From Investing.com: 2025-06-10 02:10:00

Economists Glaeser and Gyourko highlight the impact of the 2008 mortgage crackdown on the housing shortage, with suburbs’ growth being hindered. Cochrane criticizes federal subsidies, attributing the rise in house prices. The recovery of suburbs requires a reactivation of 20th-century lending norms. The housing crisis can end by allowing multi-family housing, returning to lending standards, or promoting single-family build-to-rent. The mortgage crackdown drastically reduced suburban housing construction by 50%, leading to rent inflation. The mortgage crackdown is the key issue affecting housing supply and affordability in the US.



Read more at Investing.com: High-Density Housing Growth Fails to Offset Decline in Suburban Construction