Mar. 18 at 12:47 AM
$SPY $LEN $HD $LOW $TLT
It’s fairly clear that rates aren’t coming down much on 30 year mortgages.
As home builders continue to oversupply the market for this cycle, only one thing can happen.
Lower home prices.
Well, I guess the FED could start buying MBS again at 2-3%? 🤣
I simply don’t see that happening. After all, they’re doing their best to shed the current MBS from their balance sheet.
Home equities will get slaughtered even more in the next 12-24 months.
All of the false sense of net worth will vanish, especially as the market falls 30-50% in late 2026-mid 2027.
Let’s see what happens.
https://wolfstreet.com/2026/03/17/pending-home-sales-ticked-up-from-record-low-but-now-mortgage-rates-spiked-back-over-6-3/