I read an article recently which said the "home ownership" paradigm was fading into the sunset asa greater and greater percentage of single family dwellings are being purchased as investment properties by corporations like Blackrock and then rented out. Not surprising since few people can qualify for mortgages at the prices they sell at now. Said corporations can also afford to keep properties off the rental market to reduce supply and artificially maintain high prices. The capitalist system is definitely NOT set up to benefit the individual homeowner. Rather it favors corporations with access to large amounts of cheap debt unavailable to the individual. You can't get a mortgage at a rate a couple of points over the Fed discount rate like an investment capital firm has access to through the CMBS market.
Of course all this debt has been rehypothecated so many times there isn't really collateral to cover all that debt, so eventually it will collapse. Until it does though, the system is totally FUBAR.
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Bugout Machine Subdivision Sprouts in Sunny California
Started by RE Jul 25, 2023, 07:03 AM
Message path : / Planetary Material Conditions / Migration / Bugout Machine Subdivision Sprouts in Sunny California #14
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