The real estate bubble has burst. Just like 2008.
But, unlike 2008, the prices of suburban housing in The US, especially in blue cities, is going to zero.
This doesn't have much to do with the mortgage rates doubling (and will be trippling)
The only thing keeping house prices elevated is the lack of supply.
And so, all it will take is a little supply, from any source, for the prices to go down.
But, what about a WHOLE lot of supply?
What about more supply then could ever be filled?
This is what we are facing. Everyone is leaving the suburbs
Baby boomers are leaving
The largest generation have worked as long as they could, and now are going to be forced into retirement, and retirement homes rather quickly. Most alienated their children, leaving them to raise themselves as they partied, so these children are not choosing to be their caretakers as they get old.
So, the baby boomers will moving into care facilities or the mortuary plots.
It is just a matter of time before this group of people unload their houses. Whether they want to or not.
The only way the crash doesn't happen is if the smallest generation (and BlackStone) buy up all the houses from the largest generation. Not gonna happen. House prices are going to drop.
VAXXXed are leaving
All causes mortality is up and staying up. It is my opinion that many more people are going to die of VAXXX complications. We are seeing weird blood clots, and we aren't doing anything to clear these out of everyone. This isn't something we can just ignore and hope it gets better. This is something that makes your heart have to work harder. And over time, this will cause more deaths.
And this isn't the only vector the VAXXX has to shorten people's lives.
Add this to the upcoming very COLD winter, we will see a lot of people shuffling off their mortal coils.
After this winter, there will be a lot of empty houses (that need people with strong stomachs to clean out)
There are predictions that we don't have enough crematoriums to handle all the deaths that are coming.
The housing market will never recover from this.
Anyone who can read the writing on the wall is leaving
Stores are closing in San Francisco. This is shocking news! Why are any stores left in San Francisco at this time? All the "stores" should have migrated to a concrete bunker model, with a one way stainless steel door to slide people out the order they paid for. SF is just the leader in this. Many other cities, the shopping malls are already gone.
The corporations are cutting back on staff, while fast food restaurants can't get enough people to work for them. In other words, their isn't enough of the good jobs to keep the wealthier people paying for all the service people to have jobs. And the service jobs are failing even worse because they cannot keep up with rising costs of living.
People that can get out, are leaving the large cities.
More and more there will be less and less reasons to live there.
The only people who will be left are those who just can't get away.
And then the food riots come.
Over time, and we are talking about less time then it took for the 2008 crash to complete, we will see suburban houses go from a million dollars to zero.
How do you balance supply and demand when there is more supply than can ever be used? And anyone who is capable of leaving, won't want to live there. The answer is, you can't. There will be so much supply, that people will just find an empty place to move in to.
Later in the future, plucky young kids will go through these suburbs removing everything of value, anything that can be reused. All the copper, electrical and water. They may even be removing windows and doors. These will all be shipped to small communities that will be out where people can grow food.
In this way, the largest misallocation of resources of the last century will come to an end.