Comment on Housing prices
nednobbins@lemmy.zip 1 week ago
We insisted on our homes being investments.
The only way for that to work is for houses to appreciate faster than inflation.
Otherwise, people would have to sell their houses for less than the inflation adjusted cost of what they put in.
matlag@sh.itjust.works 1 week ago
Who is “we”? People listened to a bench of folks telling them how great it is that their home value will appreciate.
Most of them owning 1, that didn’t benefit them at all: you sell to buy another one that appreciated just the same, but they were happy to be told about their wealth magically increasing exponentially, punching way above their weight.
A few owned more than 1 and think of themselves genius and wise investors as they made quite some money.
The people who told these stories owned legions of them, or built more thanks to large capital availability, their wealth considerably increased, and they laughed at the commoners who were --once again-- fooled.
The younger generation now pay the price of this deception as they’ve been driven out of the market, and the same people who told stories yesterday suck them dry through ridiculous renting prices now. A lot of the young have 0 chance to ever own a home in these conditions, they’re giving up on home, on having children (multiple factors here), and with that, they also give the middle finger to hard work (when they can…) as they know too well they’ll never be rewarded for it. But no worry: inflation going faster than wages will force them into hard work just to barely survive, and eventually they’ll be enslaved by their debt.
And the same people who were fooled about the benefit of house value insane appreciation now scold them about “how hard they were working at their age”.
And the same people who told all of the stories look at them fighting among generations and laugh even more while drinking Champagne: their financial future looks brighter than ever!