The U.S. real estate market is facing potential challenges as the Federal Reserve considers slowing the shrinking of its holdings, possibly leading to the end of quantitative tightening. With home values in Austin, TX already down 16% from their peak, warnings of a housing market collapse are emerging. Real estate agents are targeting home sellers for commissions as buying slows down, but experts caution against hasty purchases, advising to rent instead unless there is ample liquidity. The evaporating Reverse Repo cash on deposit at the Fed, which is funding the deficit, is also being closely watched, with implications for the end of Fed QT and liquidity in the UST market.
We have been saying for weeks: watch the evaporating Reverse Repo cash on deposit at the Fed which is funding the deficit. As it falls and liquidity in the UST market also falls, the next step is the end of Fed QT. https://t.co/td6m6dhfQD
The Austin, TX Housing Market is turning into a bloodbath. Home Values already down -16% from their peak in mid-2022. 📉 Warning signal to rest of US Housing Market. Once inventory rises, all bets are off. https://t.co/ojIGnovtov
As buying dries up, real estate agents now target home sellers for commissions. Don’t fall for this. By March home sale volumes will explode while prices will go no where. This will be the climactic top in US housing market before a collapse.
Fed deliberations on slowing the shrinking of its holdings will start as soon as this month’s policy meeting and aim to avoid disrupting financial markets https://t.co/kn9miN7qLQ via @WSJ Important note from the Fed Whisperer. One important lesson is not to look at where…
QT is over. Countdown to QE has begun Here is Nikileaks: "Fed officials are to start deliberations on slowing, though not ending, that so-called quantitative tightening as soon as their policy meeting this month" https://t.co/vwZcXz5gDG
Dear Americans, Don't buy the real estate if the rates go down. Think a bit on it about the following items before moving hastily to purchase your primary residence or investment property. Just rent unless you really have the liquidity to make the purchase. Here's why:…