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This doesn’t make any sense to me. Why wouldn’t a really poor family buy it when it’s really close to zero then, especially if it’s a perfectly habitable house.
by jutrewag 3y ago
This doesn’t make any sense to me. Why wouldn’t a really poor family buy it when it’s really close to zero then, especially if it’s a perfectly habitable house.
- maxerickson 3y agoIt's likely not perfectly habitable as the price heads to zero.
- jutrewag 3y agoIf it’s a depreciating asset there’s a good chance it’s maintained while the price is dropping. How bad could it get as long as it’s not abandoned? The whole thing is built on a cultural premise where people don’t want to live in houses that have been lived in. It’s fickle and it’s amazing to me that it has persisted for so long.
- midoridensha 3y agoPeople buy used houses all the time, at least in major cities. They just properly recognize that the value of the house goes to zero after ~40 years, but the land it's on retains (or even gains) value. Honestly, I don't see how this is that much different than America: in the richest cities there, people frequently buy up some shitty old 1950s house on valuable land, tear down the house, and build a bigger and nicer one. Of course, a bunch of the elderly neighbors whine and complain about how the shitty old 50s house had "character"...
- sn9 3y agoBecause the land still has value so it's cheaper to just build a new house on the land.
- deleted 3y ago[deleted]