ARE WE HEADED TOWARD REAL ESTATE MARKET CRASH IN 2020-2021?

#13 Unemployment

Historically 60-65% are aged under 24 (less than 3% homeownership rate)…Unemployment?  Foreclosure

#12 Unemployment related foreclosure:

a. 12 months forbearance
b. Enough equity
c. Can be sold before foreclosure

11. E-commerce

More job opportunities than 2008

10. Industry change

Industry shit is coming

9. Oil price

$160/barrel high in 2008
$20/barrel low in 2020

8. Resilient/adaptive Americans

and America is a rich country

7. Location dependent

ex) Portland Metro Areas
Intel = We need Tech
Nike: We need motivation/exercise
OHSU: We need medical care
Needed more than ever… 
Urban area price dropping & Suburban/Rural pricing going up

#6 We want bigger homes

After dealing with the pandemic

#5 No bad loans like sub-prime or interest-only loans

#4 Home price not as inflated as 2008 (inflation-adjusted)

Higher rental price supports real estate value

# 3 Government bailout for people

Financial crooks vs people in 2008
Natural disaster (virus) vs people in 2020

#2 Low interest rate (3-3.5%) in 2020

#1 Very high demand (less than 3 months inventory)

Enough equity built