Varney: Housing market a 'safer' investment than stocks

This post was originally published on this site

FOX Business’ Stuart Varney, during his latest “My Take” on “Varney & Co.,” argued that U.S. homeowners are “sitting on a lot of money” and the housing market is a “safer” investment than stocks. 

VARNEY: BIDEN WILL TAKE CREDIT FOR ECONOMIC RECOVERY

STUART VARNEY: The boom in home prices is a serious wealth creator. If you own a home, just about anywhere, you’re in the money. 

Your equity stake has grown. Sixty percent of American households own the home in which they live, so we’re talking a lot of people, sitting on a lot of money.

VARNEY ON CHILD TAX CREDIT: DEMOCRATS ARE BUYING VOTES

[The] obvious question: Can you hang on to your real estate gains? My answer: a “qualified” yes. 

“Qualified” in the sense that some of the astronomical gains in the hottest markets will cool off, and some buyers may be turned off by bidding wars. 

In some places, I can see a modest price retreat. But no crash. This is not 2007-2008 when the bottom fell out of the market. Back then, there was a huge over-supply of homes and a surge in home-owner bankruptcies.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Today, the opposite. There’s a chronic shortage of homes for sale, just as remote work brings a surge in demand. 

And there’s no shortage of money: A hundred million Americans are getting payments from the government, and 100 million Americans have made serious money in the stock market and in their 401k’s.

CLICK HERE TO READ MORE ON FOX BUSINESS

Here’s my bottom line: I think your money is safer in your house than it is in stocks