Comment on Price correction "worse than 2008" coming to US housing market—analyst
sj_zero 5 days ago
In my own country of Soviet Canuckistan, house prices in some markets have already faced 50% drops from the peak. Not all, of course, but we're in bubbles that make US housing markets look sane.
Thing is, all the things politicians try to do to make housing "more affordable" just make it more expensive by making more money available to drop on a bid. Higher interest rates result in lower prices because people can't afford to bid as high for the same monthly payment.
SaveTheTuaHawk@lemmy.ca 5 days ago
Peak was stupid in 2021, but houses are still 300% overvalued in Canada.
sj_zero 5 days ago
Yes, and they're unlikely to drop to where they should in the near-term. Even the 1990s housing crash was really mostly the market going sideways until inflation caught up.
HeyThisIsntTheYMCA@lemmy.world 4 days ago
In 1970, the median home price was around $24,000 ($207,000ish adjusting for inflation). Median home price is now $425,000. So house prices have increased about twice the speed of inflation. Meaning we’d need at least 50 years of stagnant prices. I’d take that too.