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Are ‘mom-and-pop’ investors pricing out first-time homebuyers? (globalnews.ca)
submitted 7 months ago by booja@booja.ca to c/canada@lemmy.ca
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[-] twopi@lemmy.ca 2 points 7 months ago

It's both.

If you just look at supply and demand graphs.

Where S is supply, D is demand, N is number of people, I is number of investors, and P is price you'd have:

  1. S[=N+0]=D[=N+0], P-
  2. S[=N+0]<D[=N+I], P▲
  3. S[<N+0]<D[=N+0], P▲
  4. S[<N+0]<D[=N+I], P▲
  5. S[>N+0]>D[=N+0], P▼
  6. S[<N+I]<D[=N+I], P▲
  7. S[>N+0]>D[=N+0], P▼
  8. S[>N+I]>D[=N+I], P▼
this post was submitted on 01 Apr 2024
98 points (93.0% liked)

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