Posted on 02/21/2022 7:25:33 AM PST by Browns Ultra Fan
The Federal Reserve and Federal government are helping make housing simply unaffordable!
In January 2020, just prior to the COVID outbreak in the US, the Case-Shiller national home price index was growing at 4% YoY, the Zilliow rent index (all homes) was growing at 2.92% YoY and REAL average hourly earnings were growing at 0.52% YoY.
Then COVID struck and the Federal government dumped trillions of dollars of stimulus into the economy and The Federal Reserve massively expanded its balance sheet. Now the US has home prices growing at a 18.8% rate, rents (for those who can’t afford to purchase a home) growing at 14.91% and REAL hourly earnings growing at -1.80%.
The site Apartment List has an even bleaker view of rent growth, with rents in January 2022 having grown by 18% YoY.
Now that COVID is fading, we see New York City rents growing at 33.5% YoY followed by Florida and Arizona cities at 29.3% and higher rates. Irvine CA is seventh at 28%. The slowest growing city is Oakland, CA is growing at only 0.5%.
So, The Federal Reserve and Federal government have created their version of a horror film with even rents blowing out of control. And it’s getting weirder as inflation blows out of control.
(Excerpt) Read more at confoundedinterest.net ...
End plan is probably make rents unaffordable so the bottom 25% need a permanent rent subsidy from Uncle Sugar.
What do all humans fear? Not having a home, a job or being able to feed your family. Its all about creating a perpetual state of fear.
All part of the plan, apparently.
My theory is they are simply trying to destroy a prosperous middle class, and in doing so be able to introduce real class-based Marxism to augment the race-based and sexual-based Marxism they have been trying unsuccessfully to foster in the USA.
There were many Communists over the years who said traditional Marxism wouldn’t work in the USA because the middle class was too large and too prosperous. CRT theory was working, but in a more limited space. Feminism too.
Good thing we have these “crumbs” from Biden and Pelosi to keep our boats afloat. /sarc
Ya wait until the get what they want. If i can not be free I can at least savor the pain and grief of those finally achieving there “Marxist utopia”
Looking forward to overdosing on schadenfreude.
Of course Demented has a lot more Republirats on his side, but still...you can't even imagine what his success will result in 3 more years. Stunning!!!
Rents have to go up with inflation, as does everything else. In California there are cities where it is about impossible to remove a renter who is no longer paying. The landlords put the properties up for sale.
What is happening is that Black Rock is buying up towns. They will be the new landlords. Check it out, it’s mind blowing.
You will own nothing (because you can’t afford it) and will be happy. Great Reset in the making.
Pray. We as a nation need to turn our hearts and ways back to God.
“The slowest growing city is Oakland, CA is growing at only 0.5%.”
Who the f..k would want to live in Oakland?
We as a nation need to turn our hearts and ways back to God.
Our national culture is entirely pagan and arrogant. “Do what thou wilt shall be the whole of the law”.
Is this a result when the hedge funds and equity groups are buying up every home they, whole inventories of foreclosed homes from the banks, and treating to turn the entire country into renters?
What’s funny is, the young hipsters have this idea that not owning anything means not being responsible anything. Hence they love all those bikes and scooters they can jump on and toss all over the place.
The rent is too damn high!
Wait, they expect me to pay rent now?
The Federal Reserve has not helped, but Biden is the root cause for the rental shortage.
Biden allowed millions of illegals into the USA and put them in rental apartments.
When demand exceeds supply prices go up.
“The Federal Reserve has not helped, but Biden is the root cause for the rental shortage.”
What would the FED do to “help”?
“Rents have to go up with inflation, as does everything else.”
C’mon, everyone knows rents always go up but landlord expenses only go down.
/s
Are tents, blue tarps and blankets going up too?
My friend is a landlord. He and his tenants have a very good relationship. He tries as much a possible not to raise rents because the tenants pay on time and maintain the house well.
This year... inflation is up 10% at least ( ignore the official numbers, they’re low ball) and the county is raising property taxes accordingly.
My friend has no chpice but to raise rents as well as much as he hates to do it. I hope the tenants can afford the increase... it will depend on how much their own salaries get adjusted.
Yes, you will own nothing and you’ll be happy!
I agree with both of those points. And not just Black Rock. There are other entities gobbling up property, including other entities even more wed to China that Black Rock. Those lower supply.
Don't forget the demand side. The border invasion yugely increases demand for space.
After the fedgov made it so landlords could neither collect rent nor evict non paying tenants, who is surprised rent is going up? All this inflation lies at the feet of the democrats. There is no denying it.
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