The main reason the homes are being bought up is the lumber and steal costs. Right now, it would cost me $500k to build a house that last year would cost me $190k. Real quotes I got for a possible build. More details on what I’m seeing here:
The point about lumber is accurate. We are getting a fence built for our house, and our contractor says the lumber has gone from $12 a board to $28 a board over the last few months. He's had to revise his estimates upward lest he lose money on the job.
Your numbers are off for most areas. There has been inflation in construction material prices, but that's only one part of the total price of building homes. The other major components include land prices, labor, and permits. So costs could have only doubled from $300k to $600k in areas with very cheap land and permits where materials make up the dominant share of the total cost.
https://austingwalters.com/stagflation-is-here-monetary-infl...
With that being the case and the dollar appearing to be weakening, it makes since for them to buy anything they can.
Those homes they are buying for $300k would cost $500-$600k to build...
Regarding the great reset - here’s a Bloomberg article on how to navigate it: https://www.bloomberg.com/opinion/articles/2021-05-31/how-to...
It’s real and it’s here.