Housing Market
*Disclaimer, I'm not an economist, a lawyer, or anything else that makes what I say below more "legitimate", I'm an engineer, and while I am sure there might be mistakes, it's at least worth giving it a thought. Today I wanted to talk about the housing market. Specifically house values and how it relates to the current economic situation with the pandemic. Right now you hear and see it everywhere, houses are selling like mad. Great must mean that everything is going well. I suppose I would argue.... maybe not necessarily. Lets take a look at the value of houses first. First, lets define what the value of a house is from my perspective. I define the value of a house to be how much you pay for the house plus all interest you pay for the house. Lets take an example house, lets say 2 years ago that house was listed as 200K, and the interest rates were 4.5% (these are all hypotheticals, but lets assume we are close enough). The value of that house is what you would pa