61: How Coronavirus is Affecting Business and Real Estate

What's happening to the stock market in response to the current pandemic? Jason Hartman and George Gammon give the details. They analyze how corporations and real estate are effected. If cash flow plummets and the stock market is going down, a lot of the corporate debt is getting downgraded so the interest rate on that debt increases significantly. What about real estate? Imagine having a rental property where the interest rate on your mortgage doubles. The real estate market has been built on investors buying properties. If these buyers start disappearing then the real estate industry suffers greatly. The stock market should be a reflection of the economy but now it's not. The economy is completely reliant on the stock market though. It's all about confidence. If confidence starts to go away in the people, the system stops working. Website: www.JasonHartman.com