3 ms·
Just because something is simple doesn't mean it's not broken. If we didn't allow speculation in the housing market, that person probably _would_ be credit wort
by nurple 3y ago
Just because something is simple doesn't mean it's not broken. If we didn't allow speculation in the housing market, that person probably _would_ be credit worthy enough for a reasonable priced home.
The problem we're seeing in the housing "market" today isn't that people with no job or assets can afford a home, the problem is that prices have been inflated under speculation so much that we've passed the point where even a median earner can't afford a home.
- s1artibartfast 3y agoYou say it is speculation and scare quote the word market, but do you have any reason to believe houses are overvalued and not a real price? My hcol house cost. $1.5M. The labor and materials to replace the structure are assessed at $1M,leaving 500k for the land. There are no empty lots around so I'm inclined to think that land in the bay area is worth that. I know I paid 500k to live closer to my job.