Home Prices Hit Record Highs. Is It a Bubble About to Burst?
"Why won't we see another Great Recession-era housing bubble?
The sky-high prices of 2020 are being driven by an influx of buyers bidding up prices on a historically low number of homes on the market. Until more properties come online, that dynamic is unlikely to change.
The Great Recession had the opposite problem: There were many more homes available than qualified buyers.
In the aftermath of the housing bust, it's become harder for buyers without good jobs and strong credit to score mortgages. This weeds out riskier borrowers. And unlike the last go-around, when builders were erecting residences at what seemed like a break-neck pace, the under-building of the last few years has exacerbated the housing shortage.
Even if the economy doesn't improve by next year and a vast swath of Americans remain unemployed, we are not likely to see the flood of foreclosures that characterized the housing crash, partly because government protections could be extended.
"It doesn't feel at all like last time, when the market was getting all pumped up by easy mortgage credit," says Mark Zandi, chief economist of Moody's Analytics."
Are these people for real?! Government support can not last forever. If Obama was doing this we would be howling at the moon. Tons of restaurants have closed in the Bay Area. Most have reduced income as do other businesses. Not to mention the new costs. Everyone had to run out and buy tents. Who knows how much they are spending on cleaning.
And as much as people like to think everything is fine - most people don't like to eat outside apparently. I don't love it because I have long hair and if it's windy it's always in my eyes or mouth. But apparently guys also feel this way. I didn't think it much mattered to them because they are guys. Some men feel like they are paying for ambiance. Who knew?
And winter is coming! So anyone surviving now, gets to go through winter seeing if they can survive. How can these people possibly think more supply is not going to come onto the market? Absurd.
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"I didn't think it much mattered to them because they are guys."
ReplyDeleteThings I am paying for by being inside a restaurant:
1. No flying insects attacking my food.
2. No fucking seagulls attacking my food.
3. No napkins blowing off the table.
4. No drinks getting prematurely warm.
5. No pretense that we're enjoying the weather.
6. No homeless people coming up to me demanding tribute for being worthless assholes while I eat my food.
The last two especially were a thing in Seattle.
When I'm eating food for fuel instead of food for enjoyment, I used to like going to food courts because I didn't really have to choose what to eat until I got there. If other people were with me, I didn't have to be stuck with their decisions that I didn't like.
Until I got to Seattle.
Without fail, any time I'd try to eat at Westlake Center on the way to somewhere else, there would be some scruffy asshole trying to shake shekels out of me while I was eating.
So I stopped bothering with that and embraced the cleanly non-fuckedupness of restaurants even when I just wanted food for fuel.
Huh. I did not know this about men, because they will basically eat anything. I'm neutral on ambiance because some of the best food that came out of the Valley was from run down dive places. It used to be a sport here. You rarely find this now. But one of my favorite burrito places in Mountain View was in very bad disrepair. The ceiling was almost falling down. If you hadn't already been initiated you would never go to that place. They would have never ever survived in the world of Yelp.
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