estate
Kamala’s vision for the most expensive real estate in the world
by James Hickman Just as Peter predicted on Wednesday after the monthly inflation report came out, Joe Biden and Kamala Harris almost immediately went into self-congratulatory mode to brag about how great they are at managing the economy. As President Biden told a gathering of reporters on Wednesday, “I said we’re …
When Japan reached US-level demographics, real estate prices fell for 28 years straight.
When Japan hit current US level demographics, real estate prices fell for 28 years straight. In 1995, the median aged Japanese person is the same age as a median aged American today. pic.twitter.com/NCuxhXqLYp — Darth Powell (@VladTheInflator) July 22, 2024 We had the largest speculative mania in house in US …
The Rot in the Commercial Real Estate Market in One Story
by Mike Maharrey I’ve been watching the commercial real estate (CRE) sector as a potential catalyst for the next financial crisis. So far, it has managed to hold together, but there is still trouble brewing under the surface. The story of one commercial real estate investment by UBS Group is a microcosm …
The Downside of Complacency: Illiquidity Evaporates Stocks and Real Estate
Authored by Charles Hugh-Smith via oftwominds, Confidence / complacency doesn’t map the real world, in which liquidity dries up and markets go bidless. When Alan Greenspan issued his mea culpa in late 2013 about missing the subprime mortgage implosion and the resulting Global Financial Meltdown (Why I Didn’t See the Crisis …
Deutsche Bank warns of significant losses from commercial real estate, reports €143M Q2 net loss. Blackstone Mortgage REIT cuts dividend amid distress
Deutsche Bank: Deutsche Bank has indeed reported significant losses from its commercial real estate exposure. The bank posted a net loss of €143 million for Q2 2024, largely due to provisions for credit losses and a substantial litigation charge. Blackstone Mortgage REIT: Blackstone Mortgage Trust (BXMT) has cut its dividend by …
Video from the #1 Realtor in Chicago who has sold $1.75 billion of real estate
This is the August 17th date he keeps talking about. Sellers will reduce 3% commissions for buyers to move inventory pic.twitter.com/fTiR1aH1HD — QE Infinity (@StealthQE4) July 23, 2024 https://chicagoagentmagazine.com/2024/05/03/changes-to-mls-from-nar-settlement-to-take-effect-aug-17/
The next big housing market crash may be worse than 2008… Thousands of real estate agents are going broke!
Is there a housing crash brewing for the rest of 2024 and into 2025. Aren’t the home prices currently the highest that they’ve ever been in the recorded history isn’t the home affordability Factor the lowest it’s been in the last 40 years or so isn’t it a fact that …
Phase 2 of the Commercial Real Estate Crisis is Here (the banks are in trouble)
George and Ken discuss the CRE crash and how it’s now spewing into the banking system
Housing inventory up 40% yoy. Signals in construction activity are mirroring the period leading up to the 2008 crash.
Altos reports that active single-family inventory was up 1.1% week-over-week. Inventory is now up 32.1% from the February seasonal bottom, and at the highest level since July 2020. This inventory graph is courtesy of Altos Research. As of July 5th, inventory was at 653 thousand (7-day average), compared to 646 thousand the prior …
Strategist Chris Vermeulen predicts a 30% plunge in U.S. real estate values
The real estate market is in for sharp correction with losses that could take a decade to recover from, strategist says A strategist says to brace for a steep correction in residential and commercial property prices. Chris Vermeulen says he sees a wave of real-estate distress on the horizon. Foreclosure …
Pending Home Sales FALL TO AN ALL TIME LOW!
The national Association of realtors has been keeping track of pending home sale data since 2001 and May 2024 was literally the worst month on record since then. Pending home sales have now fallen into an all-time low in this supposedly fantastic housing market. I think the data speaks for …
Ivanka Trump Speaks: Politics, Family, Real Estate, Fashion, Music, and Life…
Ivanka Trump is a businesswoman, real estate developer, and former senior advisor to the President of the United States.
80% of real estate brokerages face profitability risks with 2% agent commissions; 60% at 2.5%.
According to a study published by AccountTECH, real estate brokerages face profitability challenges if agent commissions decrease. Here are the key findings: Commission Rates and Profitability: If the terms of the National Association of Realtors’ (NAR) nationwide commission lawsuit settlement lead to typical agent commissions dropping to 2%, approximately 79% of brokerages would be unprofitable. Even …
Real estate fund redemptions hit $16.5 billion, sole negative S&P 500 sector YTD.
Real-estate fund redemptions are on the rise. Industrywide, redemptions from real-estate funds are expected to reach $16.5 billion this year, while new fundraising has dwindled to $5.7 billion1. This trend is significant for a market that totals $90 billion. One major catalyst behind this surge in redemptions is Starwood Capital Group, which has significantly tightened restrictions …
Wall Street banks are quietly dumping commercial real estate loans amid financial concerns.
Some Wall Street banks are quietly offloading their portfolios of commercial real estate loans, hoping to cut their losses. These actions stem from concerns that landlords of vacant and struggling office buildings may not be able to pay off their mortgages. The broader distress in the commercial real estate market …
UBS auctions Midtown Manhattan office at $8 per SF, highlighting NYC real estate struggles
It’s quite an unusual move! Swiss bank UBS, along with its brokers at JLL, has listed a nearly 1 million-square-foot Midtown office building at 135 West 50th Street for sale on the online auction platform Ten-X. Here are the key details: Building: The 920,000-square-foot property is a Class A building constructed in …
We’re in the midst of a sharp downturn in commercial real estate construction
Multifamily—which is working through a large pandemic era pipeline—is in the early stages of its downshift pic.twitter.com/CDWLL5rxPO — Lance Lambert (@NewsLambert) June 20, 2024 🏢📉 CRE CLO distress rate hits 9.74% in May, up 114 bps! 📊 Over 36.5% on watchlists. 🤔 What’s your take? #RealEstate pic.twitter.com/ILY3DYO5fB — Kaufman Real …
US banks sell assets at an unprecedented rate due to commercial real estate crisis and bad loans
https://www.youtube.com/watch?v=WERFY50cJt4 The financial situation in the United States is experiencing a significant change as major banks are selling off assets at an unprecedented rate. This move is caused by the imminent commercial real estate crisis, bad loans, and high interest rates. This situation is not just a financial maneuver but …
Canada’s real estate bubble is twice as big as Japan’s 1990s bubble
In the 1990s, Japan’s massive real estate bubble popped and it still hasn’t recovered. It’s known as one of the largest real estate bubbles ever. Canada is the orange line. It’s literally twice as big. pic.twitter.com/2H15JVeN3K — red pill rick (@igetredpilled) June 12, 2024 Japan’s Real Estate Bubble (1986-1991): The Japanese …
US commercial real estate faces a crisis: 19% office vacancy rate hits record highs, $1.7 trillion of debt maturing soon. 2/3 of all CRE loans held by small banks
The landscape of US commercial real estate (CRE) is facing unprecedented challenges, with prices plummeting 21% from their 2022 peaks. The latest figures reveal a staggering milestone: the US office vacancy rate has surged to a historic high of 19%, eclipsing levels observed during the financial crises of 2008 and …
282 Banks at “risk of failure” from commercial real estate and Fed rate hikes.
CNBC: 282 Banks at "risk of failure" from commercial real estate and Fed rate hikes. When the Fed was founded it solemnly swore to protect the dollar. That has morphed into a bailout industrial complex — a "third mandate" — that is increasingly too big to bail out. pic.twitter.com/VMeBe5wmE8 — …
Banks are more exposed to commercial real estate debt than it seems
Big lenders are more exposed to commercial real estate than it might seem at first glance, a study says. In addition to lending to property owners, big firms also offer indirect lending to REITs, raising their exposure by about 40%. Wall Street has been worried about distress in commercial real …
Banks have been extending credit! 2024 might be the worst year for Real Estate Investments
Banks have been extending credit using a rule of thumb that a property’s operating income will be at least 8% of the loan every year, though other experts claim a 10% test is being applied to some newer loans. h/t TheNeighborhoodNerd
Real estate agents are fleeing the field. Is that good for homebuyers?
When real estate broker April Strickland looks at her local housing market in Gainesville, Fla., she sees a mismatch. Industry data show that only a few hundred homes are sold each month, she said, yet there are more than 1,500 local Realtors. Strickland has seen the ups and downs of …
The Recession just hit Home Depot. Real estate downturn getting worse.
The recession in America just hit Home Depot and Lowe’s, home improvement stores whose success is fundamentally linked to the US housing and real estate market. Home Depot reported a big revenue miss on the quarter. While Lowe’s reported revenues down 17% YoY in Q1 2024. These poor performances are …
DOJ challenges NAR’s settlement, demanding stricter real estate regulations.
DOJ lawyer just told a judge the National Association of Realtors settlement doesn’t go far enough, and that they don’t want seller agents offering compensation to buyer agents on the MLS or anywhere else. Key points: DOJ contests adequacy of NAR settlement in real estate practices. Advocates for ban on …
Top-rated commercial real estate bonds hit with first post-crisis losses.
For the first time since the financial crisis, top-rated bonds backed by commercial real estate debt are suffering catastrophic losses. Investors in a $308 million note tied to the 1740 Broadway building received less than three-quarters of their original investment after the loan sold at a steep discount, marking a …