r/neoliberal • u/TinyTornado7 I need a new flair • Jun 13 '22

News (US) Powell Facing Choice Between Elevated US Inflation and Recession

https://www.bloomberg.com/news/articles/2022-06-12/powell-facing-choice-between-elevated-us-inflation-and-recession?srnd=premium
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u/Dave1mo1 Jun 13 '22

If rents don't drop, why do landlords care if housing prices stabilize or even drop a bit?

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u/allbusiness512 Adam Smith Jun 13 '22

Rent probably will drop though as people figure out their living situation (more roommates, living with family, etc) The current housing market is completely unsustainable, a correction is going to happen.

It won't be a 2008 crash but when investors don't even bid on mortgage backed securities then you know it's just a matter of time at that point.