Governments don’t do what’s best for the country. They do what they think will get them re-elected.
Building more homes will obviously solve the housing crisis but it will cause home prices to collapse. That will piss off homeowners, causing the government to lose the election. They don’t want that!
It sounds like you can afford the situation so you’re not upset because it won’t negatively impact your life. That puts you in the minority of homeowners.
The issue is for people who purchased their homes around the peak of housing prices. If those prices drop rapidly it puts their mortgage underwater. An underwater mortgage is a crisis that can result in the foreclosure of your home and a large debt you can’t afford to pay. Having millions of homeowners suddenly end up with underwater mortgages is a financial and political crisis for the entire country.
Governments don’t do what’s best for the country. They do what they think will get them re-elected.
Building more homes will obviously solve the housing crisis but it will cause home prices to collapse. That will piss off homeowners, causing the government to lose the election. They don’t want that!
Interesting.
I’m a homeowner.
I would not in any way be upset if the news came out that my overpriced house dropped in value. That might mean my kids have a fighting chance.
No society will thrive unless people plant the trees whose shade they will never live to enjoy.
It sounds like you can afford the situation so you’re not upset because it won’t negatively impact your life. That puts you in the minority of homeowners.
The issue is for people who purchased their homes around the peak of housing prices. If those prices drop rapidly it puts their mortgage underwater. An underwater mortgage is a crisis that can result in the foreclosure of your home and a large debt you can’t afford to pay. Having millions of homeowners suddenly end up with underwater mortgages is a financial and political crisis for the entire country.