Zortix
Sign in
LENIn depth · 4/5Save idea

The housing shortage narrative is a myth

The guest argued that the pervasive narrative of a critical housing shortage is a myth designed to build an exit ramp for overbuilt developers seeking government bailouts.

The argument

Builders have overbuilt but are keeping inventory off standard listing sites, while industry-supplied data masks the true volume of completed and unsold homes.

The thesis, stress-tested
✓ What validates it
  • Surge in builder concessions or fire sales of institutional rental portfolios
  • Public listings of previously unrecorded new construction inventory
▸ Risks discussed
  • Government programs like the Road to Housing Act successfully absorbing excess builder inventory
  • Continued demographic demand keeping pace with hidden supply
Hear it yourself
"Because I heard a story, an anecdote. But anecdotes are really important, you know, about, a gentleman whose father has dementia and is in a home and just refuses to cut his price, even though homes are selling all around him for lower. But it's, you know, I think people are just it's it's a legacy, you know, that something they can leave to their children at the, you know, the proceeds from a sale and things like this. So, but, yeah, you just have this mismatch where buyers are not budging and sellers simply can't afford it."
04:15 · Verify in source ↗
AFFILIATE LINK · ZORTIX MAY EARN A COMMISSION · NEVER A RECOMMENDATION TO TRADE
NOT INVESTMENT ADVICE · A SUMMARY OF WHAT WAS SAID ON THE PODCAST · VERIFY AGAINST THE SOURCE