The REAL Fix for America’s Housing Crisis
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Fixing the housing crisis. Quick story. We were kids in the Markowski household and my brother Michael, OK, I’m the oldest member of the Michael’s next. Maybe you are obviously familiar with Michael. He was really clever, really clever when we were younger. He figured out a way that like he would on purpose. We had a lot of chores. We had to do certain things. He would strategically.
screw certain things up, screw certain things up, because then they know that they would default. Default setting would be to have me fix the problem. And again, kind of appreciate how clever he was with that stuff. But anyway, I thought about that today because I just want to grab the bull by the horns, volunteer my services to fix the housing crisis as I’m using air quotes.
Scott Bessent, the secretary of treasury was interviewed today on CNBC. again, as much as I appreciate the folks this morning and I appreciate Squawk Box and the interviews they do, they didn’t push him very hard. Bessent made the claim that Federal Reserve lowering interest rates.
Again, they’re expected to lower by a quarter basis point this week is going to solve the problem. It’s not. It’s not. I am going to tell you how to solve the problem. Number one, stop fricking printing money. OK, that’s inflationary. I got a chart here. OK, this is the 10 year percent increase.
in housing prices and the US money supply. US home prices are up. Case Schiller National Home Price Index is up 90 % over the past 10 years. The US money supply is up 83%.
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I don’t think so. I don’t think so. Again, another one is stop with the interest rate suppression, which the Fed engages in a couple ways to do it. Again, they buy mortgage backed securities. also pay nice interest to banks keeping money on the books at the Fed. Easy money.
No risk involved. Lending doesn’t go out. Anyway, again, I know Trump and Lutnick, they’re looking because again, they want to have the big Fanny Freddy IPO. Woohoo! No. Stop with all that crap. No more subsidies for housing here in the United States. Don’t need it. You get rid of all subsidies for housing here in the United States.
the price of homes will come down. Here’s one for you. A massive, massive sales tax, massive sales tax on, I’ve been talking about this for some time, any sort of corporate ownership of homes here in the United States. Corporate ownership of, don’t care, foreign corporations,
domestic corporations, I don’t care what it is, a major sales tax. I’m talking 50 % plus. And if you don’t think that this happens around the globe, it does. It does. Recent experience, real estate transaction that we are conducting in Europe. Again, we’re buying it as a family.
Buying it as a family and the tax that we have to play is minuscule. If we bought it as a corporation and tried to Airbnb it or whatever it may be, whack, whack, a massive tax. It’s smart. Another one here. No more damn subsidies. No more welfare for rich people. You welfare for rich people, I’ve talked about this before.
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the government subsidizing home insurance for living in a flood zone? No. No. No. And again, you know who pushes this? The whole real estate lobby. So they can sell houses for a lot more money and collect bigger commissions. Okay. Don’t doubt me because that’s why it’s the case. So I think it’s straight. You can afford to live on a beach in Florida or I live in Tampa. You can afford to live
on Davis Island and Tampa. That’s where Jeter had his house and Brady lived there and lot of the lightning lived there. Beautiful. Nice area, all sorts of stuff. But hey, storm comes, might flood. know, insurance companies might be reluctant to do that. never fear. Here comes the rich people welfare. Government’s got to step in and subsidize your home insurance. If you can’t afford to buy the home insurance, guess what? Sucks to be you. Price will come down. Again, it’s going to be a function of affordability.
government needs to get out of that. Another one we’ve talked about property tax reform. Starting to see some movement here in states like Texas and Florida where all of a sudden you know Americans are being red-pilled. For years I’ve talked about this on the program and then when I talk about it even when I talk about it in front of people they don’t get it. They look at you like this blank stare what do you mean?
What mean I don’t own my own house? You don’t own your own house. Okay? All you did was buy the right property usage rights. That’s all you did. You stopped paying your property taxes, they take your house. How do you own anything? If it can be confiscated by the state, by the government, how do you say you own it? You just bought the right to use it. You are a serf or a peasant on the manor. We all are.
Get rid of property taxes. Find another way to fund government, whether it’s sales taxes, whatever it may be. And another one as well. You get rid of any sort of capital gains taxes when you are selling the owner occupied home. Plain and simple. Anyway, we go back to the whole property tax reform as well. Owner occupied. Owner occupied, that’s it. You want to whack corporate ownership with much higher property taxes?
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have at it. If you don’t think that this will drive prices down and make the real estate market a hell of a lot more dynamic, you’re wrong. It will. Don’t doubt me. Watchdogonwallstreet.com.
