<description>&lt;p&gt;In this episode of the Paper Trail podcast, Chris Seveney, CEO of 7e Investments, breaks down a long-term historical comparison of renting versus owning from 1970 through 2026 and explains why today’s cost imbalance matters for mortgage note investors.&lt;/p&gt;&lt;p&gt;Rather than focusing on headlines, Chris walks through decades of data to show how housing costs and rent tend to revert toward historical norms after periods of distortion. The core message is simple: real estate moves in cycles, and disciplined investors position themselves accordingly.&lt;/p&gt;&lt;p&gt;00:00 Buying vs Renting&lt;/p&gt;&lt;p&gt;00:50 Reading the Rent vs Own Chart&lt;/p&gt;&lt;p&gt;01:43 1980s Interest Rate Shock&lt;/p&gt;&lt;p&gt;03:50 Rents Rise and 1998 Crossover&lt;/p&gt;&lt;p&gt;05:09 2000s Bubble and Crash&lt;/p&gt;&lt;p&gt;06:43 Inventory Problem Not Homes&lt;/p&gt;&lt;p&gt;08:28 2012 Recovery to Pre Covid Balance&lt;/p&gt;&lt;p&gt;09:46 Covid Era Price Surge&lt;/p&gt;&lt;p&gt;11:39 Why Buying Makes No Sense Now&lt;/p&gt;&lt;p&gt;14:04 What It Means for Note Investors&lt;/p&gt;&lt;p&gt;16:47 Case Study Smokies Reality Check&lt;/p&gt;&lt;p&gt;19:27 Crystal Ball and Final Caution&lt;/p&gt;&lt;p&gt;20:44 Wrap Up&lt;/p&gt;</description>

The Paper Trail

Chris Seveney

353 | How Cost of Homeownership May Lead To An Increase in Non Performing Mortgages

FEB 25, 202622 MIN
The Paper Trail

353 | How Cost of Homeownership May Lead To An Increase in Non Performing Mortgages

FEB 25, 202622 MIN

Description

In this episode of the Paper Trail podcast, Chris Seveney, CEO of 7e Investments, breaks down a long-term historical comparison of renting versus owning from 1970 through 2026 and explains why today’s cost imbalance matters for mortgage note investors.Rather than focusing on headlines, Chris walks through decades of data to show how housing costs and rent tend to revert toward historical norms after periods of distortion. The core message is simple: real estate moves in cycles, and disciplined investors position themselves accordingly.00:00 Buying vs Renting00:50 Reading the Rent vs Own Chart01:43 1980s Interest Rate Shock03:50 Rents Rise and 1998 Crossover05:09 2000s Bubble and Crash06:43 Inventory Problem Not Homes08:28 2012 Recovery to Pre Covid Balance09:46 Covid Era Price Surge11:39 Why Buying Makes No Sense Now14:04 What It Means for Note Investors16:47 Case Study Smokies Reality Check19:27 Crystal Ball and Final Caution20:44 Wrap Up