4 ms·
A hypothesis: In the US: Interest rates. Interest rates are low, so mortgage rates are low, so there is a crap-ton of money going after what is effectively a
by mcguire 5y ago
A hypothesis:
In the US: Interest rates.
Interest rates are low, so mortgage rates are low, so there is a crap-ton of money going after what is effectively a fixed resource.
Outside the US: Investments.
A lot of people have made a shit-ton of money from low-interest-rate investments like the stock market in the last decade. These people are looking for places to put said money, including real estate in out of the way places. Once again, a lot of money going after fixed resources.
- hparadiz 5y agoResidences that are empty for more than 1 year should be taxed triple.
- inglor_cz 5y ago"Interest rates are low, so mortgage rates are low, so there is a crap-ton of money going after what is effectively a fixed resource." This is a case in Europe, too, especially in the Eurozone, where interest rates are kept very low by the ECB to keep heavily indebted countries afloat.