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22
Home sellers outnumber buyers by largest gap in US history while pending home sales are also at a record low, yet it’s still totally not a bubble… (twitter.com)
posted 124 days ago by Ahaus667 124 days ago by Ahaus667 +22 / -0
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▲ 6 ▼
– SarcasticRidley 6 points 124 days ago +6 / -0

Young people are asset low and labor income high

Young people are asset low and labor income low. That's the problem.

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▲ 4 ▼
– CaptainTrouble 4 points 124 days ago +4 / -0

Their labor income seems low because asset prices are so high.

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▲ 10 ▼
– Ahaus667 [S] 10 points 124 days ago +10 / -0

No… it’s because wages haven’t met inflation for over 30 years now. If we jacked up interest rates right now the housing economy would collapse in a decade because no one would sell what they bought and no one would buy.

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▲ 2 ▼
– CaptainTrouble 2 points 124 days ago +2 / -0

You know what reduces inflation? Higher interest rates.

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▲ 4 ▼
– Ahaus667 [S] 4 points 124 days ago +4 / -0

You know what causes a market collapse? High interest rates on an already low market. What part of that graph suggests inflation from high demand and low supply? They’re already selling homes at half the rate of a decade ago and you think the problem is interest rates? Absolutely fucking retarded.

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... continue reading thread?
▲ 1 ▼
– TCDforver 1 point 124 days ago +1 / -0

Their labor income seems low because it is low.

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