Bank Collapse Imminent: 90% Facing Risk Of Failure

In this video, you will see the impact bank failures have on the housing market and the broader economy. These Bank failures shocked the US Citizen’s occurrence, often causing ripples throughout the economy. Besides the economy, the housing market, in particular, is vulnerable to the effects of bank failures. The collapse of banks like Citizens Bank in Sac City, Silicon Bank, JPMorgan Chase Bank, National Association (N.A.), Columbus, Ohio, and more had a significant impact on the housing market.

Another huge story not being discussed. Banking deposits at the largest 25 banks have utterly collapsed by over 50% over the last 22 months. That is a seismic shift that cannot be ignored. Change is coming… Sarah Westall

Concerns remain as the first anniversary of Silicon Valley Bank’s collapse approaches, despite Wall Street’s optimism and the banking system’s avoidance of a systemic crisis so far.
Silicon Valley Bank’s failure was the largest in the U.S. since the Great Depression, followed by the collapses of Silvergate Bank, Signature Bank, and Credit Suisse, raising global financial stability fears.
New York Community Bancorp, which acquired Signature Bank, now faces significant financial troubles, with its stock value halved since the year’s start.
The U.S. banking system is estimated to have $2.2 trillion in unrealized losses due to higher interest rates, with 10% of banks experiencing losses greater than those of Silicon Valley Bank at its collapse.
The commercial real estate market’s pandemic-induced downturn has yet to be fully accounted for in bank balance sheets, with recent sales at significant discounts pressuring financial institutions further.
Research by economists Andrew Metrick and Paul Schmelzing highlights deeper, less apparent concerns based on banking regulators’ actions, suggesting that the regulators’ upbeat public statements may mask underlying worries.
Their study of nearly 2,000 banking crises over centuries indicates that the regulatory interventions last year resemble those in prior, more severe crises, suggesting a cautious outlook is warranted.
The study emphasizes that systemic crises can have “long tails,” indicating that the absence of a full-scale crisis within the past 12 months does not guarantee future stability, with a three-year horizon considered more indicative.
A report by real estate data provider ATTOM reveals a “notable” increase in home foreclosures in January, marking the first monthly rise since July 2023, amid a worsening cost-of-living crisis.
Housing affordability has significantly deteriorated, with major homeownership expenses now consuming 33% of average wages nationwide, exacerbated by high mortgage rates and home prices, despite the Federal Reserve’s interest rate hikes.