Fairview Commerical Lending

  After the demise of Silicon Valley Bank and Signature Bank in March, a study on the fragility of the U.S. banking system found that 186 more banks are at risk of failure even if only half of their uninsured depositors (uninsured depositors stand to lose a part of their deposits if the bank fails, potentially giving them incentives to run) decide to withdraw their funds.  What does this study mean for real estate lending?  How accurate are these predictions.     What was in the data on possible bank failures? After the demise of Silicon Valley Bank and Signature…

As part of a debt-ceiling agreement forged by President Joe Biden and House Speaker Kevin McCarthy, monthly student loan bills will resume September first.  What does the restarting of student loans mean for real estate, interest rates, and the overall economy?  How are treasuries reacting to the news? (chart above) What are the details of student loan repayment in the debt plan? I think that most were surprised that student loans made it into the final debt relief compromise but the details of the restarting of payments are very similar to what President Biden conveyed earlier.  The new act prohibits the…

For years interest rates were the number one indicator for real estate prices.  In this cycle interest rates have more than doubled yet real estate prices have barely budged.  If we look back at 2008, the impetus for the large real estate crash was rising interest rates but this cycle is reacting differently to rising rates.  Are rising rates still the right metric to use to predict where real estate prices will head?  There is a better metric for this cycle.  What one variable should we be watching instead? Housing prices have finished falling Lennar Corp., the second-largest US homebuilder,…