short selling houses

  1. 26,719 Posts.
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    What if people could short sell houses/apartments


    Say the government lent out its own housing stock, or a managed fund it apartment portfolio, then people short sold it, so all of a sudden houses in your area fall by 50%.. The bank knocks on your door and says , hey buddy you owe 60% please give us another 10% by tomorrow or its auctioned. Same happens with shares and margin loans.


    Shares were designed to allow businesses and people to get together for the common good ofall, not so anyone one with deep pockets can ruin a good business

    shorting has no benefit to shareholders or the company concerned.

    only the fly by night individuals who use this practice, that dont actually conribute anything to anyone but themselves
 
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