… the same lack of antitrust enforcement that’s made health care cost twice as much as it should.
intercst
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It looks different in the major cities.
My rent vs.buy calculation is screaming SELL and go back to renting.
And a reduction in interest rates will only increase home prices even more, since like new cars, people buy homes based on the monthly payment, rather than the fact that it tends to be a poorly appreciating asset with confiscatory transaction costs when you buy or sell.
intercst
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Rates dropping increases the construction of homes. If you go back and look at your linked chart, the building is on an upswing as inventory grows.
It is too profitable not to build.
The odds are wood prices drop.
Probably not in a housing market controlled by a few large builders. If constricting supply drives up new home prices and unemployment reduces their labor costs, that’s magic for excessive Executive Compensation.
intercst
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That is one dimension for an industry that is far more dynamic.
Rates drop people buy new homes. There is no saying no to those clients.