Originally posted by @Aaron Mazzrillo:
Pretender economists have been predicting the real estate market crash on here for YEARS. Always wrong. Always based on zero data. Always because they missed out on the unbelievable buying opportunity of 2008-2010 and they wish they could get those prices again. NOT GOING TO HAPPEN...
Pretender economists? Based on zero data? Go look at a graph of interest rates for the past 40 years and ask yourself why real estate appreciated the way it did for the past 40 years. The Fed has manipulated and leveraged interest rates for a long time in order to create wealth/equity so encourage people to spend money. You can't do that forever. Just because they've been doing it for 40 years, it doesn't mean that they can do it forever. When you can no longer lower rates, the only option left is to print ridiculous amounts of money to stimulate the economy. They've used up that weapon for the time-being. Not only have they used that weapon, they overused it and abused it, resulting in the highest inflation in 40 years. If we are pretend economists, why don't you tell us how they're going to pull a rabbit out of their hat? They're not. They've used up all their joker cards and now they have to reset the deck.
Someone in here said that it's not real estate that's in a bubble, it's the U.S. dollar that's in a bubble. I would say that interest rates are in a bubble, they've been manipulated for the past 40 years.
