Central Banks have indicated they expect to keep interest rates low for the foreseeable future. U.S. Federal Reserve Chairman Jay Powell has said he expects the Federal Reserve to keep interest rates near zero through at least 2023. In early March 2021, the annual yield on the benchmark 10-year U.S. Treasury note was around 1.5%. The upshot is simple: Today, certificates of deposit and money market funds generate yields close to zero. Diversification in fixed-income investments such as bonds used to reduce risk over time is scarcely more effective than putting money under your mattress.
Read MoreThe housing market is seeing an influx of millennials, who for years delayed the purchase of their first home but now are expected to flood into the market. A persistent lack of inventory and others looking to buy is impeding the flood. This situation is driving demand for construction and rehab funding through the roof.
Read MoreReal estate debt funds provide developers with the construction financing they need to quickly take advantage of opportunities as they arise. Competition for the best deals is fierce and in order to beat their competitors, developers need to move fast.
Read MoreAmerica’s last housing crisis was complicated and involved many factors. The crisis was the collective creation of banks, lenders, homeowners, rating agencies, and underwriters. Today’s housing crisis is much simpler: not enough supply.
Read MoreForeclosure – a situation in which one’s home is seized by the government due to the owner’s inability to pay - was one of the dominant features of the 2006 – 2013 U.S. housing downturn. Now, a strong economy and eight-years of home price growth have made mortgage foreclosures a relatively rare event.
Read MoreAttention house flippers - the macro outlook for residential remodeling looks favorable.
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