Warren Buffett says the housing market is harming the U.S. economy and won’t rebound until inventory is drawn down. Buffett:
Surprise, we had this huge inventory. … We’re drawing down on the inventory every day, I don’t know how long that takes, but I know when it’s through, when we’ve reached something close to a balance, that we will have at least a million households being formed annually.
He also thinks jobs follow the housing market. We tend to think it’s the other way around: housing follows jobs. So who are you going to believe? Some “Oracle of Omaha” or the mighty Boston Real Estate Blog?
File under: Oracle of Charles Street