Re:The U.S. Housing Market vs. the Canadian Housing Market
by refurb on Saturday September 09, 2023 @09:56PM
(#37452203)
Indeed, homes are some of the most liquid form of wealth, easily leveraged with loans to buy even more property
They absolutely aren't.
Transaction costs are very high (6%), the time required to sell can be months.
Borrowing against a house is not the definition of a "liquid asset". By that same logic a complex equity with no market could still be "liquid" because you could borrow against it.
They absolutely aren't.
Transaction costs are very high (6%), the time required to sell can be months.
Borrowing against a house is not the definition of a "liquid asset". By that same logic a complex equity with no market could still be "liquid" because you could borrow against it.