Here's how China could crush the U.S. housing market

Here's how China could crush the U.S. housing market

China is one of largest owners of U.S. mortgages. There is growing concern that in retaliation for tariffs the country could sell them, causing rates to rise.

It’s Time to Merge Fannie Mae and Freddie Mac

Since the November 2024 presidential election, one of the biggest questions for mortgage market observers was whether the Trump Administration would reboot privatization of Fannie Mae and Freddie Mac, the giants of the mortgage finance system that have enabled the US housing market to flourish since their introduction.

Mortgage rates are rising rapidly in the United States, and experts warn that the situation could worsen if China and other countries start selling American mortgage-backed securities. The move could be a response to Donald Trump's tough tariffs on Chinese goods and would put huge pressure on an already battered housing market.

Here’s how China could crush the U.S. housing market

A new housing development built along a canal near the Mokelumne River is viewed on May 22, 2023, near Stockton, California. George Rose | Getty Images Mortgage rates are rising sharply this week, as investors sell U.S. Treasury bonds at a swift pace. Mortgage rates follow loosely the yield on the 10-year Treasury. Some speculate foreign countries could be dumping U.S. Treasurys in retaliation against President Donald Trump‘s sweeping tariff pl…

How China could crush the U.S. housing market - Los Angeles Weekly Times

A new housing development built along a canal near the Mokelumne River is viewed on May 22, 2023, near Stockton, California. George Rose | Getty Images Mortgage rates are rising sharply this week, as investors sell U.S. Treasury bonds at a swift pace. Mortgage rates follow loosely the yield on the 10-year Treasury. Some speculate foreign countries could be dumping U.S. Treasuries in retaliation against President Donald Trump’s sweeping tariff p…

If The Housing Market Crashes What Happens To Interest Rates?

There is a lot of speculation in the media that the slowing housing market is an indication that the market is headed for a housing crash. People who recall the subprime mortgage crisis are concerned that the recent spike in home prices followed by a pause signals the bursting of another housing bubble. But is the housing market truly in a bubble? During a housing market crash, the value of a home decreases. You will find sellers that are eager …