Kamala's housing plan

Haha! Economics didn't work out for you, so you shifted to fighting about a word. Then, definitions didn't work out that well, so now you are trying to undo that damage and shift back to synonyms, which often don't mean exactly the same thing. Tough luck, own goal.

 

Glad I could get you to turn off msnbc and try to do something productive with your time. Next time try a little harder.

 

So when is the recession?

 

Multi-family housing is increasing and will continue to do so. There are also builders tearing down houses in inner neighborhoods on larger lots and building 2-4 houses in their place. From what I’ve seen those tend to cost more though.

 

There is already plenty of demand out there. The problem is too many of them are priced out of the market. They want to buy a house, but simply cannot afford it.

Overall, in my town, there has been a slight increase in housing prices driven by the lower end prices of the market. But higher end, again, there have been price drops. And those for sale, more than 1 in 3 have had to reduce the price in order to be sold. Why? Again, there is demand for the houses, but too many are priced out of the market.

Do you really think sellers trying to sell a $500k house is going to see people get $25k that will allow more people to afford said house go, hey, let's raise the house price $25k and price these people out again? That's just not logical. No, instead of lowering their house price so people can afford it, they will sell very close to, or at list price.

And there's already plenty of supply out there. One problem is it isn't moving because so many are priced out of the market. Especially people looking for starter homes. The $25k will help those buy starter home at price, and likely convince those in a starter looking to upgrade to be able to sell at list price and afford the upgrade. Especially if rates drop.

The problem isn't demand. It isn't supply. It's price.

 

Hopefully there isn’t one, but we are still at 2.9% inflation vs 2% ( yes, that is a 45% difference war) and there is heavy pressure to lower rates. even if you believe the government economic numbers ( I don’t) then there is still big risk to inflation going up again and we are right back to 2022 in a year or two. If you are claiming victory already then you are ridiculously optimistic. Or your really not a lib and your siding with the Wall Street money that wants cheap money back.

 

Municipalities can work to make short term rentals less profitable. HOAs can either enforce existing rules or create new ones to ban short term rentals in the lower cost levels of housing. I would support enhancements to FHA and particularly VA to help more people than they currently do. With the mandatory PMI they currently really aren’t much good.

 

My biggest fear since 2020 has been currency devaluation. So far it’s been global so it hasn’t really hurt. But if other countries start to get their shit together it will start hurting us quickly

 

Is their target based on CPI or PCE?

 

Still have to maintain it, pay for it etc. putting folks with no financial stability behind the 8 ball. Rent will always have a place. Didn’t we just go through the cray cray loan stuff?
We have been holding rates at crazy levels to subsidize housing for what, two decades? Just drove prices up for bigger houses and ga e big money a lucrative path.
Apartment vs condo.
Now I do agree on the wealth building aspect, but depending on market, does that help current generations or their heirs.

Damn higher math, which reminds me, it’s happy hour somewhere

 

Government infusing $25K to new home buyers? From the people who brought you guaranteed loans toward college tuition? Awesome! I can't wait to hear 10 years from now people bemoaning the fact that they bought too much house and some candidate will offer "Mortgage Forgiveness" Please, no Kamala.

 

10 years? May be proposed next week...

 

Post #85 said, in part: "The problem isn't demand. It isn't supply. It's price."

Isn't "price" determined by Supply and Demand?

 

price is determined by the intersection of the supply and demand curve. The quantity demanded would be higher if the price were lower ( and supply curve higher)

 

In part, yes. But a house isn't a widget. Two widgets from the same factory will be priced the same for the most part. Two identical houses? Not so much. Location and condition, among other things, are big price factors.

You also don't need to take out a mortgage to buy a widget. Home values can remain steady, but if interest rates change, it will cause some to be priced out if interest goes up, or be able to afford a house in a price range if interest goes down.

New houses also take time to build. More housing is needed, and should help with pricing, assuming houses that are being built are in all price ranges. But that doesn't change current conditions. There's plenty of supply. Plenty of demand too. So why aren't more people buying? Can't afford to.

 

Has to be one the most idiotic press releases I've ever read. US energy production reached a new record in 2023. Consumption also dropped during this time period. How is energy production the problem?

I do agree that shortages lead to inflation. But which candidate is suggesting we deport about 4.5% of our work force, including as much as 50% of our agricultural workers? Wouldn't that too create massive shortages resulting in inflation?

 

i have serious doubts about eliminating medical debt and the housing subsidy.

 

[It is Trump's fault. QUOTE="AzCatFan, post: 16718983, member: 5829"]In part, yes. But a house isn't a widget. Two widgets from the same factory will be priced the same for the most part. Two identical houses? Not so much. Location and condition, among other things, are big price factors.

You also don't need to take out a mortgage to buy a widget. Home values can remain steady, but if interest rates change, it will cause some to be priced out if interest goes up, or be able to afford a house in a price range if interest goes down.

New houses also take time to build. More housing is needed, and should help with pricing, assuming houses that are being built are in all price ranges. But that doesn't change current conditions. There's plenty of supply. Plenty of demand too. So why aren't more people buying? Can't afford to.[/QUOTE]