Reply #18: Excess inventory is what you get after a bubble bursts

[anigbrowl]

Obviously, you can't have a bubble caused by excess inventory. That's like saying you have a glut due to a lack of supply.

Personally, I have no problem with foreign investment in real estate. back in the 80s everyone was paranoid that the Japanese were going to buy the USA but that worked out just fine. It doesn't have to be particularly wealthy foreigners either. There are lots of middle-class people in other countries who'd jump at the chance to buy a newly affordable house in the USA. For that matter, if am amnesty program were set up to address the situation of the millions who are already here illegally, it's quite likely that you'd see some of them entering the market too.