The Fed Will Print Trillions — What That Means for Home Prices

"The Federal Reserve will be ending their monetary tightening cycle very soon. Word on the street is that it may be even this month. Now, it's my expectation that the Federal Reserve will continue cutting interest rates and they're going to start their quantitative easing cycle in 2026."

"The Federal Reserve will be ending their monetary tightening cycle very soon. ... it's my expectation that the Federal Reserve will continue cutting interest rates and they're going to start their quantitative easing cycle in 2026. And when they do their easing, I mean, who knows how much in assets they're going to buy in print. Treasuries, MBS, a good question is how much and when when's it going to start?"

"It could be Q1, it could be Q3. I would be surprised if they make it to Q4 without heavy easing. Okay, but what does all this mean in plain English? It means that mortgage interest rates will continue going down."

"Listen, when mortgage interest rates drop meaningfully, that's going to be the best time. I mean, that's going to be your opportunity to refinance or to lock in your mortgage, your mortgage interest rate. So, you're going to have a window of time to capitalize on the situation. So, I expect that time, that window of time to be a few months. In other words, when mortgage interest rates bottom out."

"yes, I mean, of course, like it's not a surprise inflation's going to follow, but inflation lags all the money printing. And once inflation starts catching up, when it starts spiking up again, then mortgage interest rates are going to shoot back up."

"home prices are not going to be immune to this. Okay? So, why would home prices crash if the Federal Reserve is going to blast on the money printers and print trillions of dollars? And, you know, inflation's coming."

"So, listen, I'm telling you, if you can buy a home now, I would buy a home. Like, I'm telling you, the housing situation is just going to get worse."

"I believe that the labor market is worse than what the government has been reporting. I believe that we're already in a recession."

"If you're waiting for foreclosures to spike so that home prices crash, you're going to be waiting for a while. If you go from this level of foreclosures to the peak, that's about 5 years of waiting. But did you know that's when foreclosures peaked? Home prices didn't bottom out until 2012 in the last housing market crash. So that means that you may be waiting another 8 to n years for the bottom of a housing market crash if it happens."

"If you wait 8 to n years, then can you imagine like how much home prices are going to go up by then? I mean, there's they're probably going to be still much higher after the crash than they are right now."

"I just don't expect that for 2026. I'm looking at the situation. I'm looking at the data and honestly, I just don't see it."