What I’m Reading
Hoarding: Panicked American shippers may be overbuying goods in an attempt to build inventory to provide a cushion in the event of another global crisis. They are making the current container crisis worse. Splash
Its Bad Everywhere: There are over 60 container ships full of import cargo stuck offshore of Los Angeles and Long Beach, but there are more than double that — 154 as of Friday — waiting to load export cargo off Shanghai and Ningbo in China, according to eeSea, a company that analyzes carrier schedules. This is just the latest sign that the supply chain backlog is not improving anytime soon. Freight Waves
Danger Zone: Starting October 1st, the federal government will start gradually phasing out flood insurance subsidies. Expect insurance premiums to rise substantially for homes in flood-prone coastal areas. The Real Deal
New Paradigm: The single-family rental market will be more cyclical going forward, primarily because the rise of newly built rental subdivisions will create supply of vacant homes during downturns. In this regard, it will begin to look a lot more like the multifamily market. That being said, fundamentals still look great today. JBREC
Smoothing Out? Despite a turbulent 18+ months, characterized by blistering demand, soaring prices, supply shortages, there are some signs that the housing market may be normalizing somewhat going into 2022. Bloomberg
Chart of the Day
We are nowhere near the point of worrying about mortgage equity withdrawal as a threat to the housing market.
Source: Calculated Risk Substack
WTF
Nip and Tuck: Two women were sentenced to federal prison after they and others spent more than $100,000 on plastic surgery and other cosmetic services with fraudulent credit cards because Florida. MSN
Ironic: An intoxicated woman who ran over an apartment community call box right in front of a police officer was arrested for DUI because Florida. Boca News Now
Basis Points – A candid look at the economy, real estate, and other things sometimes related.
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