3 ms·
It becomes approximately fifo. Oldest or otherwise least desirable housing becomes affordable housing as demand is met with newer more desirable housing being
by Consultant32452 8y ago
It becomes approximately fifo. Oldest or otherwise least desirable housing becomes affordable housing as demand is met with newer more desirable housing being built. But if you're never building new housing, nothing gets pushed out the bottom to become affordable.
- eastWestMath 8y agoThat would make sense if location didn’t matter and people couldn’t renovate buildings.
- Consultant32452 8y agoThat's just noise as long as construction keeps up with or outpaces demand. The problem is some cities have held back construction for decades, so it will take significant construction to get to the other side of the supply curve. As a thought experiment, what if you doubled the supply of housing units in Manhattan? Or 10x? 20x? I have a hard time believing housing prices would remain high.