The problem are the low interest rates. We need to raise interest rates to lower asset prices. Not just homes but all asset prices need to come down dramatically. Interest rates should be at 15%.
The problem isn’t low interest rates, it’s affordability. If we put homes at 15% interest the only people walking away happy would be banks because neither buyers or sellers are getting anything from it. The last time asset prices were that high was what the 70s during a market crisis.
Higher interest rates lower all asset prices. Young people are asset low and labor income high. They want low asset prices. It's people who already own assets that want low rates. Higher rates benefits young people.
The problem are the low interest rates. We need to raise interest rates to lower asset prices. Not just homes but all asset prices need to come down dramatically. Interest rates should be at 15%.
The problem isn’t low interest rates, it’s affordability. If we put homes at 15% interest the only people walking away happy would be banks because neither buyers or sellers are getting anything from it. The last time asset prices were that high was what the 70s during a market crisis.
Higher interest rates lower all asset prices. Young people are asset low and labor income high. They want low asset prices. It's people who already own assets that want low rates. Higher rates benefits young people.
Young people are asset low and labor income low. That's the problem.
Their labor income seems low because asset prices are so high.