Thread by @nickgerli1

An Eviction Wave is Coming.

Millions will get kicked out of their homes. It will rival 2008 in terms of magnitude.

Just take a look at the Rent Burden % in Phoenix to see what I'm talking about.

(Read into comments for more)

#eviction

Landlords / real estate investors got greedy and have jacked up rent far beyond what their tenants can afford.

In Phoenix the Rent Burden accounts for 43% of Tenant's Wages - NOT sustainable.

Lease defaults are already surging. Rent collections are down.

When this breaks - I suspect by the end of 2022 - it will lead to a collapse of the Rental Market in America. Millions will be evicted. Homes will sit empty.

Landlords will panic sell their properties.

The Eviction/Foreclosure Moratoriums, Stimulus Checks, and $50 Billion in Federal Renter Assistance created the illusion of a strong Rental Market.

Caused rents to explode to levels never seen before, 3x faster than wages in some markets. Attracted many investors to buy in.

These investors are going to get their teeth kicked in.

Phoenix, Las Vegas, Jacksonville, Atlanta, and Dallas are directly in the cross hairs.

Midwest/Northeast not nearly as bad. Won't see as many evictions.

📉In 2008 it was defaults on mortgages that brought down the Housing Market. This time in will be defaults on rental leases.