Why Would Easier Access to Debt Lead to Higher House Prices? | Ep. 211

In this episode, we answer a listener's question, which stems from an earlier episode we recorded. In that episode (#208) we discussed three speculative scenarios, where increases to debt availability would lead to higher house prices.  Paul (the listener) asked why increased availability of debt would lead to higher house prices as it wouldn't change the fundamental value of the property.  During the show, we discuss that there isn't really a fundamental value of property, given that home-buying decisions are primarily driven by emotion, rather than rational thought.  We also mentioned the property investment webinar we are holding this coming Tuesday the 14th April, which you are invited to. We're discussing how the rental market will be impacted by the Coronavirus-induced shutdown and the resulting increase in the number of Airbnbs coming onto the market.