One thing that I didn't factor in, is that the declining purchasing power of fiat makes the rising price of Bitcoin less impressive.
€100k sounded like a crazy-big number, even a few years, ago. Now, my neighbor just sold a run-down old house, the middle of nowhere, with oil central heat, for over €800k.
It's like... 1 Bitcoin will soon buy 1/8th of a dump in a 5-cow town, that you'll immediately have to bulldoze. 😂🙈
Don't disagree. But I also think Bitcoin will come for real estate sooner later.
Yeah.
I don't know, if it'll come for all real estate, everywhere, to the same degree.
Being in the Munich Metropol area is nuts. Closer to the Alps is even nuttier.
with houses in shrinking economic areas, families often let them dilapidate slowly instead of sell them on the market for low prices or let a poor family rent there who might wreck it.
so instead of supply reducing prices, the supply of "livable" (esp mortgageable) houses just shrinks, maintaining the high housing prices.
case in point: a family whose mobile home flooded in the Hurricane Helene is still living in the church area, even though there are many tumble-down houses in the neighborhood that they could probably live in. But nobody wants to rent to them bc they have a history of drug use, etc. but that's the typical family that needs houses in shrinking economic areas.
on a positive note, they have fulfilled lifelong church attendance goals in just a few months!
Yeah, we have lots of rotting, old buildings worth over a million Euros 💶. They just don't put them on the market. Prices declining would just result in more of those.
Right, that's why price predictions are so dumb. “It’ll be $1M next year!” Yeah, but what does $1M buy then?
All price predictions need to be in 2024 USD, so if you say $1M it might nominally be $20M. But $20M meaning $1M 2024 dollars.
That said, it *should* vastly outpace inflation, and you will even with a fraction of one be able to buy some choice real estate!
People get all excited about nominal prices. 😂
i read this book in 2006 starting college:
A Million Bucks by 30: How to Overcome a Crap Job, Stingy Parents, and a Useless Degree to Become a Millionaire Before (or After) Turning Thirty
So i looked at the price of a 3 bedroom house, no-frills house on the street in 2006:
$999,999
height of 2022 craze:
$3,000,000
So this book title in my case should be updated to :
3 million bucks by 40: how to finally admit my fancy degree didn't help, admit parents were right about newfangled ideas and objective truth, and maybe survive a covid vaccine to finally afford a 3 bedroom house.
the book itself was quite interesting. the guy kept buying real estate in new york city in gentrifying neighborhoods using leverage until finally he bought a whole apartment building with his own bar in the ground floor.
My starting price was off, but the 3x factor was right. The house was 300k in 2006 and now 1,000,000. That's 300k per bedroom ... Kids are expensive!
