Unpopular Opinion

6408 readers

292 users here now

Welcome to the Unpopular Opinion community!

How voting works:

Vote the opposite of the norm.

If you agree that the opinion is unpopular give it an arrow up. If it's something that's widely accepted, give it an arrow down.

Guidelines:

Tag your post, if possible (not required)

If your post is a "General" unpopular opinion, start the subject with [GENERAL].
If it is a Lemmy-specific unpopular opinion, start it with [LEMMY].

Rules:

1. NO POLITICS

Politics is everywhere. Let's make this about [general] and [lemmy] - specific topics, and keep politics out of it.

2. Be civil.

Disagreements happen, but that doesn’t provide the right to personally attack others. No racism/sexism/bigotry. Please also refrain from gatekeeping others' opinions.

3. No bots, spam or self-promotion.

Only approved bots, which follow the guidelines for bots set by the instance, are allowed.

4. Shitposts and memes are allowed but...

Only until they prove to be a problem. They can and will be removed at moderator discretion.

5. No trolling.

This shouldn't need an explanation. If your post or comment is made just to get a rise with no real value, it will be removed. You do this too often, you will get a vacation to touch grass, away from this community for 1 or more days. Repeat offenses will result in a perma-ban.

Instance-wide rules always apply. https://legal.lemmy.world/tos/

founded 2 years ago

MODERATORS

[email protected]

Homes and real-estate increasing in value should be considered inflation (sopuli.xyz)

submitted 10 months ago* (last edited 10 months ago) by [email protected] to c/[email protected]

11 comments fedilink hide all child comments

Housing is something people need, and is similarly a necessity like food or electricity. It needs a lot of money to keep in a livable shape, plus constant attention, and will lose its value if just left in place. As such it's not an investment, unless the market isn't working like it's supposed to.

When there was the long period of "low inflation" after the 2008 housing crisis, it's because we didn't consider housing prices a part of the inflation – if housing getting more expensive would've been taken into account we should've never had such a long period of low interest rates. If rents going up is inflation, appreciation should be as well.

As such, housing getting more expensive should be considered a bad thing, as it leads people to mistakenly see it as an investment. People will then "protect" their investment by trying to prevent new projects etc. Nobody would get angry if bread was cheaper the next day, just because they already bought it yesterday.

EDIT: apparently I've been a bit misinformed. I'm not from the US, but EU (Finland) and have understood that our indices don't really include owner-occupied housing in the calculation, but only the direct costs like energy and rent with some weight – which was at least partly the case, but there would seem to be some changes coming. Thanks for the enlightening replies, I'll have to read a bit more into it.

you are viewing a single comment's thread
view the rest of the comments

[–] [email protected] 1 points 10 months ago

Yep, should've probably clarified that I'm personally not talking about the US. Housing costs are included in HICP (the index in Europe) but not the cost of purchase AFAIK, only the cost of ownership, calculated via more direct means like rent or energy costs.