ZERO HOUSING INFLATION?....IN UNICORN LAND

fortune.com/2025/12/18/inflation-report-...storted-diane-swonk/

Economy
Inflation
‘This is a wacky number’: economists cry foul as new government data assumes zero housing inflation in surprising November drop

'LIAR,LIAR, PANTS ON FIRE'...CAN WE SAY...A BOGUS REPORT TO PAINT A BRIGHT PICTURE OF AN ECONOMIC F. U.

Why do you find this so unlikely?

Millions of foreign nationals deported. Baby boomers and Generation X are starting to die. Many of those who aren't dying are downsizing and moving into senior living. During the pandemic, with everyone stuck at home, people bought huge homes that they are finding expensive to maintain and to pay utilities on.

Plenty of reasons for home prices to decline after increasing every year for four straight years.

I really don’t think HA understands what supply and demand means. If you already have a housing shortage and you invite 20 million unknown people into the country, then the housing shortage gets even worse and prices go up. Deport the people who shouldn’t be here and the demand goes down followed by prices. Why is that so hard for some people to grasp.

The other problem is regulations that slow down home construction… another easy fix where leftists are unable to connect the dots.

HEY, I JUST FIND FACTS.... INTEREST RATE CUT DID LITTLE TO JUMP START HOUSING,BUILDERS RIDING A WAIT AND SEE APPROACH,MATERIALS AND LABOR R BIG FACTORS FOR THE PAUSE....AND ALTO PRICES FOR EXISTING HOMES HAVE COME DOWN...(THE SELLER FINALLY GOT A CLUE (,NO U CAN NOT PUT A PRICE ON THE HOUSE THAT WILL NOT COME IN ON APPRAISAL).....THE UNCERTAINTY SURROUNDING THE ECONOMY IS STILL A HUGE WAIT AND SEE....JMO

THEN THERE IS THIS....THE GERIATRIC CROWD IS STAYING PUT,THEIR RATE IS NEXT TO NOTHING OR THE HOME IS PAYED OFF....THIS LEAVES THE STARTER HOME GENERATION
HANGING IN THE WIND....THEY WOULD LIKE TO PURCHASE,BUT TOO MANY FACTORS TO SURMOUNT.

None of what you just said addresses supply and demand, the #1 driver of prices. If you don’t understand basic economics..,

HOUSING,BUILDERS RIDING A WAIT AND SEE APPROACH,MATERIALS AND LABOR R BIG FACTORS FOR THE PAUSE....AND ALTO PRICES FOR EXISTING HOMES HAVE COME DOWN...(THE SELLER FINALLY GOT A CLUE (,NO U CAN NOT PUT A PRICE ON THE HOUSE THAT WILL NOT COME IN ON APPRAISAL).....THE UNCERTAINTY SURROUNDING THE ECONOMY IS STILL A HUGE WAIT AND SEE....JMO


WHAT IS THERE TO NOT UNDERSTAND? THESE FACTORS R SUPPLY AND DEMAND ISSUES
SPECIFICALLY LABOR(OH,THE CHEAP LABORERS HAVE BEEN DEPORTED), MATERIALS,SUBJECT TO TARIFFS R A WAIT AND SEE WHAT TACO TRUMP DOES.....IT'S 52 CARD P.U.

The problem you have is understanding the time it takes to turn a country around. You also can’t explain how a progressive/liberal/socialist would turn an economy around to create more investments and jobs.

All you ever do is whine about Trump doing everything wrong, but you never talk about the correct way to do it. That’s because the people you trust don’t have any answers you can parrot.

HA, you are reading your tea leaves wrong. Slow housing starts? That is a sign that the market is oversaturated with homes and rentals available.

I am seeing in my sister's Arvada neighborhood that numerous projects have been stopped or slowed because builders realize they are not going to be able to charge premium prices for their new homes.

Apartment compexes are discounting their vacant units.

If you are a renter or future homeowner this is great news. If you are a landlord or builder, this means you are actually going to have to be more price competitive.

Of course a 25 basis point cut isn't sufficient to alter the current market. Just a few short years ago, late 2021, early 2022, a 30 year loan was being had at 3% or less. 6% - 6.5% is still more than double that rate, and buyers who can wait are waiting for better rates. Buyers who can't wait are having to buy less of a house to afford the payments at a higher rate.

Add in the rise of property taxes due since Colorado voters "de-Bruced" the property tax laws in 2020, which eliminated the "floating" tax rate to ensure it was the same percentage of total property tax revenue, and now the increase in property tax accounts for nearly 20% of the increased cost of owning a home.

At some point the politburo in our State legislature is going to realize that you can't spend your way to prosperity, I just hope its soon . . .