Housing Market Data Beginning To Show Signs of Life
After the biggest (in lost value) and longest (in years) housing downturn in history, U.S. property markets are finally beginning to show signs of consistent recovery.
When the subprime mortgage market completely collapsed in 2008, the most significant immediate impact was felt in the credit markets. Most casual investors are not aware of the incredible importance of credit markets in the day-to-day operations of global, developed economies. Banks such as Bank of America, UBS, HSBC, etc., all finance their day-to-day operations by lending to one another in the overnight interbank market. When the subprime market imploded in ’08 and Bear Stearns, Lehman, and Freddie & Fannie all collapsed, banks essentially stopped lending to one another because no one knew who was going to be next in line. Would you want to loan a few hundred million dollars to someone if you didn’t know whether they would be in business the next day?
This content is exclusively for paying members. Access all of our content on including years of timeless investment news and in depth analysis for only a few dollars a month by signing up here while also supporting quality content and journalism, or learn more about our premium content here
If you are subscribed and having an account error please clear cache and then cookies if that does not work email email@example.com and we will get back to you as quick as humanly possible