Are $Trillions Of New Loans About To Be Pumped Into The Housing Market?
Are $Trillions Of New Loans About To Be Pumped Into The Housing Market? | Melody Wright
A few days ago, an article appeared in the Financial Times revealing that "Last month, the government-sponsored mortgage finance agency Freddie Mac filed a proposal with its regulator, the Federal Housing Finance Agency, to enter into the secondary mortgage market, otherwise known as home equity loans"
The article's author, Meredith Whitney, claims that if approved, this "could begin to unleash almost $1tn into consumers’ wallets. By the autumn, it could be on its way to $2tn."
That would be a tremendous stimulus to the economy.
But is it a good idea?
Putting aside for a moment concerns of its potential inflationary impact, the Global Financial Crisis was a credit crisis triggered by bad housing loans. Would allowing the government-sponsored entities like Freddie Mac to unleash a flood of new loans risk repeating the sins of the past?
For answers, we're fortunate to turn to mortgage lending expert & housing analyst Melody Wright.
Melody, who was on the frontlines of the meltdown in mortgages during the GFC, is highly concerned this new lending scheme, if enacted, will end up disastrously.
May 9, 2024
Original Source
https://www.youtube.com/watch?v=14l35U0oar0&t=7s
-
14:42
ThisisJohnWilliams
1 month agoBREAKING: $2 Trillion Housing Market Bailout For MILLIONS of Homeowners (Starts NOW)
55 -
3:57
johnsonwkchoi
1 year agoAre you ready for US$11 trillions US commercial real estates loans defaults?
83 -
11:15
The Mind of Jay
1 year agoCurrent Events | Bursting the Housing Bubble
39 -
21:40
HousingBubble2withRandyPatrick
1 year agoMassive Economic Meltdown Already Happening - Housing Market Leading the Way - Housing Bubble 2.0
13 -
22:53
HousingBubble2withRandyPatrick
1 year agoHousing Bubble 2.0 - Bank RePo Filings Increase - Homeowners Get Rude Awakening - US Housing Crash
911 -
17:15
HousingBubble2withRandyPatrick
1 year agoForeclosure Activity Increases - Finally Gets Noticed: Housing Bubble 2.0 - US Housing Crash
88 -
22:44
HousingBubble2withRandyPatrick
1 year agoWill Foreclosures Save The US Housing Market ? Boomers Not Selling - Housing Bubble 2.0
19 -
1:06
The Last Capitalist in Chicago
1 year ago4 ways the next housing financial crisis is taking shape
69 -
18:26
HousingBubble2withRandyPatrick
1 year agoHousing Bubble 2.0 - Mortgage Rates Up - Everything Else Housing Down - The FED Raises Again: 75 bps
6 -
17:48
HousingBubble2withRandyPatrick
1 year agoThe Housing Market is Officially Dead - Housing Bubble 2.0 - US Housing Crash
19