[Lwcasu]

Originally Posted by TxCaNv

All of my realtor's "Price Change" listings this week averaged out around $7,500. I'm not counting the one listing that went down $500 LOL.

Normal price changes used to be $1000 or less.

Yeah, it makes sense. People aren’t getting paid, so even though monetary supply is loose, that money goes to the top and there’s less money going through the market and less to go towards real estate. Some people will have to sell and you start to see price drops.

[08grad]

Originally Posted by eventusstultorummagister

FYI...

https://www.cnbc.com/2020/04/13/coro...-one-week.html

"Requests for forbearance jumped 78% for the week ended April 5 compared with the previous week, according to the Mortgage Bankers Association"

Government offers people "no mortgage payments for a year!"

People take government up on offer.

SeE gUyS tHe EcOnOmY iS cRaShInG!!!!1! gIvE mE cHeAp HoMe NaOOOOOOOOOO!!!!!11!!

[Lwcasu]

The problem with forbearance is you generally have to pay a lump sum at the end correct?

[RationalExpectations]

Originally Posted by Lwcasu

Yeah, it makes sense. People aren’t getting paid, so even though monetary supply is loose, that money goes to the top and there’s less money going through the market and less to go towards real estate.

You're mixing apples & oranges. The Fed is ensuring liquidity in the markets. That has zero to do with your equally false assertion that "money goes to the top."

[WestieJeff]

Ensuring liquidity is one thing. The fed buying corporate bonds, including junk rated bonds, that does likely send money to the top.

Originally Posted by RationalExpectations

You're mixing apples & oranges. The Fed is ensuring liquidity in the markets. That has zero to do with your equally false assertion that "money goes to the top."

[strato58]

Its way way early. The **** hasn't even hit the fan yet. Relax whats the rush?

[RationalExpectations]

Originally Posted by WestieJeff

Ensuring liquidity is one thing. The fed buying corporate bonds, including junk rated bonds, that does likely send money to the top.

No, it does not.

The owners of corporate bonds, including junk bonds, are public sector pension plans, private sector pension plans, individuals in 401Ks & IRAs and other tax-advantaged accounts, individuals in regular (non-tax-advantaged) accounts, individuals through ETFs, and the like.

[equid0x]

Its Deutsche Bank and its portfolio of derivatives that we really need to worry about.

[eventusstultorummagister]

Originally Posted by 08grad

Government offers people "no mortgage payments for a year!"

People take government up on offer.

SeE gUyS tHe EcOnOmY iS cRaShInG!!!!1! gIvE mE cHeAp HoMe NaOOOOOOOOOO!!!!!11!!

Nobody wants your cracker-box palace, stop embarrassing yourself.

[eventusstultorummagister]

Originally Posted by WestieJeff

Ensuring liquidity is one thing. The fed buying corporate bonds, including junk rated bonds, that does likely send money to the top.

In some cases, they're not even making the purchases, just announcing them, which has the same overall effect on the market.