BiggerNews: Will Lower Rates Remove America’s “Golden Handcuffs”? w/NYT’s Rukmini Callimachi

BiggerPockets Real Estate Podcast

For years, we’ve been told that lower mortgage rates could reignite homebuyer demand and help improve affordability so first-time homebuyers (or even rookie landlords) can finally buy their first property. But, with mortgage interest rates lowering right before our eyes, we’re noticing something peculiar—affordability isn’t improving. Home prices are staying stagnant, if not rising. Thanks to America’s “golden handcuffs,” we’re still in a housing market standoff, but there might be some solutions to fix it.

We’re bringing on The New York Times’ Rukmini Callimachi, a real estate correspondent, to shed light on the vast affordability crisis affecting America. With homes “unmanageably expensive,” regardless of whether you’re renting or buying, we need solutions that don’t just spark up demand (like lowering mortgage rates). There’s one glaring problem plaguing the property market, but why won’t anybody fix it?

Today, we're cracking this discussion wide open, speaking on the solutions that could ACTUALLY increase affordability in the future, the rising homelessness problem affecting working Americans and students, and how NIMBYism (not in my backyard) could be forcefully put to stop as communities struggle to build enough housing. If you want to get in (or get back in) the real estate game, whether as an investor, house hacker, or first-time homebuyer, these solutions could directly affect you!

In This Episode We Cover:

Housing inventory update and the “golden handcuffs” keeping housing constrained

Why homebuyers are stuck and the magic interest rate that could unlock demand

The root of our housing problems and what we must do NOW to fix it

Growing homelessness (even among working adults) and why housing costs have gotten too high

Modular home building and how this new type of construction could change the housing market forever

And So Much More!

Links from the Show

Join BiggerPockets for FREE

Let Us Know What You Thought of the Show!

On the Market

Grab Dave’s Book, “Real Estate by the Numbers”

Find Investor-Friendly Lenders

See Dave at BPCON2024 in Cancun!

Cheaper, Faster, and Better for Investors: Modular Homes Make a Comeback

Read More from Rukmini

Interest Rates Have Dropped, but Homeowners Are Not Moving

Connect with Dave

00:00 Intro

02:35 America’s “Golden Handcuffs”

06:52 Homebuyers Are Stuck

11:30 Affordability Solutions

23:55 Growing Homelessness

26:14 Construction MUST Change

29:56 Let’s Get DENSE

Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/real-estate-1026

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