|
|
|
|
|
|
by peterldowns
657 days ago
|
|
|
(Ignoring the obvious problems of how such an addendum could be written and enforced.) Why? When would it make sense for someone to attach this addendum to a sale? All these penalties and restrictions would only mean getting paid less for the same property. On the buyer side, why would anyone want an asset like you've described? I live in a home that I enjoy in part because it is a fantastic investment that is highly-leveraged (through a mortgage) in a way not possible for other types of assets. If I need to I can rent out rooms or the entire property. I can sell it to whoever I want, whenever I want. I can borrow against my partial equity in the property. My mortgage is 30-year fixed, but I can always refinance (with no prepayment penalty) if rates go down below my locked rate. I wouldn't want to buy a house without these benefits, and I don't know who else would. If this became standard it would reduce demand for this asset class, and therefore make it less profitable to build new housing, which is exactly the opposite of what you want. |
|
|
Congrats on your fantastic investment and other high octane adulting, but even if you’re winning, look around, a huge chunk of the “wealth” of nations is tied up in real estate nonsense that represents a vast and willful collective kind of madness. This should freak everyone out in aggregate even if they like the idea of their own position.
But more concretely.. everyone pays the “investment vehicle” premium even if they aren’t trying to invest, and even if the home or area definitely can’t deliver a ROI. After pricing lots of the more thoughtful and plan oriented people out of the ability to have children, we are probably well on our way towards pricing single people out of the ability to have a home, even after some market crash that cuts those prices drastically. And yet western society in the northern hemisphere is too individualistic to dwell together collectively in larger family clans or even friend groups long term. To put it mildly, housing as “investment” is a really bad idea, and we’d be better off if people that are interested in that just stay busy with stocks instead. Less mild, we’ve moved past the point where it’s merely unsustainable.. it’s actively destabilizing judging from the rise in populism everywhere.