Post #13339 by tecmo on the Berkshire Hathaway board

Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)

Unthreaded | Threaded | Whole Thread (128)

Post New | Post Reply | Report Post | Recommend It!

No. of Recommendations: 0

* US government policy to drive housing demand, primarily through interest subsidies and running the mortgage market. The US has the most socialist housing finance system of any developed country.

The fact that US home owners can deduct the their mortgate interest is often cited as a big impact on housing prices; but the statistics don't support this. Roughly 85% of the population uses the standard deduction, and doesn't itemize (which is where the impact would be felt).

Also: Demand for housing is not really impacted by government policy; demand for home ownership can be however.

tecmo
...

Post New | Post Reply | Report Post | Recommend It!

Print the post

Unthreaded | Threaded | Whole Thread (128)

Prev | Next

Announcements

Berkshire Hathaway FAQ

Contact Shrewd'm
Contact the developer of these message boards.

A community forum supporting civilized, and highly helpful, self-educating investors that come together for Shrewdness and merry spirits. These message boards closely follow the look and feel of the old message boards at boards.fool.com prior to the boards redirected to discussion.fool.com. Shrewd'm is not affiliated with the comprehensive and excellent investment website, The Motley Fool (TMF), in any way. The Shrewd commmunity here has owed, and continues to owe, gratitude to The Motley Fool for nurturing a culture of jovial irreverence towards Wall St, and that tradition will continue here.