> We've conflated having a home with a financial asset.
And it's a really, really shitty one. My house has roughly doubled in value since I bought it, but in practice that's useless to me. I can't claim that value without rendering myself homeless. If anything it reduces my mobility by making it harder to move, since I really need to coordinate the sale of my current home with buying the new one to help absorb that $500k or whatever price tag.
My if house prices dropped by 50% or more drops my net worth on paper, but it doesn't actually change anything. I still have a place to live + my savings, investments, etc.
And it's a really, really shitty one. My house has roughly doubled in value since I bought it, but in practice that's useless to me. I can't claim that value without rendering myself homeless. If anything it reduces my mobility by making it harder to move, since I really need to coordinate the sale of my current home with buying the new one to help absorb that $500k or whatever price tag.
My if house prices dropped by 50% or more drops my net worth on paper, but it doesn't actually change anything. I still have a place to live + my savings, investments, etc.