Thursday, June 9, 2011
Is it just me or does this not make sense?
Because people can't get mortgages to buy overpriced houses thanks to the collapse of the Ponzi scheme credit bubble there is a shortage of rental property driving up rents. [So maybe you had better buy an overpriced house by any means possible fair or foul!? But surely if less people can buy houses they can rent the ones they would otherwise have bought, unless the sellers enjoy keeping them empty and losing money by foregoing the rental income. The RICS survey this reports on says that "an increasing number of renters are priced out of the market". So are they priced out of both mortage and rental markets..? I haven't noticed a marked increase in homelessness, a la cardboard city in Japan...]