https://www.marketwatch.com/amp/story/guid/48948286-DCBE-11E6-AB45-A19C54550C01

New York Fed President William Dudley on Tuesday encouraged homeowners to find “prudent” ways to tap into the equity that has built up in the homes, saying the boost in consumption would be a welcome shot-in-the-arm to the economy.

The shape of household finances was a hidden strength of the economy, he said.

“The good news is that, while the current expansion is quite old in chronological terms, it is still relatively young in terms of the health of household finances,” Dudley said in a speech to the National Retail Federation.

“Whatever the timing, a return to a reasonable pattern of home equity extraction would be a positive development for retailers, and would provide a boost to economic growth,” Dudley said.

Homeowners may have overlearned the lessons from the housing boom and bust, the New York Fed [resident said.

Even though home values have risen over 40% since 2012, housing debt has stayed virtually flat, he said.

“The previous behavior of using housing debt to finance other kinds of consumption seems to have completely disappeared,” and people are leaving the wealth generated by rising home prices “locked up” in their homes, he said.

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38269188)

But the issue is everyone on the Fed thinks this

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38269409)

E

H

E

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38271066)

"a return to a reasonable pattern of home equity extraction"

"a return to a reasonable pattern of home equity extraction"

"a return to a reasonable pattern of home equity extraction"

"a return to a reasonable pattern of home equity extraction"

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38271524)

All from owner-occupiers, though. Non-luxury rental properties that cash flow are not that vulnerable to recession because rental demand tends to go up, not down, in a recession. Buying expecting appreciation is risky, though.

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38273655)

Outrageous!

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38273692)

*GC sends you to a consumer re-education camp*

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38273831)

http://xoxohth.com/thread.php?thread_id=4279848&forum_id=2

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38368416)

Personally looking to do this though and do a cash out refi at 2.8%. That’s basically free money and looking to invest in another property.

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#38369579)

help

(http://www.autoadmit.com/thread.php?thread_id=4266518&forum_id=2#40942061)