Part 7/12:
The real estate market shows paradoxical signs: although some indices like Case-Shiller hit record highs, many properties remain unsold, and mortgage costs have doubled over four years. Home affordability is at its worst since the 1980s, with Americans now spending over 40% of gross income on mortgage payments, an unsustainable situation.
Construction activity is plummeting, with record declines in building permits and job openings, signaling a potential collapse in future housing supply. Additionally, the Yen's decline against the dollar to 30-year lows amplifies currency instability and international economic strain.