/biz/ - Business & Finance

>>30435679
Seems he is thinking about it backwards, or am I missing something... Why would the spot commodity prices affect the price of a house that's already built? I really don't think you can value the home intrinsically for its parts like wood and copper after its built.
Cost-push factors would affect the price to build a brand new home, but ready-to-move-in housing is in demand-pull inflation. When demand falls, prices of homes would fall, then demand for new home constructions will fall, then those commodity prices will fall.
>why would housing demand fall?
Mentioned in the thread already but:
- rentcucks not paying
- variable rate mortgagecucks getting shagged by higher % rates
- less migrants (oh no no ahah, aHAH AAAHAHAH!) because less jobs
- foreclosures

You can consider the FOMO to build new homes will also add more supply to the market, so now prices are really down. Note: this is just one fantasy possibility in clown world

>>30420551
Here's one just down the street if you want to throw 3 quarters of a $mil at it.
(not joking, its in escrow, bidding wars pumped it up to $700k)

I KNOW WHAT I GOT

>>28829658
That is an interesting read, thanks
>This approach can be explained variously by low-quality construction to quickly meet demand

hmmm, doesn't THAT sound familiar?

Also, with regards to the US, especially where I'm living, the value is 90% in the land itself. I otherwise can't explain pic related, or seeing similar listings for $700k+ in the middle of nowhere Wyoming, or in useless cringeworthy Maryland suburbs.