Housing Crash Is Coming! $9 Trillion Housing Debt Heading To Economic Collapse & Stock Market CRASH!

Will the housing market crash happen in 2020?

Throughout the history of the housing market, there is always a certain limit any homebuyer can borrow to finance a mortgage. Generally, with low-interest rates, it is possible to take a bigger mortgage and currently, we are experiencing a downturn in interest rates allowing people to take more debts to finance their houses and this is reading to an upsurge of house prices at a higher rate compared to increase in incomes. This has been accelerated by the economic slowdown which has forced the central banks to slash down interest rates as a way of boosting the slowing economic growth. For example; the US Federal Reserve has already cut down the rates for the first time since the 2008 stock market crash and financial crisis.

In the competitive mortgage market, banks can even go to the extent of offering negative interest rates to borrowers as long as they have an opportunity to make money. It may look illogical for the bank to incentivize you by paying you to borrow money but it is either they do so or let the debt-driven economy slowly going to economic collapse without any form of intervention.
Mortgage lenders are always driven by profit and they will always exploit any profit margin that comes on their way. In the near future, it will not be a surprise if the banks will be paying you to take a mortgage; a scenario where you will ease your current debt by taking more debt. All this burble will be driven by the central bank’s ability to constantly print more money. This cheap money flowing into the housing market will continue fueling the rise in housing prices to extreme levels causing a hyper-burble as we see in the stock market today.
This cheap money flooding into the housing market means we are nearing the end of the road for the current housing boom with a huge housing crash.

In the first quarter of 2018, the mortgage balances jumped by $57 billion and according to the Federal Reserve, the housing debt has risen to $8.94 trillion and this is very close to the $9.99 trillion peaks we experienced in the third quarter of 2008 during the global financial crisis.

Even if the stock markets are on all time high, the truth is that the U.S economy is heading to a major economic collapse. When the catastrophic economic meltdown didn’t happen in 2009, many Americans thought that the threat is passed. But just because a threat is delayed does not mean that it has been diminished. The truth is that the economic collapse and the next housing market crash are going to be much worse than the 2008 financial crisis as central banks delayed the threat and continued the manipulation. A major stock market crash and economic downturn is on the horizon and it will strike. Experts are predicting a housing crash because the American bubble is growing bigger. Because of this, the country has to remain vigilant of early signs of imbalance whose reversal could trigger the next crisis. With the events of the previous economic collapse still fresh in investor’s minds and nominal housing price now exceeding their peaks from 2008, the housing market turns out to be one of the most obvious places to look for any signs of overheating. The housing market is showing all signs of a housing market crash but the market is fully subsidized by the Federal Reserve.

In the past two decades, we have seen multiple bills related to the housing market being signed and this has turned houses to be speculative assets and this has made the prices to skyrocket and to catch up, everyone has taken massive debts and it has come to a point where it has turned to be a bubble and everyone is complaining that houses have become too expensive and young people saddled with student loan may have less hope when it comes to buying a home.

In conclusion, we have an economic model of fiat money, ineffective economic policies, and infinitive growth and it could be just a short time before we see the 2008 economic collapse as a warm-up. This growth is like someone addicted to opioid. Everything is always fine as long as doses keep coming. This is how the system looks like with and when things will begin falling apart, many trillions will be pumped to save the financial system. But the question is, who will pay for all this damage? You will!

———————————————————————————————

Most of artwork that are included with these videos have been created by Epic Economist and they are used as a representation of the subject matter. The representative artwork included with these videos shall not be construed as the actual events that are taking place.
Anything that is said on the video is either opinion, criticism, information or commentary.

[azncs]

the punch that knocks you out isn't the one you see coming

[LouMontana-wcnr]

I listened to our condescending neighbor in her early 50s bragging about moving into a $350, 000 dollar home. Her husband is a laborer in a local factory and she takes care of foster kids. They are first time home buyers!
I was speechless!

[MeColinYouWho]

–Thomas Jefferson to John Taylor, 1816.

“If the American people ever allow private banks to control the issue of their currency,  first by inflation, then by deflation, the banks and corporations that will grow up around the banks will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.”

” –Thomas Jefferson to John Taylor, 1816.

[bernardsebranek]

Lost my house in Minnesota in 2008.
Retired to Nicaragua in 2014.
Twas an excellent decision for me.

[prodromoshadjimouratis]

The Fed is privately owned by 25 individuals - Run the money supply for their benefit.

[skapunkoialternativeliving]

This won't affect me because I'm done buying houses I live out of my van and I live a comfortable life with a lot more money in my pocket and no debt.. so the only people are buying houses a Fool's that can barely pay their own bills..

[xploit]

Doom and gloom sells, but trust me no crash until after 2024. Debt is king!!

[GoGo-tkui]

"Housing crash is coming!" will get Epic Economist many clicks for sure.

[derekhajos]

This channel is the best. They tell it like it is in a clear way that is easy to understand.

[jacquesnicolay]

If you listen to a podcast called bigger pockets, and look up something called house hacking, you will realize that yes, boomers are dieing and then the houses will be sold, but you get investors in their 20’s are rapidly gearing up to house hack their way to financial freedom, and rents will not go down. So their value of the house will stay relatively the same and keep going up so long as rents are going up.

[davidanderson]

A small correction if I may, the housing crash isn't coming. It already happened in 2007/2008. It has never been fixed and has been allowed to go on and on until now and it will in the near future come to a climax. The solution to the criminal and irresponsible investment banking practices of our banking giants by our brilliant politicians was to crank up the printing presses of the FED and print more money to throw at the problem and that has been the standard practice until today and it doesn't take an IQ of 180 to figure out that this can't go on forever. The amount of money that has been printed and created out of thin air, has led to the true value of the Dollar to sink below 3 cents per dollar in actual buying power. This inevitably leading to hyper inflation and the eventual crashing of economy and currency. The only thing that keeps the Dollar alive believe it or not, is the Chinese because their economy depends on the Dollar as there is at the moment, no currency to replace the Dollar with. Once the Chins pull out and call in their debts, it's game over for us

[User-zd]

Never trust a video that uses mood music while pretending to educate you with news.

[Xcao]

The US households Debt to GDP ratio is actually a lot healthier than back in 2008, back then was over 98.6% ratio and now it's only 75%. Comparing to Canada is currently at 102.13%.

[anthonyb]

What about the student loan debt bubble?

[voidisyinyangvoidisyinyang]

opening theme causes the economy to crash....

[TerryJulianLive]

customers will NEVER EVER get a negative interest rate mortgage. Only high networth clients would have access to that.

[jpfire]

Of course it will. Only a matter of time before this phony market collapses.
I bought a house last month and I thought the price was ridiculous! A house is a liability! It's the only liability that gains "value" QE and buyers are the reason for driving up the price.

[edca]

Rates Will Not Raise up ...yet....just before the USD collapse they will ..

[MrEdcomputer]

Ezekiel 7: 19 “‘They will throw their silver into the streets, and their gold will become abhorrent to them. Neither their silver nor their gold will be able to save them in the day of Jehovah’s fury. They will not be satisfied, nor will they fill their stomachs, for it has become a stumbling block causing their error.

[patrioticamerican]

Housing prices will bounce right back up within the first 90 days after the crash because there's so many trillions of dollars of foreign money just waiting to scoop up American property that house prices will bounce right back up unbelievably fast within the first 90 days of a crash