How likely is it the dollar will crash if and when the housing market goes tits up in the next 2-6 years? Is gold worth buying (physical holdings only, gold on paper)?
Im hoping this summer
You'll likely see an increase in inflation over the timeframe of the next decade, but nothing that will look like a real crash, even though the result will be the same.
>>1939713
sampling bias.
just because the housing market crashed once in your life doesn't mean it will crash again.
it might, but historically it's pretty fucking unlikely.
>>1939754
Whats your backing for it not happening? The only reason they were able to pull out of it last time is because they dropped loan rates down to 0%. They can't raise them back up or the companies that used the loans to buy back the stocks they lost will tank. The only thing I can see that they can subsidize is the USD. If they don't they risk losing the bonds and hell will freeze over before they let that one go.
>>1939713
What i don't understand is why houses are so expensive. It literally costs only a few grand in materials to build a house but after it's built it's magically worth 100 times as much. Like seriously what is this voodoo? And why are homes that were built in the 1940's and are literally falling apart still selling for 100k?
What in the fuck is this shit propped up on?
>>1940085
low interest rate induced moral hazard resulting in wild speculation
rubes everywhere believe residential real estate to be the key to vast riches
>>1940092
I work in residential construction in the UK and was going to buy a flat in a few months, am I fucked?
>>1940098
Personally, I am hoping for the best but preparing for the worst. Look into the current state of the US economy for yourself for a bit and go with your gut. One thing I will say is I wouldn't buy if I couldn't pay it off almost right away.
>>1940085
At the moment it is propped up on China buying tons of houses on the west coast. Once the money runs dry (Their economy sucks worse than ours atm) we could see some serious decline.
>>1940104
Hmm, got like 20% down. Goverment is proping up the bubble here anyway by putting down 20% interest free for anyone who buys a new house because barley anyone can afford it anyway. Markets gonna go to shit when it's withdrawn in 2020/21 plus with all the uncertanty at the moment I think I'll stay out.