All financial markets are, from time to time, victims of media stories saying that liquidity has dried up. Or the obverse of the coin: sellers are overwhelming the supply of buyers. One example: For decades, scaremongers have described the disaster which would follow liquidation of the hoard of Treasurys held by Japan or China, but in the currency instabilities of the last year, a couple of trillion-worth have been sold to defend overseas currencies from an overstrong dollar — with no noticeable harm here at all.
The question on everyone’s lips: How are fluctuations in China, Wall Street and the 2016 election going to affect the real estate market in the next year? Chinese ructions will be good for U.S. real estate as investors make a flight to safety, said Zillow chief economist Svenja Gudell at Inman Connect New York today.
