Real estate vs. Bitcoin

Maison

New member
Deregulation is inconsequential at this point and real estate values have correlation with foreign exchange rates. Supply in RE alludes to the property you want to purchase or sell. As a result, currency is in demand because of EMH in due to supply/demand. RE is simply one of the assets tied to availability of real loanable funds. Availability of real loanable funds. Fx rate. Cost of goods. The reason real estate prices are declining is because there is a decline in availability of real loanable funds. A decline in loanable funds is a result of foreign exchange rate decrease. The market is responding to an inevitable future FX decline.
 

Kylian

New member
As far as real estate goes you have to do market research in your own area. The market will not look alike in the UK, Australia or Japan. Some countries aren't safe places to invest like if you live in Belarus I'd be careful with buying anything.

What foreign exchange rates are you talking about? Probably the Dollar that suffered a big loss in March with the start of the pandemic. It's always like that when some big changes are expected in a country. It will go back up after the election. That is if we don't get a stock market crash in the meantime.
 

Darian

New member
All money goes to crypto as fiat crash and then less money left for mortgages and real estate crash and crypto goes 10x
 

Alfonso

New member
Real estate could be deflationary in nature similar to bitcoin. Real estate development and construction have not maintained pace with population growth, making real estate scarce(r) in supply. The main bottleneck preventing real estate from appreciating in value is wealth and wage inequality limiting the number of people who can afford to buy it. That malus to consumer purchasing power and demand could devalue real estate below its actual market value.

Bitcoin purchase of real estate could be a standard worth pursuing. If both remain deflationary and stable in nature. Essentially buyers and sellers would be swapping one deflationary asset for another. Which could be preferable to swapping a deflationary asset in real estate for an inflationary fiat currency.
 

Xzavier

New member
I don't understand those people that are trying to offer and sell me their real estate properties. I understand that we are in a crisis and the situation isn't doing better for everyone else. But their prices are erraneous and didn't declined. They are in desperate situation and won't pull lower the price for their real estate for sale. It's not the good time for me to buy in the specific area that I want, better to pitch in more for bitcoin just like the usual times.
 

Terrance

New member
I don't understand those people that are trying to offer and sell me their real estate properties. I understand that we are in a crisis and the situation isn't doing better for everyone else. But their prices are erraneous and didn't declined. They are in desperate situation and won't pull lower the price for their real estate for sale. It's not the good time for me to buy in the specific area that I want, better to pitch in more for bitcoin just like the usual times.
Residential property prices from the primary market will never fall. Because a lot of construction materials are still imported and domestic supply is limited, property prices will not decline. In addition, the weakening of the currency against the dollar also had an effect. For second hand properties, the price may be below the market depending on the owner, but not with new projects. Even if the price does not go down, the developer will not increase the price at this time of year, a more feasible strategy is the ease of payment and installments.

The decline in buyers, occurred from the end user buyer segment for housing needs, due to the tendency to refrain from securing their daily needs in the midst of an economic condition shaken by the pandemic. Some buyers from the investor segment still have purchasing power, but still depend on the psychology of the investors themselves.
 

Grayson

New member
I am not aware of the circumstances from where you're speaking but as far as my local situation is concerned, real estate is still one of the most trusted and certainly profitable investments. The increase in the prices of real estate properties is consistently rising, that is, despite the foreign exchange fluctuations. So I don't think there is a significant correlation at all between the two.

Also, I don't want to put a versus in between real estate and Bitcoin. Bitcoin's rise and fall in fiat value makes it a very risky investment, although it could also double in just a matter of weeks. Real estate, on the other hand, is a very safe investment which almost guarantees you consistent and smooth value appreciation over time.

I'd rather have both.
 

Jayden

New member
Don't overcomplicate things (about real estate correlation with the exchange rate). A simple supply-demand analysis would be sufficient.
People buy real estate as an investment when the economy is going well (booming), and they expect to sell it for a higher price. Conversely, when the economy is going bust, they will sell it to get liquidity (cash is king stuff).

The lower-middle-class also buys real estate with a loan when the job is paying well. When they go unemployed, they default, and banks sell the house.
 

John

New member
It is better to increase the amount of bitcoin investment than real estate it's demand is much higher as real estate usually controls the exchange rate. Real estate development and management activities conducted entirely under government management by any government ministry or department or any of its subordinate or affiliated departments or agencies or authorities or any statutory authority or autonomous body jointly conducting real estate development and management activities with any developer. Real estate development activities are conducted in joint ventures.
 

Wyatt

New member
I was wondering if people are calling for deregulation to solve the problem?

Been hearing about deregulation for a long time now... I guess i supported that word back then but after re-reading the meaning today, I've decided to be a bit more cautious.
Competition should be allowed but it must be healthy and moral. There must be strong and good standards/rules guiding the competitors. Anyone that goes against the good standard and does what is wrong or immoral should be punished.
The government could only lessen the rules by removing the unnecessary, inefficient, bad rules, but stick strongly to morality and good/basic building code/standards/principles for the housing or real-estate sector
 

Henrik

New member
As long as the governments are printing toilet paper money, the loanable funds will be available to the people to buy Real estate. This will just reduce the value of the Fiat currencies even further and increase the global debt.

People should rather buy bitcoins and try to hoard it to create a situation where you cultivate a saving culture and not a economy that are built on debt.

Governments are digging their own graves and nobody is taking notice.
Angry
 
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