Are we in for the Big Short II? The cyclical nature of markets spells an eventual collapse of the real estate prices in the U.S. following the next global stock market meltdown and global recession which will be drastically different the next time around. For one, the coming collapse is about to start a secular declining trend in property values. Secondly, after the collapse, the prices of properties won’t be able to recover like they did after the previous “property market corrections.”
Why? I hope we all may agree that oil, for example, will never recover to all-time highs. Similar premises hold true for the existing home values. There are multiple major socio-economic structural changes on the horizon contributing to this permanent decline which is in the cards right now. Also, many conventional linear projections won’t even apply anymore.
THE NEXT “CYCLICAL” GLOBAL RECESSION — the world’s stock markets are the best indication of things to come in the economic milieu. The next financially engineered global recession may be the last effort by the capital-controlling elite of Wall Street to keep political and economic control over the global population and maintain the faltering capitalist system as long as possible;
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