Do We Actually Want Affordable Housing: What Was Driving Up House Prices?

The video explores the historical shift from city centers to suburbs in the mid-20th century, driven by factors like the Interstate Highway system and the phenomenon of 'white flight.' It discusses how housing was more affordable in the 1970s due to urban sprawl and low demand. The 1980s marked a shift where real estate became an investment vehicle, leading to a disconnect between house prices and wages. The video concludes with modern challenges in the housing market, including skyrocketing prices and foreign investment, exacerbated by the pandemic.

What was a major factor that led to the migration from city centers to suburbs in the United States?

• The increase in city taxes

• The phenomenon known as 'white flight'

• The rise of urban crime rates

• The development of public transportation

What was one of the impacts of the Interstate Highway system on suburban living?

• It made suburban living less desirable

• It increased the cost of living in suburbs

• It led to a decrease in suburban population

• It facilitated easier commuting to city jobs

In the 1970s, why was real estate considered a commodity rather than an investment?

• Because of the high population growth

• Because of the low supply of houses

• Due to high interest rates and limited demand

• Due to government restrictions on property sales

What significant change occurred in the real estate market during the 1980s?

• The demand for rural properties increased

• Real estate started being viewed as an investment vehicle

• The government imposed strict regulations on real estate

• Real estate prices decreased significantly

How did the 1981 recession influence the real estate market?

• It led to a decrease in property prices

• It caused a massive sell-off of real estate

• It increased the demand for rural properties

• It resulted in stricter mortgage regulations

Which factor contributed to the skyrocketing property prices in major cities during the modern era?

• Decrease in foreign investments

• Increase in rural population

• Reduction in mortgage interest rates

• High demand for homes near city centers

What challenge is highlighted in the modern real estate market?

• The decline in foreign investments

• The oversupply of housing in city centers

• The affordability of housing for average earners

• The decrease in urban population