Commentary
If you have a house for sale, you might want to get in front of the market and lower the price dramatically now. I know it hurts, but housing prices are highly sensitive to 30-year mortgage rates. The higher the monthly payment goes, the lower the price paid for the home itself will be. This how the market equilibrates. Of course if you are paying cash, it is another matter. In the end, the winners of the current housing crash will be the rich as always.
This is but one sign of many of a wrenching reset going on in macroeconomic structures right now, all due to a fix being pursued by the Fed. Jerome Powell is reversing a 14-year policy that has proven to be a disaster. Zero-interest rate policy from 2008 to the present introduced a whole series of wild distortions that have seriously wrecked reality-based economics….