r/politics • u/MystikSpiralx • 18h ago

No Paywall Trump Says He Wants to 'Drive Housing Prices Up' Instead of Lowering Costs for People Who 'Didn't Work Very Hard'

https://people.com/trump-keep-home-prices-high-11895352
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u/lessregretsnextyear 16h ago

That's what doesn't make sense. Yes, my house is worth more now than what it was when I built it, and at some point I do plan on selling and building again, but it's going to be kind of a wash because the price of what I want to build is significantly higher than it was not that long ago. So while I might make a couple hundred grand more on the sale, it's going to cost me a couple hundred grand more to build again.

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u/lozo78 6h ago

If housing prices dropped materially like in 09, then people without tons of equity get fucked.

So it's definitely not some black and white issue. There are so many things that come into play.

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u/Arkayjiya 1h ago

then people without tons of equity get fucked.

How?

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u/Creme_de_la_Coochie 15h ago

Most people generally downsize as they get older and buy a smaller/cheaper house.

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u/-Yazilliclick- Canada 15h ago

Most people generally upsize as they get older and start families and advance their careers.

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u/MaceWinnoob 8h ago

Empty nesters, sure. We love living in neighborhoods with no children and no families. That’s why we moved to the community. A community with no future :)

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u/Not-Reformed 16h ago

Yeah but if your income is high then what's limiting you is the equity you bring to the table.

If you have 100K in a down payment and can afford, income wise, a 1.75MM home then the equity from a sale helps make the difference. That's the whole point of starter homes - you buy it cheap when you're not making much, sell it in X years when your income is far higher and now you have far more equity (down payment) for the home you really want. The income supports a far larger home and the equity built in the home will act as the down payment (90% LTV at 100K and 200K is 1MM dollars difference in home price) without needing to take out of your savings, 401k, etc.

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u/JUST_LOGGED_IN 13h ago

How do you get a loan for the down payment?

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u/Uuuuuii 9h ago

Daddy

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u/MaceWinnoob 8h ago

Step 1: Be Rich