393: SVB's Risky Bailout and The Bank Run “Domino Effect”

Both SVB (Silicon Valley Bank) and Signature Bank have crashed and burned dramatically over the past week. What once was a few large customers making withdrawals quickly turned into a bank run of epic proportions. Within just a few days, SVB went from one of the largest banks in the United States to one of the biggest bank failures in the nation’s history. But what led to such a fast-paced collapse, and are more banks on the chopping block? You don’t need to be an expert economist to understand what happened at SVB and Signature Bank this week. But you will want to hear Dave Meyer’s take on what could come next. With bailouts back on the table, many Americans fear we’re on the edge of a total financial collapse, mirroring what unfolded in 2008. With more and more Americans going on cash grabs, trying to keep their wealth safe from the “domino effect” of bank failures, what should everyday investors prepare for? More specifically, for our beloved real estate investors, how could SVB’s failure affect the housing market? Will the Federal Reserve finally be forced to end its aggressive rate hikes? Could money flood into real estate as hard assets become more attractive? Stick around as Dave explains this week’s wild events and what it could mean for the future of the US economy. In This Episode We Cover SVB’s (Silicon Valley Bank) collapse explained and why it failed so fast The bank run “domino effect” that could put other intuitions at risk Why a “bailout” happened so quickly, and whether customer funds were secured Bond yields and why making long-term investments was a risky bet for SVB  The future of mortgage rates and how SVB’s failure could lead to fewer rate hikes The psychology behind a bank failure and how it affects the entire economy And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding BiggerPockets Bootcamps Join BiggerPockets for FREE Scott's Instagram Mindy's Twitter Listen to All Your Favorite BiggerPockets Podcasts in One Place Apply to Be a Guest on The Money Show Podcast Talent Search! Subscribe to The “On The Market” YouTube Channel Listen to The “On The Market” Podcast: Spotify, Apple Podcasts, BiggerPockets Check Out Mindy’s 2022 Live Spending Tracker and Budget Dave’s BiggerPockets Profile Dave’s Instagram How Did A $200B+ Bank Collapse In 48 Hours? Is Real Estate Going To Be Impacted? Click here to check the full show notes: https://www.biggerpockets.com/blog/money-393 Interested in learning more about today's sponsors or becoming a BiggerPockets partner yourself? Let us know! Learn more about your ad choices. Visit megaphone.fm/adchoices