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The tumbling domino chain this will set off is enormous. As a one-time private owner of a small apartment complex who lost everything in the 2008 banking meltdown, I know how this will play out. Renters won’t or can’t pay their back rent since April and May. Rental property owners had high vacancies before COVID thanks to the house buying spree from low unemployment and higher wages over the previous two years. So the rental property owners can’t afford their mortgages and property taxes without the rental income stream. Tax penalties on missed property taxes will make their situation worse. Bankruptcies are already zooming from COVID layoffs and business failures. Owners unlucky enough to have adjustable rate loans coming up for interest re-jiggering this year and next will suddenly be confronted by big increases once banks start reigning in their loan risks…
I’ve seen this movie before.