October 24, 2022
Watching commercial television these days comes with constant hawking of pharmaceuticals
It’s hard not to question the growing number of real estate ads centering on panicked home mortgagees (most folks don’t hold clear title to their residence) racing to buy a bigger house. In truth, how many homeowners can really afford to move up in a recessionary economy that’s artificially inflating real estate values? Why are corporate property peddlers pitching rushed sales in a market beset by rising interest rates due to the devalued dollar that’s shrinking real wages? Throw in the inflation strangled stock market where 401(K)s and retirement plans have lost $4 Trillion in value as of October 18, 2022, and it’s dubious why homeowners are being pressured to upgrade when their savings are being slashed by pernicious economic policies.
Tim adds:
People think oftentimes that real estate is a safe investment, one that will always rise because land is a non-renewable commodity. BUT most people don't own real estate - the bank owns it. That's why it's a great investment for banks, a terrible investment for everyone else. You essentially rent your home, even when you technicallly hold title to it. And government regulations and rules make it so you cannot even do what you please when you do own it, so in essence nobody owns much real estate. It's an illusory market. Like "silver dollars" which at the end contained no silver. Purely a psychological possession and little more.
Posted by: Timothy Birdnow at
01:18 PM
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