Great post Ben. Monthly supply looks like an excellent indicator or the prospects for a recession.
Let us imagine that housing could be financed at half a percent more than the average of the 20 year Government bond rate over twenty years. First, is there any reason why private banks should not do it. Second, if not banks then who? Would superannuation funds be interested. Or would it require a government owned bank? Would this ever be possible in the USA? Finally, how would this impact the economy? Would it not tend to stabilized and de-risk the building industry and tend to flatten the cycle of house price inflation? It should help people sell houses to move on to better job prospects or to downsize that would tend to increase efficiency and national productivity.
Great post Ben. Monthly supply looks like an excellent indicator or the prospects for a recession.
Let us imagine that housing could be financed at half a percent more than the average of the 20 year Government bond rate over twenty years. First, is there any reason why private banks should not do it. Second, if not banks then who? Would superannuation funds be interested. Or would it require a government owned bank? Would this ever be possible in the USA? Finally, how would this impact the economy? Would it not tend to stabilized and de-risk the building industry and tend to flatten the cycle of house price inflation? It should help people sell houses to move on to better job prospects or to downsize that would tend to increase efficiency and national productivity.