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0 pointsjjav3y ago0 comments

> Well guess what?

> Now they're millionaires.

The difficulty with this reasoning is that it assumes that homes (and the land they sit on) have only economic value and nothing else matters.

> No owners "lose" from property values shooting through the roof.

In the story you just described they lost their homes they had built up and loved.

For many people, a bunch of cash doesn't replace that.

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josephcsible3y ago

They didn't lose their houses. They sold them. When ownership of your house goes to someone else, you lost it if your bank balance stayed the same, but you sold it if your bank balance went up by the value of the house.

jjavOP3y ago

> They didn't lose their houses. They sold them.

They lost their homes which is not just a house. There's a much more emotional aspect to a home that can't be expressed in merely dollars.

They were also forced to sell in the story, it wasn't a choice.

onlyrealcuzzo3y ago

> They lost their homes which is not just a house.

You want me to feel sorry for someone who gets a Million dollar windfall when:

1) they got a million dollar windfall

2) they now have a ridiculous amount of options (because money = options)

3) if they're really determined to stay in their house, they can cash-out refinance continuously and use some of the unrealized gains to pay property taxes (and past cash-outs)

4) they could also build an ADU on their property and rent out the ADU to cover property tax + have extra money

5) If they actually do move and leave, it's because they preferred $1M do the other options

No, sorry.

This is like feeling sorry for people who win the lottery because they have to pay taxes and then everyone calls them for a favor.

Most things in life aren't ALL good.

2 more replies

mekkkkkk3y ago

Both things can be true at the same time, though. They lost their house because they were forced to sell it.

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