America’s New Financial Crisis
Things are about to get rocky.
It has now been learned that the U.S. housing market has just suffered it’s biggest drop in value since the 2008 financial crisis.
According to Fox, home prices crashed and the total value of U.S. homes dropped from is June 2022 high of $47.7 trillion to just $45.3 trillion in December. This is a decline of a whopping $2.3 trillion which comes out to around 4.9% of it’s total value.
This is the biggest drop since the 2008 financial crisis which caused a massive recession in America. For reference when the 2008 financial crisis occurred the total value of U.S. homes declined by 5.8% from June to December.
US Housing Market Hit with Biggest Six-Month Wipeout Since 2008 🔥
$2.3 trillion decline. pic.twitter.com/M9uM68296C
— Wall Street Silver (@WallStreetSilv) February 23, 2023
Currently, the average rate of a 30-year fixed mortgage sits at 6.5% according to Freddie Mac. This rate is significantly higher than the average which most Americans are used to which is 3.92%.
Redfin economics Chen Zhao explained, “The housing market has shed some of its value, but most homeowners will still reap big rewards from the pandemic housing boom.”
The US housing market lost $2.3 trillion in market value at the end of last year https://t.co/NiXd8uaWLN pic.twitter.com/nwMMKBQ2FE
— CNN (@CNN) February 23, 2023
