Raising rates will cool down the economy 🀑

2d 17 Comments

Wow much FED, so control,

Raising rates will cool down the economy 🀑
Much control

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TOP 17 Comments
  • Netflix
    shalimar

    Go to company page Netflix

    shalimar
    Sorry, do raising interest rates increase housing supply somehow?

    I must’ve missed that lesson in Econ 101.
    2d 8
    • Uber
      ykwbugl

      Go to company page Uber

      ykwbugl
      Two points,
      1) I am assuming by big companies you mean blackstone who buy real estate, so they do not get cheap credit. At 2.5% mortgage, Apple was the only company to get 2.25% at that time. Coinbase and Sq were getting 3%+ at that time. You can check HYG and LQD corporate bond ETFs.
      2) These big companies do not bid in Bay Area as rent to mortgage ratio does not offer any rewards. Open door is SF based company and does not do business here.
      2d
    • Cisco
      πŸ™Žβ€β™‚οΈ+🍻-πŸƒ=πŸ«ƒ

      Go to company page Cisco

      πŸ™Žβ€β™‚οΈ+🍻-πŸƒ=πŸ«ƒ
      Missed the lesson on how raising interest rates decreased demand too.

      The Fed probably went to a different Econ101 than you
      2d
  • That's a Jason Chan listing. He's the real estate mafia of houses in the sunset. Lowballs listing price by 30% at least to attract more bidders. 1.4-1.5 is the fair value for it in current market since 1-2 years back. What's your point?
    2d 2
    • my point is FED is 🀑 claiming they can control anything via interest rates bc they already lost it.
      2d
    • New
      farfalle

      New

      farfalle
      OP you’re misunderstanding monetary policy. Interest rates are strongly correlated with demandβ€” it becomes more expensive to take on debt so fewer buyers enter the market.

      Most real estate markets are already cooling down and will continue to do so. As the stock market cools down further to where it should be, there won’t be as many rich tech bros who are able to bid 30% over listing on every 900sqft house in the Bay Area at current rates
      2d
  • Lyft
    jogan123

    Go to company page Lyft

    jogan123
    Stop Lookin at houses which went pending in March
    2d 0
  • That house does look nice tbh
    2d 1
    • Amazon / Eng
      bdbdm

      Go to company page Amazon Eng

      bdbdm
      It takes a long time to show how much housing/real estate is really impacted. Fed rising rates will not have an impact on housing overnight
      2d
  • SF is down now because of the political situation and crime. Look at other areas for a real picture.
    2d 1