Real estate: property, mortgages, and the credit machine
Real estate isn't just about property — it's about leverage. These articles explore how banks finance purchases, why property works as collateral, mortgage market dynamics, and the bubbles that keep forming.
Portugal Real Estate: Credit, Not Immigration Drives The Prices Up
portugal golden visa real estate investments are less than 3% of total housing transactions
reducing the cost of capital by 25bps wouldn't affect mortgage that much - as it doesn't eliminate the existing risk in the market (i.e. existing mortgages)
it's not just the Fed, the ECB is also lowering rates into higher inflation
real estate is a great asset because banks lend ≈75% of its value
EU real estate prices will continue to increase
to lower the mortgage rates the Fed can purchase agency MBS - likely they did in QE 1 2008