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submitted 9 months ago by Blaze@discuss.tchncs.de to c/europe@feddit.de
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[-] Don_alForno@feddit.de 1 points 9 months ago

Well, no, flat prices wound crash in that case & again be affordably.

Only if the supply exceeded the demand which just can't be assumed - that's the reason prices are high in cities in the first place. Construction prices have no reason to drop as they are driven by labour and materials. So only wealthy people and companies would have the means to build and companies wouldn't do so for lack of profits in renting.

saying that ppl can’t afford to buy so they rent is bs if the rent is higher that the mortgage would have been.

Which might happen in some weird fringe cases, but if the owner knows basic maths it usually won't. You'd set rent at least high enough to repay your own loan on the property and make some profit.

And if it were true why not buy right now? Because the bank won't give you a loan. And that too wouldn't suddenly change.

this post was submitted on 21 Jan 2024
547 points (98.8% liked)

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