3 ms·

Here's the problem I own a home I am not owning that home as an investment vehicle I didn't choose the home to make a return I got that home as a place to frick

by hpoe 5y ago

Here's the problem I own a home I am not owning that home as an investment vehicle I didn't choose the home to make a return I got that home as a place to fricking live, I chose my home because it would be most comfortable for my wife and family. The "value of the home" is an imaginary number in a database somewhere that doesn't actually do me any good when I need to pay for a hospital visit, or need to buy a car or something like that. In fact the more of my "value" is locked up in my home the less I am able to access it. Besides even if I were to liquidate what should I do then, go live under a bridge, the problem is even if my home has increased in value so has everyone else's home so even if I liquidate I'll still be stuck having to roll all that value over into a new home anyway because no matter what happens I still need a place to live.

mullingitover 5y ago
> In fact the more of my "value" is locked up in my home the less I am able to access it. It's extremely easy to access the value of your home, home equity lines of credit are used all the time.
- billytetrud 5y ago
  When the only way to access the value of your property is to pay a rent (interest) to someone else, then that isn't really easy access, now is it?
  - mullingitover 5y ago
    It's the easiest way in comparison to losing physical access to the property by selling or renting it out. Equity lines of credit are very easy, they're not free money but then again TANSTAAFL.
xxpor 5y ago
>or need to buy a car or something like that. People buy cars with HELOCs all the time.
- hpoe 5y ago
  People also buy flat screens with payday loans, just because everyone is doing it doesn't mean that is sound financial advice.
  - xxpor 5y ago
    That's not the point though. The argument that you can't access you home's equity without selling is complete nonsense.
imtringued 5y ago
Yes, increasing land prices are stupid. The idea that people are investing into land is absurd. This is actually an example of deflation hurting the poor. It's not deflation of the USD. It's deflation of land as people start hoarding land and reduce the available supply. If we could "print" more land this wouldn't be a problem. It's like those game item NFTs. ETH goes up by 4x. Items get more expensive by 4x. It's just stupid.

by hpoe 5y ago

mullingitover 5y ago

> In fact the more of my "value" is locked up in my home the less I am able to access it. It's extremely easy to access the value of your home, home equity lines of credit are used all the time.

billytetrud 5y ago
When the only way to access the value of your property is to pay a rent (interest) to someone else, then that isn't really easy access, now is it?
- mullingitover 5y ago
  It's the easiest way in comparison to losing physical access to the property by selling or renting it out. Equity lines of credit are very easy, they're not free money but then again TANSTAAFL.

xxpor 5y ago

>or need to buy a car or something like that. People buy cars with HELOCs all the time.

hpoe 5y ago
People also buy flat screens with payday loans, just because everyone is doing it doesn't mean that is sound financial advice.
- xxpor 5y ago
  That's not the point though. The argument that you can't access you home's equity without selling is complete nonsense.

imtringued 5y ago

Yes, increasing land prices are stupid. The idea that people are investing into land is absurd. This is actually an example of deflation hurting the poor. It's not deflation of the USD. It's deflation of land as people start hoarding land and reduce the available supply. If we could "print" more land this wouldn't be a problem. It's like those game item NFTs. ETH goes up by 4x. Items get more expensive by 4x. It's just stupid.