[Nbox9]

I think this is way oversimplifying the realestate market.

1. There is a fixed amount of realestate that must be shared by a growing population.

2. Inflation means the cost of everything is increasing. Why wouldn’t that provide significant upward pressure on homes?

3. Local governments spend a lot of effort maintaining high real-estate values. You can’t fight city hall.

[harambae]

> 1. There is a fixed amount of realestate that must be shared by a growing population.

U.S. Population Grew 0.1% in 2021, Slowest Rate Since Founding of the Nation [0]

> 2. Inflation means the cost of everything is increasing

I agree on this one

> 3. Local governments spend a lot of effort maintaining high real-estate values.

Increase in total inventory increases local government overall income and solidifies the need for their own bureaucracy. (i.e. local government would love for their little kingdom to grow to the sky, in my experience... my experience being Morgan Hill, CA)

[0] https://www.census.gov/library/stories/2021/12/us-population...

[refurb]

All that’s true, but affordability is affordability.

If someone can just afford a $800,000 mortgage payment at 2% they won’t be able to afford $800,000 at 6%.