This isn't discussed much, but I think homes would become noticeably more affordable for families just by having the government stop subsidizing the mortgages of investment properties (e.g. only one mortgage subsidy is available for each family). This isn't even getting into tax write offs which are too complicated for me to understand the consequences of changing.
As it stands, mortgage rates being below the rate of inflation make housing a very attractive investment.
The sources of mortgage subsidy that I am aware of are secondary market purchases:
* Federal reserve mortgage purchases
* Fannie Mae/Freddie Mac mortgage purchases
A big portion of quantitative easing by the Federal Reserve is buying billions of mortgages every month. The Fed is trying to start unwinding this now, but they have had trillions of mortgages on their books since the GFC.
As it stands, mortgage rates being below the rate of inflation make housing a very attractive investment.
The sources of mortgage subsidy that I am aware of are secondary market purchases:
A big portion of quantitative easing by the Federal Reserve is buying billions of mortgages every month. The Fed is trying to start unwinding this now, but they have had trillions of mortgages on their books since the GFC.