[quote=carlsbadworker]Since when a shelter is something we don’t need? And why would you not need cars and houses but need gas? I clearly can’t grasp your economic wisdom. [/quote]
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Not the person you addressed, but the key is to keep your FIXED costs low, because the variable costs may go up or down.
Imagine a world where lenders would not allow people to borrow more than 3X annual income (verified, stable income), or where a borrower’s DTI ratio were 10% of a person’s net income. Would we be wealthier, or poorer?
Ultimately, since housing costs are the largest portion of most families’ fixed expenses, if we can bring down those costs, we have more money left over for savings and other uses. The economy would ultimately be much stronger.
