2022-05-23 —

``In 2006, McBride famously called America's housing bubble when he saw inventory skyrocketing to absurd highs. Today doesn't look anything like 2006, he assured me. During the worst of the housing crash, inventory as a share of the market was about five times higher than it is today. Instead, McBride said that the next few years will likely resemble the period around 1980. To combat high inflation from the 1970s, the Fed Chair Paul Volcker hiked up interest rates, jolting the economy into a deep recession. The housing market basically stalled until 1982. That sort of stall-out, rather than some crazy plunge into the abyss, is probably our worst-case scenario.''

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