I wish I was a wizard and could defy the economics 🥵

Trump wants to lower the mortgage interest rate to make buying a house more affordable.

Yup, I know exactly what I’m doing, trust me.

If you make buying a house more affordable, I suspect the demand increases and unless the supply is increased at least as much or more, don’t prices go up driven by demand? Isn’t that how the economy works?

Isn’t the building of houses hampered if you deport the people who are important to building new houses? Are prices driven higher when you put tariffs on important building products?

And won’t some people see lower payments and conclude they can afford a larger house when maybe given all the expenses that go with that, they actually can’t?

It’s magic, a magic economy

What do I know, I’m not a wizard?

3 comments

  1. A lot of assumptions there. It is true more buyers are available if rates are significantly reduced. Demand would go up and supply will follow if permitted by local building and zoning codes. Some areas want to make it as difficult as possible to build new.
    It is not necessarily true that housing is built by illegals exclusively so I don’t agree that would be anything more than holding labor costs up. If people think they can afford more they will buy higher at any rate. At any rate, we need more housing built and builders will do it if they see a buyers market and can get building sites.

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    1. It is absolutely true that much housing uses illegal immigrants. They are used primarily for framing and installing wall boards. Of course in some areas more than others.

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      1. Al Lindquist

        yikes–illegals with work permits?? how does that happen–so no wonder ICE agents target building and construction–that’s where the illegals are as told to us by the supporter of illegal activity, that being in this country without permission means little or nothing, there are jobs, fake SS numbers, and work permits waiting for you.

        so according to Quinn less expensive housing necessitates the use of illegals–you want a reasonably priced house like in the past then do what he and his buddies did 4-years ago–open the border to invaders–no checks on those coming in–just come on down–they want to double down on the crisis we now see in blue cities.–more blood and violence

        maybe the illegals have to live somewhere so just maybe they have some responsibility for higher home prices?

        tariffs are taxes, which the lefties love (blue states = low taxes–have a good laugh) and do not help the situation at all–but the myriad of rules and regulations is a big impediment to home building–how about places that require 2 acres or so before you can build–

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