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by yunohn 1738 days ago
That’s exactly… the problem? Housing shouldn’t be an investment, for corporates nor the government.
4 comments

One of the problems of 2021 is that money printers went brrrr with such intensity that some people are losing faith in future purchasing power of their local currencies and stick any free money into bricks and mortar.

Also, where I live, the official inflation is now like 4 per cent, but gosh, so many things are massively more expensive than before (food in restaurants maybe 40 per cent, some construction material even 100 per cent more expensive than before), that it makes people distrustful of official figures.

Even if it’s not an investment, housing will likely always have a price ratchet, so it’s still not terrible for the government.
If the price goes up any more than inflation long-term, we've still got a problem.
> Housing shouldn’t be an investment, for corporates

If it’s not, you’re essentially going to eliminate privately owned rental housing.

Just like cars depreciating eliminated privately owned car rentals.

Oh, wait, no it didn't. Housing is the only thing miraculously protected from depreciation because making it depreciate would hurt chances at reelection.

This is a great point. Physical houses deteriorate and get damaged, just like vehicles. But their value /always/ goes up.
I’d be really happy with communal non-private rental housing. Corporates already do a bad job, I don’t see why they should make massive money from limited land resources.
Realestate is a commodity so it is unrealistic to think that it wouldn't have value and it would increase overtime as supply and demand fluctuate.