Hold on FROGS! Interest rate cut is inbound. Possibly on or by symbolic 10SEP2025 date. Andrew Jackson terminated Bank#2 on 10SEP1832. Bank WAR Redux.
(media.greatawakening.win)
🐸 WAG THE FROG 🐸
Well that absolutely sucks. It should be at least 8 percent.
Whos brilliant idea is it to lower rates when this will sky rocket market inflation all over again!
Just so you can get a loan to buy a house priced at 2 million dollars in Kentucky??
Just great now the banks will drop interest rates down to nothing and no return on ones savings.
Home prices are a "fabricated valuation" due to artificially restricted supply due to illegals getting priority for both rentals and purchases. It is a manufactured shortage, intentionally to drive up prices so we cannot afford it. Corporate entities are buying up and then restricting the use of nearly 40% of the supply. And then the banks are conspiring by refusing to provide mortgages at any price to 30% of the native born population, and screwing another 30% of the native population with too high mortgage rates.
It is cartel-like activity not the low interest rates that drive up the whole market prices.
Check this out during Reagans term. To lower hyper inflation you have to keep the rates up but to your point real estate value is supply and demand also interest rates.
"During President Ronald Reagan's term (January 20, 1981 - January 20, 1989), the prime interest rate reached a high of 21.5% in January 1981. This rate was quickly lowered, but the prime rate remained high, peaking again at 21.5% in June 1982."
The high interest rates contributed to a recession in the early 1980s. However, as inflation dropped and the economy recovered, interest rates also began to decline. By August 1988, near the end of Reagan's second term, the prime interest rate had been reduced to 10%. ""
3rd way out is to drop the rates just low enough to allow a huge number of owners to refinance and provide enough general market liquidity to get the new homebuilding going again. New homes (higher quality) prices might start to be lower than existing homes, and that would allow existing owners to swap out of current houses for a new one without taking a huge bath on monthly payment.
Everyone getting an allocation of the Sovereign Wealth fund (or collateralizable Social Security Trust allocation) with the ability to borrow against it to buy a house would also lubricate the highly manipulated housing market. It seems inevitable at this point that home prices will drop some once the manipulated supply side is fixed with supply-enhancing liquidity. The only big loser is the criminal counties stealing property taxes unlawfully when they get a slightly smaller cut.
CAVEAT: New houses must have ALL "Green requirements" and restrictions removed. This is why new houses are currently not in demand by those that can choose existing or new.
There may be some macro issues here as well because the US has relatively high interest rates and EU has rock bottom, so EU/Swiss bankers are using the difference to do "rate arbitrage" (borrow in EU, collect interest in US) and then print huge profits. Pretty sure Trump wants to stop that "engineered grift" (at our expense) as well.
Cartel activity (you mispelled Joos) you are right.
Rigging the housing market like the stock market but along with really low interest rates causes kaos.
Dropping the interest rates down to zero at this time would destroy this country.
I for one would be effected because I have various online savings that pays about 4%.
I put up with .00001% for a long time.
There is no harm in keeping interest rates at 6-8% while waiting for the mass of illegals get deported opening up more housing do to substantial price drop.
Good point:
It might be "very limited harm" (for a few more months) due to market interest rates somehow keep drooping lower than the headline FedFunds rate. The market may be already partially bifurcated right now in our favor to prevent Fed driven attempted market crash. Liquidity is seeping out from somewhere.
Like the old saying goes. You can have your cake and eat it too.
Diving house prices with higher interest rates.
I was doing some work for a former girlfriend of Jack Nicholson back in the day and she told me about a neighbor friend that had an offer of one million dollars from this Corporation if they cleared out of their house in 30 days.
Now this was around the corner from her house. She said their house was worth around 350 K.
So they jumped on the price.
She went on to say they renovated the house and put it on the market for 750k.
My thought was they were doing this across the country to trigger higher appraisals which exploded the housing market.
This was early 2021.