I understand the notion that lower starts depict lessened builder confidence and so forth. But from an investor's point of view, is this not potentially good? Here's my thought: population is expanding and people need housing. If there are less houses being built, supply will shorten and match or possibly drop below demand, therefore resulting in higher prices. Am I off-base here?
- Tchaka Owen
http://tchakaowen.blogspot.com/
Not off base! I agree with you entirely and have been watching my local statistics like a hawk. If things continue like this with current economic conditions, we could have close to another housing shortage before 2007 expires!
I never saw a pic of you without your helmet, you are a good looking guy!
Aw shucks! Now you're going to make me blush. :-D
I have to admit that I'm one of those hoping for a shortage because the Miami market stands to gain. People have freaked out due to the bubble that was created down here and even though there's been a correction, everyone's still scared. While cautiousness is good, there shouldn't be this continued panic - at least for non-investors. Thanks for commenting.
- Tchaka Owen
http://tchakaowen.blogspot.com/