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No Buyer Wants To Take The Risk Of Walking Into A Black Hole In Space

A report from the Dallas Morning News in Texas. “Things are changing ever so slightly in the Dallas-Fort Worth housing market. Year-over-year prices fell for the second straight month. A national real estate group estimates the price drop is one of the most substantial in the nation. This comes after months of increasing inventory. Active listings hit 29,300, up nearly 49% from last year. Months of housing inventory was 4 months — the highest since October 2012. ‘I think the power has kind of changed a little bit,’ said Todd Luong, an agent with RE/MAX DFW Associates. ‘Every offer I’ve seen is below listing price right now. …Some parts of town (have) 50% to 60% more inventory. I think that’s hurt sellers a lot.'”

From WTOP News. “The number of homes for sale in the D.C. metro continues to rise, which is good news for prospective buyers, but the biggest increase in listings is condominiums. Condo inventory was up 42%, and condo listings in the District and Arlington County and Alexandria, Virginia, are now nearly double the number of condos on the market in July 2019, before the pandemic. The biggest year-over-year increase in condos on the market is in Fairfax County, up 88% from July 2023. ‘Sellers have to be prepared to have buyers come and negotiate on price and concessions,’ said Lisa Sturtevant, chief economist at Bright MLS.”

WVUE in Louisiana. “Hundreds of homes are flooding Metairie’s housing market during a time when high interest rates and higher insurance premiums can be crippling for both buyers and sellers. Joel Picolo with Godwyn Realty said that equates to a nine-month supply of homes. ‘That is a dramatic, dramatic increase,’ Picolo said. ‘The most that we’ve seen in years. Even before COVID.’ But why are so many homes sitting on the market? ‘A buyer finds a perfect home, they get ready to write up an offer and they go get an insurance quote. And they go, ‘Wait a minute, what’s going to happen to my house note? I didn’t know that. We can’t afford that,’ said Real estate analyst Arthur Sterbcow.”

“Real estate agents and analysts alike advise those struggling to sell their home to consider a price reduction or renovations and repairs. ‘I hate to say this, but really, it’s greed,’ Picolo said. ‘There are a lot of sellers out there who have a lot of equity, yet they still want to make even more money.’ Picolo said he was shocked by what a realtor recently told him in reference to a high-end property that sat on the Metairie market for a while. ‘She said, ‘The sellers do not want to lower the price, because it will look bad. Make a low-ball offer,’ Picolo said.”

From CBS News. “South Florida faces a condo crisis as thousands of units flood the market, leading condo owners to sell due to rising costs. Last summer, the people living at Mariners Bay Condos made a difficult decision to eventually leave their homes on the water in North Miami to avoid paying over $100,000 each in dues and assessments to stay. ‘I would get calls from some unit owners who were just in tears,’ shared association president Laura Galeano. She said the board knew in 2022, they were in trouble. ‘Insurance went up 800%, and that’s insurmountable,’ explained Galeano, along with other expenses.”

“Older condos, like the ones at Mariners Bay, have recently flooded the real estate market. ‘I’ve never seen this before; close to 18,000 of them on the market right now,’ said Craig Studnicky, ISG World’s CEO. He provided us with research from his firm looking at condos available in Miami-Dade, Broward, and Palm Beach that are 30 years or older. He shared that there is over 24 months of inventory on the market and that those condos are plummeting in value, down 19% from last year. ‘No buyer wants to take the risk of walking into a black hole in space,’ said Studnicky. ‘That’s what a special assessment seems like at the moment, and the mortgage lenders feel exactly the same way.'”

The Sacramento Bee in California. “As a retired nurse and single woman living alone, Jan Truelock said she did not know how to navigate the process of adding a 450-square-foot accessory dwelling unit to the backyard of her Roseville home. She found Fair Oaks-based company Anchored Tiny Homes in January 2023 — which advertised that it handles everything, including permits. She quickly signed a contract. Truelock, 65, was told her project would be completed in 12 months. Instead, she said she found herself in early 2024 out more than $40,000 with an empty backyard. Truelock is one of about 800 members who have joined the Facebook group ‘Scammed By Anchored Tiny Homes’ since late last month. In the group, former customers, contractors, employees and franchise owners have gathered to share their stories, launch complaints and warn others about a company they once trusted.”

“As of Friday, two lawsuits had been filed against the company in Sacramento County. ‘There are people in that group who have paid hundreds of thousands of dollars for absolutely nothing,’ Truelock said. ‘And they probably will never see that money.’ In the last few weeks, many have been unable to reach anyone at the company. Recently, franchisees’ emails and phone numbers were disconnected as well. Many clients are left with half-constructed units in their backyard. Contractors said they are missing thousands of dollars in labor and materials. Employees said they lost their jobs and two weeks pay. Franchisee owners are left with a brand that may soon be bankrupt.”

“In November 2023, Chris Pace was hired as the vice president of operations for Anchored Tiny Homes. After four months, he was promoted to Chief Officer of Operations. Three months later, he handed in his resignation letter. ‘At the core of all of this, you got three really malevolent bad people, and then around all of that, you have wonderful subcontractors, awesome clients, great employees,’ Pace said, ‘and everybody just got screwed.'”

From Bisnow. “As Class-B and C offices empty out, owners are getting increasingly nervous. Most dream of giving their buildings a new life by converting them to apartments, especially in a city like New York, where residential vacancy is at a 50-year low. Others are wrestling with the wrecking ball. ‘A pretty high percentage of those buildings won’t have a future,’ said Peter Bafitis, managing principal at architecture firm RKTB. ‘[Pre-World War II] buildings lend themselves better to residential, but you’re going to have quite a few of the massive floor plate buildings after World War II. What do you do with them?'”

“Approximately 20% of Manhattan office space was available at the end of last quarter, according to Avison Young. However, that percentage is less than other parts of the country like San Francisco, where vacancy has exceeded 30%. ‘The cities where you will see some knockdowns because they have more glass, modern, fatter and taller buildings are the cities where the office market is not coming back at all because they have really strong suburban office or people have bigger homes and are deciding to work from home, and the delta between the residential and the office rent isn’t that great,’ HR&A Advisors partner Kate Wittels said. ‘A place like Charlotte, they have a lot of new buildings, and the resi market isn’t that much more valuable than the cost to create residential.’ In those cities, wrecking balls are already coming out.”

“In Wilmington, North Carolina, city officials have put out a request for proposals to demolish three downtown office buildings. ‘Market analysis shows there was no interest in re-using the existing structure, which is old and would require substantial repair,’ city spokesperson Dylan Lee told the Wilmington Business Journal. Similarly, officials have given up on the dream of rehabilitating the Capital One Tower in Lake Charles, Louisiana. Since a hurricane damaged the city’s tallest building in August 2020, officials have attempted to find a developer to restore the tower. However, those efforts were fruitless. ‘It’s time to move on,’ Lake Charles Mayor Nic Hunter told residents in May. ‘We’ve been looking at this tower for almost four years. I know that there’s a lot of us that wanted to see it saved, but four years is long enough for us to stare at this eyesore in our community.’”

Lakeland Today in Canada. “Mortgage lender UMC Financial is suing a company that started construction on a luxury hotel in St. Albert and that cross-guaranteed the repayment of a $65 million loan for Careadon Village, a seniors apartment complex whose original owner went bankrupt. UMC Financial has also been granted a receivership order. The Chalton Hotel near Century Casino broke ground in June 2018. It was billed as a state-of-the-art, seven-storey luxury hotel, with digital kiosks for check-in, 141 suites, a large convention room, a swimming pool and an exercise room.”

“The expected completion date of the 4.5 star hotel was 2019. By September 2019, the construction site had been serviced and over 100 piles drilled into the ground, but the bones of the structure had not materialized. Last November, Careadon Corp. was declared bankrupt. UMC took control of Careadon and received seven offers for the property, but deemed the offers too low and decided to purchase and complete the building itself. Each of the companies listed in the statement of claim failed to pay the money owed to UMC by the Sept. 30, 2023 deadline, UMC alleges. The claim lists as potential remedies the foreclosure of each of the companies’ properties and the appointment of a receiver.”

The National Post. “The Liberals have piloted the Canadian immigration system for nearly a decade, and they’ve only abused their time in the cockpit. Turns out, it’s pretty easy to drive the machine into the ground in just nine years. The Liberals have decided to run by a standard operating procedure that throws responsible immigration out the window. It goes like this. Crank the intake numbers and detour much of the new inflow around our once-prized points system . Ignore warnings that the housing supply might suffer. Rattle on about a mysterious labour shortage as youth and new arrivals struggle to find jobs.”

“For greater effect, tell the world that illegal entry may soon be rewarded with permanent status, allow migration highways to remain open for years and shrug when criminals and terrorists find their way into the country. Make sure to strip away citizenship revocation powers while you’re at it, and expand passport eligibility to generations born abroad. To finish it all off with a good nose-rub in the dirt, spend millions of dollars on newcomer wage subsidies and migrant housing as homelessness spikes , while continuing to allow newcomer-specific criminal sentence discounts. And, if people begin to notice that it’s getting crowded, and that GDP per capita is gliding steadily downward , gaslight, gaslight, gaslight.”

Somerset Live in the UK. “St Ives, the picturesque Cornish town famed for its surfing beaches and vibrant art scene, is grappling with a second home crisis that eclipses many other towns in Cornwall. The idyllic locale attracts approximately 540,000 day visitors and 220,000 overnight guests annually. However, it’s the proliferation of second homes, snapped up by affluent individuals seeking their slice of paradise, that’s causing consternation among locals. Reports suggest that these wealthy part-time residents are displacing the local population, with some even parking their luxury cars in spots designated for working tradespeople.”

“One resident was forced to move into a van after her flat became an Airbnb rental. Upon seeking help from the council, she claims she was directed to a homeless shelter instead. Lizzy, a St Ives local, expressed her frustration to The Guardian: ‘Why would you buy a house just to come and use it for a short amount of time? Why wouldn’t you just come down and, you know, stay in a hotel?'”

“The sentiment is echoed across the community, with many St Ives natives feeling disenchanted by the transformation of their hometown. A fellow resident lamented, ‘It’s just a rich man’s playground down here now,’ reports Cornwall Live. While bustling in summer, St Ives turns eerily quiet during the off-season. Phyllis Rashleigh, a long-term inhabitant, previously commented: ‘Local people don’t own St Ives any more. It’s all speculative. No lights on anywhere, nothing. All shut up this time of year, it’s just dead, for sale.'”

South China Morning Post. “The number of new-home buyers who have forfeited their deposits has jumped by nearly a fifth in the first half compared with the whole of last year amid a persistent slump in property prices, according to Centaline Properties Research. The 308 cases in the first half of the year have already exceeded last year’s total of 261. The numbers swelled after billionaire Li Ka-shing family’s flagship developer CK Asset asked the buyers of units at its #Lyos housing project, who did not go ahead with their purchases, to pay the price difference after reselling the flats at discounts of as much as 32 per cent, according to local media reports.”

“‘The original buyers chose stage payment plan and bought the flats when the market was at its peak in 2021,’ said Roen Yeung Ming-yee, senior associate director at Centaline. These buyers may have forfeited the deposit with the idea of repurchasing the same flat now as prices have dropped considerably over the past few years, she added. Buyers who use the stage payment plan only start mortgage repayments after the property is handed over to them. Developers usually take an upfront deposit of up to 15 per cent of the purchase price. Yeung said buyers may have to tread more carefully in cancelling transactions as developers are chasing down buyers to cover the difference in sale prices.”

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This Post Has 68 Comments

  1. ‘Sellers have to be prepared to have buyers come and negotiate on price and concessions’

    Eat yer crowz Lisa.

  3. “spend millions of dollars on newcomer wage subsidies and migrant housing as homelessness spikes , while continuing to allow newcomer-specific criminal sentence discounts. And, if people begin to notice that it’s getting crowded, and that GDP per capita is gliding steadily downward , gaslight, gaslight, gaslight”

    Globalists gonna globe.

    2. spend millions of dollars on newcomer wage subsidies

      Why do they need wage subsidies? I thought the Narrative was that illegal immigrants are the backbone of the Canadian economy.

  4. “A pretty high percentage of those buildings won’t have a future”

    Two weeks to flatten the curve?

    We’re all in this together?

  5. [This post has absolutely nothing to do with housing.]

    From Dust to Green: The Ever-Shifting Sands of Climate Alarmism.

    Desertification was supposed to be ‘the greatest environmental challenge of our time’. Why are experts now worried about greening?

    https://wattsupwiththat.com/2024/08/19/from-dust-to-green-the-ever-shifting-sands-of-climate-alarmism/

    The irony of the climate alarmists’ narrative is as rich as the verdant deserts they never saw coming. Once upon a time, the world was supposed to be swallowed by an ever-expanding Sahara, with desertification hailed as the “greatest environmental challenge of our time.” Fast forward to today, and the alarmists have pivoted yet again, now fretting over the unexpected greening of these very same arid lands. It’s a classic case of moving the goalposts, and one can’t help but chuckle at the sheer absurdity of it all.

    The Great Desertification Panic

    Remember when desertification was the bogeyman lurking in the shadows of climate change? The narrative was simple: human activity, coupled with rising temperatures, would lead to the relentless march of deserts across the globe. Poor farming practices and overgrazing were supposedly turning fertile lands into barren wastelands. The alarmists painted a picture of a world where sand dunes would swallow cities whole, and humanity would be left to wander the earth like nomads in search of water. But then, a funny thing happened on the way to the apocalypse. The deserts didn’t expand as predicted. In fact, many of them started to green. Yes, you read that right. The very regions that were supposed to dry up and blow away are now experiencing a surge in vegetation growth. It’s almost as if Mother Nature decided to play a little prank on those who thought they had her all figured out.

    CO2: The Unlikely Hero

    Enter carbon dioxide, the villain of the climate change saga. For years, CO2 has been demonized as the primary driver of global warming. But in a twist worthy of a Hollywood blockbuster, it turns out that this much-maligned gas is also a key player in the greening of the world’s drylands. As CO2 levels have risen, so too has the rate of photosynthesis, allowing plants to thrive even in some of the harshest environments. This phenomenon, known as CO2 fertilization, has led to increased vegetation productivity across vast swathes of arid land. Of course, the alarmists can’t let this unexpected boon go unchallenged. Instead of celebrating the positive impact of CO2 on plant growth, they’ve shifted their focus to the potential downsides. They warn that the extra vegetation could soak up scarce water supplies, disrupt local ecosystems, and even increase the risk of wildfires. It’s as if they’re determined to find a cloud in every silver lining.

    Pivoting to Greening Concerns

    With desertification no longer the existential threat it once was, the climate alarmists have had to pivot yet again. Now, the narrative is all about the potential dangers of greening. The fear is that as drylands become more vegetated, they could lose their unique biodiversity. Specialist species that have adapted to arid conditions might be displaced by fast-growing plants better suited to the new, CO2-rich environment.

    As we pump yet more CO2 into the air, arid-land greening seems set to continue, according to two recent modeling studies. But ecologists warn that, despite appearances, going green may have downsides for arid ecosystems and for the people who depend on them. Desert plants and animals will often lose out, and the extra vegetation may soak up scarce water supplies.

    Drylands cover roughly 40 percent of the planet’s land surface. The deserts at their core are surrounded by wide expanses of savanna grass, dry woodlands, and sometimes irrigated fields. They are home to more than a third of the world’s population and are among the most biodiverse ecosystems in the world, according to the International Union for Conservation of Nature, the international organization for conservation scientists.

    But let’s be honest: the greening of deserts is hardly the catastrophe it’s made out to be. In fact, it’s a testament to the resilience of nature and the adaptability of ecosystems. Yet, the alarmists seem intent on framing it as yet another crisis that requires urgent intervention. It’s almost as if they can’t bear the thought of a world where CO2 might actually have some benefits.

    The Never-Ending Cycle of Alarmism

    The irony of the situation is that the climate alarmists’ narrative is as adaptable as the ecosystems they claim to defend. When one crisis fails to materialize, they simply pivot to another.

    The world was wrong to expect that climate change would trigger rapid and widespread desertification in the world’s arid lands. In fact, the reverse is happening. But it could be a similar folly to imagine that the dramatic greening now visible in satellite images across many of those same regions is a reason to declare their troubles over.

    It’s a never-ending cycle of doom and gloom, with each new threat conveniently fitting into their overarching narrative of impending catastrophe. But here’s the thing: the world is a complex place, and nature doesn’t always follow the script. The greening of deserts is a reminder that the earth is capable of surprising us in ways we never imagined. It’s a lesson in humility for those who think they have all the answers, and a call to approach environmental challenges with a little more nuance and a lot less hysteria. In the end, the irony of the climate alarmists’ narrative is that it often overlooks the very resilience and adaptability that make our planet so remarkable. Instead of constantly shifting the goalposts to fit a predetermined agenda, perhaps it’s time to acknowledge the unexpected ways in which nature can heal and thrive, even in the face of adversity. After all, the world is a greener place than we once thought, and that’s something worth celebrating.

  6. The Canadians like their “Pretty Boy” leader ,and won’t vote any other way,seems like…..almost all the truck-drivers and day to day workers , wear stuff on their heads , and long to go South to warmer weather ,while Native born Canadians spend time at Tim Horton Donut shops……
    What they’ve done to the Tribal ,and original people ,we used to call Indians, is much worse then the US has done …..they supply them with absolutly everything , one can desire, think the life expectency is about 50.

  7. Are you buying Nvidia stock no matter what they say, because it’s a great company whose shares will only go up in the long run?

  8. The Ratings Game
    Nvidia’s earnings could be noisy, but these bulls are still upbeat on the stock
    Analysts are curious about potential shipment delays for the new Blackwell chip but see plenty of reason to cheer Nvidia’s long-term opportunity
    By Emily Bary
    Last Updated: Aug. 20, 2024 at 9:50 a.m. ET
    First Published: Aug. 20, 2024 at 7:09 a.m. ET

    Nvidia remains “the purest scale play on AI proliferation,” according to an Oppenheimer analyst.

    Photo: Nvidia
    Referenced Symbols
    NVDA -2.32%
    …
    https://www.marketwatch.com/story/nvidias-earnings-could-be-noisy-but-these-bulls-are-still-upbeat-on-the-stock-e21a7da3

    1. “…these bulls are still upbeat on the stock…”

      In other news, the sky is still blue.

  9. St Ives, the picturesque Cornish town famed for its surfing beaches and vibrant art scene, is grappling with a second home crisis that eclipses many other towns in Cornwall

    I have been to St. Ives. It is picturesque, and Londoners buying weekend homes there is nothing new. The UK relatives had a granny living in a real dump, an ancient and dilapidated townhouse with an ocean view. When the old woman passed away they and their siblings sold the place. The new owners gutted it and spent who knows how much money to bring it into the 21st century. This was about 7 years ago, and Londoners were already buying anything for sale in St. Ives.

    It isn’t the only seaside Cornish town, but perhaps has more panache than the other ones, like Penzance, which I thought was a dump. Those of you who watched the Doc Martin TV show have seen Port Isaac, called Port Wen in the show.

    One thing about those coastal Cornish towns: in the winter (not summer) is they are miserable places, with freezing rain, choppy seas and huge waves, which is why most have walled harbors. Those second homes must sit empty for months during non summer. And to be honest, summer there isn’t all that. The ocean is freezing cold and 68F is a warm summer day.

    1. 0:13

      Steve Cortes
      @CortesSteve

      Nancy Pelosi disenfranchised 14 million Democrat primary voters and ended Joe Biden’s 52 year political career in a coup:

      “I did what I had to do…my concern was not about the president, it was about his campaign.”

      This is not the party of Democracy…

      8:48 PM · Aug 19, 2024

      https://x.com/CortesSteve/status/1825696353311199348

      1. Pelosi’s concern was for her power, nothing else. The time to get rid of Joe should have been four years ago, when the first signs of deterioration were clear. But then they would likely have been saddled with Bernie. Two years of his socialism would have killed the Dem party forever.

        1. To be fair, arenas are kinda hard to come by. They don’t exactly come in 1000-seat increments. Plus I expect the arena to be full tonight for Barack and Michelle and for Kamala later this week.

  12. First Home Depot and now Lowe’s:

    “Lowe’s on Tuesday cut its full-year forecast, as the retailer’s quarterly sales declined and it projected weak home improvement spending in the second half of the year.

    In an interview with CNBC, CEO Marvin Ellison said consumers are waiting for the Federal Reserve to cut interest rates. He added shoppers also under pressure from the economic backdrop.”

    https://www.cnbc.com/2024/08/20/lowes-low-q2-2024-earnings.html

    Shoppers under pressure? Paul Krugman muh best economy ever?

      1. Flippers bought their stuff out of Lowe’s and Home Despot. You can even recognize the cheap fixtures — not to mention the pre-mixed Minimalist Millenial Gray paint — in the Zillow pictures. Without flippers or minor repairs for homeselling, there’s not as much business at the home centers.

        And anyway, I think flipping as a career is winding down. In the 15 years after the Great Recession, almost all of the houses left behind by Greatest Generation grandmas and flophouses packed with illegals were snapped up and reno-flipped. All that’s left is dregs and teardowns, plus some normal turnover.

        At least that seems to be true in the populated areas where the jobs are. But rural areas, as Pensacola Joe shows us, are still replete with damaged homes.

    2. I’ve reported the sharp declines of building permits in my city out West. (Just did 6 inspections today. Was averaging about 25 to 30.) most of the decline is in home improvement. But even the big builders are backing off now.

  13. I’m getting sick of these Communist programs and bribery to usher in a Communist Nation, verses a Constitutional Republic they Nation was founded on.

    The DNC is talking “Medicare for all”, which in practice would amount to waiting a long time to get a Docs Appointment resulting in substandard care for all. It would probably be a medical tyranny on top of everything else.

    Its all about Government and Monopolies having all power to dictate peoples lives. Its all about a power grab to enslave humanity and dictate everything . Its all about brainwashing people into compliance to this pre planned horrible deprived world they envision for billions of people.
    People have no choice but to reject and resist this plan by these Powers to subject humans to a dictorship of control of all resources and consumption, with all freedoms taken away.

    A bunch of fraudulent narratives of global Emergencies that they just made up, like carbon emissions should be at Zero.
    The outrageous EUA of expiermental fake vaccines that is nothing but a false remedy to their contrived and manufactured global Panademics of International Concern. Censorship of any dispute to these epic medical frauds and Climate Change frauds.

    The global Governments are partnering with this long planned so called One World Order dictorship.

    They are serious that humanity should own nothing and eat bugs and be mandated their fake killer vaccines. Invasion of borders, wars and transgender attack on minors, division by alleged racism, all part of the plan to destroy previous systems for their sinister and genocidal forced Dictorship.
    “Who controls technology will control the World” said Klaus Schwab , who is a advocate of Great Reset, Great Narratives, great facism partnership between government and private party Monopolies. Oh, and Communist China is always the mode!.
    Just saying.

  14. A reader sent these in:

    It’s surreal that people are still trying to ride the housing shortage narrative. Are you guys even looking at national active listing trends? Housing completions and the fact that inventory is back to 2019 levels in an increasing number of cities? And how exactly does this get paid for? This is completely ignorant leadership

    https://x.com/jimmydean197/status/1824522000624390538

    -There will be no inflation
    -inflation is transitory
    -inflation is good for you
    -inflation only hurts the rich
    -inflation is consumers’ fault
    -inflation is greedy biz’s fault
    -I will cap prices!!
    -breadlines are a great way to meet your neighbors!

    https://x.com/caroljsroth/status/1824900256234172775

    Idaho, Utah, and Florida all have at least 10% more jobs than pre-pandemic; 4 states and DC still haven’t recovered while Massachusetts, Vermont, and Illinois have made virtually no progress in 4 years:

    https://x.com/RealEJAntoni/status/1824872878736863500

    “If you’d been robbed by a person, you’d be insane to have that same individual investigate the crime. That’s essentially the situation with Vice President Kamala Harris’s plan to reduce the very inflation she helped cause….”

    https://x.com/RealEJAntoni/status/1824857783495241951

    Inflation is getting out of hand

    https://x.com/greg16676935420/status/1824415562857939095

    Reuters published an article citing China Daily that think tanks’ economists said the government “should consider additional direct support to consumers worth at least 1 trillion yuan ($139 billion) — either cash or vouchers.”

    https://x.com/Sino_Market/status/1825347902199459955

    The New York Fed’s SCE Labor Market Survey for July showed a sharp jump in job seekers compared to a year ago – registering at the highest level since 2014 – indicating a labor market that is weakening at a quicker pace than earlier in the year

    https://x.com/MacroEdgeRes/status/1825553660958720241

    Kashkari pulling a Kashkari again.

    June 3rd versus August 19:

    https://x.com/NorthmanTrader/status/1825478012457951412

    China’s central bank says a meeting in Shanghai produced an agreement with the US Treasury to appoint contact people to deal with any future “financial stress events”

    https://x.com/business/status/1825420665920356849

    60-Day Auto Loan Delinquency Rates Rising

    https://x.com/MikeZaccardi/status/1825496141179343081

    One out of every 15 Americans is a millionaire, UBS has said.

    https://x.com/unusual_whales/status/1825522353511792747

    9.1% of credit card balances and 8.0% of auto loan balances transitioned into delinquency over the past year, per Reuters.

    https://x.com/unusual_whales/status/1825514804058214651

    Shrinkflation is hitting homes: Expect ‘the death of the hallway’ and other Tetris-like designs to cut construction costs, per FORTUNE.

    https://x.com/unusual_whales/status/1825492154657202333

    In business cycles with a core RE element from 1969-present, rate cuts are rarely a positive catalyst for construction of new housing units.

    https://x.com/DonMiami3/status/1825665651953795253

    Flights, Hotels and Parks Are All Flashing Travel Warning Signs

    https://x.com/jessefelder/status/1825525950865641732

    ‘Start-up failures in the US have jumped 60% over the past year, as founders run out of cash raised during the technology boom of 2021-22, threatening millions of jobs in venture-backed companies and risking a spillover to the wider economy.’

    https://x.com/jessefelder/status/1825542135346782466

    Canada reduces immigration standards especially for student visas.

    Indians from the rural regions see a once in a lifetime opportunity to get into Canada.

    After several years in Canada unable to find employment, their visas expire.

    File a phony asylum petition as last resort.

    https://x.com/USTechWorkers/status/1825619841233072327

    Wife works for realtors, brother works in lending, I sell insurance… and yes they totally are.

    More than half the buying agents I know are bitching and moaning about the NAR and how no one wants to sign buyer agreements anymore…

    https://x.com/Sh1tUShouldKno/status/1825655512228311197

    My reaction to @KamalaHarris’ housing policies. This is the boldest housing plan I have ever seen from a modern presidential candidate.

    https://x.com/FairweatherPhD/status/1825512384145789433

    Highest % of Americans looking for work @ highest level since 2014

    Almost a third.

    https://x.com/DonMiami3/status/1825557695224795426

    Massive Chicago office building goes to special servicer…

    What is a special servicer?

    A special servicer is a specialized entity responsible for managing loans that are in default or at risk of default.

    They act on behalf of bondholders to maximize recovery on distressed loans.

    In this case, the 1.2 million square foot skyscraper, AMA Plaza at 330 North Wabash, is facing challenges:

    – $370 million loan ($308 PSF).

    – Sponsor may not make August debt service payments.

    – A $4.4 million property tax payment may be withheld.

    – The asset was 84% leased at the end of last year.

    https://x.com/aryal1994/status/1825240747131769141

    Look at the reality of China steel margins. Suggests ore has a lot further to fall. Don’t forget where it was back in 2015.

    https://x.com/PPGMacro/status/1825472009481941282

    QE also inflated housing bubbles, making majority believe they were getting ahead too, but it was an illusion as their collective debt grew even faster. Once the expansion of credit reverses, property gains will fade and increased inequality will become more obvious.

    https://x.com/hmacbe/status/1825502329938010425

    The SEC has charged Carl Icahn and Icahn Enterprises for failing to disclose pledges of company securities as collateral for billions in personal loans.

    https://x.com/KobeissiLetter/status/1825520144258355498

    For real 🤣

    https://x.com/ClownWorld_/status/1824878540174860307

    $35 trillion of debt plus another $218 trillion of unfunded liabilities, and not a *peep* from either candidate about it.

    https://x.com/jameslavish/status/1825668908524908615

    4.4% of U.S. Workers expect to be unemployed in the next 4 months, the highest level in AT LEAST a decade

    https://x.com/Barchart/status/1825684900529266690

    1. China’s central bank says a meeting in Shanghai produced an agreement with the US Treasury to appoint contact people to deal with any future “financial stress events” 👀

    2. “Shrinkflation is hitting homes”

      Why is that a bad thing? The one I want to build myself won’t be more than 900 square feet.

        1. Have you ever been in a shack of any size that doesn’t have halls? They used to build them like that and I’ve been in one. You have to go room to room.

          1. a lot of the reason halls exist is they are load bearing walls, since the 2nd floor floor joists (or roof rafters) wouldn’t span that far. (when they used lumber and not engineered trusses). it’s basically two buildings, split by a hallway which gives you internal load bearing walls. Now of course you can get engineered beams that span 25/30/more feet

            But back in the day, 12 to 15 feet was about it.

          3. They have railroad flat style apartments in the Bronx, off the Grand Concourse. Some of them are massive (eight rooms at least.)

  15. EV sales suffer a foreboding fizzle

    The early-adopter balloon has popped. Electric vehicle sales — even in rebate-frenzied locales such as British Columbia — have fallen off a cliff, and this represents a dark cloud on the horizon for Canada’s automotive industry.

    Sales of EVs had surged, driven by pent-up demand after pandemic-induced shortages. But now, dealers have unsold stock piling up. An Audi dealer in Richmond, B.C., home to some of Canada’s richest EV incentives, has 145 Q5 e-Tron EVs in stock. That’s a car some dealers expected to be sold out for two years.

    As the federal government’s zero-emission mandate grows closer — regulations stipulate 20 per cent of new-vehicle offerings must be zero emission by 2026, 60 per cent by 2030 and 100 per cent by 2035 — the infrastructure and technology needed to convince Canadians to make the jump remains sadly lacking.

    Some of the reticence to jump is driven by misperceptions. Today’s EVs are remarkably good at satisfying 95 per cent of a Canadian driver’s daily needs, with many requiring charging just once per week. Hydro Quebec estimates 80 per cent of EV charging happens at home, mitigating concerns that public charging infrastructure is insufficient.

    Still, the driving across Canada is equivalent to driving from Paris to Kyrgyzstan, and we have a fraction of the population of the 10 countries between western Europe and Asia. With intercity transportation options that largely limit Canadians to driving for short-hop trips such as Winnipeg to Regina, EVs remain problematic for about five per cent of Canadian’s driving needs.

    And that only speaks to urban Canadians. Rural Canadians are in tougher straits

    Brian Kingston, president of the Canadian Vehicle Manufacturers Association, said what the federal government seems unable to recognize is that while government can regulate supply, it cannot regulate demand. You can force dealers to stock certain vehicles, but you cannot force consumers to buy them.

    That has observers such as Kingston, and southern Ontario dealer Michael Carmichael, worried that Canadians will hoard their internal combustion engines or turn to the used-car market, which isn’t covered by the mandates, to get their internal combustion fix. That will blunt any environmental gains expected from the mandates.

    Lest this all be seen as merely an industry pushing back against government regulation, consider that globally, more than US$1.2 trillion has been invested so far in zero-emissions technology. The industry is all-in, as it were.

    https://www.winnipegfreepress.com/briefings/ev-sales-suffer-a-foreboding-fizzle

    1. In addition to the difficulty in finding charging stations, the high price and fire risks, my other concern is durability. Just how long will those batteries last once out of warranty? Will there be replacements available, and how much will they cost? Is it worth spending 20 grand or more on a new battery pack that costs more than the car is worth? How much to replace a fail Buck Rogers dashboard? Again, assuming you can find a replacement part.

      I think we are going to see junk yards full of 7 year old EVs, though with the proliferation of gadgets and electronics in ICE cars they might meet a similar fate. They might be operable without some of the gadgets, though if the dashboard goes dark it could cost a pretty penny replace it. And then there will be turbos and CVTs that will die early and cost $$$$ to replace.

      I especially hate the trend towards LCD dashboards. With an analog dash, if something failed, say the tach or the fuel gauge, you could still operate the car. But if the digital dash dies, then everything goes. I suppose you could “drive blind” but it would be a tremendous chore.

  16. News article saying CCP addressing surging pneumonia of unknown cause.

    I have two friends that have been in emergency over some type of pneumonia. I have another friend who died a couple weeks ago of infection, not labeled Covid.
    One of the friends is battling the pneumonia, as well as cancer and heart problems now.The other friend already got treated for cancer post vaccine shots, and has heart problems now as well.
    Another friend is almost totally bedridden, on air 24/7, now has heart problems , repeated infections, etc.
    Because these three friend are in their 70s , nobody questions this quick onslaught of health conditions, even when previously they were somewhat healthy.

    1. FWIW, people in their 70’s have been dying of pneumonia for a long time. Oldsters often have weak immune systems.

  17. The bonds were supposed to change the world. US companies and banks are increasingly uninterested in selling them.

    Bonds that fund companies’ environmental projects, or give corporations an incentive to improve their governance or achieve social goals like boosting gender equality, have seen sales drop this year. US-based companies sold just $18.2 billion of the debt, known as environmental, social and governance bonds, through August 16 — the least since 2019’s $12.5 billion, data compiled by Bloomberg shows. The decline comes as sales of other investment-grade corporate debt has jumped.

    Banks and investors cite a series of reasons for the drop. Republican politicians in states like Texas and Kansas have been trying to block government entities from considering ESG issues when buying securities. More investors are questioning whether the bonds achieve their goals or just amount to greenwashing. And US ESG-related stock mutual funds have returned 14% on average this year, underperforming the S&P 500 index.

    This marks an about-face from a few years ago when demand for sustainable debt funds surged as investors clamored for assets aimed at making the world better, in the aftermath of the Covid-19 pandemic and social upheaval following the killing of George Floyd. Companies issued a record $94.5 billion in ESG bonds in 2021 on the back of that demand.

    The politicization of ESG debt has also eroded the price advantage that issuers enjoyed during the ESG market’s boom years. Environmentally-conscious investors previously rewarded issuers with a juicy so-called greenium — the spread of an issuer’s green bonds to non-green bonds. But that price benefit has been disappearing in the US high-grade market, resulting in a loss of investor appetite that has made it less practical for US companies to come to market.

    https://finance.yahoo.com/news/us-esg-bond-market-facing-143741230.html

  18. Auditor PwC has lost its largest mainland China-listed client, Bank of China , to rival EY, adding to an exodus of clientele amid a regulatory investigation into its work on troubled property developer China Evergrande Group.

    State-owned Bank of China had as recently as March stated plans to reappoint PwC as its auditor for 2024 but in a filing late on Monday said it plans to appoint EY. The decision will be submitted for shareholder approval, it said.

    PwC, once the leading auditing firm in China, declined to comment.

    Bank of China paid PwC 193 million yuan ($27-million) in auditing fees last year, filings show. That’s more than the combined auditing fees from its three next biggest domestically listed clients for 2023: China Life Insurance, China Telecom and insurance giant PICC. The trio have also dropped PwC as a client, according to filings.

    At least 50 Chinese firms, many of which are state-owned enterprises or financial institutions, have either dropped PwC as their auditor or canceled plans to hire the firm in recent months, a Reuters examination of filings shows.

    https://www.theglobeandmail.com/business/international-business/article-pwc-loses-major-client-bank-of-china-amid-regulatory-probe/

  19. Now that Gov. Gavin Newsom signed into law a spate of retail theft bills pushed by Democratic leaders, some Democrats are primed to champion the legislation and oppose a separate crime ballot measure, Proposition 36.

    Assembly Speaker Robert Rivas plans to promote the 10 new laws today in Salinas, alongside police officers, business leaders and a handful of other legislators. As CalMatters criminal justice reporter Nigel Duara explains, the laws make it easier to prosecute people for retail and vehicle theft. When Newsom signed the measures on Friday, he called them “the most significant legislation to address property crime in modern California history.”

    Now that Gov. Gavin Newsom signed into law a spate of retail theft bills pushed by Democratic leaders, some Democrats are primed to champion the legislation and oppose a separate crime ballot measure, Proposition 36.

    Assembly Speaker Robert Rivas plans to promote the 10 new laws today in Salinas, alongside police officers, business leaders and a handful of other legislators. As CalMatters criminal justice reporter Nigel Duara explains, the laws make it easier to prosecute people for retail and vehicle theft. When Newsom signed the measures on Friday, he called them “the most significant legislation to address property crime in modern California history.”

    GOP Assembly Leader James Gallagher of Chico and Prop. 36 backer, in a statement: “Newsom doesn’t deserve an ounce of credit for fighting the crime crisis.”

    https://www.msn.com/en-us/news/politics/ca-democratic-leaders-champion-crime-legislation/ar-AA1p3dB5

    1. “the most significant legislation to address property crime in modern California history.”

      Barn door left open
      All of the horses have fled
      Hurry, shut the door

  20. Amid high interest rates, uncertain global economic climates, the US presidential election and a glut of vehicles available, vintage car collectors downshifted their spending in Monterey, California, at overcrowded auctions that ended on Aug. 17.

    Weeklong totals when auctions closed hit $371 million, down 8% from 2023, according to data provided by Hagerty Inc., well below the bonanza days of $469 million sold in 2022. Half of the vehicles sold failed to realize their low price estimate, a Hagerty spokesperson confirmed.

    “Not great,” is how Simon Kidston, an analyst and consultant who founded the K500 Index of classic car data, described the results. He blamed the high number of vehicles for sale—most of which had already been offered in recent months—and the hectic car week schedule as much as interest rates and geopolitical uncertainty for the lackluster results.

    “With auction houses trying to flood the market all at the same time and all at the same place, no matter how strong a market, it can’t absorb that kind of saturation,” Kidston says. “There were too many cars, too many similar cars, all offered at the same time during a busy weekend of lunches, dinners, launches, concours, racing and private hospitality. With so many different things going on, your head would have been spinning after 24 hours.”

    “I think we’re coming back to slightly more sustainable levels,” says Kidston, who has described the Porsche market as “massively hyped” in recent years. “Clearly the beanstalk cannot grow to the sky. Those cars, let’s not forget, are still worth a lot more than they were three or four years ago. They might just be worth less than they were 18 months ago.”

    https://www.msn.com/en-us/autos/enthusiasts/vintage-car-sales-get-freezer-burn-as-collectors-value-patience/ar-AA1p4LI6

    1. A car that I wouldn’t mind having is a resto-mod 78 Trans Am, with an updated suspension, brakes, LS engine and a modern transmission.

      What I would mind is paying what they go for now.

      1. “A car that I wouldn’t mind having is a resto-mod 78 Trans Am, with an updated suspension, brakes, LS engine and a modern transmission.”

        All you would need then would be a Sally Field 78 resto-mod and you’d be in business.

        1. It wouldn’t have to be the Bandit treatment. I’d take a red one.

          I’ve seen a few youtube vids of resto-modded T/As. I’ve always liked the 70’s era Firebirds. Sally Field is optional

          1. “I’ve seen a few youtube vids of resto-modded T/As. I’ve always liked the 70’s era Firebirds.”

            Agreed, bad @ss car.

  21. More than 28% of Americans are now searching for a new job — the highest rate in a decade
    People’s fears of losing their job are at the highest point in a New York Fed survey’s 10-year history, even as the unemployment rate remains low.

    https://www.nbcnews.com/business/rcna167368

    A new labor market survey shows Americans have rarely felt more in need of new job opportunities — an indication of a more negative outlook about the economy despite other data that suggests a more stable picture.

    The New York Federal Reserve’s latest poll of consumers found 28.4% of respondents were looking for a job — the highest reading since March 2014 and up from 19.4% a year ago. That includes both individuals already out of a job and ones currently employed but seeking new roles.

    The readings, from the New York Fed’s thrice-annual Survey of Consumer Expectations Labor Market Survey, add to evidence that the U.S. economic outlook is worsening, even as some economists dial back their odds of a recession. While the unemployment rate remains relatively low at 4.3%, it is up from its post-pandemic low of 3.5%.

    After a period of booming post-pandemic growth — tempered by surging inflation — signs continue to mount that the U.S. economy is entering a significantly softer period.

    “The vibes have gotten worse,” said Guy Berger, director of economic research at the Burning Glass Institute, a labor research group.

    He said the survey likely reflects respondents’ hearing about or having someone in their social network who’s experienced difficulty finding work.

    “It’s not like people should be panicked — this is not like 2008, or Covid — but, given an ordinary person’s balance of risks, it probably is a little higher,” Berger said.

    Expectations of losing one’s job also hit a record, the new survey found: The average expected likelihood of becoming unemployed rose to 4.4%, up from 3.9% a year ago and the highest level ever recorded for the survey, which goes back to 2014.

    Despite those increasingly worrisome datapoints, economic forecasters say a full-blown recession, commonly defined as two-consecutive quarters of negative growth, remains unlikely.

    Berger noted that layoffs remain low, and that the percentage of the population aged 25 to 54 who is employed, at 80.9%, remains at all-time highs. Overall labor force participation, or the share of the adult population that is employed or unemployed, has been stable for the past year at just under 63%. And the rate of job openings to positions remains above pre-pandemic highs at 4.9%.

    “The U.S. economy is doing just fine with steady growth,” Torsten Slok, chief economist at Apollo Global Management financial group, wrote in a note to clients Saturday, citing additional “steady” data in restaurant and travel bookings, as well as credit card and bank lending.

    But Berger said there is no question about the economy’s ongoing slowdown.

    1. Despite those increasingly worrisome datapoints, economic forecasters say a full-blown recession, commonly defined as two-consecutive quarters of negative growth, remains unlikely.

      When the government cooks the books there is never a “recession”.

      Meanwhile a quarter of the workforce is worried about being dejobbed. And if one considers how many work for the government that number actually looks even worse.

      The strongest economy ever.

  23. ‘Real estate agents and analysts alike advise those struggling to sell their home to consider a price reduction or renovations and repairs. ‘I hate to say this, but really, it’s greed,’ Picolo said. ‘There are a lot of sellers out there who have a lot of equity, yet they still want to make even more money’

    Shame those sellers Joel!

    ‘Picolo said he was shocked by what a realtor recently told him in reference to a high-end property that sat on the Metairie market for a while. ‘She said, ‘The sellers do not want to lower the price, because it will look bad. Make a low-ball offer’

    That’s the spirit realtor, an offending shock therapy for the would be mover and you set it all up!

  24. ‘He shared that there is over 24 months of inventory on the market and that those condos are plummeting in value, down 19% from last year. ‘No buyer wants to take the risk of walking into a black hole in space,’ said Studnicky. ‘That’s what a special assessment seems like at the moment, and the mortgage lenders feel exactly the same way’

    24 months. It was a red hotcakes sellers market about a year ago.

  25. ‘She quickly signed a contract. Truelock, 65, was told her project would be completed in 12 months. Instead, she said she found herself in early 2024 out more than $40,000 with an empty backyard. Truelock is one of about 800 members who have joined the Facebook group ‘Scammed By Anchored Tiny Homes’ since late last month…‘There are people in that group who have paid hundreds of thousands of dollars for absolutely nothing’

    I don’t give a contractor more than 500 pesos if no work has started Jan.

    ‘Franchisee owners are left with a brand that may soon be bankrupt’

    Check out the article, these franchise guys got schlonged.

    ‘After four months, he was promoted to Chief Officer of Operations’

    They were installing their fall guy Chris.

    ‘Three months later, he handed in his resignation letter. ‘At the core of all of this, you got three really malevolent bad people, and then around all of that, you have wonderful subcontractors, awesome clients, great employees,’ Pace said, ‘and everybody just got screwed’

    Well another long tale of woe added to the tiny shanty bubble.

  26. ‘It’s time to move on…We’ve been looking at this tower for almost four years. I know that there’s a lot of us that wanted to see it saved, but four years is long enough for us to stare at this eyesore in our community’

    I’ve been saying that for months Nic, it was all a horrible mistake and it’s far better to just tear down. Let the chips fall.

  27. ‘started construction on a luxury hotel in St. Albert and that cross-guaranteed the repayment of a $65 million loan for Careadon Village, a seniors apartment complex whose original owner went bankrupt’

    Cross-guaranteed, that’s it, roll those dice baby!

    ‘Last November, Careadon Corp. was declared bankrupt. UMC took control of Careadon and received seven offers for the property, but deemed the offers too low and decided to purchase and complete the building itself’

    And we have a knife catcher.

    ‘Each of the companies listed in the statement of claim failed to pay the money owed to UMC by the Sept. 30, 2023 deadline, UMC alleges. The claim lists as potential remedies the foreclosure of each of the companies’ properties and the appointment of a receiver’

  28. ‘Why would you buy a house just to come and use it for a short amount of time? Why wouldn’t you just come down and, you know, stay in a hotel?’

    Because they expect the rock shack to make them rich Lizzy.

    1. It’s also a status symbol. Having a vacation house in Cornwall, especially in St. Yves shows that you “made it”.

  29. ‘The numbers swelled after billionaire Li Ka-shing family’s flagship developer CK Asset asked the buyers of units at its #Lyos housing project, who did not go ahead with their purchases, to pay the price difference after reselling the flats at discounts of as much as 32 per cent, according to local media reports…‘The original buyers chose stage payment plan and bought the flats when the market was at its peak in 2021’

    You fooked them going in and fooked them going out Roen.

  30. Seller’s Desperately Hoping For A Strong Fall Market (Toronto Real Estate Market Update)

    Team Sessa Real Estate

    12 minutes ago

    In this episode we take a look at the current Toronto Real Estate Market specifically the detached home prices and market trends for week ending Aug 14, 2024. We also pull back the curtain on what seller’s are thinking heading into the fall real estate season.

    https://www.youtube.com/watch?v=Bjq4yTr6CIg

    8:41.

  31. Robert F. Kennedy Jr. speaks to media after arriving too late to testify in Pa. Commonwealth Court

    PennLive.com

    7 hours ago

    Robert F. Kennedy, Jr. speaks to the media after leaving the Pennsylvania Judicial Center in Harrisburg after his hearing regarding his eligibility to be on the presidential ballot in Pennsylvania. Kennedy, whose flight was cancelled at the last minute, arrived too late to testify.

    https://www.youtube.com/watch?v=mN_ULVTMqxI

    2:23.

  33. Does it seem like scooping up single family homes is a no-lose real estate investment strategy, thanks to the Fed’s inflation creation efforts?

    1. – A Colorado home that looks straight out of ‘The Flintstones’ asks $989K

      – Retirees explain why they’re fleeing Florida: ‘It’s all strip malls’

      – Record 60,000 home deals crash in July amid election fears

      Real Estate
      Investors are quietly scooping up 1 in every 6 single-family homes in these cities
      By Mary K. Jacob
      Published Aug. 20, 2024, 5:11 p.m. ET

      Home prices might be breaking records, but that hasn’t stopped real estate investors from diving in headfirst, snapping up properties at a blistering pace.

      According to Redfin, investor home purchases surged 3% in the second quarter, with these savvy buyers scooping up one in every six homes on the market. In total, they shelled out a staggering $43 billion — up nearly 14% from last year.

      The hot ticket? Single-family homes.
      …
      https://nypost.com/2024/08/20/real-estate/investors-are-quietly-scooping-up-1-in-every-6-single-family-homes/

  34. Would it upset you to learn the value of your home dropped by $30,000 … in one month!?!!

    That’s alot of money down the real estate rat hole.

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