Powell and Thiel agree on one thing, we aren't building enough houses and that is transferring wealth from lower to upper class I suspect the coming collapse in tourism (both int'l and domestic as tariffs bite) is going to put a LOT of bnb's back on the market. search says there are 2.25M BNB units in the USA. Peter Thiel warns of ‘catastrophe’ in US real estate, will deal a massive blow to young Americans — but also sees ‘giant windfall’ for 1 class of boomers. Are you part of this group? At its core, Thiel argued, the issue boils down to supply and demand. “If you just add more people to the mix, and you're not allowed to build new houses because of zoning laws, where it's too expensive, where it's too regulated and restricted, then the prices go up a lot,” he said. “And it's this incredible wealth transfer from the young and the lower middle class to the upper middle class and the landlords and the old.” Thiel isn’t the only one raising the alarm. Federal Reserve Chairman Jerome Powell has highlighted similar concerns. “The real issue with housing is that we have had, and are on track to continue to have, not enough housing… It’s hard to find — to zone lots that are in places where people want to live… Where are we going to get the supply?” Powell said at a press conference in September. The gap in the housing market is significant. A recent report by Realtor.com estimated the U.S. housing shortage to be 3.8 million homes as of 2024.
what he didn't mention is the quality and the size of the average new build. first time homeowners need a reality check when 2000 SF isn't enough. new construction standards to withstand greater forces and provide better insulation just costs more to build
wow, my first house was only 1600 SF. It was 4 bedrooms, although they were small, but decided to upgrade after 2 kids and toys all over the place.
Most young couples I know have homes under or around 2000 sqft. Mine was 1250 sqft. Just looked it up. 3 bedroom, 2 bath (1 Full 1 Half).
