Hacker News Reader

> will just suppress housing prices by increasing supply?

That’s an odd way to phrase keeping housing affordable.

It's a phrasing that's extremely popular in the US, for obvious reasons.

True, too much watching Bloomberg lately :)

Just tried to be technical, since 'affordable' is debatable. What I'm asking is how would building houses for no reason help in the current circumstances. Wouldn't the house also erode in value?

> how would building houses for no reason

Stable housing prices are good for an economy. Next to negative rates, that’s a win. That’s the point.

If the prices are stable yes, but why would prices remain stable? Wouldn't this be arbitraged to the level of negative rates?

You can always live in a home.

In one home, yes.

> What purpose would that home serve?

Save on rent? Not every asset is a commodity to be traded.