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It is not a ponzi scheme, it is a limited good in demand. At some point the price will be high enough that it is not affordable for the people that want to buy
by kmonsen 10y ago
It is not a ponzi scheme, it is a limited good in demand. At some point the price will be high enough that it is not affordable for the people that want to buy it.
You cannot just treat housing like a stock, since it is also a way to get good jobs and children in good schools.
- sidereal1 10y agoIt's a ponzi scheme when Government subsidized debt and high risk mortgages (NB: free money) removes price pressures, allowing prices to inflate to unreasonable highs. It's a feedback loop where more money > higher prices = good investment > more money.