken on additional work as an Uber driver and canvasser for nonprofits. ‘One job isn’t nearly enough,’ Ramirez said.”

“‘We couldn’t hire fast enough,’ said Jeff Baldassari, who until August was president of U.S. Rubber Recycling in Colton, which got a burst of pandemic orders of rubber mats for in-home gyms and other uses. ‘Now the party ended, and it’s the hangover the next day,’ he said.”

Insauga in Canada. “Plans to bring a trio of high-rise towers with more than 1,000 residential units to Brampton have hit a $10-million stumbling block as the property owner has defaulted on a loan. Last fall, the city approved zoning bylaw amendments for a three-tower housing development at 253 Queen St. East. At 32, 33 and 38 storeys tall, the high-rise project was expected to bring a combined 1,026 residential units to Brampton along with office and retail space. But court documents show the property owners have defaulted on their loan, leading debtors to demand more than $10,447,000 in payments and a court decision to put the company in receivership. The documents show the property is also under a subordinate mortgage of $2 million registered in favour of Sky Mortgage Corporation, which ‘is now also in financial default.'”

The Sun in the UK. “A fuming couple have slammed ‘eyesore’ newbuilds that ‘ruined’ their dream home – they can’t even use their garden. Maureen and Dave King, who hail from Broad Oak, near Canterbury, are devastated after new houses destroyed their view and homeowners peer into their bedroom. The couple slammed developer Barratt David Wilson Homes, and alleged no-one was informed how high the newbuilds would be – until construction was underway.”

“Maureen told KentOnline: ‘It was our dream home – but that dream has been taken away from us.’ The pair had already forked out thousands renovating the property but now ‘just want to get out’ and fear they will be trapped forever. ‘I was given a hot tub as a gift, but I won’t use it now if people are looking into my garden,’ added Maureen. The distressed homeowner also alleged their neighbours haven’t been able to sell their place – with it sitting on the market for six months already. ‘The price of ours must have plummeted,’ she added.”

“This comes as other families across the UK have battled with their own newbuild nightmares. Raging neighbours living on an ‘unbelievably claustrophobic’ estate have slammed a developer after homes were ‘built 2m too high.’ Residents on Lyndbrook Close, in Sittingbourne, are outraged after being told construction would last 18 months – but five years later properties are still unfinished. Meanwhile, The Cooks, from Grimsby, Lincolnshire, say their £345,000 forever home has turned into a house from hell. And, in Nottinghamshire, homeowners have claimed their dream newbuilds have become a nightmare as plans to build a warehouse and car park nearby have been put forward. Plus, residents who were promised ‘stunning’ £400k homes in a housing development have been left fuming.”

From Sky News. “Liverpool Mayor Ned Mannoun says the ‘great Australian dream’ of living on a quarter-acre block is ‘now a fantasy.’ Mr Mannoun’s comments come as building costs have soared up to $60,000 in a single year, according to the latest Bureau of Statistics figures. ‘We have plenty of land – it’s not a small country,’ Mr Mannoun told Sky News Australia. ‘Whether it’s Sydney water doing their roll out or transport for New South Wales restricting development. Those government agencies are restricting housing supply.'”

The New Zealand Herald. “China’s measures to help make its stock markets more investable and spur economic growth in the wake of Evergrande’s property failure likely won’t fix its underlying issues. Saxo Bank’s Chief China Strategist Redmond Wong told Markets with Madison from Hong Kong that China’s crackdown on short selling and loosening of bank capital requirements, among other stimulus moves, was not the right approach. ‘This is not really the medicine at the moment that China needs most. Banning the short seller is just killing the messenger.'”

“Wong said more market and economic reform was required to solve more pressing issues, such as lifting productivity and confidence among entrepreneurs. Also on that list was allowing house prices to decline. ‘You need to allow those units to be sold at a lower price,’ he said of housing projects unfinished by defunct developer Evergrande.”

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This Post Has 51 Comments

  1. ‘Former art magazine publisher and collector Louise Blouin will still be millions in debt after her Hamptons compound was auctioned off for $89 million’

    This lady flamed out biggly.

    1. I sense a great disturbance in the force, as if millions in fictitious Yellen Bux “value” screamed out their last, then were suddenly silenced.

    2. acquired the sprawling estate … for $13.5 million in 1998. establishing her reputation as a player in New York society. … the $89 million sales price … falls short of what she owes creditors by $7 million to $15 million

      So she somehow spent $85+ million in 25 years?

      1. So she somehow spent $85+ million in 25 years?
        I have been told that when people buy these “prestige properties” they will spend millions more making them “exactly” what they want. I don’t know how much it took to customize the home, but I am guessing a lot of money was wasted there.

  2. ‘This comes as other families across the UK have battled with their own newbuild nightmares. Raging neighbours living on an ‘unbelievably claustrophobic’ estate have slammed a developer after homes were ‘built 2m too high.’ Residents on Lyndbrook Close, in Sittingbourne, are outraged after being told construction would last 18 months – but five years later properties are still unfinished. Meanwhile, The Cooks, from Grimsby, Lincolnshire, say their £345,000 forever home has turned into a house from hell. And, in Nottinghamshire, homeowners have claimed their dream newbuilds have become a nightmare as plans to build a warehouse and car park nearby have been put forward. Plus, residents who were promised ‘stunning’ £400k homes in a housing development have been left fuming’

    Calm down everybody, take a deep breath and remember – it’s still cheaper than renting!

    1. ‘Residents on Lyndbrook Close, in Sittingbourne, are outraged after being told construction would last 18 months – but five years later properties are still unfinished.’

      Like shoot’n fish in a barrel.

  3. ‘It’s expensive to have a license and if you’re not doing business, it can be the world’s most expensive hobby.’”

    Get a real job, UHS parasites.

    1. Annual dues to NAR: $156
      Annual licensing renewal fee in Maryland: $170

      Bethy honey, that’s a couple dinner-and-a-movie dates. Better look into 0n*y F*ns.

      1. They have to pay for the office. Get the car get the clothes sit around talking on the phone all day. Some of them even have a shack payment and eat every day. It can get old quick when yer bucket has a hole in it.

  4. “Former art magazine publisher and collector Louise Blouin will still be millions in debt after her Hamptons compound was auctioned off for $89 million.

    Yellen Bux fortunes are going to be decimated as true price discovery overtakes the Fed’s asset bubbles and Ponzi markets.

  5. ‘Now the party ended, and it’s the hangover the next day,’ he said.”

    The scamdemic: the gift that keeps on giving.

  7. ‘I was given a hot tub as a gift, but I won’t use it now if people are looking into my garden,’ added Maureen.

    Gosh, Maureen, when I’m sitting shirtless on my lawn chair in front of my cozy rental house, surveying the housing bubble bust, there’s no doubt that all the horny housewives in my ‘hood are oogling me. However, if I object to the sighs and groans from ladies struck helpless with lust & longing whenever I make an appearance, I can always pack up my boxes and escape the curtain-twitchers – you, not so much.

  8. Hey Denver, we’re not paying for your self inflicted problems.

    CPR — ‘I expected more’: Denver leaders disappointed by governor, other cities’ response to immigration crisis (2/20/2024):

    “In a series of interviews, several of Denver’s elected leaders said the governor must do more to encourage cities, churches and others across the state to help. Because he has not led a full-throated statewide response to the humanitarian crisis, some said, Polis has left Denver to shoulder an unfair load.

    “The governor’s stance that this is a Denver problem is untrue, and it is harming people,” Sawyer continued. “There are people across the state, cities across the state, that need the support.”

    In Denver, Mayor Mike Johnston has slashed city services to find money to keep shelters open and provide other support for people arriving from Venezuela and other countries.

    But as Denver strains, the idea of hosting immigrants has drawn strong public opposition in places like Lakewood, El Paso County, Douglas County, including meetings with hundreds of angry people. They’ve been driven both by concerns about the cost of immigrant services, as well as xenophobic fears that immigrants will dilute American culture or even sway the vote, despite the long road to citizenship.

    CPR reached out to the leaders of two different state agencies, the Office of New Americans and the Colorado Division of Homeland Security and Emergency Management Services, for interviews about the state response, but was instead directed to the governor’s office. The governor’s office also declined an interview.”

    https://www.cpr.org/2024/02/20/colorado-governor-response-immigration-crisis/

    Office of New Americans?

    You are being replaced.

    1. xenophobic fears that immigrants will dilute American culture

      Our culture started diluting from a working culture to a freeloading culture 30 years ago.

    2. They’ve been driven both by concerns about the cost of immigrant services

      Given that state, county and municipal budgets are restricted by TABOR, this is a very genuine concern. Even with TABOR taxes are not trivial, and to expect taxpayers to accept that the dollars they pay will be redirected to assist the invaders (and line the pockets of NGOs and “charities”) is a lot to ask..

      I saw a video on instapundit yesterday, where several Swedes are asked on camera if they would take a refugee into their home. All of the people profiled said that absolutely, they would. The interviewer then introduces them to “Ali” and asks if they will take him in, as he needs a place to stay. Everyone quickly backpedaled: “Now is not a good time for me”, etc.

      And that’s the thing, a lot of people claim they support the invasion, but few will actually do anything to help the invaders, they expect the taxpayer to do that.

    2. Financial Times
      US interest rates
      Wavering investors come around to Federal Reserve’s outlook on interest rates
      Stubborn US inflation data persuades traders to rein in aggressive bets on cuts
      The Federal Reserve building in Washington
      Part of the opposition to the Federal Reserve’s forecasts reflects a widely-held view among investors that it is slow to act on changing economic conditions
      Kate Duguid and Harriet Clarfelt in New York yesterday

      Financial markets are falling into line with the Federal Reserve’s outlook for US interest rates, as stubborn inflation data forces investors to relinquish their bets on extensive cuts this year.

      This month traders have slashed their bets on the number of times the Fed will cut rates in 2024, from six in January to a current level of four. They have also pushed back their expectations of when those cuts will begin, from March to June.

      The retreat marks a shift in the relationship between the Fed and the market, which have been pushing competing outlooks for interest rates back and forth for several months.

      “The Fed and markets are in a slapping competition,” said Edward Al-Hussainy, senior analyst at Columbia Threadneedle, comparing it with Power Slap, a contest in which rivals take turns to hit each other across the face until one side submits.

      “The Fed is winning the fight for now — they’re in control at the moment. They only lose if things become disorderly,” he said.
      …

      2. ChatGPT 3.5

        User
        “The Fed and markets are in a slapping competition,” said Edward Al-Hussainy, senior analyst at Columbia Threadneedle, comparing it with Power Slap, a contest in which rivals take turns to hit each other across the face until one side submits.

        ChatGPT
        Edward Al-Hussainy’s analogy portrays the dynamic between the Federal Reserve and the markets as a contentious back-and-forth, likening it to a competitive game where each side tries to assert dominance until one relents.

        User
        Is it a good idea to fight the Fed?

        ChatGPT
        Fighting against the Federal Reserve’s policies or actions can be challenging, as it is a powerful institution with significant influence over monetary policy and the economy. It’s often wise for investors and market participants to carefully consider and adapt to the Fed’s actions rather than directly opposing them.

        User
        Who is more likely to win in a game of Power Splap: Mr. Market or the Fed?

        ChatGPT
        In a hypothetical “Power Slap” game between Mr. Market and the Federal Reserve, the outcome would depend on various factors such as the Fed’s monetary policy decisions, market sentiment, economic conditions, and external events. While the Fed has significant tools and influence over the economy, market participants, represented by Mr. Market, also play a crucial role. Ultimately, it’s difficult to predict a clear winner as the dynamics between the two are complex and can vary over time.

        User
        Provide an example of how Mr. Market could come out ahead.

        ChatGPT
        One example of how Mr. Market could come out ahead despite the actions of the Federal Reserve is if market sentiment and investor behavior drive significant movements in asset prices, overriding the intended impact of the Fed’s policies. For instance, if positive economic news or corporate earnings reports lead to a surge in investor confidence and buying activity, it could result in upward pressure on stock prices despite any attempts by the Fed to tighten monetary policy. In this scenario, Mr. Market’s collective actions could outweigh the Fed’s influence, allowing market participants to come out ahead.

        User
        Is it possible the scenario you provided, where market sentiment and investor behavior drive significant movements in asset prices, could lead to renewed inflationary pressures in the economy?

        ChatGPT
        Yes, it’s possible. If market sentiment and investor behavior lead to significant upward movements in asset prices, it can contribute to inflationary pressures in the economy. When investors become more optimistic and pour money into assets such as stocks, real estate, or commodities, it can drive up the prices of these assets. If this trend persists, it may lead to a general increase in the cost of goods and services as businesses pass on higher costs to consumers. Additionally, increased demand fueled by investor confidence can put pressure on resources and labor markets, further exacerbating inflationary pressures. Therefore, while market-driven asset price movements can benefit investors in the short term, they can also contribute to broader economic challenges such as inflation if not balanced by appropriate monetary policy measures.

        User
        If the Fed realized that inflationary pressures were building in the economy, would’t that increase the chances they would keep interest rates higher for longer?

        ChatGPT
        Yes, if the Federal Reserve observes building inflationary pressures in the economy, it could lead them to consider keeping interest rates higher for a longer period. Higher interest rates are one of the primary tools the Fed uses to combat inflation. By raising interest rates, the Fed aims to cool down economic activity and reduce inflationary pressures by making borrowing more expensive, thereby slowing down spending and investment. Therefore, if inflationary pressures are perceived as significant and persistent, the Fed may opt to maintain higher interest rates for an extended period to help stabilize prices and maintain economic stability.

        User
        Wouldn’t Mr. Market eventually lose its Power Slap edge in the face of higher for longer rates?

        ChatGPT
        Yes, if the Federal Reserve were to keep interest rates higher for a longer period in response to building inflationary pressures, it could diminish Mr. Market’s “Power Slap” edge over time. Higher interest rates can dampen investor enthusiasm by making borrowing more expensive and reducing the attractiveness of certain investments, particularly those reliant on low borrowing costs. As a result, market sentiment and behavior may become more subdued, leading to less aggressive asset price movements compared to a scenario with lower interest rates. Therefore, sustained higher interest rates could gradually erode Mr. Market’s ability to drive significant movements in asset prices, potentially tilting the balance in favor of the Fed’s monetary policy stance.

        ChatGPT can make mistakes. Consider checking important information.

        ChatGPT

    3. Stock Market Today: Dow ends higher as dip-buyers emerge into close
      Investing.com | Author Yasin Ebrahim
      Published Feb 20, 2024 07:31PM ET
      Updated Feb 21, 2024 04:05PM ET
      Stock Market Today: Dow ends higher as dip-buyers emerge into close

      Investing.com– The Dow closed higher Wednesday, amid dip-buying into the close as investors shrugged the release of the minutes of the Federal Reserve’s January meeting showing members were concerned about cutting interest rates too soon.

      At 16:00 ET (21:00 GMT), the Dow Jones Industrial Average was up 47 points, or 0.1%, the S&P 500 index rose 0.1% and the NASDAQ Composite fell 0.3%, with the latter down more than 1% intraday.
      Fed minutes show no urgency among members to back rate cuts

      Federal Reserve policymakers signaled no urgency to pivot to rate cuts as concerns of “upside risks” to inflation begin to emerge, according to the minutes of the Federal Reserve’s Jan.30-31 meeting released Wednesday.

      In a further sign that the Fed isn’t leaning toward a sooner rate cut, the minutes showed that Fed members had expressed “uncertainty associated with how long a restrictive monetary policy stance would need to be maintained.”

      Treasury yields remained near session highs following the release of the minutes, with the rate-sensitive 2-year Treasury yield up 4 basis points to 4.655%.
      …
      https://m.investing.com/news/stock-market-news/stock-market-today-dow-ends-higher-as-dipbuyers-emerge-into-close-3309090

    4. Markets
      CNBC TV
      Real Estate
      Mortgage demand takes a massive hit as interest rates cross back over 7%
      Published Wed, Feb 21 2024 7:00 AM EST
      Updated Wed, Feb 21 2024 8:07 AM EST
      Diana Olick

      Key Points

      – The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($766,550 or less) increased to 7.06% from 6.87%.

      – Applications to refinance a home loan dropped 11% last week compared with the previous week and were just 0.1% higher than the same week one year ago.

      – Applications for a mortgage to purchase a home fell 10% for the week and were 13% lower than the same week a year ago.

      New houses are seen for sale at Woodland Village, built by Lifestyle Homes housing developer, in Cold Springs, Nevada, on June 28, 2023.
      Andri Tambunan | AFP | Getty Images

      Mortgage interest rates surged last week to the highest level since early December, and that hit mortgage demand hard. Total application volume plunged 10.6% compared with the previous week, according to the Mortgage Bankers Association’s seasonally adjusted index.

      The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($766,550 or less) increased to 7.06% from 6.87%, with points rising to 0.66 from 0.65 (including the origination fee) for loans with a 20% down payment.

      “Mortgage rates moved back above 7 percent last week following news that inflation picked up in January, dimming hopes of a near term rate cut,” said Mike Fratantoni, the MBA’s chief economist, in a release.

      Applications to refinance a home loan dropped 11% last week, compared with the previous week, and were just 0.1% higher than the same week a year ago. One year ago, the 30-year fixed rate was 6.62%. Refinance volume had been running above year-ago levels, even with rates higher this year, but the jump in rates last week clearly made a refinance not worth it for most borrowers.

      Applications for a mortgage to purchase a home fell 10% for the week and were 13% lower than the same week one year ago. They sat at the lowest level since early November 2023.

      “Potential homebuyers are quite sensitive to these rate changes, as affordability is strained with both higher rates and higher home values in this supply-constrained market,” Fratantoni added.

      With rates higher, the adjustable-rate mortgage share of activity increased to 7.4% of total applications. ARMs offer lower interest rates but are considered more risky because they can adjust higher after a fixed period.

      Mortgage rates jumped even higher Friday after a monthly government report on wholesale prices showed inflation is still persistent and hotter than most analysts had expected.
      …
      https://www.cnbc.com/2024/02/21/mortgage-demand-takes-a-massive-hit-as-interest-rates-cross-back-over-7percent.html

  10. A reader sent these in:

    Short-term rental operator Sonder announced that it would lay off 17% of its workforce

    https://twitter.com/MacroEdgeRes/status/1760092176074125578

    A superregional mall in Miami backed by a $160mm loan has defaulted and has been transferred to the special servicer, per Trepp

    https://twitter.com/MacroEdgeRes/status/1760059638718886390

    When people say that the economy is super strong, please understand…We are running a HISTORIC deficit.
    6.2% of GDP. Never seen before outside of WW2, the GFC or Covid.
    If we weren’t running this deficit and balanced the budget, or even got close, GDP would collapse.

    https://twitter.com/Geiger_Capital/status/1760015517270548847

    Mortgages in China are continuing to shrink
    In December, the average rate of new mortgages fell to a record low of 3.97%

    https://twitter.com/Lvieweconomics/status/1759847746951922151

    According to latest Michigan Consumer Sentiment it seems that the US economy is slowly reaccelerating with the latest index reading 79.6…

    https://twitter.com/Lvieweconomics/status/1758512825939460238

    Scottsdale-based airline Set Jet abruptly shuts down, canceling all future flights

    https://twitter.com/MacroEdgeRes/status/1760146612121219363

    $NVDA
    Parabola law in play ▶️
    We all know what happens next.

    https://twitter.com/great_martis/status/1760158322999939345

    China has banned major institutional investors from selling stocks at the open or close, and plans to track who is shorting, per Bloomberg.

    https://twitter.com/unusual_whales/status/1760361142759956922

    The FHA has extended its full suite of COVID-era loss mitigation options for FHA borrowers through April 30, 2025 and has launched a new program called ‘Payment Supplement’ that reduces a borrower’s payments on mortgage payments, by 25%, if the borrower is in arrears.

    https://twitter.com/MacroEdgeRes/status/1760463743153033349

    The Boomer politicians are going to make sure they feel no pain before leaving you and I with the biggest bag in human history. Don’t forget it.

    Half of our leaders are adult-diaper aged. Sign of the times. Empire in decline & declines take a long time.

    https://twitter.com/DonMiami3/status/1760142686957220021

    Texas based cruise operator Hornblower Group files for bankruptcy with over $1 billion in debt

    https://twitter.com/MacroEdgeRes/status/1760360455724204452

    Harrah’s developer says that its massive Reno City Center project is bankrupt. 2007 vibes?

    https://twitter.com/MacroEdgeRes/status/1760346746746528083

    We’ve achieved 0% chance of March cut

    https://twitter.com/Swordfishv44183/status/1760473765916348431

    “An entry-level house in Sydney would require 57.2% of the combined income of a couple aged 25 to 34 to service the loan”

    https://twitter.com/AvidCommentator/status/1760478962478948685

    An owner of an office building in LA is seeking approval to tear down the building and construct 30 EV charging stations. I don’t know what’s crazier…this headline or seeing office properties drop 80-90% in just a few years. The commercial real estate recession (primarily office) has gone from scary to a meltdown in many cities across the US and it seems as though the damage is permanent

    https://twitter.com/TripleNetInvest/status/1760469970037936307

    Rivian eliminates over 1,400 employees

    https://twitter.com/MacroEdgeRes/status/1760413188904910890

    Nvidia stock, $NVDA, REVERSES to trade 7% higher and has erased a 6% decline in a matter of minutes after reporting earnings. This reversal marks a $250 BILLION swing in market cap in just under 15 minutes. This is a $1.7 TRILLION company reporting 240%+ revenue growth and swinging 10%+ in minutes. Absolutely insane.

    https://twitter.com/KobeissiLetter/status/1760417855336550754

    WARNING: Consumers are officially out of excess savings

    https://twitter.com/GameofTrades_/status/1760386407904821292

    1. Scottsdale-based airline Set Jet abruptly shuts down, canceling all future flights

      A charter jet company. I guess with the free money gone too many wannabes have gone back to flying commercial airlines.

      1. Or just doing their meetings by Zoom.

        During the pandemic I predicted that business travel would cut in half. Everyone would schmooze in person at conferences, but smaller meetings and job interviews could be done remote. I wonder how that panned out.

        1. With the jet it was easy to bring along the office hottie for a cutie pie weekend. Zoom works, but it’s no fun.

      2. Actually under the rules of PPP money that 12 million business owners received….you are allowed to spend it on buying and renting aircraft.

        A buddy from high school got 1.5 million….he actually took two private jet loads of friends from Charlotte to Nashville for Kid rock concert 2 years ago. Makes me want to puke! That’s my tax dollars at work!

        1. * ” . . . to Kid Rock concert”

          no amount of booze, babes & blow could make me endure Kid Rock.

          you had the last laugh

    2. When people say that the economy is super strong, please understand…We are running a HISTORIC deficit.
      6.2% of GDP. Never seen before outside of WW2, the GFC or Covid.
      If we weren’t running this deficit and balanced the budget, or even got close, GDP would collapse.

      And even with that kind of deficit spending many are struggling to pay their bills and buy groceries,.

      1. The following is a list of nations that accrued $34+ trillion of national debt denominated in fiat currency that balanced their budgets and paid off the debt:
        .
        .
        .
        End of list.

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

        1. Ironically, it’s very close to exactly the financial situation of the typical US family that buys a house with a mortgage.

          Maybe that’s why it’s called a representative government.

  12. ‘the bulldozers were left parked because of high interest rates and an oversupply of apartments, according to Steve Betts, a consultant for the project with Tucson-based Holualoa Companies. Last year, Phoenix was the top market for apartment construction, with developers completing more than 20,000 units across Greater Phoenix, compared to an average 8,000 units a year’

    So Steve, they hit the top of building at the same time it became oversupplied. Now that’s a soft landing.

  13. ‘‘We couldn’t hire fast enough…Now the party ended, and it’s the hangover the next day’

    So a lot of guys are gonna get canned Jeff?

  14. ‘Plans to bring a trio of high-rise towers with more than 1,000 residential units to Brampton have hit a $10-million stumbling block as the property owner has defaulted on a loan. Last fall, the city approved zoning bylaw amendments for a three-tower housing development at 253 Queen St. East. At 32, 33 and 38 storeys tall, the high-rise project was expected to bring a combined 1,026 residential units to Brampton along with office and retail space. But court documents show the property owners have defaulted on their loan, leading debtors to demand more than $10,447,000 in payments and a court decision to put the company in receivership. The documents show the property is also under a subordinate mortgage of $2 million registered in favour of Sky Mortgage Corporation, which ‘is now also in financial default’

    This just popped up but it looks like they threw they keys before they even turned a shovel.

  15. ‘The pair had already forked out thousands renovating the property but now ‘just want to get out’ and fear they will be trapped forever…‘I was given a hot tub as a gift, but I won’t use it now if people are looking into my garden’…The distressed homeowner also alleged their neighbours haven’t been able to sell their place – with it sitting on the market for six months already. ‘The price of ours must have plummeted’

    Anger <- Maureen you are here.

  16. ‘We have plenty of land – it’s not a small country,’ Mr Mannoun told Sky News Australia. ‘Whether it’s Sydney water doing their roll out or transport for New South Wales restricting development. Those government agencies are restricting housing supply’

    And the guberment and central bank is doing everything it can to flood liquidity in to shack gamblers Ned. It’s almost like they don’t care if it breaks.

    1. ECONOMY
      Millennials have been priced out of buying homes, and are venting that they can’t afford rent either
      Lindsay Dodgson Feb 22, 2024, 8:28 AM ET
      millennial woman worried about finances
      urbazon/Getty Images

      – Millennials struggling with skyrocketing rent are sharing their troubles on TikTok.

      – Many have struggled with recent rent hikes, and say they have no savings to fall back on.

      – Stagnant wages, student loans, and low economic mobility created a perfect storm for millennials.
      …
      https://www.businessinsider.com/millennials-priced-out-of-homes-now-they-cant-afford-rent-2024-2

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