Again, I'm no economist. However I think that a number of factors contributed to increased housing values. First, demand. The demand for homes to purchase increased as more people were in a position to purchase with less money down and less restrictions on who could get loans. Also with less restrictions on real estate investors, more people entered that business and began "flipping" lower priced houses for profit.
I don't know where things will settle out. I wish I did. I do know that many people have damaged credit now and that lenders and investors are far more wary about lending. So, I think that demand will decrease as a result and housing values will continue to fall. This will be a good thing for those who still have great credit and liquid assets and want to invest in real estate for rental purposes. Other than that, I don't think I can predict what will happen in the long run. Thanks for watching.
Thanks for this set of video's. Very interesting. I would like to know how high home prices were inflated by these loans, and where you think they will settle at over the next 6 months + (the real bottom).
Again, I'm no economist. However I think that a number of factors contributed to increased housing values. First, demand. The demand for homes to purchase increased as more people were in a position to purchase with less money down and less restrictions on who could get loans. Also with less restrictions on real estate investors, more people entered that business and began "flipping" lower priced houses for profit.
HKyle1 3 years ago
I don't know where things will settle out. I wish I did. I do know that many people have damaged credit now and that lenders and investors are far more wary about lending. So, I think that demand will decrease as a result and housing values will continue to fall. This will be a good thing for those who still have great credit and liquid assets and want to invest in real estate for rental purposes. Other than that, I don't think I can predict what will happen in the long run. Thanks for watching.
HKyle1 3 years ago
Thanks for this set of video's. Very interesting. I would like to know how high home prices were inflated by these loans, and where you think they will settle at over the next 6 months + (the real bottom).
redrightbear 3 years ago