Why does Real Estate (most of the time) appreciate but things (items) don't!?

5 Answers

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  • 3 weeks ago

    Because they (God, Mother Nature) do not make more habitable land, and construction costs also go up every year.

  • Judy
    Lv 7
    3 weeks ago

    more 'things' can be made. The land supply is a fixed amount.

    • Suzy Suzy Sue
      Lv 5
      3 weeks agoReport

      The rarer the item is the more valuable it is? I get that but I thought gold was also valuable? Diamonds?! SOME classic cars?! 

  • Anonymous
    3 weeks ago

    Limited supply. And they are not making anymore land.

  • 3 weeks ago

    People need homes

    • Suzy Suzy Sue
      Lv 5
      3 weeks agoReport

      People need air, food,..and cars too! But what does need have anything to do with raising the price on housing? Do you mean like supply and demand? I think Judith was closer to the truth in her answer really! Thank you though..

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  • Judith
    Lv 7
    3 weeks ago

    Because there is a limit to the amount of real estate available.  The value of land increases along with demand.  That is why real estate in NYC is worth so much more than real estate in rural town America.  In NYC it's all taken and you can only go up whereas in rural town America there's plenty of available land.

    We can always make more "things."

    • Suzy Suzy Sue
      Lv 5
      3 weeks agoReport

      The rarer the item is the more valuable it is? I get that but I thought gold was also valuable? Diamonds?! SOME classic cars?!

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