How the Current Market Affects what the Average Person Should be Doing in Real Estate | #shorts
00:00:00.000 | Ironically, we're in a really weird time right now where they are deliberately
00:00:03.840 | trying to raise interest rates to keep house prices from going up, but what
00:00:07.920 | happens then is it makes it harder to build new property and it makes
00:00:11.480 | harder for people to buy property.
00:00:13.020 | So where do all those people go?
00:00:14.200 | They go rent because they can't build a new property and they can't
00:00:17.880 | go and buy something, so they go and rent.
00:00:19.440 | Well, we've already got housing deficit in America, a really bad one, which
00:00:23.800 | is why rents are going up so much.
00:00:25.060 | So now we've got this increased problem.
00:00:26.480 | The government is trying to slow down real estate prices and other prices
00:00:30.160 | from going up by raising interest rates, but what the effect it's having is
00:00:33.520 | it's driving rents higher and higher and higher, so who wins in that situation?
00:00:38.120 | Who wins when the rents are going up dramatically and people can't buy as
00:00:43.480 | much, flippers don't win because you can't sell a house when you're flipping
00:00:46.180 | houses as much, but when you own rental property and you have a fixed mortgage
00:00:50.020 | that does not change and your rents go up by 10%, 20% per year, it's the
00:00:55.400 | landlords, it's the rental property owners that are getting wealthier and wealthier and wealthier.