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A comment on Wave of US labor unrest could see tens of thousands on strike within weeks. Parent comment

Re:Wave of US labor unrest could see tens of thousands on st... by WalterBright on Saturday October 02, 2021 @12:40AM (#28726011)
> So building more doesn't necessarily mean more houses for people to live in.

Of course it does. I know that some people buy homes and let them sit vacant, but that's a transitory state. A home has no value if it is not being used. To realize its value, it must be sold to someone who will live in it.

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Re:Wave of US labor unrest could see tens of thousands on st... by 8note on Saturday October 02, 2021 @12:53AM (#28726064)
It has to be sold to somebody who while buy it*

They don't have to live in it either, just sell it to somebody else who will buy it

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Re:Wave of US labor unrest could see tens of thousands on st... by onion2k on Saturday October 02, 2021 @12:48AM (#28726036)
Real estate can be a store of value. It needs to be sold to liquidate the money tied up in it, but that could be years in the future. Having it sit empty until then doesn't stop the investment from working.
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Re:Wave of US labor unrest could see tens of thousands on st... by WalterBright on Saturday October 02, 2021 @12:54AM (#28726069)
Vacant real estate can be quite a drain on your money. Vacant houses, for example, attract squatters, thieves and vandals. They still cost property taxes, insurance, upkeep, and your time.
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Re:Wave of US labor unrest could see tens of thousands on st... by onion2k on Saturday October 02, 2021 @06:04AM (#28727418)
If you buy a $5m house in a place where the property prices double in 10 years (eg some parts of London), it can still be worthwhile no matter what else happens.
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Re:Wave of US labor unrest could see tens of thousands on st... by WalterBright on Saturday October 02, 2021 @02:10PM (#28730665)
It's even more worthwhile to collect rent on it for 10 years. How much rent can you accrue in 10 years on a posh $5m house?

A price doubling in 10 years is only a 7% rate of return, which is below what the stock market in the US averages.

(Prices may double, but you've got inflation, taxes, insurance, vandalism, theft, maintenance expenses, and non-trivial amounts of your time in the meantime. None of this is free.)

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