5 ms·

I’d say anywhere where the interest rates are low for an extended period of time and there’s stable work. That combo seems to blow up house prices and rents.

by brad0 8y ago

closeparen 8y ago
Usually when we're talking about housing affordability, it's not just a shift from interest to principal. It's the total (principal + interest) cost skyrocketing. Higher interest rates might depress prices for cash buyers, but it seems doubtful that normal people getting mortgages would be any better off.
StudentStuff 8y ago
Housing supply also plays into it. We know how to build lots of cheap housing, but instead we create restrictions to ensure it is never built, then wonder why there is a housing crisis.
- chrischen 8y ago
  People restricting houses already have housing. Seems these days a lot of soecial interests against density.
  - StudentStuff 8y ago
    It is a strong culture of "I've got mine, you can pound sand/die on the street" here in the US. Its quite interesting how most people subscribe to religions that tell them to help and care for their neighbors, community, and those who have fallen on hard times, yet in their own daily lives they actively work to bootstomp the poor. Those beliefs and actions do not reconcile :P
    - khhh35575544 8y ago
      Sometimes profound beliefs enable bad behaviour.
    - majewsky 8y ago
      That's because the major belief system in the west is not Christianity, it's actually neoliberalism: Everyone is responsible for their own fortune. So if someone is unfortunate, it must be their own fault and they deserve it. People may call upon their Christian values, but what they actually do is pretty neoliberal.
    - chrischen 8y ago
      I remember there are Mexican American politicians in the US who's whole response to their platform against illegal immigration was literally that they're closing the door on people behind them (jumping the border). Understandably there will be people like that, but that they'd get elected and can espouse such beliefs shows that there are people out there with seriously messed up values.
      - collyw 8y ago
        Did these people get in legally or illegally? If they played by the rules I can understand them, being annoyed at people that don't.
        chrischen 8y ago
        I think it was the Daily Show or something like that. They specifically highlighted that the guy got in illegally. This isn't the guy they highlighted (person was a man), but similar: https://www.csmonitor.com/USA/2011/0913/Susana-Martinez-Can-a-Latina-governor-be-anti-illegal-immigration https://www.csmonitor.com/USA/2011/0913/Susana-Martinez-Can-... That being said, nothing wrong with being against illegal immigration. It's illegal for a reason. But being a beneficiary of it and not being understanding of it takes a certain type of skill.

I’d say anywhere where the interest rates are low for an extended period of time and there’s stable work. That combo seems to blow up house prices and rents.

by brad0 8y ago

I’d say anywhere where the interest rates are low for an extended period of time and there’s stable work. That combo seems to blow up house prices and rents.

closeparen 8y ago

Usually when we're talking about housing affordability, it's not just a shift from interest to principal. It's the total (principal + interest) cost skyrocketing. Higher interest rates might depress prices for cash buyers, but it seems doubtful that normal people getting mortgages would be any better off.

StudentStuff 8y ago

Housing supply also plays into it. We know how to build lots of cheap housing, but instead we create restrictions to ensure it is never built, then wonder why there is a housing crisis.

chrischen 8y ago
People restricting houses already have housing. Seems these days a lot of soecial interests against density.
- StudentStuff 8y ago
  It is a strong culture of "I've got mine, you can pound sand/die on the street" here in the US. Its quite interesting how most people subscribe to religions that tell them to help and care for their neighbors, community, and those who have fallen on hard times, yet in their own daily lives they actively work to bootstomp the poor. Those beliefs and actions do not reconcile :P
  - khhh35575544 8y ago
    Sometimes profound beliefs enable bad behaviour.
  - majewsky 8y ago
    That's because the major belief system in the west is not Christianity, it's actually neoliberalism: Everyone is responsible for their own fortune. So if someone is unfortunate, it must be their own fault and they deserve it. People may call upon their Christian values, but what they actually do is pretty neoliberal.
  - chrischen 8y ago
    I remember there are Mexican American politicians in the US who's whole response to their platform against illegal immigration was literally that they're closing the door on people behind them (jumping the border). Understandably there will be people like that, but that they'd get elected and can espouse such beliefs shows that there are people out there with seriously messed up values.
    - collyw 8y ago
      Did these people get in legally or illegally? If they played by the rules I can understand them, being annoyed at people that don't.
      - chrischen 8y ago
        I think it was the Daily Show or something like that. They specifically highlighted that the guy got in illegally. This isn't the guy they highlighted (person was a man), but similar: https://www.csmonitor.com/USA/2011/0913/Susana-Martinez-Can-a-Latina-governor-be-anti-illegal-immigration https://www.csmonitor.com/USA/2011/0913/Susana-Martinez-Can-... That being said, nothing wrong with being against illegal immigration. It's illegal for a reason. But being a beneficiary of it and not being understanding of it takes a certain type of skill.