Milken Institute Promotes A Plan For Fixing Housing Market

The Milken Institute is promoting a book on fixing the housing market. There is a link to the video promotion of the book in this post. The authors of the book make several points about what is needed. The argue that securitization of mortgages, with proper underwriting, expands the funds needed to provide mortgages. That will require that we find jobs for those who are unemployed so that they qualify for mortgages. We should also build smaller homes that are energy efficient so that home ownership is more affordable. We went in the opposite direction in the housing bubble. The average square footage of new homes increased from 1700 to 2400 in this period. That added $85,000 to the average cost of home ownership.