Difference between revisions of "US Real state bubble"
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==Enablers:== | ==Enablers:== | ||
- Lower interest rates have made it easier for investors to borrow more to buy | - Lower interest rates have made it easier for investors to borrow more to buy | ||
- Property is seen as a more attractive investment given the poor performance of stock markets | - Property is seen as a more attractive investment given the poor performance of stock markets | ||
- Millions of families are spending 35 to 50% of their annual income on mortgage or rent payments | - Millions of families are spending 35 to 50% of their annual income on mortgage or rent payments | ||
-People buying overprices properties fearing prices will be even higher, increasing the bubble | |||
==Inhibitors:== | ==Inhibitors:== | ||
Revision as of 17:28, 25 November 2004
Description:
US (and World) real estate bubble may be nearing its end. Bursting of such may bring the world economy into a grinding halt.
Enablers:
- Lower interest rates have made it easier for investors to borrow more to buy
- Property is seen as a more attractive investment given the poor performance of stock markets
- Millions of families are spending 35 to 50% of their annual income on mortgage or rent payments
-People buying overprices properties fearing prices will be even higher, increasing the bubble
Inhibitors:
- - -