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re: POLITICO: WH officials upset with Pulte who talked Trump into suggesting 50-year mortgage

Posted on 11/11/25 at 3:53 pm to
Posted by Lsupimp
Ersatz Amerika-97.6% phony & fake
Member since Nov 2003
85452 posts
Posted on 11/11/25 at 3:53 pm to
No THEY do. They have GREAT instincts and a good economic formula . They just have to muzzle the word vomit. Every idea doesn’t have to be a public pronouncement.
Posted by Rip Torn
Member since Mar 2020
5973 posts
Posted on 11/11/25 at 3:55 pm to
You won’t the housing market to collapse yet Americans can’t even stomach very mild tariff pain? I don’t know what to tell you but high interest rates won’t equalize wages or make housing more affordable. They also won’t lower inflation rates below what they already are appreciably
Posted by Sassafrasology
Member since Nov 2025
1144 posts
Posted on 11/11/25 at 3:55 pm to
quote:

Can we hold the line for a while on lowering inflation , lowering interest rates and increasing wages before we flood everyone with a cheap money high?




Posted by stout
Porte du Lafitte
Member since Sep 2006
179732 posts
Posted on 11/11/25 at 3:56 pm to
quote:

You won’t the housing market to collapse


Not collapse. Just stay stagnant for a bit while wages catch up.
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467278 posts
Posted on 11/11/25 at 3:56 pm to
quote:

There has to be some pain felt somewhere to get out of the mess we put ourselves in, but no one has the stomach to do it,


Everyone believes in cuts and less government until it affects them.

The annoying thing about this with RE is how arrogant those who are benefiting are and how much they refuse to admit that basis in their purported success. NC was doing that to me yesterday creating a straw man stating that I was giving advice about RE prior to the Covid insanity, when I was just discussing the policy issues involved.
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467278 posts
Posted on 11/11/25 at 3:57 pm to
quote:

No THEY do. They have GREAT instincts and a good economic formula .

They can't even decide why we're doing tariffs
Posted by Rip Torn
Member since Mar 2020
5973 posts
Posted on 11/11/25 at 3:57 pm to
You could raise rates to 25% and it would change nothing with 38 trillion dollars in debt but it would absolutely crush the middle class
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467278 posts
Posted on 11/11/25 at 3:57 pm to
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467278 posts
Posted on 11/11/25 at 3:58 pm to
quote:

You could raise rates to 25% and it would change nothing with 38 trillion dollars in debt

You keep changing topics

I have this feeling you've conflated the trade deficit with the fiscal deficit, too.

Posted by stout
Porte du Lafitte
Member since Sep 2006
179732 posts
Posted on 11/11/25 at 4:00 pm to
quote:

You could raise rates to 25% and it would change nothing with 38 trillion dollars in debt but it would absolutely crush the middle class



Wut?
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467278 posts
Posted on 11/11/25 at 4:01 pm to
quote:

Wut?


Summary:

Posted by Rip Torn
Member since Mar 2020
5973 posts
Posted on 11/11/25 at 4:05 pm to
Here’s the point: as long as we are running trillion dollar deficits each year, raising interest rates would do little to impact long term inflation
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467278 posts
Posted on 11/11/25 at 4:08 pm to
quote:

as long as we are running trillion dollar deficits each year, raising interest rates would do little to impact long term inflation


A real cut in federal spending to attack our deficit-debt would be deflationary to counter that, however.

And that's still largely irrelevant to a discussion of RE inflation.
Posted by tide06
Member since Oct 2011
20707 posts
Posted on 11/11/25 at 4:13 pm to
quote:

It's unrealized

Yes. Just like owning stock you’ve yet to sell. Only in this case the house is leveraged and the consequences to devaluing it are multiplied.
quote:

Once they sell, they have to reinvest that to live somewhere

Nope.
quote:

It's not real net worth if it's just tied up in one property, considering they have to live somewhere

Wrong.

They could sell and rent and have the money in their pocket while just paying rent out of pocket or purchasing a lesser property and realizing the net difference in capital gains.

Either way it’s still an investment asset, it’s just typically leveraged and can be used before it’s paid off.
Posted by Rip Torn
Member since Mar 2020
5973 posts
Posted on 11/11/25 at 4:15 pm to
It is THE issue facing our inflationary period therefore a 5% mortgage rate isn’t going create increased inflation in any appreciable way but it will make housing more affordable for most Americans. Until serious cuts are made to the deficit each year consistently, we are going to be stuck in consistently increasing inflation year over year.
Posted by stout
Porte du Lafitte
Member since Sep 2006
179732 posts
Posted on 11/11/25 at 4:16 pm to
Renting is still reinvesting the money into another place to live
Posted by The_Duke
Member since Nov 2016
4172 posts
Posted on 11/11/25 at 4:49 pm to
quote:

Trump is surrounded by bad advisors right now. It's just one mistake after another. Inviting al-Qaeda to the White House? Floating 15-year car loans? Floating 50-year mortgages? Arranging discounts for fat-loss drugs?


Pardon Crypto Sum Billionaires he claims he has no idea who they are.
Posted by Big Scrub TX
Member since Dec 2013
38521 posts
Posted on 11/11/25 at 6:03 pm to
quote:

For those not good at math, you pay more for a house by financing it longer.
That's not the bad part. The bad part is that it lowers monthly payments - which means a lot more people can afford it. Which means according to the ironclad laws of supply and demand, the price of houses goes up.

The only way to actually increase affordability is to zone for and build millions of new units.
Posted by Powerman
Member since Jan 2004
170773 posts
Posted on 11/11/25 at 6:05 pm to
quote:

That's not the bad part. The bad part is that it lowers monthly payments - which means a lot more people can afford it. Which means according to the ironclad laws of supply and demand, the price of houses goes up.

I tried explaining this on the OT to SDV and walked away more convinced than ever that he is brain dead
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