No, a collapse can happen when no business is being done in the sector, but demand still grows. In the case, there were no real estate transactions or building. However, demand grew. When the economy returned, there was far less housing than demand, driving prices up.
It’s not a problem of there not being enough homes for everyone, it’s that the vacant homes are not being made available to people who want / need them. There are far more than enough homes. In fact there’s about 26 vacant homes for every homeless person in the US.
No, a collapse can happen when no business is being done in the sector, but demand still grows. In the case, there were no real estate transactions or building. However, demand grew. When the economy returned, there was far less housing than demand, driving prices up.
It’s not a problem of there not being enough homes for everyone, it’s that the vacant homes are not being made available to people who want / need them. There are far more than enough homes. In fact there’s about 26 vacant homes for every homeless person in the US.