The Real Fix for America’s Housing Market (and Why No One in Washington Will Do It)

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Hey, I’m not in charge of Housing and Urban Development. I’m not in the White House, but I’m going to tell you right now how we can fix the housing market. First and foremost, Bill Pulte is a used car salesman for all intents and purposes. He is self-dealing. The 50-year mortgage is self-dealing. He is a builder. Builders are having a very difficult time moving homes. They are actually

offering new home buyers below market mortgages. They’re actually paying lower. They’re doing it, giving all sorts of incentives because they don’t want to be sitting on all these homes. They’re hurting. OK, he is self-dealing. He puts out a 50 year mortgage. He doesn’t have to discount the homes that he has built. conflict of interest here. Come on, Mr. President.

put this guy in there. guess he’s one of the president’s best friends within the White House. Home prices are up 56 % since January of 2020. Take a look here, we’ve gone over this before. 1985 median income in the United States was 23,620. Median price home, 83,200.

median income in the United States now $74,580 median price home $468,000. It’s insane.

Anyway.

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What’s going to happen with this if there is a housing correction, if you have a 50-year mortgage? Well, all of a sudden people will be underwater in their homes. They’ll be underwater and they’ll walk away. Had that happened during 2008-2009, we had short sales, we had people just turning in the keys. The same thing will happen again.

every single time the government gets involved in housing, it drives the prices up. Nearly 70 % of new federal housing administration borrowers last year had debt to income ratios exceeding 43%, which is considered risky. That’s up from 28 % in 2012. 38 % of new Fannie Mae and Freddie Mac borrowers

had risky debt to income ratios compared to 16 % in 2012. Buyers are more leveraged than they were back during 2008, 2009. Rising property taxes, rising insurance costs, these are all a part of owning a home. That’s making it difficult as well. Oh, not to mention keeping people in homes that can’t afford the homes. We’ve talked about this as well. Mortgage relief.

The FHA has paid mortgage servicers to provide forbearance or modify some 610,000 FHA mortgages over the last year. That’s more than the number of new purchase loans that the FHA insured last year. Writing down mortgages for borrowers that can’t afford them, yeah, it’s a great business for mortgage bankers, but again, makes for fewer homes to buy.

a lot of this. Let me clean some of this up for everybody. We’ll clean it. We’re gonna do some simple things here. Again, stuff we’ve been suggesting for some time. Again, lot of areas of the country, they’re gonna have a very difficult time because there’s so much waste. You need to doze the entire local communities and towns and cities and what they’re overcharging for property taxes, but you gotta have property tax relief. Owner-occupied homes. Owner-occupied…

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homes, guess what? Not second homes, not third homes, not Airbnbs, okay? You need serious property tax relief. How about this? Private equity firms and real estate investors bought one third of all single-family residential property sold in the second quarter of 2025. That’s a 27 % increase from the first quarter, highest percentage in the past five years. Favorable tax laws when it comes to real estate, a myriad of

things, I would make that go away, but quick. I would. I’d make that go away, but quick. Guess what? You’re going to pay. You’re going to pay. We’re not going to allow this. I’ve showed you the scam that a lot of these private equity companies do where they buy up entire neighborhoods, entire neighborhoods, sit on it for about a year, sell to themselves in a separate fund, a bunch of houses.

to themselves at a higher price, thereby lifting the price of all of the homes within that community, because it’s all based on comps, so then they can charge more. Let tell you another thing that we could do, and Wall Street’s not gonna like this. Every other damn financial instrument, debt instrument out there, you can trade. You can package it, you can trade it, you can sell it, you can move it, you can groove it, for crying out loud. Okay, Wall Street was doing all that stuff back in 2008, 2009.

slapping AAA ratings on garbage mortgages and then sell them to pension funds and country whatever it be whoever was buying them. Why can’t you take your mortgage with you? All these people how many mortgages were taken out? How many mortgages were taken out when mortgage rates were anywhere between 2.6 and let’s say three, three and a half percent?

Well, you want to move you want to your house. Why can’t you you know, take that loan with you? Make them vulnerable

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No problem. Or make them transferable. Somebody wants to buy your house? Well, hey, listen, I owe, you know, 300,000 on this, but guess what? I’m only paying this amount.

Why can’t they assume that loan? Why can’t you transfer? Well, I’ll tell you why. Big banks don’t want that. They want to retire all that shit, They want to retire all that. This is why it’s a racket. It’s not there to benefit you. It’s too big to fail benefiting from this. You could make this all happen. It’s not hard. It’s not hard to bring an actual true and free market to housing here in the United States.

without all of the big players, without all the crony crap and drive prices down. Well, another big group out there that would hate to see that happen, that’s real estate agents. Oh, they’re a big lobby. They are a massive lobby. How do they make money? Well, based upon the price of the home that they’re selling. You think they want the price of homes to go down? No.

It’s less commission.

You keep those prices up, I’m gonna say it once again. I don’t give a rat’s ass, okay? If my house drops 34, it doesn’t make any difference to me, okay? What do I care? This is part of the crap that the whole real estate industry has been selling people like your home is some sort of bloody financial asset. And the same mortgage brokers do the same damn thing too. Take money out of your house, do this, do that. It’s a rocket.

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There’s a great scene in the movie, Big Short, where was, Iceman was playing the part, they’re going there to try to find, they’re in Florida and they’re interviewing real estate agents, trying to see if there’s a bubble in housing. And then they interview, they end up interviewing a bunch of mortgage brokers that were, know, they didn’t know what the hell that they were doing. I was bartended a couple of weeks ago, talking about how they run the scam.

Don’t think of your home as this great financial asset, okay? It’s an installment plan purchase. It’s a place where you create memories for crying out, not loud. It’s a bill. You have to live somewhere. Value of my home drops by 50 % tomorrow. You know how much it’s gonna affect my life? Zero.

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Zero. What can affect my, my house is gonna shrink by 50 %? No, no, I’m still gonna go out later on in the afternoon. I’m gonna grow myself something for dinner. Gonna have dinner with my wife and my mother-in-law. Maybe the kids will stop. Who knows? Okay, that’s how you should engineer your life. Not treating your house as some sort of financial asset. And it’s another thing we gotta throw in here in this country is financial literacy. Watchdog.

on wallstreet.com.