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A comment on U.S. house prices are rising exponentially faster than income. Parent comment

Re:U.S. house prices are rising exponentially faster than in... by loeg on Saturday October 30, 2021 @09:39AM (#29048655)
I think you're missing the core idea.

For one party to see returns exceeding interest, another party has to pay for that (exponential) rate of return. It's unaffordable for the second party.

These prices compound, exponentially, and as a result younger generations spend much more of their money in wealth transfers to older landowners. It's unsustainable unless the wages of younger generations also start to rise at similar rates, which isn't happening.

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Re:U.S. house prices are rising exponentially faster than in... by AmericanChopper on Saturday October 30, 2021 @06:31PM (#29052814)
> These prices compound, exponentially, and as a result younger generations spend much more of their money in wealth transfers to older landowners.

This is just factually untrue. House prices do not grow exponentially. The rate at which they grow goes up and down, but it’s never been exponential. The entire premise of your argument is indisputably incorrect.

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