You'll hear lots of younger people complain about artificially inflated asset prices that have rigged them out of purchasing a home. That is, it you could hear them above the sound of your sweet stereo system blasting away in your luxury SUV.
Funny how many don't see how Fed "free money" isn't every bit the trickle-down economics that tax cuts for the "rich" were. After all, they've got their house and fat investment portfolio, so what's the problem?
I should know, I've also benefitted from asset price increases. But at least I also have the self-awareness to understand why I have benefitted and many have been left out.
Oh is this about self awareness or my belief that Reagan’s agenda, economic plan from 50 years ago that is the mainstay of the Republican Party’s platform for the last 50 plus years is voo doo economics ? That I don’t belief that policy of giving the 1% huge tax breaks does zero for lower and middle class is what you have issue with ?
You get the free money started with the economic down turn caused by one party that refused to have any guard rails on the mortgage industry and caused a near collapse of the banking system ? BTW those who were shut out (your young people)could have purchased assets that were under water in 2011 and 2012… and even to 2016 there many areas of the country that had extremely well priced housing. There were many great deals to be had. The fed even came up with the du refi plus to help people lower their mortgage even tho they could be upside down by 30to 40%.
Even tho money was inexpensive people didn’t start to take advantage of it until roughly 2014.
Contrary to your believe I much rather have had higher rates and a more normal market since 2016.
And a result if 2021 our industry has shrunk probably by 70%. If the industry employed 100 people in 2021, it now employs 30.
There are many downsides to those extra low rates of two years ago. But you get the cheap asset was a short term policy, not a 53 year agenda. And the issue for young people is they are competing with people in a market where supply is limited and that isn’t changing . So higher down payments are winning the day .
But like I said you will be glad rates are at or near 8 so I am off the govie cheese .
And no the last few years there has been minimal portfolios built by investors .. you know why ? Of course you don’t.
And once you come up with a new system I will play by those rules and make money .