00:00So, Zillow says the likelihood of the United States defaulting on its debt is, quote, very
00:07unlikely, unquote.
00:08Well, what if it does happen?
00:11One consequence could be rising debt yields and interest rates.
00:14Mortgage rates would likely go higher, so mortgage payments could rise significantly.
00:20The Zillow analysis predicts, quote, home sales volume would likely decline sharply,
00:24with projected deficits of up to 23 percent fewer sales in the hardest hit month in a severe debt default
00:31scenario, unquote.
00:33The date when the Treasury must meet its obligations without raising debt in excess of the ceiling could land as
00:39early as June.
00:40The U.S. has never defaulted before.
00:43However, if it does happen, overall, it could mean a major disruption for the housing market.
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