Fed Rate Hikes will cause the 2022 Market Crash to get even worse. Investors should make preparations for 50% Declines.
40-Year High Inflation is causing the Federal Reserve to aggressively raise interest rates. These Rate Hikes are now causing Treasury Yields to surge. Which is becoming a BIG PROBLEM for Investors - particularly Real Estate Investors.
The 6 Month US Treasury now yields 3.7%. That's the highest level in 15 Years and is now nearly as high as the Real Estate Cap Rate (4.5%). This low cap rate premium means that Investors, particularly Wall Street Investors, will stop buying Houses. And will start looking to sell.
Some Wall Street Investors might even get a Margin Call by their bank over the next year as the cost debt to own real estate surges due to Jerome Powell's Rate Hikes. The result will be that Home Prices in America continue to go down as Investor Demand in the Housing Market tanks.
Surging Interest Rates and Treasury Yields will also likely result in a Recession. That's because every time the Fed aggressively hikes interest rates over the last 70 Years, a Recession in the economy follows.
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DISCLAIMER: This video content is intended only for informational, educational, and entertainment purposes. Neither Reventure Consulting or Nicholas Gerli are registered financial advisors. Your use of Reventure Consulting's YouTube channel and your reliance on any information on the channel is solely at your own risk. Moreover, the use of the Internet (including, but not limited to, YouTube, E-Mail, and Instagram) for communications with Reventure Consulting does not establish a formal business relationship.
Image(s) and/or Footage used under license from Shutterstock.com. https://www.shutterstock.com/
Additional stock footage provided by Videvo. http://www.videvo.net/
#HousingCrash
40-Year High Inflation is causing the Federal Reserve to aggressively raise interest rates. These Rate Hikes are now causing Treasury Yields to surge. Which is becoming a BIG PROBLEM for Investors - particularly Real Estate Investors.
The 6 Month US Treasury now yields 3.7%. That's the highest level in 15 Years and is now nearly as high as the Real Estate Cap Rate (4.5%). This low cap rate premium means that Investors, particularly Wall Street Investors, will stop buying Houses. And will start looking to sell.
Some Wall Street Investors might even get a Margin Call by their bank over the next year as the cost debt to own real estate surges due to Jerome Powell's Rate Hikes. The result will be that Home Prices in America continue to go down as Investor Demand in the Housing Market tanks.
Surging Interest Rates and Treasury Yields will also likely result in a Recession. That's because every time the Fed aggressively hikes interest rates over the last 70 Years, a Recession in the economy follows.
---
JOIN as a Reventure CHANNEL MEMBER:
https://www.youtube.com/channel/UCVTQunGrE3p7Oq8Owao5y_Q/join
INSTAGRAM: https://www.instagram.com/reventure_consulting/
TWITTER: https://twitter.com/nickgerli1
CONACT US: https://reventureconsulting.com/contacts/
DISCLAIMER: This video content is intended only for informational, educational, and entertainment purposes. Neither Reventure Consulting or Nicholas Gerli are registered financial advisors. Your use of Reventure Consulting's YouTube channel and your reliance on any information on the channel is solely at your own risk. Moreover, the use of the Internet (including, but not limited to, YouTube, E-Mail, and Instagram) for communications with Reventure Consulting does not establish a formal business relationship.
Image(s) and/or Footage used under license from Shutterstock.com. https://www.shutterstock.com/
Additional stock footage provided by Videvo. http://www.videvo.net/
#HousingCrash
