Herding the incomes of the young into deteriorating assets like housing is a dangerous misallocation of capital and investment. Investing heavily in housing means those incomes are not being invested in productive opportunities in other sectors of the economy, whether that is investment in the stocks of other companies, or individuals starting their own businesses.
One thought on “A mortgage is a terrible investment – The Week”
It’s a good investment if you choose the right house and plan to live there. It’s a skewed system when young people who want affordable housing lose out by buying a house– but speculators who flip houses make millions.