The David Lin Report · Oct 12, 2026 · 1h 2m · 53m saved
With Peter Schiff, Chief Economist, Euro Pacific Asset Management · Grant Cardone, Founder/CEO, Cardone Capital
Photo via Aurum Speakers Bureau
A 30-year mortgage at 9% would need the price of the house cut roughly in half just to match the monthly payment of a 3% mortgage, says Peter Schiff, chief economist at Euro Pacific Asset Management.
Grant Cardone, founder and CEO of Cardone Capital, says that math does not matter this cycle: about half of all US mortgages carry a rate below 4% with 27 years left on the term, and those owners are not selling into a weak market no matter what new buyers have to pay.
"You're not going to see a 50% drop in any single family homes in this country." — Grant Cardone
Peter, who shorted the subprime mortgage market in 2006 and watched the collapse play out exactly as he predicted, debated Grant, who says he has built roughly $6 billion of real estate across 16,000 apartments over 40 years, in a sparring match hosted by David Lin.
The full interview is covered here so you can skip it. 62 minutes of audio, 9 minutes of reading.
Here are the 8 arguments that matter.
Key Takeaways
A 9% mortgage would require home prices to fall roughly in half to match a 3% mortgage's monthly payment, Peter argues
He predicts mortgage rates could reach 9% by the first quarter of 2027
Grant says half of all US mortgages carry a rate below 4%, with 27 years left on the term, which he argues rules out a price crash
He expects a flat, low-transaction market rather than a 2008 rerun
Grant's Bitcoin-real estate hybrid fund has raised $2 billion without running a single ad
The first fund split 85% into a $72 million property and 15% into $17 million of Bitcoin
Peter says he would rather buy Bitcoin directly than pay Grant's 1% fee plus 50% of profits above an 8% hurdle rate
The University of Michigan's current-conditions index just hit its lowest level since the survey began in 1951, Peter says, worse than during the Korean War or 2008
Grant says the wealthy build fortunes through concentrated bets, not diversification; Peter counters his own biggest asset is still his own business
Grant grades the US economy a B/B+ heading toward an A+; Peter says the real economy, excluding AI, has made no progress
1. The Hybrid Fund
Host David Lin opens the debate by replaying the dispute that started it: Schiff posted that combining real estate with Bitcoin "solves nothing," accusing Cardone of wanting Bitcoin on a REIT's balance sheet to cover maintenance costs real estate already pays for. Cardone says that is not what he proposed.
REITs legally cannot hold Bitcoin, Cardone says
"I did not say that REITs should add Bitcoin to their balance sheet because legally they cannot. It would destroy their structure." — Grant Cardone
Cardone explains his actual vehicle is a personal hybrid fund, not a REIT: roughly 3,000 investors, about $1 billion in total transactions, and a couple hundred million dollars of Bitcoin accumulated over 18 months by buying real estate below replacement cost and putting the spread into Bitcoin. He frames the scale of his underlying real estate business as the foundation for the strategy.
"I have 16,000 apartments. I've been doing this for 40 years. It's about $6 billion worth of real estate." — Grant Cardone
