Biden's economy: Housing crisis coming?

[Counselor706]

The pace of new home construction crashed 14.4 percent in May, the Commerce Department said Thursday, as higher interest rates and high home prices drove away buyers and depressed home builder sentiment.

Home builder confidence has been falling for six consecutive months and May appears to have been a tipping point for many builders. The June reading came in as the lowest since June 2020, when the country was in the grips of the initial lockdown reaction to the Covid pandemic. Although housing prices continue to climb, sales have slowed amid the highest mortgage rates in many years.

“Six consecutive monthly declines for the HMI is a clear sign of a slowing housing market in a high inflation, slow growth economic environment,” NAHB Chairman Jerry Konter, a builder and developer from Savannah, Ga., said Wednesday.

https://www.breitbart.com/economy/2...nflation-and-soaring-interest-rates-hit-hard/

 

[ll74]

The feds addressed inflation and the housing market is responding.

If you didn't see that coming, then you're an idiot

 

[JohnEngelman]

President Biden faces difficult problems that lack obvious and easy solutions. The GOP has nothing to offer but tax cuts for the rich.

 

[Chobham]

President Biden faces difficult problems that lack obvious and easy solutions. The GOP has nothing to offer but tax cuts for the rich.

"A rising tide lifts all boats." JFK on signing his tax cut into law.

"OK contestant #1, there are 'prizes' behind the two doors in front of you. Behind one door is a tax cut package that favors the rich. Behind the other door is the complete and utter destruction of the middle class. Choose wisely."

Biden has never been accused of being wise, or even being particularly intelligent.

 

[JohnEngelman]

"A rising tide lifts all boats." JFK on signing his tax cut into law.

"OK contestant #1, there are 'prizes' behind the two doors in front of you. Behind one door is a tax cut package that favors the rich. Behind the other door is the complete and utter destruction of the middle class. Choose wisely."

Biden has never been accused of being wise, or even being particularly intelligen

Because Kennedy owned at one yacht, I can understand why he thought that way.

What Kennedy said does not correspond to what has happened to the U.S. economy since the inauguration of President Reagan.

 

[Sean Renaud]

"A rising tide lifts all boats." JFK on signing his tax cut into law.

"OK contestant #1, there are 'prizes' behind the two doors in front of you. Behind one door is a tax cut package that favors the rich. Behind the other door is the complete and utter destruction of the middle class. Choose wisely."

Biden has never been accused of being wise, or even being particularly intelligent.

A rising tide does lift all boats, but tax cuts for the rich is not a rising tide. ITs when the fat guy gets out of the spa.

 

[phrodeau]

https://www.nahb.org/-/media/NAHB/n...hmi/202206/t2-national-hmi-history-202206.xls

At the start of Obama’s term, the HMI was in single digits. By the end of his term it leveled off to the upper sixties, where it is now. Trump’s first three years didn’t make much difference, and it floated between 56 and 76. In his final year Covid19 and stimulus packages sent the numbers down, then way up. Biden’s first year had a banner HMI, and now it’s settled to a normal level.

 

[Chernosoth]

I forget which post at wilderwealthywise has the exact quote. Basically, housing will be affordable when it stops being an investment and becomes merely places to live. When there's no money left in it for investors.

 

[YDB95]

"A rising tide lifts all boats." JFK on signing his tax cut into law.

He was cutting the top marginal tax rate from 91% to 77%. Now it's 37%.

 

[Chobham]

Top marginal rates yaddah, yaddah, yaddah. Virtually no one paid top marginal rate.................ever. Certain individuals, from time to time, got caught with windfalls and did pony up but those were rare cases. You could raise the top marginal rate to 99% tomorrow and people the likes of Musk, Bezos, Zuckerberg, etc. would still pay virtually no tax at all.

All of the action is taking place on IRS 1040 Schedule D. Capital gains and losses.

I'm getting a kick out of the irony of Biden bragging about how "HE'S" reduced the deficit via increased tax collections based on the Trump tax cuts.