Housing Prices

Fed "Stress Test" Results Are Out: Everyone Passes Even As VIX Hits 70

Moments ago the Fed released the first phase of its annual stress test which, once again, found that all thirty-four of the US largest banks "passed", exceeding minimum projected capital and leverage ratios under severely adverse scenarios, based on their projected ability to withstand economic shocks

Moody's Cuts Aussie Bank Ratings Due To "Tail Risk" Concerns

"Whilst mortgage affordability for most borrowers remains good at current interest rates, the reduction in the savings rate, the rise in household leverage and the rising prevalence of interest-only and investment loans are all indicators of rising risks."

China's "Ghost Collateral" Arrives In Canada, "Heralding A Crisis"

"We all know that the ghost collateral is a huge deal, and we all know that the shadow banking and other Chinese influence in Vancouver is profound. The issue is that the ghost collateral ends up re-hypothecated and laundered. So by the time it shows up in Vancouver, it will likely just look like a rich Chinese cash buyer with a suitcase of money.“

China's "Bubble Prophet" Sees Unprecedented Surge In Home Prices

"We’re living through a bubble. We’re kicking the can down the road by buying time not to keep things in check, but to blow the bubble into an even bigger one. What’s happened over the past two years has made any new reforms even more difficult to roll out."

The Math Of Bitcoin And Why One Analyst Says It's Not Yet In A Bubble

"I have read many articles lately claiming that Bitcoin is in a bubble similar to the famous Great Tulip bubble of 1637... but that comparison is only for those who do not understand the significance of what is happening currently with blockchain technology... The bubble is the dollar... And thus there is no store of value to be found. This is a terribly ugly situation for people who believe in hard work and saving to get ahead"

Moodys Slashes Ratings On 6 Canadian Banks, Fears Asset-Quality Deterioration, Soaring Household Debt

Amid Poloz-described "unsustainable prices" in various cities, and just days after the collapse of Canadian mortgage lender Home Capital Group and our discussion of the dire state of Canadian savers (and their record household debt), Moodys has cut the rating son six of Canada's largest banks because of "ongoing concerns that expanding levels of private-sector debt could weaken asset quality in the future."

How Governments Outlaw Affordable Housing

The current planners don't want more housing. The government planners only want a certain type of housing. Meanwhile, the renters live in smaller and smaller units, and drive further and further. But there's one thing of which we can be sure. "Capitalism" will be blamed for it all.