Banks face higher capital requirements:  50% of banks disappear.

Banks face higher capital requirements:  50% of banks disappear.

Major banks are facing one of the biggest regulatory overhauls since the financial crisis of 2008, setting up a major clash over the amount of capital that they have to set aside to weather downturns.  At the same time regional banks are already struggling with...
Wages continue higher, productivity falls fastest in 75 years, impact on real estate, inflation, and rates

Wages continue higher, productivity falls fastest in 75 years, impact on real estate, inflation, and rates

US labor productivity tumbled by 7.5% in the first quarter of 2023 – the largest decline in worker output per hour since 1947, according to Labor Department data released Thursday.  What does declining productivity mean for interest rates, commercial and residential...
Hot inflation puts further rate hike in play, impact on real estate

Hot inflation puts further rate hike in play, impact on real estate

Although the market rejoiced in the recent fed “skip”, as you dig into the numbers more the outcome is a lot less sanguine.  Why does inflation continue running hotter than anticipated?  What does this mean for interest rates and real estate?  What happens when...
New government rule radically changes appraisals

New government rule radically changes appraisals

Big changes are ahead for automated appraisals.  The government feels that automated models show bias in valuation so they have proposed a new rule that will radically alter appraisals.  Unfortunately, the new rules will have some large unintended consequences for...
Home Depot slides, house prices stabilize, consumers will keep spending

Home Depot slides, house prices stabilize, consumers will keep spending

  Interesting times we are in.  Consumers keep spending big on services like travel and eating out, but on the flip side Home Depot just reported its first drop since the pandemic.  On the other hand Target tops earnings estimates.  What is driving the continued...
Consumer debt passes $17 trillion for the first time despite slide in mortgage demand

Consumer debt passes $17 trillion for the first time despite slide in mortgage demand

  Households added $148 billion in overall debt, bringing the total to $17.05 trillion, according to a report released by the Federal Reserve Bank of New York on Monday. Balances are now $2.9 trillion higher than just before the pandemic.  What categories are...