Why isn’t it treated similarly to a house?
In: 111
Here’s a few reasons:
1. Houses can be repaired/upgraded at ‘reasonable’ cost back to their original quality or perhaps even better barring any sort of major foundation or settling issues. meanwhile the cost of parts for cars is often quite expensive and due to the wear and tear cars see vs houses, there’s never really a way to get a car back to “mint condition” that doesn’t cost a LOT of money and replacing most of what was original to begin with
2. supply and demand. homes last a long time compared to most cars, and most people need them while not everyone needs a car. car companies usually crank out new cars every year so they’re always readily available and not everyone needs them. Supply is high, demand is moderate so the value goes down. The housing market shifts usually and at times when supply is low, the value of houses skyrockets for people that need them.
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