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This is the most interesting bit of information in this entire comments section: Japan, which has a completely different view, model, and concept of real estat
by mrguyorama 2y ago
This is the most interesting bit of information in this entire comments section:
Japan, which has a completely different view, model, and concept of real estate that does NOT treat it as an investment, ends up with the same portion of GDP locked/used/coming from real estate.
I feel like there's important information in that tidbit, but I am not equipped to grasp it.
- s1artibartfast 2y agoOne possible takeaway is that just maybe real estate isnt a parasitic zero-sum activity that some make it out to be. That developing, renovating, bankrolling, managing, and maintaining physical infrastructure is real work and creates real value.
- ianburrell 2y agoReal estate is 3-5% of GDP for construction of new homes. And 12-13% for housing. That includes rent, but also the owner's imputed rent that they would pay. I think sales are counted as capital gains and I think not included in GDP. I'm not too surprised that countries have similar housing, there is percent of rent that can afforded. I'm surprised that higher home prices aren't reflected, but that may show up as higher overall GDP.