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Fucking bastards. Home prices aren’t going to fall because there simply isn’t enough housing for everyone. There’s a housing shortage, we need to build more hou
by xwdv 4y ago
Fucking bastards. Home prices aren’t going to fall because there simply isn’t enough housing for everyone. There’s a housing shortage, we need to build more houses, that’s how you make prices fall.
Meanwhile, since home prices aren’t going to fall, mortgage rates are going up, so now it becomes prohibitively expensive to even get a mortgage.
- AlexandrB 4y agoI've been hearing this for years and yet houses have already fallen 20+% in the Toronto area since the Canadian government started increasing rates. Maybe it's not just lack of supply? Maybe speculation and cheap credit has created demand for houses as investment vehicles people aren't actually occupying?
- Rury 4y agoYou can make home prices fall, by creating a shortage of dollars/credit that's worse than the shortage of houses. For hyperbole, houses wouldn't trade for hundreds of thousands of dollars, if there were only 1k dollars total in existence. A housing shortage wouldn't change that. Fed is currently removing dollars from circulation by reducing their balance sheet, and removing available credit by raising interest rates. Eventually this will weigh on houses prices (along with many things).
- lukas099 4y agoThere is enough housing for everyone. Many houses have more bedrooms than people and most bedrooms could hold more people than they currently hold. The supply is more elastic than you would expect just looking at number of houses vs. number of people.