The banks are doing the same thing they did back just before the 2008 housing crisis.
Lending money to people who can't afford a home.
Can't pay 3% down? How about just 1%? "We will pay the other 2%, for non-qualified buyers"
Minorities can get loans while decent credit middle class people can't.
All that is left buying homes now is stupid money.
People who believe the lie that house prices only go up, and if they do not hurry up, they are going to miss out.
(and the interest rate will only keep going up! Hurry!)
These people will be left homeless and have their credit score destroyed.
They won't be able to refinance, nor will they be able to sell their home...
As we enter into the Greatest Depression
Wait a couple of years and you can take your pick from empty suburban houses.
I estimate that in a few years, maybe as soon as this next winter, 20% of suburban homes will be vacant. And when you have ⅕th of the houses vacant, and a falling birth rate. There will be a surplus inventory that will never fill.
You may have to remove a decaying corpse or two, but the house will be yours for asking. Of course you will have to deal with the roving bands of hungry people looking for food, but that may still be a few years off.
The bank failures are just starting.
The Fed killed them, it is just a matter of time before they fall over.
It was the plan.
Small banks are the ones who, for the most part, originate auto loans.
Medium banks are the ones who usually originate mortages
With the small and medium sized banks all but gone, the average person is not going to be able to get a mortgage. They just won't exist for the middle class.
With the house prices dropping,
and the banks going bust,
I, for one, will not be sad to see mortgages go.
I hate the idea of mortgages, a contract that so heavily favors the bank that it should be criminal (but the banks wrote the law).
Good riddance.
However, this many ramifications.
Houses will sell for what a person has in pocket. Without the availability of mortgages, the price of property will fall to levels where a person can pay for it with their savings.
Home owners may sell their house as rent-to-own, or finance the house buyer themselves. Or we may see the actual start of crypto loans for financing. Or, they may give any excess houses to people who will maintain them.
Huge tracts of houses will be left empty, rotting, until some enterprising young people start dismantling them.
Some houses may not be affordable at all. As in, the heating bill is too costly. Without top notch insulation and passive solar heating, a house may simply cost to much to live in, even at the low price of zero dollars.
Further, the single family home on a postage stamp lot will not be useful in the future. No space for gardens. Inhospitable for community interaction. Wasted space. Costly to maintain...
The mother WEFers' plan is to have Black stone/rock buy up all the houses, and then rent them to the people, in 15 minute surveillance cities.
However, unless they intend to bulldoze down most of their inventory, it is going to come about that all the suburban houses are just going to be worthless.
You can't get a mortgage to buy one, and why would you buy one when 20% sit empty?
And why would you rent one from Black stone/rock?
They bought them with your money, paid though inflation, and aren't going to be doing anything to earn the rent they want to charge. They will come with all the amenities, like 24/7 surveillance. Doors that lock you in, but do not keep bad guys in blue uniforms out. A very stressful place to live, many will prefer to live under a bridge.
I suggest you sell your suburban house(s) and move out to a place where you can build a greenhouse and grow a garden.
