Housing and California
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@rickerwill2 I think jdouche is saying that he thinks prices with go down because interest rates are going up, this happened in the late 80's. It is true that if supply goes down, prices generally go up, but most people buy on credit, so if interest rates go up the borrowers buying power goes down because the buyers monthly payment gets eatin' up by the higher interest rates...
mrjswift 1 year ago
So, inflation will cause building materials and labor costs to increase, putting contractors out of business and resulting in a shorter supply of housing? You surmise less supply will result in LOWER prices? That is contrary to every logical analysis of supply and demand! The need for housing will not diminish, so if the supply is less, the prices MUST increase to adjust. In inflationary times, the only investment that HAVE done well are tangible things like real estate. Study history!
rickerwill2 1 year ago
Hopefully the bill will have a cool acronym. Great.
Amowtts 2 years ago
Very astute analysis. Why isn't anyone even talking about these scenarios in the mainstream media?
spacehabitats 2 years ago