Every time I read ZH talk about housing I laugh. I don't know why it takes three pages to describe what happened with the housing market. I think he tries to dazzle people with bullshit.
During the pandemic they put all these protections which effectively stopped evictions and foreclosures as you can see from the following chart.
This effectively made it so prices really couldn't go down. So, they only went up. If anyone had felt any pain in the pandemic we might not be here right now. You see... this backstop made it so NO ONE had negative equity. This enabled the banks to keep lending and lending sending prices up 20% or more.
Now the moratorium has ended and things are returning to normal. But a lot of demand was pulled forward. And rich people are the first to ditch their assets when the think things are going South.
Have a nice day!
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