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re: OT Homebuilders-Spec Home Markup
Posted on 3/31/15 at 3:10 pm to 4LSU2
Posted on 3/31/15 at 3:10 pm to 4LSU2
Because artificially low interest rates subsidize builders as much, if not more, than buyers. Raise the interest rates and housing prices will fall (or the rate of price increase will drop). Higher rates also give people a place to save, risk free, with at least some return.
Subsidies are not capitalist and are decidedly anti-free market. They skew markets far worse than a food stamp ever will.
Subsidies are not capitalist and are decidedly anti-free market. They skew markets far worse than a food stamp ever will.
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