TerryScarchuk t1_izyq1j5 wrote
Reply to comment by scepticalbob in I’m Cornelius Hurley, academic, lawyer, 14-year director of a Federal Home Loan Bank. Ask me anything about the FHLBs. by ProfBU
To add to that, while incentivizing supply increases we should also look to protect the developers from another future crash. Last time around tens of thousands of small to medium sized builders were financially ruined and left the industry entirely because they were left holding the bag on entirely too much inventory. That’s a big part of why the houses we need today don’t exist and likely won’t be built for another 5-10 years. I’m not saying a “too big to fail” type bailout, but a federal housing insurance program that builders can buy into and have a rescue net to sell inventory into. This could help create a diverse section 8 housing pool while keeping builders afloat.
scepticalbob t1_izyqm95 wrote
Your comments are accurate, but new construction numbers are well below where they were in 2008, and overall percentage of home ownership is waaaay below 08
TerryScarchuk t1_j056v7a wrote
Right, but the reason for NC numbers being so low is that so many builders are out of the industry, and those that remain are hesitant to break new starts. That trend has existed for over a decade.
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